{"response":{"docs":[{"id":"dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2010-h2011","title":"Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for fiscal year ended June 30, 2011","collection_id":"dlg_ggpd","collection_title":"Georgia Government Publications","dcterms_contributor":["Georgia. Department of Audits and Accounts, issuing body."],"dcterms_spatial":["United States, Georgia, Ware County, Waycross, 31.21368, -82.3557"],"dcterms_creator":["Georgia. Department of Audits and Accounts"],"dc_date":["2010/2011"],"dcterms_description":["Began with: Fiscal year ended June 30, 2004.","Report year covers fiscal year.","For some years, report may be issued instead called: Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for the fiscal year ended ...; or: Okefenokee Technical College, Waycross, Georgia, management report for fiscal year ended ...","No more published after 2013; in 2014, Altamaha Technical College (Ga.) and Okefenokee Technical College (Ga.) merged to form Coastal Pines Technical College (Ga.)","Description based primarily on print version record.","Fiscal year ended June 30, 2008 (Georgia Government Publications database, viewed November 8, 2023)."],"dc_format":["application/pdf"],"dcterms_identifier":null,"dcterms_language":["eng"],"dcterms_publisher":["Atlanta, GA : Georgia. Dept. of Audits and Accounts, 2011-06-30"],"dc_relation":null,"dc_right":["http://rightsstatements.org/vocab/InC/1.0/"],"dcterms_is_part_of":null,"dcterms_subject":["Okefenokee Technical College--Appropriations and expenditures","Education--Auditing--Georgia","Auditors' reports--Georgia"],"dcterms_title":["Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for fiscal year ended June 30, 2011"],"dcterms_type":["Text"],"dcterms_provenance":["University of Georgia. Map and Government Information Library"],"edm_is_shown_by":["https://dlg.galileo.usg.edu/do:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2010-h2011"],"edm_is_shown_at":["https://dlg.galileo.usg.edu/id:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2010-h2011"],"dcterms_temporal":null,"dcterms_rights_holder":null,"dcterms_bibliographic_citation":null,"dlg_local_right":null,"dcterms_medium":["state government records"],"dcterms_extent":null,"dlg_subject_personal":null,"iiif_manifest_url_ss":null,"dcterms_subject_fast":null,"fulltext":"OKEFENOKEE TECHNICAL COLLEGE \r\nWAYCROSS, GEORGIA \r\nINDEPENDENT ACCOUNTANT'S \r\nREPORT ON APPLYING AGREED- \r\nUPON PROCEDURES \r\nFOR FISCAL YEAR ENDED \r\nJUNE 30,2011 \r\n \r\n- \r\n \r\n.dht \r\n \r\nI Georgia De-mt \r\n \r\nof.. \r\n \r\nAudits and Accounts \r\n \r\nRussell W.Hinton \r\nState Auditor \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE - TABLE OF CONTENTS - \r\n \r\nINDEPENDENT ACCOUNTANT'S REPORT ON APPLYING AGREED-UPON PROCEDURES \r\n \r\nEXH IBITS \r\n \r\nA SUMMARY BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT \r\n \r\n1 \r\n \r\nB STATEMENT OF FUNDS AVAILABLE AND EXPENDITURES COMPARED TO BUDGET \r\n \r\nBY PROGRAM AND FUNDING SOURCE \r\n \r\n2 \r\n \r\nC STATEMENT OF CHANGES TO FUND BALANCE BY PROGRAM AND FUNDING SOURCE \r\n \r\n RUSSELLW. HINTON \r\nSTATE AUDITOR \r\n(404) 666.2174 \r\n \r\nDEPARTMENOTF AUDITSAND ACCOUNTS \r\n270 Washington Street, S.W., Suite 1-1 56 Atlanta, Georgia 30334-8400 \r\nDecember 8,2011 \r\n \r\nMembers of the State Board of the Technical College System of Georgia Members of the Local Board of Directors \r\nand Honorable Gail Thaxton, President Okefenokee Technical College \r\nlnde~endenAt ccountant's Report on Applving \u0026reed-Uaon Procedures \r\nLadies and Gentlemen: \r\nWe 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 ComprehensiveAnnual Financial Report (CAFR) and Single Audt Rep* and to assist you in assessing the accuracy of budget basis information provided in the Summary Budget CbmpaHsonand Surplus Anaksis Report Statement of Funds Available and Expenditures Compared to Budget By Program and Funding Source, and the Statement of Changes To Fund Balance By P q r a m and Funding Source which are attached as Exhibits A, B and C, respectively. Okefenokee Technical College's management is responsible for the financial information reported to the System Office of the Technical College System of Georgia. This agreedupon 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. \r\n1. 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. \r\nWe did not note any exceptions as a resultof our procedures. \r\n2. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n \r\n 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. \r\nWe did not note any exceptions as a result of our procedures. \r\nObtain 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. \r\nWe did not note any exceptions as a result of our procedures. \r\nReview 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. \r\nWe did not note any exceptions as a result of our procedures. \r\nConfirm 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. \r\nWe did not note any exceptions as a result of our procedures. \r\nObtain 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. \r\nWe did not note any exceptions as a result of our procedures. \r\nVerify 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. \r\nWe did not note any exceptions as a result of our procedures. \r\nReview the year end Budgetary Statements including the Summary Budget Comparison and Surplus Analysis R e p t (ExhibitA), Statement of Funds Available and Expenditures 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. \r\nWe did not note any exceptions as a result of our procedures. \r\nObtain documentation for Budget basis reserves reported by the College on the Summary Budget Compan'son and Surplus Analyss Report (Exhibit A). Confirm that the reserves are properly documented, valid and appropriate. \r\nWe did not note any exceptions as a result of our procedures. \r\n \r\n 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n12. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n13. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n14. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\nThese 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. \r\nThis 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. \r\nRespectfully submitted, \r\n~ u s \u0026 l lW. Hinton, CPA, CGFM State Auditor \r\n \r\n EXH IBlTS \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE SUMMARY BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT \r\nYEAR ENDED JUNE 30.2011 \r\n \r\nREVENUES \r\nState Appropriation State General Funds \r\nFederal Funds Other Funds \r\nTotal Revenues \r\nADJUSTMENTS AND PROGRAM TRANSFERS \r\nCARRY-OVER FRQM PRIOR YEAR \r\nTransfer from Reserved Fund Balance \r\nTotal Funds Available \r\nEXPENDITURES \r\nAdult Llteracy Econom~cDevelopment Technical Education \r\nTotal Expenditures \r\nExcess of Funds Avallable over Expenditures \r\nFUND BALANCE JULY 1 \r\nReserved Unreserved \r\nADJUSTMENTS \r\nPrior Year Payables/Expend~tures Prior Year Receivables/Revenues Unreserved Fund Balance (Surplus) Returned \r\nto Technical College System af Georg~a Year Ended June 30.2010 \r\nPrlor Year Resewed Fund Balance Included In Funds Avallable \r\nFUND BALANCE JUNE 3Q \r\nSUMMARY OF FUND BALANCE \r\nResewed Federal Financial Ass~stance L~veWork Projects Contlnu~ngEducation Technology Fees lnventorles Bookstore Tuit~on \r\nTotal Reserved \r\nUn reserved Surplus \r\nTotal Fund Balance \r\n \r\nBUDGET \r\n \r\nACTUAL \r\n \r\nVARIANCE FAVORABLE (UNFAVORABLE) \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE STATEMENT OF FUNDS AVAILABLE AND EXPENDITURES COMPARED TO BUDGET BY PROGRAM AND FUNDING SOURCE \r\nYEAR ENDED JUNE 30.2011 \r\n \r\nAdult Ltteracy State Approprtat~on State General Funds Federal Funds Federal Funds Not Speclflcally ldent~fted Other Funds \r\nTotal Adult Literacy \r\nEconomic Development Other Funds \r\nTechnical Education State Appropriation State General Funds Federal Funds Federal Funds Not Specifically ldentifled Amerlcan Recovery and Reinvestment Act of 2009 Federal Funds Not Specifically ldentifled Other Funds \r\nTotal Techn~caEl ducation \r\nTotals By Program \r\n \r\nOr~g~nal Appropriation \r\n \r\nAmended Appropriatlon \r\n \r\nF~nal Budget \r\n \r\nCurrent Year Revenues \r\n \r\n Funds Ava~lableCompared to Budget \r\n \r\nPr~orYear \r\n \r\nAdjustments and \r\n \r\nTotal \r\n \r\nCarry-Over \r\n \r\nProgram Transfers \r\n \r\nFunds Ava~lable \r\n \r\nVarlance Pos~t~v(Ne egat~ve) \r\n \r\nExpenditures Compared to Budget \r\n \r\nVar~ance \r\n \r\nActual \r\n \r\nPoslt~ve(Negat~ve) \r\n \r\nExcess (Defic~ency) of Funds Ava~lable \r\nOver/(Under) Expend ttures \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE STATEMENT OF CHANGES TO FUND BALANCE BY PROGRAM AND FUNDING SOURCE \r\nYEAR ENDEDJUNE 30.2011 \r\n \r\nAdult Literacy State Approprlatlon State General Funds Federal Funds Federal Funds Not Speccfccally ldentlfled Other Funds \r\nTotal Adult Literacy \r\nEconomic Development Other Funds \r\nTechnical Education State Approprlatlon State General Funds Federal Funds Federal Funds Not Speclflcally Identifled American Recovery and Reinvestment Act of 2009 Federal Funds Not Spec~ficallyIdentified Other Funds \r\nTotal Technical Educatcon \r\nTotal Operating Activity \r\nPrlor Year R e s e ~ e S Not Available for Expenditure Inventories \r\n \r\nBegbnncng Fund Balance/(Defccct) \r\nJuly 1 \r\n \r\nFund Balance Carrced Over from \r\nPnor Percod as Funds Available \r\n \r\nReturn of Ftscal Year 2010 \r\nSurplus \r\n \r\nPrcor Perrod Ad~ustments \r\n \r\nBudget Unct Totals \r\n \r\n Other Adjustments \r\n \r\nExcess (Deflc~ency) of Funds Available \r\nOver/(Under) Expend~tures \r\n \r\nEndlng Fund Balance/(Def~c~t) \r\nJune 30 \r\n \r\nAnalysts of Endlng Fund Balance \r\n \r\nReserved \r\n \r\nSurplus/(Def~c~t) \r\n \r\nTotal \r\n \r\nSummary of Endlng Fund Balance Resewed \r\nFederal Financial Assistance L ~ v eWork Projects Continuing Education Technology Fees Inventories Bookstore Tu~tion Unreserved Surplus \r\nTotal Endlng Fund Balance J u n e 30 \r\n \r\n "},{"id":"dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2009-h2010","title":"Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for fiscal year ended June 30, 2010","collection_id":"dlg_ggpd","collection_title":"Georgia Government Publications","dcterms_contributor":["Georgia. Department of Audits and Accounts, issuing body."],"dcterms_spatial":["United States, Georgia, Ware County, Waycross, 31.21368, -82.3557"],"dcterms_creator":["Georgia. Department of Audits and Accounts"],"dc_date":["2009/2010"],"dcterms_description":["Began with: Fiscal year ended June 30, 2004.","Report year covers fiscal year.","For some years, report may be issued instead called: Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for the fiscal year ended ...; or: Okefenokee Technical College, Waycross, Georgia, management report for fiscal year ended ...","No more published after 2013; in 2014, Altamaha Technical College (Ga.) and Okefenokee Technical College (Ga.) merged to form Coastal Pines Technical College (Ga.)","Description based primarily on print version record.","Fiscal year ended June 30, 2008 (Georgia Government Publications database, viewed November 8, 2023)."],"dc_format":["application/pdf"],"dcterms_identifier":null,"dcterms_language":["eng"],"dcterms_publisher":["Atlanta, GA : Georgia. Dept. of Audits and Accounts, 2010-06-30"],"dc_relation":null,"dc_right":["http://rightsstatements.org/vocab/InC/1.0/"],"dcterms_is_part_of":null,"dcterms_subject":["Okefenokee Technical College--Appropriations and expenditures","Education--Auditing--Georgia","Auditors' reports--Georgia"],"dcterms_title":["Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for fiscal year ended June 30, 2010"],"dcterms_type":["Text"],"dcterms_provenance":["University of Georgia. Map and Government Information Library"],"edm_is_shown_by":["https://dlg.galileo.usg.edu/do:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2009-h2010"],"edm_is_shown_at":["https://dlg.galileo.usg.edu/id:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2009-h2010"],"dcterms_temporal":null,"dcterms_rights_holder":null,"dcterms_bibliographic_citation":null,"dlg_local_right":null,"dcterms_medium":["state government records"],"dcterms_extent":null,"dlg_subject_personal":null,"iiif_manifest_url_ss":null,"dcterms_subject_fast":null,"fulltext":"I I \r\n \r\nOKEFENOKEE TECHNICAL COLLEGE \r\n \r\nWAYCROSS, GEORGIA \r\n \r\nINDEPENDENT ACCOUNTANT'S \r\nREPORT ON APPLYING AGREED- \r\nUPON PROCEDURES FOR FISCAL YEAR ENDED JUNE 30,2010 \r\n \r\nv' FI- I \r\n \r\nGeorgia Department of \r\n \r\nRussell W.Hinton \r\n~tatekuditor \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE - TABLE OF CONTENTS - \r\nINDEPENDENT ACCOUNTANT'S REPORT ON APPLYING AGREED-UPON PROCEDURES EXHIBITS \r\nA SUMMARY BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT B STATEMENT OF PROGRAM REVENUES AND EXPENDITURES BY FUNDING \r\nSOURCE COMPARED TO BUDGET \r\n \r\n RUSSELWL. HINTON \r\nSTATE AUDITOR \r\n(404)656-2174 \r\n \r\nDEPARTMEONFTAUDITASND ACCOUNTS \r\n270 Washington Street, S.W., Suite 1-156 Atlanta, Georgia 30334-8400 \r\nNovember 15,2010 \r\n \r\nMembers of the State Board of Technical and Adult Education Members of the Local Board of Directors \r\nand Honorable Gail Thaxton, President Okefenokee Technical College \r\nlnde~endenAt ccountant's Reeort on A ~ ~ l v i Angreed-U~onProcedures \r\nLadies and Gentlemen: \r\nWe have performed the procedures enumerated below, which were agreed to by the Technical 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 Technical College for inclusion in the State of Georgia's ComprehensiveAnnual FinancialReport(CAFR) and Single Audit Report and to assist you in assessingthe accuracy of budget basis information provided in the Summary Budget Comparison and Surplus AnaQsis Report and Statement o f Program Revenues and Expenditures by Funding Source Compared to Budget, which is attached as Exhibits A and B, respectively. Okefenokee 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. \r\n1. 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 Technical College's general ledger. \r\nWe did not note any exceptions as a result of our procedures. \r\n2. Obtain the Technical 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 Technical College's accounting records. \r\nWe did not note any exceptions as a result of our procedures. \r\n \r\n Obtain the Technical 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. \r\nWe did not note any exceptions as a result of our procedures. \r\nObtain the Technical 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. \r\nWe did not note any exceptions as a result of our procedures. \r\nReview the Technical College's year end GAAP basis journal entries. Obtain documentation for GAAP journal entries and confirm that the entries were posted to the Technical College's annual financial statement worksheets. \r\nWe did not note any exceptions as a result of our procedures. \r\nConfirm that State Appropriation revenues, receivables and remittances of prior year surplus balances have been properly recorded in the Technical 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. \r\nWe did not note any exceptions as a result of our procedures. \r\nObtain listing of write-off requests for accounts receivable less than $3,000.00 for fiscal year 2010. Confirm that these write-off requests have been approved by the State Accounting Officer and have been posted to the Technical College'sfinancial statements. \r\nWe did not note any exceptions as a result of our procedures. \r\nVerify that the listing of salaries, travel, and professional services reported to the Department of Audits is in accordance with O.C.G.A. 50-6-27 reconciles to amounts recorded in the Technical College's financial statements. \r\nWe did not note any exceptions as a result of our procedures. \r\nReview the year end Budgetary Statements including the Summary Budget Comparison and Surplus Anahsis Repod (Exhibit A) and Statement of Program Revenues and Expenditures by Funding Source Compared to Budget(Exhibit 6 ) . Confirm that budget information presented in these statements supports activity reported in the Technical College's accounting records, the legal level of budgetary control (funding source within program) was maintained, and determine if any budget overexpenditures exist. \r\nWe did not note any exceptions as a result of our procedures. \r\nObtain documentation for Budget basis reserves reported by the Technical College on the Summary Budget Comparison and Surplus Analysis Report (Exhibit A). Confirm that the reserves are properly documented, valid and appropriate. \r\nWe did not note any exceptions as a result of our procedures. \r\n \r\n 11.Review the H.O.P.E. Scholarship Program reconciliation between the Technical 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 Technical College's financial records. \r\nWe did not note any exceptions as a result of our procedures. \r\n12. Review the Schedule of Expenditures of Federal Awards information submitted by the Technical College for inclusion in the Statewide Single Audit. Confirm that the information is properly presented and supported by the Technical College's accounting records. \r\nWe did not note any exceptions as a result of our procedures. \r\n13. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n14. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\nThese 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. \r\nThis report is intended solely for the information and use of the specified users listed above and is \r\n- not intended to be and should not be used by anyone other than these specified parties. Respectfully submitted, \r\n~us\u0026ll W. Hinton, CPA, CGFM State Auditor \r\n \r\n EXHIBITS \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE SUMMARY BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT \r\nYEAR ENDED JUNE 30.2010 \r\n \r\nREVENUES \r\nState Appropriation State General Funds \r\nFederal Funds Other Funds \r\nTotal Revenues \r\nCARRY-OVER FROM PRIOR YEAR Transfer from Reserved Fund Balance \r\nTotal Funds Available \r\nEXPENDITURES \r\nAdult Literacy Economlc Development Technical Education \r\nTotal Expenditures Excess of Funds Available over Expenditures \r\nFUND BALANCE JULY 1 \r\nADJUSTMENTS \r\nPrior Year Payables/Expenditures Prior Year Receivables/Revenues Unreserved Fund Balance (Surplus) Returned \r\nto Technical College System of Georg~a Year Ended June 30,2009 \r\nPr~oYr ear Reserved Fund Balance Included In Funds Available \r\nFUND BALANCEJUNE 3 0 \r\nSUMMARY OF F U ! \r\nResewed Federal Financ~aAl ssistance Bookstore Contlnu~ngEducat~on Llve Work Projects Technology Fees Tuition Inventories \r\nTotal Resewed \r\nUnreserved Surplus \r\nTotal Fund Balance \r\n \r\nBUDGET \r\n \r\nACTUAL \r\n \r\nVARIANCE FAVORABLE (UNFAVORABLE) \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE STATEMENTOF PROGRAMREVENUES AND EXPENDITURESBY FUNDING SOURCE COMPAREDTO BUDGEl \r\nYEAR ENDED JUNE3O. 2010 \r\n \r\nAdult Llteracy State Appropriation State General Funds Federal Funds Other Funds \r\nTotdl Adult Llteracy \r\n \r\nOrlginal Appropriation \r\n \r\nFlnal Budget \r\n \r\nCurrent Year Revenues \r\n \r\nFunds Available Compared to Budget \r\n \r\nPrior Year Carwover \r\n \r\nTotal Funds Available \r\n \r\nVariance Posnlve (Negative) \r\n \r\nECOnOmlc Development Omer Funds \r\n \r\nTechnloal Eduoatlon State Approprlatlon state General Funds Federal Funds Amerlcan Recoveryand Reinvestment Aci of 2009 Federal Stab~l~zatloFnunds Omer Federal Stimulus Other Federal Funds Other Funds \r\nTotal TeCnnlCal EdUCauOn \r\n \r\nGrand Totals -All Programs \r\n \r\n ExpendituresCompared to Budget \r\n \r\nVariance \r\n \r\nPositive \r\n \r\nActual \r\n \r\n(Negabve) \r\n \r\nActual Funds Available Over/(Under) Expenditures \r\n \r\nPrior Period Adjustments \r\n \r\nOther Adjustments \r\n \r\nProgram Fund \r\nBalances \r\n \r\nTransfers \r\n \r\nProgramFund Balances \r\n \r\nReserve \r\n \r\nSurplus \r\n \r\nTotal Fund Balance \r\n \r\nUnexpendable Reserves inventories \r\n \r\n "},{"id":"dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2008-h2009","title":"Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for fiscal year ended June 30, 2009","collection_id":"dlg_ggpd","collection_title":"Georgia Government Publications","dcterms_contributor":["Georgia. Department of Audits and Accounts, issuing body."],"dcterms_spatial":["United States, Georgia, Ware County, Waycross, 31.21368, -82.3557"],"dcterms_creator":["Georgia. Department of Audits and Accounts"],"dc_date":["2008/2009"],"dcterms_description":["Began with: Fiscal year ended June 30, 2004.","Report year covers fiscal year.","For some years, report may be issued instead called: Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for the fiscal year ended ...; or: Okefenokee Technical College, Waycross, Georgia, management report for fiscal year ended ...","No more published after 2013; in 2014, Altamaha Technical College (Ga.) and Okefenokee Technical College (Ga.) merged to form Coastal Pines Technical College (Ga.)","Description based primarily on print version record.","Fiscal year ended June 30, 2008 (Georgia Government Publications database, viewed November 8, 2023)."],"dc_format":["application/pdf"],"dcterms_identifier":null,"dcterms_language":["eng"],"dcterms_publisher":["Atlanta, GA : Georgia. Dept. of Audits and Accounts, 2009-06-30"],"dc_relation":null,"dc_right":["http://rightsstatements.org/vocab/InC/1.0/"],"dcterms_is_part_of":null,"dcterms_subject":["Okefenokee Technical College--Appropriations and expenditures","Education--Auditing--Georgia","Auditors' reports--Georgia"],"dcterms_title":["Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for fiscal year ended June 30, 2009"],"dcterms_type":["Text"],"dcterms_provenance":["University of Georgia. Map and Government Information Library"],"edm_is_shown_by":["https://dlg.galileo.usg.edu/do:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2008-h2009"],"edm_is_shown_at":["https://dlg.galileo.usg.edu/id:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2008-h2009"],"dcterms_temporal":null,"dcterms_rights_holder":null,"dcterms_bibliographic_citation":null,"dlg_local_right":null,"dcterms_medium":["state government records"],"dcterms_extent":null,"dlg_subject_personal":null,"iiif_manifest_url_ss":null,"dcterms_subject_fast":null,"fulltext":"OKEFENOKEE TECHNICAL COLLEGE \r\nWAYCROSS, GEORGIA \r\nINDEPENDENT ACCOUNTANT'S REPORT ON APPLYING AGREEDUPON PROCEDURES FOR FISCAL YEAR ENDED JUNE 30, 2009 \r\nGeorgia Department of Audits and Accounts Russell W. Hinton State Auditor \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE - TABLE OF CONTENTS - \r\n \r\nINDEPENDENT ACCOUNTANT'S REPORT ON APPLYING AGREED-UPON PROCEDURES \r\n \r\nEXHIBITS \r\n \r\nA SUMMARY BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT \r\n \r\nB STATEMENT OF PROGRAM REVENUES AND EXPENDITURES BY FUNDING \r\n \r\nSOURCE COMPARED TO BUDGET \r\n \r\n2 \r\n \r\n RUSSELL W. HINTON \r\nSTATE AUDITOR \r\n(404) 656-2174 \r\n \r\nDEPARTMENT OF AUDITS AND ACCOUNTS \r\n270 Washington Street, S.W., Suite 1-156 Atlanta, Georgia 30334-8400 \r\nSeptember 30, 2009 \r\n \r\nMembers of the State Board Technical and Adult Education Members of the Local Board of Directors \r\nand Honorable Gail Thaxton, President Okefenokee Technical College \r\nIndependent Accountant's Report on Applying Agreed-Upon Procedures \r\nLadies and Gentlemen: \r\nWe have performed the procedures enumerated below, which were agreed to by the College and the System Office (Oversight Unit) ofthe Technical College System of Georgia, solely to assist you in assessing the accuracy ofthe 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 Audit Report; and to assist you in assessing the accuracy of budget basis information provided in the Summary Budget Comparison and Surplus Analysis Report and Statement ofProgram Revenues and Expenditures by Funding Source Compared to Budget, which is attached as Exhibits A and B, respectively. Okefenokee 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. \r\n1. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n \r\n 2. Obtain the College's GAAP basis worksheets for Statement ofNet 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n3. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n4. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n5. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n6. Confirm that State Appropriation revenues, receivables and remittances ofprior 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n7. Obtain listing ofwrite-offrequests for accounts receivable less than $3,000.00 for fiscal year 2009. Confirm that these write-off requests have been approved by the State Accounting Officer and have been posted to the College's financial statements. \r\nWe did not note any exceptions as a result of our procedures. \r\n8. Verify that the listing ofsalaries, travel, and professional services 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n \r\n 9. Review the year end Budgetary Statements including the Summary Budget Comparison and Surplus Analysis Report (Exhibit A) and Statement ofProgram Revenues and Expenditures by Funding Source Compared to Budget (Exhibit B). Confirm that budget information presented in these statements supports activity reported in the College's accounting records and determine if any budget overexpenditures exist. \r\nWe did not note any exceptions as a result of our procedures. \r\n10. Obtain documentation for Budget basis reserves reported by the College on the Summary Budget Comparison and Surplus Analysis Report (Exhibit A). Confirm that the reserves are properly documented, valid and appropriate. \r\nWe did not note any exceptions as a result of our procedures. \r\n11. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n12. Review the Schedule of Expenditures of 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n13. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n14. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\nThese agreed-upon procedures do not constitute an audit of the financial statements or any part thereof, the objective ofwhich 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. \r\n \r\n This report is intended solely for the information and use ofthe specified users listed above and is not intended to be and should not be used by anyone other than these specified parties. \r\nRespectfully submitted, \r\nw.~ \r\nRu sell W. Hinton, CPA, CGFM State Auditor \r\nRWH:as \r\n \r\n EXHIBITS \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE SUMMARY BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT \r\nYEAR ENDED JUNE 30, 2009 \r\n \r\nEXHIBIT\"A\" \r\n \r\nREVENUES \r\nState Appropriation State General Funds \r\nFederal Funds Other Funds \r\nTotal Revenues \r\nCARRY-OVER FROM PRIOR YEAR \r\nTransfer from Reserved Fund Balance \r\nTotal Funds Available \r\nEXPENDITURES \r\nAdult Literacy Economic Development Technical Education \r\nTotal Expenditures \r\nExcess of Funds Available over Expenditures \r\nFUND BALANCE JULY 1 \r\nReserved Unreserved \r\nADJUSTMENTS \r\nPrior Year Payables/Expenditures Prior Year Receivables/Revenues Unreserved Fund Balance (Surplus) Returned \r\nto Technical College System of Georgia Year Ended June 30, 2008 \r\nPrior Year Reserved Fund Balance Included in Funds Available \r\nFUND BALANCE JUNE 30 \r\nSUMMARY OF FUND BALANCE \r\nReserved Continuing Education Live Work Projects Sales and Services Technology Fees Inventories \r\nTotal Reserved \r\nUnreserved Surplus \r\nTotal Fund Balance \r\n \r\nBUDGET \r\n \r\nACTUAL \r\n \r\nVARIANCE FAVORABLE {UNFAVORABLE} \r\n \r\n$ \r\n \r\n4,987,323.00 $ 4,987,323.00 $ \r\n \r\n874,677.09 \r\n \r\n873,677.09 \r\n \r\n3,291,906.70 \r\n \r\n3,323,255.42 \r\n \r\n$ \r\n \r\n9,153,906.79 $ 9,184,255.51 $ \r\n \r\n0.00 -1,000.00 31 348.72 \r\n30,348.72 \r\n \r\n0.00 \r\n \r\n403,326.45 \r\n \r\n$ \r\n \r\n9,153,906.79 $ 9,5871581.96 $ \r\n \r\n403,326.45 433,675.17 \r\n \r\n$ \r\n \r\n700,072.00 $ \r\n \r\n699,927.00 $ \r\n \r\n91,500.00 \r\n \r\n91,056.05 \r\n \r\n8,362,334.79 \r\n \r\n81348,419.08 \r\n \r\n$ \r\n \r\n9,153,906.79 $ 9,139,402.13 $ \r\n \r\n$ \r\n \r\n0.00 $ \r\n \r\n448,179.83 $ \r\n \r\n145.00 443.95 13 915.71 \r\n14 504.66 \r\n448 179.83 \r\n \r\n441,425.59 4,067.88 \r\n \r\n1,721.53 -26,949.39 \r\n \r\n-4,067.88 -403,326.45 \r\n \r\n$ \r\n \r\n461 051.11 \r\n \r\n$ \r\n \r\n131,135.10 \r\n \r\n149,205.91 \r\n \r\n97,532.02 \r\n \r\n43,546.99 \r\n \r\n38 099.14 \r\n \r\n$ \r\n \r\n459,519.16 \r\n \r\n1 531.95 \r\n \r\n$ \r\n \r\n461 051.11 \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE STATEMENT OF PROGRAM REVENUES AND EXPENDITURES BY FUNDING SOURCE COMPARED TO BUDGET \r\nYEAR ENDED JUNE 30, 2009 \r\n \r\nAdult Literacy State Appropriation State General Funds Federal Funds other Funds \r\nTotal Adult Literacy \r\n \r\nOriginal Appropriation \r\n \r\nFinal Budget \r\n \r\ncurrent Year Revenues \r\n \r\nFunds Available Comeared to Budset \r\n \r\nPrior Year Carry-over \r\n \r\nTotal Funds Available \r\n \r\nVariance Positive (Negative) \r\n \r\n489,530,00 $ 203,710,00 \r\n60 000,00 \r\n \r\n424,013.00 209,509,00 \r\n66 550,00 \r\n \r\n$ \r\n \r\n753,240,00 $ \r\n \r\n700,072.00 \r\n \r\n424,013,00 $ 209,509,00 \r\n66,500,00 \r\n700,022,00 $ \r\n \r\n0,00 $ 0,00 0,00 \r\n0,00 $ \r\n \r\n424,013,00 209,509,00 \r\n66 500,00 \r\n700,022,00 \r\n \r\n0,00 0,00 -50,00 \r\n-50,00 \r\n \r\nEconomic Development Other Funds \r\n \r\n90,000,00 $ \r\n \r\n91,500,00 $ \r\n \r\n124,118,24 $ \r\n \r\n6,715,89 $ \r\n \r\n130 834.13 $ ===3=9=,3=34='=13= \r\n \r\nTechnical Education State Appropriation State General Funds Federal Funds American Recovery and Reinvestment Act of 2009 Federal Funds Other Funds \r\nTotal Technical Education \r\nGrand Totals  All Programs \r\n \r\n$ \r\n \r\n5,406,856,00 $ 4,563,310.00 \r\n \r\n588,457,00 \r\n \r\n633,305.09 \r\n \r\n0.00 2 940 252,00 \r\n \r\n31,863,00 3133 856.70 \r\n \r\n$ \r\n \r\n8 935 565.00 $ 8 362,334.79 \r\n \r\n4,563,310 00 $ 632,305,09 \r\n \r\n0,00 $ 0,00 \r\n \r\n4,563,310.00 632,305,09 \r\n \r\n0,00 -1,000,00 \r\n \r\n31,863.00 3 132 637.18 \r\n8 360 115,27 $ \r\n \r\n0,00 396 610.56 \r\n396 610,56 \r\n \r\n31,863,00 3 529 247,74 \r\n8,756 725,83 $ \r\n \r\n0,00 395 391,04 \r\n394,391.04 \r\n \r\n$ \r\n \r\n9,778,805,00 $ 9,153,906.79 $ \r\n \r\n9,184,255.51 $ \r\n \r\n403,326.45 $ 9,587,581,96 $ \r\n \r\n433,675,17 \r\n \r\n-2 \r\n \r\n EXHIBIT\"B\" \r\n \r\nExeenditures Comeared to Budget \r\n \r\nVariance \r\n \r\nPositive \r\n \r\nActual \r\n \r\n(Negative) \r\n \r\nActual Funds Available \r\nOver/(Under) Expenditures \r\n \r\nPrior Period Adjustments \r\n \r\nOther Adjustments \r\n \r\nProgram Fund \r\nBalances \r\n \r\n~ \r\n \r\nProgram Fund Balances \r\n \r\nReserve \r\n \r\n~ \r\n \r\nTotal Fund Balance \r\n \r\n424,013.00 $ 209,509.00 66,405.00 \r\n \r\n$ \r\n \r\n699,927.00 $ \r\n \r\n0.00 $ 0.00 145.00 \r\n145.00 $ \r\n \r\n0.00 $ \r\n \r\n0.00 $ \r\n \r\n0.00 $ \r\n \r\n0.00 $ \r\n \r\n0.00 $ \r\n \r\n0.00 $ \r\n \r\n0.00 $ \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n95,00 \r\n \r\n-95,00 \r\n \r\n0,00 \r\n \r\n0,00 ____QQQ_ \r\n \r\n0,00 ___Q\u0026Q_ \r\n \r\n0,00 \r\n \r\n95,00 $ \r\n \r\n-95,00 $ \r\n \r\n0.00 \r\n \r\n0,00 \r\n \r\n0.00 $ \r\n \r\n0.00 $ ~ $ \r\n \r\n0,00 \r\n \r\n$ \r\n \r\n91,056.05 $ \r\n \r\n443,95 $ \r\n \r\n39,778.08 $ \r\n \r\n0.00 $ \r\n \r\n-3,00 $ 39,775.08 $ \r\n \r\n0.00 $ 39,775.08 $ \r\n \r\n0,00 $ 39,775.08 \r\n \r\n$ 4,563,310.00 $ 632,305.09 \r\n \r\n0.00 $ 1,000.00 \r\n \r\n0,00 \r\n \r\n0.00 $ \r\n \r\n0.00 \r\n \r\n0,00 \r\n \r\n31,863.00 3120 940.99 \r\n8 348 419.08 \r\n \r\n0.00 12 915,71 \r\n13915.71 $ \r\n \r\n0.00 408 306.75 \r\n \r\n0.00 -25 132.86 \r\n \r\n408 30675 $ -25 132.86 $ \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0,00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n3.00 \r\n \r\n383,176.89 ____QQQ_ \r\n \r\n381,644.94 ~ \r\n \r\n383 176.89 \r\n \r\n3.00 $ 383 176,89 $ \r\n \r\n0.00 $ 381,644.94 $ 1,531.95 $ 383,176.89 \r\n \r\n9,139,402.13 $ 14,504,66 $ \r\n \r\n448,179.83 $ -25,227.86 $ \r\n \r\n0.00 $ 422,951.97 $ \r\n \r\n0.00 $ 421,420.02 $ ~ $ 422,951.97 \r\n \r\nUnexpendable Reserves Inventories \r\n \r\n38 099, 14 461 051.11 \r\n \r\n. 3. \r\n \r\n "},{"id":"dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2007-h2008","title":"Okefenokee Technical College, Waycross, Georgia, report on audit of the financial statements for the fiscal year ended June 30, 2008","collection_id":"dlg_ggpd","collection_title":"Georgia Government Publications","dcterms_contributor":["Georgia. Department of Audits and Accounts, issuing body."],"dcterms_spatial":["United States, Georgia, Ware County, Waycross, 31.21368, -82.3557"],"dcterms_creator":["Georgia. Department of Audits and Accounts"],"dc_date":["2007/2008"],"dcterms_description":["Began with: Fiscal year ended June 30, 2004.","Report year covers fiscal year.","For some years, report may be issued instead called: Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for the fiscal year ended ...; or: Okefenokee Technical College, Waycross, Georgia, management report for fiscal year ended ...","No more published after 2013; in 2014, Altamaha Technical College (Ga.) and Okefenokee Technical College (Ga.) merged to form Coastal Pines Technical College (Ga.)","Description based primarily on print version record.","Fiscal year ended June 30, 2008 (Georgia Government Publications database, viewed November 8, 2023)."],"dc_format":["application/pdf"],"dcterms_identifier":null,"dcterms_language":["eng"],"dcterms_publisher":["Atlanta, GA : Georgia. Dept. of Audits and Accounts, 2008-06-30"],"dc_relation":null,"dc_right":["http://rightsstatements.org/vocab/InC/1.0/"],"dcterms_is_part_of":null,"dcterms_subject":["Okefenokee Technical College--Appropriations and expenditures","Education--Auditing--Georgia","Auditors' reports--Georgia"],"dcterms_title":["Okefenokee Technical College, Waycross, Georgia, report on audit of the financial statements for the fiscal year ended June 30, 2008"],"dcterms_type":["Text"],"dcterms_provenance":["University of Georgia. Map and Government Information Library"],"edm_is_shown_by":["https://dlg.galileo.usg.edu/do:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2007-h2008"],"edm_is_shown_at":["https://dlg.galileo.usg.edu/id:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2007-h2008"],"dcterms_temporal":null,"dcterms_rights_holder":null,"dcterms_bibliographic_citation":null,"dlg_local_right":null,"dcterms_medium":["state government records"],"dcterms_extent":null,"dlg_subject_personal":null,"iiif_manifest_url_ss":null,"dcterms_subject_fast":null,"fulltext":"STATE OF GEORGIA DEPARTMENT OF AUDITS AND ACCOUNTS \r\nI \r\nOKEFENOKEE TECHNICAL COLLEGE WAYCROSS, GEORGIA \r\nREPORT ON AUDIT OF THE FINANCIAL STATEMENTS FOR THE FISCAL YEAR ENDED JUNE 30, 2008 \r\nRussell W. Hinton State Auditor \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE -TABLE OF CONTENTS - \r\n \r\nSECTION I \r\n \r\nFINANCIAL \r\n \r\nINDEPENDENT AUDITOR'S COMBINED REPORT ON BASIC FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION \r\n \r\nREQUIRED SUPPLEMENTARY INFORMATION \r\n \r\nMANAGEMENT'S DISCUSSION AND ANALYSIS \r\n \r\nBASIC FINANCIAL STATEMENTS \r\n \r\nEXHIBITS \r\n \r\nA STATEMENT OF NET ASSETS \r\n \r\n2 \r\n \r\nB STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS \r\n \r\n3 \r\n \r\nC STATEMENTOFCASHFLOWS \r\n \r\n5 \r\n \r\nD NOTES TO THE FINANCIAL STATEMENTS \r\n \r\n6 \r\n \r\nSUPPLEMENTARY INFORMATION \r\n \r\nSCHEDULES \r\n \r\n1 BALANCE SHEET (NON-GAAP BASIS) BUDGET FUND \r\n \r\n21 \r\n \r\n2 SUMMARY BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT \r\n \r\n(NON-GAAP BASIS) BUDGET FUND \r\n \r\n23 \r\n \r\n3 STATEMENT OF PROGRAM REVENUES AND EXPENDITURES BY FUNDING \r\n \r\nSOURCE COMPARED TO BUDGET \r\n \r\n(NON-GAAP BASIS) BUDGET FUND \r\n \r\n24 \r\n \r\n4 RECONCILIATION OF SALARIES AND TRAVEL \r\n \r\n27 \r\n \r\nSECTION II FINDINGS AND QUESTIONED COSTS SCHEDULE OF FINDINGS AND QUESTIONED COSTS \r\n \r\n SECTION I FINANCIAL \r\n \r\n Russell W. Hinton \r\nSTATE AUDITOR \r\n(404) 656-2174 \r\n \r\nDEPARTMENT OF AUDITS AND ACCOUNTS \r\n270 Washington Street, S.W., Suite 1-156 Atlanta, Georgia 30334-8400 \r\nDecember 2, 2008 \r\n \r\nHonorable Sonny Perdue, Governor Members ofthe General Assembly of Georgia Members of the State Board of Technical and Adult Education Members of the Local Board of Directors \r\nand Honorable Gail Thaxton, President Okefenokee Technical College \r\nINDEPENDENT AUDITOR'S COMBINED REPORT ON BASIC FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION \r\nLadies and Gentlemen: \r\nWe have audited the accompanying basic financial statements (Exhibits A through D) ofOkefenokee Technical College, an organizational unit of the State of Georgia, as of and for the year ended June 30, 2008. 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. \r\nWe conducted our audit in accordance with auditing standards generally accepted in the United States ofAmerica. 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 control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose ofexpressing 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 ouropmton. \r\n \r\n08ARL-2TC \r\n \r\n As discussed in Note 1, the financial statements of Okefenokee Technical College are intended to present the financial position and changes in financial position and cash flows ofonly that portion of the business-type activities of the State of Georgia that is attributable to the transactions of Okefenokee Technical College. They do not purport to, and do not, present fairly the financial position and changes in financial position and cash flows ofthe State ofGeorgia, in conformity with accounting principles generally accepted in the United States of America. \r\n \r\nIn our opinion, the basic financial statements referred to above present fairly, in all material respects, the financial position of Okefenokee Technical College as of June 30, 2008, 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. \r\n \r\nManagement's Discussion and Analysis is not a required part ofthe basic financial statements but is supplementary information required by accounting principles generally accepted in the United States ofAmerica. We have applied certain limited procedures, which consisted principally ofinquiries 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. \r\n \r\nOur audit was conducted for the purpose of forming an opinion on the basic financial statements of Okefenokee Technical College taken as a whole. The accompanying supplementary information (Schedules 1 through 4) is presented for purposes ofadditional 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. \r\n \r\nRespectfully submitted, \r\n \r\n0,~ \r\n~ul~ll \r\n \r\n.~m JJ. ~ \r\nW. Hinton, CPA, CGFM \r\n \r\nState Auditor \r\n \r\nRWH:as 08ARL-2TC \r\n \r\n REQUIRED SUPPLEMENTARY INFORMATION \r\n \r\n Okefenokee Technical College Management's Discussion and Analysis \r\nThe following is management's discussion and analysis of Okefenokee Technical College's financial performance for the fiscal year ending June 30, 2008 with comparative data from fiscal year ending June 30, 2007. This discussion has been prepared by and is the responsibility of management. \r\nOverview ofthe Financial Statements and Financial Analysis \r\nThis annual report consists of a series of financial statements prepared in accordance with the rules and regulations established by the Governmental Accounting Standards Board. \r\nThere 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. \r\nThe 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. \r\nThis discussion and analysis of the Technical College's financial statements provides an overview of its financial activities for the year. \r\nStatement ofNet Assets \r\nThe purpose of the Statement of Net Assets is to present to the users ofthe 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. \r\n-i - \r\n \r\n Net assets are divided into two 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 unrestricted net assets, which are available for expenditure by the Technical College for any lawful purpose deemed necessary to operate the Technical College. \r\n \r\nStatement ofNet Assets (thousands of dollars) \r\n \r\nJune 30, 2008 \r\n \r\nJune 30, 2007 \r\n \r\nAssets Current Assets Capital Assets, Net \r\n \r\n$ \r\n \r\n1,042 \r\n \r\n$ \r\n \r\n825 \r\n \r\n8,113 \r\n \r\n7,556 \r\n \r\nTotal Assets \r\n \r\n$._ __;::9;.i:.1~5..:::.5 \r\n \r\n$_ _--=8=.3:..::8;.:.1 \r\n \r\nLiabilities Current Liabilities Noncurrent Liabilities \r\n \r\n$ \r\n \r\n478 \r\n \r\n$ \r\n \r\n502 \r\n \r\n172 \r\n \r\n162 \r\n \r\nTotal Liabilities \r\n \r\n$_ ___:6::..:;5.=0 \r\n \r\n$_ ___:6::..::6:-:.4 \r\n \r\nNet Assets Invested in Capital Assets, Net of Debt Unrestricted \r\n \r\n$ \r\n \r\n8,113 \r\n \r\n392 \r\n \r\n$ \r\n \r\n7,556 \r\n \r\n161 \r\n \r\nTotal Net Assets \r\n \r\n$==~8.~50~5 \r\n \r\n$===hl7.~71~7 \r\n \r\nThe total assets of the Technical College increased by approximately $774,000 from the prior year. This can be mainly attributed to an increase of approximately $557,000 in capital assets in addition to the $217,000 increase in current assets. 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. \r\n \r\nTotal liabilities for the fiscal year decreased by approximately $14,000. The primary reason for the decrease was in current liabilities, predominately from the approximate decrease of $24,000 in contracts payable which contributed to the increase in Invested in Capital Assets, net of debt. The combination of the increase in total assets of approximately $774,000 and the decrease in total liabilities of approximately $14,000 yields an increase in total net assets of approximately $788,000. The increase in total net assets is primarily in the category of invested in capital assets, net of debt which increased approximately $557,000; however, all categories of Net Assets increased during the year. \r\n \r\n- 11- \r\n \r\n Statement ofRevenues, Expenses and Changes in Net Assets \r\n \r\nThe purpose of the Statement of Revenues, Expenses and Changes in Net Assets is to present the revenues received by the Technical College, both operating and nonoperating, and the expenses incurred by the Technical College, operating and nonoperating, and any other revenues, expenses, gains and losses received or spent by the Technical College during the fiscal year. Changes in total net assets as presented on the Statement of Net Assets are based on the information presented in the Statement of Revenues, Expenses and Changes in Net Assets. \r\n \r\nOperating revenues are received for providing goods and/or services to various customers and constituencies of the Technical College. Operating expenses are those expenses paid to acquire or produce the goods and/or services provided in return for the operating revenues, and to carry out the mission of the Technical College. Therefore, nonoperating revenue is received when no goods or services are provided in exchange for the revenue. With the issuance of Statement No. 35, new guidelines were established by the Governmental Accounting Standards Board (GASB), which changed the classifications of state appropriations and gifts from operating to nonoperating revenue. This change may result in an operating deficit that is offset by a nonoperating surplus. \r\n \r\nStatement of Revenues, Expenses and Changes in Net Assets (Thousands of dollars) \r\n \r\nJune 30, 2008 \r\n \r\nJune 30, 2007 \r\n \r\nOperating Revenues Operating Expenses \r\n \r\n$ \r\n \r\n4,202 \r\n \r\n10,958 \r\n \r\n$ \r\n \r\n4,160 \r\n \r\n10,591 \r\n \r\nOperating Gain/Loss \r\n \r\n$ \r\n \r\n-6,756 \r\n \r\n$ \r\n \r\n-6,431 \r\n \r\nNonoperating Revenues and Expenses \r\n \r\n6 706 \r\n \r\n6,343 \r\n \r\nIncome (Loss) Before Other Revenues, Expenses, Gains or Losses \r\n \r\n$ \r\n \r\n-50 \r\n \r\n$ \r\n \r\n-88 \r\n \r\nOther Revenues, Expenses, Gains or Losses \r\n \r\n838 \r\n \r\n1 706 \r\n \r\nIncrease (Decrease) in Net Assets \r\n \r\n$ \r\n \r\n788 \r\n \r\n$ \r\n \r\n1,618 \r\n \r\nNet Assets at Beginning of Year \r\n \r\n7 717 \r\n \r\n6,099 \r\n \r\nNet Assets at End of Year \r\n \r\n$ \r\n \r\n8.505 \r\n \r\n$ \r\n \r\n7 717 \r\n \r\nThe 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, Expenses and Changes in Net Assets are as follows: \r\n \r\n- 111 - \r\n \r\n Revenue By Source (thousands of dollars) For The Years Ended June 30,2008 and June 30,2007 \r\n \r\nJune 30, 2008 \r\n \r\nJune 30, 2007 \r\n \r\nOperating Revenue Tuition and Fees Grants and Contracts Sales and Services of Educational Departments Rents and Royalties Other \r\n \r\n$ \r\n \r\n2,029 \r\n \r\n1,393 \r\n \r\n$ \r\n \r\n2,198 \r\n \r\n1,294 \r\n \r\n764 \r\n \r\n650 \r\n \r\n5 \r\n \r\n7 \r\n \r\n11 \r\n \r\n11 \r\n \r\nTotal Operating Revenue \r\n \r\n$ \r\n \r\n4,202 \r\n \r\n$ \r\n \r\n4.160 \r\n \r\nNonoperating Revenue State Appropriations Federal Grants and Contracts Nonoperating Gifts Investment Income Other \r\n \r\n$ \r\n \r\n5,742 \r\n \r\n$ \r\n \r\n5,057 \r\n \r\n880 \r\n \r\n927 \r\n \r\n334 \r\n \r\n335 \r\n \r\n24 \r\n \r\n24 \r\n \r\n2 \r\n \r\nTotal Nonoperating Revenue \r\n \r\n$ \r\n \r\n6,980 \r\n \r\n$ \r\n \r\n6,345 \r\n \r\nCapital Grants and Gifts State Loss on Disposal of Capital Assets \r\n \r\n$ \r\n \r\n844 \r\n \r\n$ \r\n \r\n1,706 \r\n \r\n-6 \r\n \r\nTotal Capital Grants and Gifts \r\n \r\n$ \r\n \r\n838 \r\n \r\n$ \r\n \r\n1.706 \r\n \r\nTotal Revenues \r\n \r\n$ \r\n \r\n12.020 \r\n \r\n$ \r\n \r\n12.211 \r\n \r\nExpenses (thousands of dollars) For The Years Ended June 30,2008 and June 30,2007 \r\n \r\nJune 30, 2008 \r\n \r\nJune 30. 2007 \r\n \r\nOperating Expenses Instruction \r\n \r\n$ \r\n \r\n10,958 \r\n \r\n$ \r\n \r\n10,591 \r\n \r\nNonoperating Expenses Other \r\n \r\n274 \r\n \r\n2 \r\n \r\nTotal Expenses \r\n \r\n$ \r\n \r\n11,232 \r\n \r\n$ \r\n \r\n1Q,523 \r\n \r\n-IV- \r\n \r\n The sources of operating revenue for the Technical College are tuition and fees, grants and contracts, and educational activities. The increase in operating revenue of approximately $42,000 is directly related to increases in grants and contracts, as well as sales and services for fiscal year 2008. \r\nTuition and Fees decreased by approximately $169,000; however, this is directly related to the discontinuation of noncredit, industry specific courses. Tuition and fees for credit courses actually went up over $221,000 from fiscal year 2007 to fiscal year 2008, excluding the 2007 noncredit industry specific course revenues discontinued in fiscal year 2008. \r\nNongovernmental grants and contracts increased by $99,000. This is the result ofthe increase in Federal financial aid to our students, mainly in Pell awards. \r\nSales and Services increased by approximately $114,000, mainly attributable to increases of approximately $46,000 in Child Care Center fees, about $12,000 in GED fees, approximately $30,000 in Business and Industry fees, and increases in about $51,000 in Miscellaneous revenues, including cost sharing of instructor costs with the high schools and the hospital. Additionally, decreases of about $25,000 were noted in Bookstore revenues due to the writing off of uncollectible student accounts receivables. \r\nOperating expenses increased by approximately $367,000 overall from fiscal year 2007 to fiscal year 2008. The main increase was in Personal Services, which increased by about $352,000 due to the 3% annual pay raise for Technical College employees which went into effect January, 2008, as well as a 6% increase in the employer paid health benefit contribution. These increases were lessened somewhat by attrition during the year. \r\nUtilities increased by only about $20,000 during the past year even though utility rates and fuel costs are rising. The increase includes utilities at a building in Bacon County being renovated for use in fiscal year 2010. \r\nDepreciation expense increased by approximately $41,000 and about $17,000 of this is due to the addition of a building in Bacon County in mid fiscal year 2007. The rest of the increase is due mainly to equipment additions in fiscal year 2007. \r\nUnder nonoperating revenues (expenses) state appropriations increased by approximately $685,000. While it appears that the Technical College received additional new money from the state, given the mandatory cost increases of various expense categories, the Technical College actually had a relatively flat funding year when all things are considered. \r\nNonoperating expenses increased by $272,000 as a result of the classifying of noncapitalized expenses for supplies, equipment, and repairs from Operating to Nonoperating expenses. \r\nStatement ofCash Flows \r\nThe purpose of the Statement of Cash Flows is to provide relevant information concerning the cash receipts and payments of the Technical College during the year. It also provides information concerning the Technical College's ability to generate future cash flows and to meet its obligations as they come due. The statement is divided into five sections. The first section \r\n- v- \r\n \r\n reports on the operating cash flows and shows the net cash used by the operating activities of the Technical College. The second section reflects cash flows from noncapital financing activities. The third section deals with cash flows from capital and related financing activities, which reflects the cash used for the acquisition and construction of capital related items. The fourth section reflects the cash flows from investing activities and shows the purchases, proceeds, and interest received from investing activities. The final section reconciles the net cash used to the operating income or loss reflected on the Statement of Revenues, Expenses and Changes in Net Assets. \r\n \r\nStatement of Cash Flows (thousands of dollars) \r\n \r\nJune 30, 2008 \r\n \r\nJune 30, 2007 \r\n \r\nCash Provided (Used) By: \r\n \r\nOperating Activities \r\n \r\n$ \r\n \r\n-6,345 \r\n \r\nNoncapital Financing Activities \r\n \r\n6,658 \r\n \r\nCapital and Related Financing Activities \r\n \r\n-151 \r\n \r\nInvesting Activities \r\n \r\n24 \r\n \r\n$ \r\n \r\n-5,913 \r\n \r\n6,159 \r\n \r\n-220 \r\n \r\n24 \r\n \r\nNet Change in Cash Cash, Beginning of Year \r\n \r\n$ \r\n \r\n186 \r\n \r\n$ \r\n \r\n50 \r\n \r\n182 \r\n \r\n132 \r\n \r\nCash, End of Year \r\n \r\n$==~36~8 \r\n \r\n$==~18~2 \r\n \r\nCapital Assets \r\n \r\nThe Technical College had one significant capital asset addition for facilities in the fiscal year under review. Renovation of the fiscal year 2007 donated Bacon County building was underway and the Department of Technical and Adult Education Central Office provided $786,901.38 towards that construction in progress through Georgia State Financing and Investment Commission bond funds. Also, the Technical College utilized $57,962.23 in GSFIC bond funds for capitalized equipment purchases in fiscal year 2008. Projected funding by GSFIC for fiscal year 2009 will be higher, as construction has started on our new Allied Health building, with an expected completion date of June, 2009. \r\n \r\nLong-Term Liabilities \r\n \r\nOkefenokee Technical College had a total Long-Term Liabilities of $430,802.10, of which $259,096.69 was reflected as a current liability at June 30, 2008. \r\n \r\nFor additional information on Long-Term Liabilities see Notes 1 and 7 in the Notes to the Financial Statements. \r\n \r\nEconomic Outlook \r\n \r\nThe Technical College ended fiscal year 2008 with a small budget surplus and, as in prior years, the Technical College's overall financial position is strong. Because of proactive analyses and planning, the Technical College has been able to maintain financial stability during a period of \r\n \r\n-VI- \r\n \r\n enrollment decline that has mirrored the Department of Technical and Adult Education systemwide trend. Okefenokee Technical College's fiscal year 2008 credit enrollment showed a leveling out, and we expect increases in enrollment for Okefenokee Technical College and system-wide in the following year due to the economy and various other factors. Budget reductions, mandated by the State of Georgia for all agencies in fiscal year 2009 and fiscal year 2010, can have an effect on Technical College operations. Plans for fiscal year 2009 reflect the impending budget cuts, and the Technical College will maintain a continuous review and close watch over resources to maintain the ability to react to unknown internal and external issues. Gail Thaxton, President Okefenokee Technical College \r\n- Vll- \r\n \r\n BASIC FINANCIAL STATEMENTS - 1- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE STATEMENT OF NET ASSETS JUNE 30, 2008 \r\nASSETS \r\nCurrent Assets Cash and Cash Equivalents Accounts Receivable Federal Financial Assistance Other Prepaid Items Inventories \r\nTotal Current Assets \r\nNoncurrent Assets Capital Assets, Net \r\nTotal Assets \r\nLIABILITIES \r\nCurrent Liabilities Accounts Payable Salaries Payable Deferred Revenue Funds Held for Others Compensated Absences \r\nTotal Current Liabilities \r\nNoncurrent Liabilities Compensated Absences \r\nTotal Liabilities \r\nNET ASSETS \r\nInvested in Capital Assets, Net of Related Debt Unrestricted \r\nTotal Net Assets \r\n \r\nEXHIBIT\"A\" \r\n$ 368,364.76 194,465.02 195,090.66 59,522.53 225,156.09 \r\n$ 1,042,599.06 \r\n8,112,960.35 $ 9,155,559.41 \r\n$ 166,564.95 29,493.95 8,952.53 14,191.11 \r\n259,096.69 $ 478,299.23 \r\n171 705.41 $ 650,004.64 \r\n$ 8,112,960.35 392,594.42 \r\n$ 8,505,554.77 \r\n \r\nThe notes to the financial statements are an integral part of this statement. -2- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS \r\nYEAR ENDED JUNE 30, 2008 \r\n \r\nEXHIBIT\"B\" \r\n \r\nOPERATING REVENUES \r\nStudent Tuition and Fees Less: Scholarship Allowances \r\nGrants and Contracts Federal \r\nRents and Royalties Sales and Services Other Operating Revenues \r\nTotal Operating Revenues \r\nOPERATING EXPENSES \r\nSalaries Benefits Other Personal Services Travel Scholarships and Fellowships Utilities Supplies and Other Services Depreciation \r\nTotal Operating Expenses \r\nOperating Income (Loss) \r\nNONOPERATING REVENUES (EXPENSES\u003e \r\nState Appropriations Grants and Contracts \r\nFederal Gifts Interest and Other Investment Income Other Nonoperating Expenses \r\nNet Nonoperating Revenues \r\nIncome (Loss) Before Other Revenues, Expenses, Gains, or Losses \r\nCapital Grants and Gifts State Gain/Loss on Disposal of Capital Assets \r\nTotal Other Revenues, Expenses, Gains, or Losses \r\nIncrease (Decrease) in Net Assets \r\nNet Assets - Beginning of Year \r\nNet Assets - End of Year \r\n \r\n$ 2,192,218.55 -163,395.01 \r\n1,392,731.00 5,272.75 \r\n764,048.66 10,628.12 \r\n$ 4,201,504.07 \r\n \r\n$ 5,718,009.86 1,772,389.66 97.00 94,723.80 1 '169,784.99 288,355.63 1,481,230.78 433,010.25 \r\n$ 10,957,601.97 \r\n$ -6.756,097.90 \r\n \r\n$ 5,741,996.03 \r\n \r\n880,181.08 333,820.07 \r\n23,619.86 -273,927.43 \r\n \r\n$ 6,705,689.61 \r\n \r\n$ \r\n \r\n-50,408.29 \r\n \r\n$ 844,827.61 -6,375.02 \r\n$ 838.452.59 $ 788,044.30 \r\n7.717,510.47 \r\n \r\n$ 8,505,554.77 \r\n \r\nThe notes to the financial statements are an integral part of this statement. -3- \r\n \r\n (This page left intentionally blank) \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE STATEMENT OF CASH FLOWS YEAR ENDED JUNE 30, 2008 \r\nCASH FLOWS FROM OPERATING ACTIVITIES Tuition and Fees Grants and Contracts Sales and Services of Educational Departments Payments to Suppliers Payments to Employees Payments for Scholarships and Fellowships Other Receipts (Payments) \r\nNet Cash Provided (Used) by Operating Activities \r\nCASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES State Appropriations Agency Funds Transactions Gifts and Grants Received for Other than Capital Purposes Other Nonoperating Receipts \r\nNet Cash Flows Provided (Used) by Noncapital Financing Activities \r\nCASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Capital Grants and Gifts Received Purchases of Capital Assets \r\nNet Cash Provided (Used) by Capital and Related Financing Activities \r\nCASH FLOWS FROM INVESTING ACTIVITIES Earnings on Investments \r\nNet Increase (Decrease) in Cash \r\nCash and Cash Equivalents - Beginning of Year \r\nCash and Cash Equivalents- End of Year \r\nRECONCILIATION OF OPERATING LOSS TO NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES: \r\nOperating Income (Loss) Adjustments to Reconcile Operating Income to Net Cash \r\nProvided (Used) by Operating Activities Depreciation Expense Change in Assets and Liabilities: Accounts Receivable Inventories Prepaid Items Salaries Payable Accounts Payable Deferred Revenue Compensated Absences \r\nNet Cash Provided (Used) by Operating Activities \r\nNONCASH ACTIVITY Gift of Capital Assets Reducing Proceeds of Capital Grants and Gifts \r\nThe notes to the financial statements are an integral part of this statement. \r\n-5- \r\n \r\nEXHIBIT\"C\" \r\n \r\n$ 2,048,229.80 \r\n1,392,731.00 764,048.66 \r\n-3,710,315.86 -5,685,928.03 -1,169,784.99 \r\n15 900.87 \r\n$ -6,345,118.55 \r\n \r\n$ 5,755,581.24 \r\n5,970.30 1'170,856.92 -273,927.43 \r\n$ 6,658,481.03 \r\n \r\n$ \r\n \r\n57,926.23 \r\n \r\n-208,974.47 \r\n \r\n$ -151,048.24 \r\n \r\n$ \r\n \r\n23,619.86 \r\n \r\n$ \r\n \r\n185,934.10 \r\n \r\n182,430.66 \r\n \r\n$ \r\n \r\n368,364.76 \r\n \r\n$ -6,756,097.90 \r\n433,010.25 27,329.44 -10,786.62 -18,923.64 -1,267.03 -43,808.73 -7,923.18 33,348.86 \r\n$ -6,345,118.55 \r\n$ =...,;,7;;;;86~,9:;;,;;0;,;,1;,;;3,;;;,8 \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2008 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES \r\nREPORTING ENTITY Okefenokee Technical College is one of thirty-three (33) State supported member colleges of postsecondary education in Georgia which comprise the Georgia Department ofTechnical and Adult Education, an organizational unit ofthe State of Georgia. The accompanying financial statements reflect the operations of Okefenokee Technical College as a separate reporting entity. \r\nThe Technical College's Local Board of Directors is composed of eight (8) members serving staggered three-year terms who are appointed by the State Board ofTechnical and Adult Education. Appropriation of State funds is made to the Georgia Department ofTechnical and Adult Education by the General Assembly of Georgia. The Department's Administrative Central Office determines the amount ofState appropriations to be received by Okefenokee Technical College. The Technical College does not have authority to retain unexpended State appropriations (surplus) for any given fiscal year. Accordingly, Okefenokee Technical College is considered an organizational unit ofthe Georgia Department of Technical and Adult Education for financial reporting purposes because of the significance of its legal, operational, and financial relationships as defined in Section 21 00 ofthe Governmental Accounting Standards Board (GASB) Codification ofGovernmental Accounting and Financial Reporting Standards. \r\nLegally separate, tax exempt organizations whose activities primarily support member colleges of postsecondary education in Georgia which comprise the Georgia Department ofTechnical and Adult Education (an organizational unit ofthe State ofGeorgia), are considered potential component units of the State. See Note 15 for additional information. \r\nFINANCIAL 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. \r\nGAAP 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 Georgia Department ofTechnical and Adult Education will continue to report summer revenues and expenses in the year in which the predominate activity takes place. \r\nBASIS 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. \r\n- 6- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2008 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES \r\nBASIS OF ACCOUNTING 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. \r\nCASH AND CASH EQUIVALENTS Cash and Cash Equivalents include petty cash and demand deposits in authorized financial institutions. \r\nACCOUNTS RECEIVABLE Accounts receivable consist oftuition and fee charges to students, allotments due from the Georgia Department ofTechnical and Adult Education -Administrative Central Office, reimbursements due from Federal, State, local, and private grants and contracts, and other receivables disclosed from information available. \r\nINVENTORIES Resale inventories are valued at cost using the consumption method. \r\nCAPITAL 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 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, 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 ofthe assets, generally 10 to 40 years for buildings, 15 to 25 years for infrastructure, 15 years for improvements other than buildings, 10 years for library books, and 3 to 10 years for equipment. \r\nTo fully portray capital assets acquired by the Technical Colleges of the Georgia Department of Technical and Adult Education, it is necessary to look at the activities of the Georgia State Financing and Investment Commission (GSFIC) - an organization that is external to both the Technical College and the Georgia Department of Technical and Adult Education. 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 the 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. \r\n \r\n- 7- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2008 \r\n \r\nEXHIBIT\"D\" \r\n \r\nNOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES \r\nCAPITAL ASSETS 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 Okefenokee Technical College to be recorded as an asset on the Technical College's books. For the year ended June 30, 2008, GSFIC did not transfer any capital additions to Okefenokee Technical College. \r\nDEFERRED 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. \r\nCOMPENSATED 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. Okefenokee Technical College had an accrued liability for compensated absences in the amount of $397,453.24 as of July 1, 2007. For fiscal year 2008, $393,390.99 was earned in compensated absences and employees were paid $360,042.13, for a net increase of$33,348.86. The ending balance as ofJune 30, 2008 in accrued liability for compensated absences was $430,802.10. \r\nNONCURRENT LIABILITIES Noncurrent liabilities include liabilities that will not be paid within the next fiscal year. \r\nNET ASSETS The Technical College's net assets are classified as follows: \r\nInvested in capital assets, net ofrelated 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. (The term \"debt obligations\" as used in this definition does not include debt of the GSFIC as discussed above.) \r\nUnrestricted net assets: 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 $4,067.88. Unexpended state appropriations must be refunded to the Department ofTechnical and Adult Education for remittance to the Office of Treasury and Fiscal Services. \r\n \r\n-8- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2008 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES \r\nNET ASSETS 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. \r\nINCOME TAXES Okefenokee Technical College, as a political subdivision ofthe State of Georgia, is excluded from Federal income taxes under Section 115(1) ofthe Internal Revenue Code, as amended. \r\nCLASSIFICATION OF REVENUES The Technical College has classified its revenues as either operating or nonoperating revenues in the Statement of Revenues, Expenses and Changes in Net Assets according to the following criteria: \r\nOperating revenues: Operating revenues include activities that have the characteristics ofexchange 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. \r\nNonoperating 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, Reporting Cash Flows of Proprietary and Nonexpendable Trust Funds and Governmental Entities That Use Proprietary FundAccounting, and GASB No. 34, such as state appropriations and investment income. \r\nSCHOLARSHIP 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 revenue for scholarship allowances. \r\nNOTE 2: DEPOSITS \r\nDEPOSITS 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 ofa surety bond, the depository may pledge \r\n-9- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2008 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 2: DEPOSITS \r\n \r\nDEPOSITS as collateral any one or more of the following securities as enumerated in the Official Code of Georgia Annotated Section 50-17-59: \r\n \r\n1. Bonds, bills, certificates of indebtedness, notes, or other direct obligations of the United States or of the State of Georgia. \r\n \r\n2. Bonds, bills, certificates of indebtedness, notes, or other obligations of the counties or municipalities ofthe State of Georgia. \r\n \r\n3. Bonds of any public authority created by the laws ofthe State ofGeorgia, providing that the statute that created the authority authorized the use of the bonds for this purpose. \r\n \r\n4. Industrial revenue bonds and bonds of development authorities created by the laws of the State of Georgia. \r\n \r\n5. Bonds, bills, certificates of indebtedness, notes, or other obligations of a subsidiary corporation ofthe 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. \r\n \r\n6. Guarantee or insurance ofaccounts provided by the Federal Deposit Insurance Corporation. \r\n \r\nAs 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 Okefenokee Technical College), the option of exempting demand deposits from the collateral requirements. \r\n \r\nAt June 30, 2008, the carrying value of the deposits was $367,524.76 and the bank balance was $768,288.88. Ofthis balance $668,288.88 were collateralized with securities held by the financial institution's trust department or agent, but not in the Technical College's name. \r\n \r\nNOTE 3: ACCOUNTS RECEIVABLE \r\n \r\nAccounts receivable at June 30, 2008, consists of the following: \r\n \r\nStudent Tuition and Fees Georgia State Financing and Investment Commission Federal Funds Other \r\nTotal Accounts Receivable \r\n \r\n$ 59,995.33 124,489.33 194,465.02 10,606.00 \r\n$ 382,555.68 \r\n \r\n- 10- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2008 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 4: INVENTORIES \r\n \r\nInventories at June 30, 2008, consists of the following: \r\n \r\nBookstore Other \r\nTotal \r\n \r\n$ 224,723.08 433.01 \r\n$ 225.156.09 \r\n \r\nNOTE 5: CAPITAL ASSETS \r\n \r\nFollowing are the changes in capital assets for the year ended June 30, 2008: \r\n \r\nBalance Jul_y I, 2007 \r\n \r\nAdditions \r\n \r\nReductions \r\n \r\nBalance June 30, 2008 \r\n \r\nCapital Assets, Not Being Depreciated: \r\n \r\nLand and Land Improvements \r\n \r\n$ \r\n \r\nConstruction Work-In-Progress \r\n \r\n854,854.84 85,138.35 $ \r\n \r\n$ 786,901.38 \r\n \r\n0.00 $ 854,854.84 872,039.73 \r\n \r\nTotal Capital Assets Not Being Depreciated \r\n \r\n$ 939,993.19 $ 786,901.38 $ \r\n \r\n0.00 $ I, 726,894.57 \r\n \r\nCapital Assets, Being Depreciated: \r\n \r\nBuilding and Building Improvements $ 7,072,898.00 \r\n \r\nImprovements Other Than Buildings \r\n \r\n681,455.44 \r\n \r\nEquipment \r\n \r\n1,866,407.68 $ \r\n \r\nLibrary Collections \r\n \r\n204,012.77 \r\n \r\n182,426.23 $ 26,548.24 \r\n \r\n$ \r\n157,632.92 2,150.82 \r\n \r\n7,072,898.00 681,455.44 \r\n1,891,200.99 228,410.19 \r\n \r\n$ 9,824,773.89 $ 208,974.47 $ 159,783.74 $ 9,873,964.62 \r\n \r\nLess: Accumulated Depreciation: \r\n \r\nBuilding and Building Improvements $ 1,595,091.89 $ \r\n \r\nImprovements Other Than Buildings \r\n \r\n202,549.17 \r\n \r\nEquipment \r\n \r\n1,337,668.63 \r\n \r\nLibrary Collections \r\n \r\n72,987.62 \r\n \r\n190,825.81 41,726.55 177,453.00 $ 23,004.89 \r\n \r\n$ \r\n151,257.90 2,150.82 \r\n \r\n1,785,917.70 244,275.72 \r\nI ,363,863. 73 93,841.69 \r\n \r\n$ 3,208,297.31 $ 433,010.25 $ 153,408.72 $ 3,487,898.84 \r\n \r\nTotal Capital Assets, Being Depreciated, \r\n \r\nNet \r\n \r\n$ 6,616,476.58 $ -224,035.78 $ \r\n \r\n6,375.02 $ 6,386,065. 78 \r\n \r\nCapital Assets, Net \r\n \r\n$ 7 556 469.77 $ 562 865.60 $ \r\n \r\n6.375 02 $ 8 112 960 35 \r\n \r\nNOTE 6: DEFERRED REVENUE \r\n \r\nDeferred revenue at June 30, 2008, consists of the following: \r\n \r\nPrepaid Tuition and Fees \r\n \r\n$ 8!952.53 \r\n \r\n- 11 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2008 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 7: LONG-TERM LIABILITIES \r\n \r\nLong-Term liability activity for the year ended June 30, 2008, was as follows: \r\n \r\nOther Liabilities Compensated Absences \r\n \r\nBalance July I, 2007 \r\n \r\nAdditions \r\n \r\nReductions \r\n \r\nBalance June 30, 2008 \r\n \r\nCurrent Portion \r\n \r\n$ 397,453.24 $ 393,390.99 $ 360.042.13 $ 430.802.10 $ 259.096.69 \r\n \r\nNOTE 8: NET ASSETS \r\n \r\nChanges in Net Asset activity for the year ended June 30, 2008 was as follows: \r\n \r\nInvested in Capital Assets Net of Related Debt \r\nUnrestricted Net Assets \r\nTotal Net Assets \r\n \r\nBalance July I, 2007 \r\n \r\nAdditions \r\n \r\nReductions \r\n \r\nBalance June 30, 2008 \r\n \r\n$ 7,556,469,77 $ 562,865.60 $ \r\n \r\n6,375.02 $ 8,112,960.35 \r\n \r\n161,040.70 \r\n \r\n11,181,121.11 \r\n \r\n10,949,567.39 \r\n \r\n392,594.42 \r\n \r\n$ 7,111,510.41 $ II 743,986 71 $ I0 955,942.41 $ 8,505,554.17 \r\n \r\nNOTE 9: LEASE OBLIGATIONS \r\n \r\nOPERATING LEASES Okefenokee Technical College has entered into certain agreements to lease copiers which are classified as operating leases (leases on assets not recorded on the balance sheet). These leases generally contain provisions that, at the expiration date of the original term of the lease, the Technical College has the option of renewing the lease on a year-to-year basis. Amounts are included only for multi-year leases and for cancellable leases for which an option to renew for the subsequent fiscal year has been exercised. \r\n \r\nExpenses for rental of copiers under operating leases for the year ended June 30, 2008, totaled $27,566.74. \r\n \r\nNOTE 10: RETIREMENT PLANS \r\n \r\nTEACHERS RETIREMENT SYSTEM OF GEORGIA \r\n \r\nPlan Description Okefenokee Technical College participates in the Teachers Retirement System of Georgia (TRS), a cost-sharing multiple-employer defined benefit pension plan established by the General Assembly of Georgia for the purpose of providing retirement allowances and other benefits for teachers of the State ofGeorgia. TRS provides service retirement, disability retirement, and survivor's benefits for its members in accordance with State statute. The Teachers Retirement System ofGeorgia issues a separate stand alone financial audit report and a copy can be obtained from the TRS offices or from the Georgia Department of Audits and Accounts. \r\n \r\n- 12- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2008 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 10: RETIREMENT PLANS \r\n \r\nTEACHERS RETIREMENT SYSTEM OF GEORGIA \r\n \r\nFunding Policy Employees ofOkefenokee Technical College who are covered by TRS are required by State statute to contribute 5% of their gross earnings to TRS. Okefenokee Technical College makes monthly employer contributions to TRS at rates adopted by the TRS Board of Trustees in accordance with State statute and as advised by their independent actuary. For fiscal year 2008, the employer contribution rate was 9.28% for covered employees. Employer contributions for the current fiscal year and the preceding two fiscal years are as follows: \r\n \r\nFiscal Year \r\n \r\nPercentage Contributed \r\n \r\nRequired Contribution \r\n \r\n2008 2007 2006 \r\n \r\n100% 100% 100% \r\n \r\n$ 375,502.91 $ 369,496.01 $ 352,731.75 \r\n \r\nEMPLOYEES' RETIREMENT SYSTEM OF GEORGIA \r\n \r\nPlan Description Okefenokee Technical College participates in the Employees' Retirement System ofGeorgia (ERS), a single-employer defined benefit pension plan established by the General Assembly ofGeorgia for the purpose of providing retirement allowances for employees ofthe State of Georgia. \r\n \r\nThe benefit structure of ERS is defined by State statute and was significantly modified on July 1, 1982. Unless elected otherwise, an employee who currently maintains membership withERS 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. All other members are \"new plan\" members subject to the modified plan provisions. \r\n \r\nUnder both the old plan and new plan, members become vested after 10 years of creditable service. A member may retire and receive normal retirement benefits after completion of 10 years of creditable service and attainment of age 65. If 10 years of service is completed and age 60 is reached, the member may retire with a reduced benefit. Additionally, there are certain provisions allowing for retirement after 25 years of service regardless of age. \r\n \r\nRetirement benefits paid to members are based upon a formula which considers the monthly average of the member's highest twenty-four consecutive calendar months of salary, the number ofyears of creditable service, and the member's age at retirement. Postretirement cost-of-living adjustments are also made to member's benefits. The normal retirement pension is payable monthly for life; however, options are available for distribution ofthe 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. \r\n \r\n- 13- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2008 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 10: RETIREMENT PLANS \r\nEMPLOYEES' RETIREMENT SYSTEM OF GEORGIA \r\nPlan Description In addition, the ERS Board of Trustees created the Supplemental Retirement Benefit Plan (SRBP) effective January 1, 1998. The SRBP was established as a qualified governmental excess benefit plan in accordance with Section 415 ofthe Internal Revenue Code (IRC) as a portion ofERS. The purpose ofSRBP is to provide retirement benefits to employees covered byERS whose benefits are otherwise limited by IRC 415. \r\nThe ERS issues a financial report each fiscal year which may be obtained through ERS. \r\nFunding Policy As established by State statute, all full-time employees of the State of Georgia and its political subdivisions, who are not members ofother state retirement systems, are eligible to participate in the ERS. Both employer and employee contributions are established by State statute. The Technical College's payroll for the year ended June 30, 2008, for employees covered byERS was $799,143.93. The Technical College's total payroll for all employees was $5,718,009.86. \r\nUnder the old plan, member contributions consist of 6.5% of annual compensation. Of these member contributions, the employee pays the first 1.5% and the Technical College pays the remainder on behalfof the employee. Under the new plan, member contributions consist solely of 1.5% of annual compensation paid by employee. The Technical College also is required to contribute at a specified percentage of active member payroll determined annually by actuarial valuation. For the year ended June 30, 2008, the ERS employer contribution rate for the Technical College amounted to 10.41% of covered payroll and included the amounts contributed on behalfof the employee under the old plan referred to above. Employer contributions are also made on amounts paid for accumulated leave to retiring employees. \r\nTotal contributions to the plan made during fiscal year 2008 amounted to $95,136.51, of which $83,192.29 was made by the Technical College and $11,944.22 was made by employees. These contributions met the requirements of the plan. \r\nActuarial and Trend Information Actuarial and historical trend information is presented in the ERS June 30, 2008, financial report which may be obtained through ERS. \r\nGEORGIA DEFINED CONTRIBUTION PLAN \r\nPlan Description Okefenokee 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 \r\n- 14- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2008 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 10: RETIREMENT PLANS \r\nGEORGIA DEFINED CONTRIBUTION PLAN \r\nPlan Description the purpose ofproviding 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. \r\nBenefits 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. Ifa member has less than $3,500.00 credited to his/her account, the Board ofTrustees has the option ofrequiring a lump sum distribution to the member in lieu ofmaking 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. \r\nThe Employees' Retirement System of Georgia issues a financial report each fiscal year which may be obtained through ERS. \r\nContributions and Vesting Member contributions are seven and one-halfpercent (7.5%) ofgross 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, 2008, for employees covered by GDCP was $482,518.18. The Technical College's total payroll for all employees was $5,718,009.86. \r\nTotal contributions made by employees during fiscal year 2008 amounted to $36,189.22 which represents 7.5% of covered payroll. These contributions met the requirements of the plan. \r\nNOTE 11: POSTEMPLOYMENT BENEFITS \r\nThe Technical College participates in the Georgia Retiree Health Benefit Fund (\"GRHBF\") which is a cost-sharing multiple-employer defined benefit postemployment healthcare plan that covers retired employees ofthe State of Georgia. GRHBF provides health insurance benefits to eligible retirees and their qualified beneficiaries. \r\nPursuant to Title 45, Chapter 18 of O.C.G.A., the authority to establish and amend the benefit provisions of the plan is assigned to the Board of Community Health (\"Board\"). Financial statements and required supplementary information for GRHBF are included in the publicly available financial report of the Department of Community Health. \r\n \r\n- 15 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2008 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 11: POSTEMPLOYMENT BENEFITS \r\nThe Technical College contributes to the fund based upon amounts recommended by the Board and set forth in the Appropriations Act. This contribution rate is established to fund both the active and retired employee components of the health insurance plan based on projected pay-as-you-go financing requirements. The combined rate for the active and retiree components ofthe plan (payas-you-go basis) for the fiscal year ended June 30, 2008, was 18.534% of covered payroll. An additional contribution of4.309% ofcovered payroll was required by the Board for fiscal year 2008; eleven months ofthis additional contribution will be deposited into the OPEB fund to prefund retiree benefits (such additional contribution amounts are determined annually). The Technical College's contribution to the health insurance plan for the fiscal year ended June 30,2008, was $1,118,138.54, which equaled the required contribution. \r\nThe Technical College also participates in a program of group term life insurance for retired and vested inactive eligible members of various retirement systems. The State Employees' Assurance Department (\"SEAD-OPEB\") is a single-employer defined benefit postemployment plan. \r\nPursuant to Title 47 ofthe Official Code ofGeorgia Annotated, 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. Financial statements and required supplementary information for SEAD-OPEB are included in the publicly available financial report of the Employees' Retirement System. \r\nThe Technical College is required to contribute the annual required contribution of the employer (ARC), an amount actuarially determined in accordance with the parameters ofGASB Statement 45. The ARC for the year ended June 30, 2008, was zero (0). \r\nNOTE 12: RISK MANAGEMENT \r\nPublic Entity Risk Pool The Department of Community Health (DCH) 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 ofGeorgia. This plan is funded by participants covered in the plan, by employers' contributions paid by the various units ofgovernment participating in the plan, and appropriations made by the General Assembly of Georgia. DCH contracted with United Healthcare to process medical claims. For prescription drug claims, DCH contracted with Express Scripts, Incorporated through December 31, 2007 and contracted with Medco, Incorporated beginning January 1, 2008. All claims are to be processed in accordance with the State Employees' Health Benefit Plan as established by the Department of Community Health. \r\nOther Risk Management The Department ofAdministrative Services (DOAS) has the responsibility for the State of Georgia ofmaking and carrying out decisions that will minimize the adverse effects ofaccidental losses that involve State government assets. The State believes it is more economical to manage its risks \r\n- 16- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2008 \r\n \r\nEXHIBIT\"D\" \r\n \r\nNOTE 12: RISK MANAGEMENT \r\nOther Risk Management 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 Georgia Department of Technical and Adult Education, 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. \r\nNOTE 13: CONTINGENCIES \r\nAmounts 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 Okefenokee Technical College expects such amounts, ifany, to be immaterial to its overall financial position. \r\nLitigation, claims and assessments filed against Okefenokee Technical College (an organizational unit of the Department of Technical and Adult Education), 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, 2008. \r\nNOTE 14: NATURAL CLASSIFICATIONS WITH FUNCTIONAL CLASSIFICATIONS \r\nThe 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. \r\nNOTE 15: AFFILIATED ORGANIZATIONS \r\nIn accordance with GASB Statement No. 39, Determining Whether Certain Organizations are Component Units, an amendment ofGASB Statement No. 14, The Reporting Entity, which became effective for the year ended June 30, 2004, Okefenokee Technical College Foundation has been determined to be a legally separate, tax exempt organization whose activities primarily support Okefenokee Technical College, a member college of postsecondary education in Georgia whose units comprise the Department ofTechnical and Adult Education (an organizational unit ofthe State ofGeorgia). The State Accounting Office has determined Component Units ofthe State ofGeorgia, as required by GASB Statement No. 39, should be assessed in relation to their significance to the State ofGeorgia. Accordingly, Okefenokee Technical College has not included financial activity for Okefenokee Technical College Foundation in these financial statements. \r\n- 17- \r\n \r\n (This page left intentionally blank) \r\n \r\n SUPPLEMENTARY INFORMATION - 19- \r\n \r\n (This page left intentionally blank) \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE BALANCE SHEET (NON-GAAP BASIS) \r\nBUDGET FUND JUNE 30, 2008 \r\nASSETS \r\nCash and Cash Equivalents Accounts Receivable \r\nFederal Financial Assistance Other Prepaid Expenditures Inventories \r\nTotal Assets \r\nLIABILITIES AND FUND EQUITY \r\nLiabilities Salaries Payable Accounts Payable Encumbrances Payable Deferred Revenue \r\nTotal Liabilities \r\nFund Balances Reserved Continuing Education Live Works Projects Sales and Services Technology Fees Inventories Unreserved Surplus \r\nTotal Fund Balances \r\nTotal Liabilities and Fund Balances \r\n \r\nSCHEDULE \"1\" \r\n \r\n$ \r\n \r\n460,247.09 \r\n \r\n233,189.10 68,241.58 55,270.14 \r\n225,660.14 \r\n \r\n$ =====1=04=2=,6=0=8.=05== \r\n \r\n$ \r\n \r\n29,493.95 \r\n \r\n138,042.96 \r\n \r\n420,813.19 \r\n \r\n8,764.48 \r\n \r\n$ \r\n \r\n597,114.58 \r\n \r\n$ \r\n \r\n192,020.29 \r\n \r\n160,380.84 \r\n \r\n50,923.80 \r\n \r\n1.52 \r\n \r\n38,099.14 \r\n \r\n4,067.88 \r\n \r\n$ \r\n \r\n445,493.47 \r\n \r\n$ ==1=04=2==,6=0=8.=05= \r\n \r\nActual amounts were 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. \r\n- 21 - \r\n \r\n (This page left intentionally blank) \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE SUMMARY BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT (NON-GAAP BASIS) \r\nBUDGET FUND YEAR ENDED JUNE 30, 2008 \r\n \r\nSCHEDULE \"2\" \r\n \r\nREVENUES \r\nState Appropriation State General Funds \r\nFederal Funds Other Funds \r\nTotal Revenues \r\nCARRY-OVER FROM PRIOR YEAR \r\nTransfer from Reserved Fund Balance \r\nTotal Funds Available \r\nEXPENDITURES \r\nAdult Literacy Economic Development Technical Education \r\nTotal Expenditures \r\nExcess of Funds Available over Expenditures \r\nFUND BALANCE JULY 1 \r\nReserved Unreserved \r\nADJUSTMENTS \r\nPrior Year Payables/Expenditures Prior Year Receivables/Revenues Unreserved Fund Balance (Surplus) Returned \r\nto Georgia Department of Technical and Adult Education Year Ended June 30, 2007 \r\nPrior Year Reserved Fund Balance Included in Funds Available \r\nFUND BALANCE JUNE 30 \r\n \r\nBUDGET \r\n \r\nACTUAL \r\n \r\nVARIANCEFAVORABLE (UNFAVORABLE) \r\n \r\n$ \r\n \r\n5,746,086.00 $ \r\n \r\n5,746,086.00 $ \r\n \r\n949,461.35 \r\n \r\n943,062.73 \r\n \r\n3,128,640.75 \r\n \r\n3,105,363.26 \r\n \r\n$ \r\n \r\n9,824,188.10 $ \r\n \r\n9,794,511.99 $ \r\n \r\n0.00 -6,398.62 -23 277.49 \r\n-29,676.11 \r\n \r\n0.00 \r\n \r\n377 998.47 \r\n \r\n$ \r\n \r\n9 824 188.10 $ \r\n \r\n10 172 510.46 $ \r\n \r\n377 998.47 348,322.36 \r\n \r\n$ \r\n \r\n804,533.00 $ \r\n \r\n804,155.00 $ \r\n \r\n116,000.00 \r\n \r\n108,801.11 \r\n \r\n8,903,655.10 \r\n \r\n8,802,700.52 \r\n \r\n$ \r\n \r\n9 824 188.10 $ \r\n \r\n9,715,656.63 $ \r\n \r\n$ \r\n \r\n0.00 $ \r\n \r\n456,853.83 $ \r\n \r\n378.00 7,198.89 100 954.58 \r\n108 531.47 \r\n456,853.83 \r\n \r\n416,097.61 4,089.97 \r\n \r\n433.18 -49,892.68 \r\n \r\n-4,089.97 -377 998.47 \r\n \r\n$ \r\n \r\n445 493.47 \r\n \r\nSUMMARY OF FUND BALANCE \r\nReserved Continuing Education Live Works Projects Sales and Services Technology Fees Inventories \r\nTotal Reserved \r\nUnreserved Surplus \r\nTotal Fund Balance \r\nActual amounts were 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. \r\n-23- \r\n \r\n$ \r\n \r\n192,020.29 \r\n \r\n160,380.84 \r\n \r\n50,923.80 \r\n \r\n1.52 \r\n \r\n38 099.14 \r\n \r\n$ \r\n \r\n441,425.59 \r\n \r\n4 067.88 \r\n \r\n$ ==.,;;:;4;;;;45~4;;,;;9;;;;3;;;.4,;,..7 \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE STATEMENT OF PROGRAM REVENUES AND EXPENDITURES BY FUNDING SOURCE COMPARED TO BUDGET \r\n(NON-GAAP BASIS) BUDGET FUND YEAR ENDED JUNE 30, 2008 \r\n \r\nAdult Literacy State Appropriation State General Funds Federal Funds Other Funds \r\nTotal Adult Literacy \r\n \r\nOriginal Appropriation \r\n \r\nFinal Budget \r\n \r\nCurrent Year Revenues \r\n \r\nFunds Available ComE!ared to Budget \r\n \r\nPriorY ear Carry-Over \r\n \r\nTotal Funds Available \r\n \r\nVariance Positive (Negative) \r\n \r\n501,409.00 225,011.00 \r\n60 000.00 \r\n \r\n511,522.00 221,511.00 \r\n71 500.00 \r\n \r\n511,522.00 221,511.00 \r\n71 122.00 \r\n \r\n$ \r\n \r\n786,420.00 $ \r\n \r\n804,533.00 $ \r\n \r\n804,155.00 $ \r\n \r\n0.00 $ 0.00 0.00 \r\n0.00 \r\n \r\n511,522.00 $ 221,511.00 \r\n71122.00 \r\n804155.00 $ \r\n \r\n0.00 0.00 -378.00 \r\n-378.00 \r\n \r\nEconomic Development Other Funds \r\n \r\n0.00 $ \r\n \r\n116 000.00 $ \r\n \r\n115 517.00 $ \r\n \r\n0.00 $ \r\n \r\n115517.00 $ \r\n \r\n-483.00 \r\n \r\nTechnical Education State Appropriation State General Funds Federal Funds Other Funds \r\nTotal Technical Education \r\n \r\n5,114,755.00 505,165.82 \r\n3,052,203.25 \r\n \r\n5,234,564.00 727,950.35 \r\n2 941140.75 \r\n \r\n$ \r\n \r\n8 672 124.07 $ \r\n \r\n8 903,655.10 \r\n \r\n5,234,564.00 721,551.73 \r\n2 918 724.26 \r\n8 874 839.99 \r\n \r\n0.00 $ 0.00 377 998.47 \r\n377 998.47 $ \r\n \r\n5,234,564.00 721,551.73 \r\n3,298, 722.73 \r\n9,252,838.46 \r\n \r\n0.00 -6,398.62 355,581.98 \r\n349,183.36 \r\n \r\nGrand Totals -All Programs \r\n \r\n$ \r\n \r\n9,458 544.07 $ \r\n \r\n9,824,188.10 $ \r\n \r\n9,794,511.99 $ \r\n \r\n377,998.47 $ 10,172,510.46 $ 348,322.36 \r\n \r\nActual amounts were 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. \r\n-24- \r\n \r\n SCHEDULE \"3\" \r\n \r\nEx~nd~ures Comeared to Budget \r\n \r\nVariance \r\n \r\nPositive \r\n \r\nActual \r\n \r\n(Negative) \r\n \r\nActual Funds Available \r\nOver/(Under) Expenditures \r\n \r\nPrior Period Adjustments \r\n \r\nOther Adjustments \r\n \r\nProgram Fund \r\nBalances \r\n \r\nTransfers \r\n \r\nProgram Fund Balances \r\n \r\nReserve \r\n \r\n~ \r\n \r\nTotal Fund Balance \r\n \r\n$ \r\n \r\n511,522.00 $ \r\n \r\n221,511.00 \r\n \r\n71122.00 \r\n \r\n$ \r\n \r\n804,155.00 $ \r\n \r\n0.00 $ 0.00 378.00 \r\n378.00 $ \r\n \r\n0.00 $ 0.00 0.00 \r\n0.00 $ \r\n \r\n0.00 $ \r\n \r\n0.00 $ \r\n \r\n0.00 $ \r\n \r\n0.00 $ \r\n \r\n0.00 \r\n \r\n0.00 $ \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 ____MQ_ \r\n \r\n0.00 ____MQ_ \r\n \r\n0.00 \r\n \r\n0.00 $ \r\n \r\n0.00 $ \r\n \r\n0.00 $ \r\n \r\n0.00 $ \r\n \r\n0.00 $ ~ $ \r\n \r\n0.00 \r\n \r\n$ \r\n \r\n108 801.11 $ \r\n \r\n7 198.89 $ \r\n \r\n6 715.89 $ \r\n \r\n0.00 $ \r\n \r\n0.00 $ 6 715.89 $ ~ $ 6 715.89 $ ~ $ \r\n \r\n6 715.89 \r\n \r\n$ 5,231,979.71 $ 721,551.73 \r\n2,849 169.08 \r\n$ 8 802 700.52 $ \r\n \r\n2,584.29 $ 6,398.62 91 971.67 \r\n100,954.58 $ \r\n \r\n2,584.29 $ 0.00 \r\n447 553.65 \r\n450 137.94 \r\n \r\n0.00 $ 0.00 -49459.50 \r\n-49459.50 $ \r\n \r\n$ 9,715,656.63 $ 108,531.47 $ \r\n \r\n456,853.83 $ -49,459.50 $ \r\n \r\n0.00 $ 2,584.29 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n398,094.15 \r\n \r\n0.00 $ 0.00 ____MQ_ \r\n \r\n0.00 $ 2,584.29 $ \r\n \r\n0.00 \r\n \r\n0.00 \r\n \r\n396,610.56 \r\n \r\n1 483.59 \r\n \r\n0.00 $ 400 678.44 $~$ 396,610.56 $ 4 067.88 $ \r\n \r\n2,584.29 0.00 \r\n398 094.15 \r\n400 678.44 \r\n \r\n0.00 $ 407,394.33 $ ~ $ 403,326.45 $ 4,067.88 $ 407,394.33 \r\n \r\nUnexpendable Reserves Inventories \r\n \r\n38 099.14 $ 445 493.47 \r\n \r\n-25- \r\n \r\n (This page left intentionally blank) \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE RECONCILIATION OF SALARIES AND TRAVEL \r\nYEAR ENDED JUNE 30, 2008 \r\n \r\nSCHEDULE \"4\" \r\n \r\nTotals per Annual Supplement \r\nAccruals June 30, 2008 June 30, 2007 \r\nCompensated Absences June 30, 2008 June 30, 2007 \r\nAgency Funds \r\nAdjustments Shared Services on Jointly Staffed Personnel DeKalb Technical College Walker, Aretha \r\n \r\nSALARIES $ 5,705,554.82 $ \r\n \r\nTRAVEL 97,167.23 \r\n \r\n29,493.95 -30,760.98 \r\n \r\n346,602.06 -336,360.15 \r\n \r\n-2,443.43 \r\n \r\n3,480.16 $ 5,718,009.86 $===94.:!.,7=2=3=.8=0 \r\n \r\n-27- \r\n \r\n SECTION II FINDINGS AND QUESTIONED COSTS \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE SCHEDULE OF FINDINGS AND QUESTIONED COSTS \r\nYEAR ENDED JUNE 30, 2008 \r\nFINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS No matters were reported. FEDERAL AWARD FINDINGS AND QUESTIONED COSTS No matters were reported. \r\n \r\n "},{"id":"dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2006-h2007","title":"Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for the fiscal year ended June 30, 2007","collection_id":"dlg_ggpd","collection_title":"Georgia Government Publications","dcterms_contributor":["Georgia. Department of Audits and Accounts, issuing body."],"dcterms_spatial":["United States, Georgia, Ware County, Waycross, 31.21368, -82.3557"],"dcterms_creator":["Georgia. Department of Audits and Accounts"],"dc_date":["2006/2007"],"dcterms_description":["Began with: Fiscal year ended June 30, 2004.","Report year covers fiscal year.","For some years, report may be issued instead called: Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for the fiscal year ended ...; or: Okefenokee Technical College, Waycross, Georgia, management report for fiscal year ended ...","No more published after 2013; in 2014, Altamaha Technical College (Ga.) and Okefenokee Technical College (Ga.) merged to form Coastal Pines Technical College (Ga.)","Description based primarily on print version record.","Fiscal year ended June 30, 2008 (Georgia Government Publications database, viewed November 8, 2023)."],"dc_format":["application/pdf"],"dcterms_identifier":null,"dcterms_language":["eng"],"dcterms_publisher":["Atlanta, GA : Georgia. Dept. of Audits and Accounts, 2007-06-30"],"dc_relation":null,"dc_right":["http://rightsstatements.org/vocab/InC/1.0/"],"dcterms_is_part_of":null,"dcterms_subject":["Okefenokee Technical College--Appropriations and expenditures","Education--Auditing--Georgia","Auditors' reports--Georgia"],"dcterms_title":["Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for the fiscal year ended June 30, 2007"],"dcterms_type":["Text"],"dcterms_provenance":["University of Georgia. Map and Government Information Library"],"edm_is_shown_by":["https://dlg.galileo.usg.edu/do:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2006-h2007"],"edm_is_shown_at":["https://dlg.galileo.usg.edu/id:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2006-h2007"],"dcterms_temporal":null,"dcterms_rights_holder":null,"dcterms_bibliographic_citation":null,"dlg_local_right":null,"dcterms_medium":["state government records"],"dcterms_extent":null,"dlg_subject_personal":null,"iiif_manifest_url_ss":null,"dcterms_subject_fast":null,"fulltext":"STATE OF GEORGIA DEPARTMENT OF AUDITS AND ACCOUNTS \r\nI \r\nOKEFENOKEE TECHNICAL COLLEGE WAYCROSS, GEORGIA \r\nINDEPENDENT ACCOUNTANTS REPORT ON APPLYING AGREED-UPON PROCEDURES \r\nFOR THE FISCAL YEAR ENDED JUNE 30, 2007 \r\nRussell W. Hinton State Auditor \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE - TABLE OF CONTENTS - \r\nINDEPENDENT ACCOUNTANT'S REPORT ON APPLYING AGREED-UPON PROCEDURES EXHIBIT \r\nA BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT \r\n \r\n RUSSELL W. HINTON \r\nSTATE AUDITOR \r\n(404) 858-2174 \r\n \r\nDEPARTMENT OF AUDITS AND ACCOUNTS \r\n270 Washington Street, S.W., Suite 1-156 Atlanta, Georgia 30334-8400 \r\nNovember 5, 2007 \r\n \r\nMembers of the State Board Technical and Adult Education Members of the Local Board of Directors \r\nand Honorable Gail Thaxton, President Okefenokee Technical College \r\nIndependent Accountant's Report on Applying Agreed-Upon Procedures \r\nLadies and Gentlemen: \r\nWe have performed the procedures enumerated below, which were agreed to by the College and the Administrative Central Office (Oversight Unit) ofthe Department ofTechnical and Adult Education, solely to assist you in assessing the accuracy ofthe annual financial statement information reported to the Administrative Central Office by the College for inclusion in the State of Georgia's Comprehensive Annual Financial Report (CAFR) and Single Audit Report; and to assist you in assessing the accuracy ofbudget basis information provided in the Budget Comparison andSurplus Analysis Report, which is attached as Exhibit A. This agreed-upon procedures engagement was conducted in accordance with attestation standards established by the American Institute ofCertified 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 ofthe procedures described below either for the purpose for which this report has been requested or for any other purpose. \r\n1. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n2. Obtain the College's GAAP basis worksheets for Statement ofNet 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n \r\n 3. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n4. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n5. Confirm that State Appropriation revenues, receivables and remittances ofprior 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n6. Obtain listing ofwrite-offrequests for accounts receivable less than $3,000.00 for fiscal year 2007. Confirm that these write-off requests have been approved by the State Accounting Officer and have been posted to the College's financial statements. \r\nWe did not note any exceptions as a result of our procedures. \r\n7. Verify that the listing ofsalaries, travel, and per diem and fees 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n8. Review the year end Budgetary Statements including the Budget Comparison and Surplus Analysis Report (Exhibit A). Confirm that budget information presented in these statements supports activity reported in the College's accounting records and determine if any budget overexpenditures exist. \r\nWe did not note any exceptions as a result of our procedures. \r\n9. Obtain documentation for Budget basis reserves reported by the College on the Budget Comparison and Surplus Analysis Report (Exhibit A). Confirm that the reserves are properly documented, valid and appropriate. \r\nWe did not note any exceptions as a result of our procedures. \r\n \r\n 10. 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. \r\nWe did not note any exceptions as a result of our procedures. \r\n11. Review the Schedule of Expenditures of 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. \r\nWe did not note any exceptions as a result of our procedures. \r\nThese agreed-upon procedures do not constitute an audit of the financial statements or any part thereof, the objective ofwhich 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. \r\nThis 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. \r\nRespectfully submitted, \r\n \r\nRWH:as \r\n \r\nRu sell W. Hinton, CPA, CGFM State Auditor \r\n \r\n EXHIBIT \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT \r\nYEAR ENDED JUNE 30, 2007 \r\n \r\nEXHIBIT\"A\" \r\n \r\nREVENUES \r\nState Appropriation State General Funds \r\nFederal Funds Other Funds \r\nTotal Revenues \r\nCARRY-OVER FROM PRIOR YEAR \r\nTransfer from Reserved Fund Balance \r\nTotal Funds Available \r\nEXPENDITURES \r\nAdult Literacy Economic Development Technical Education \r\nTotal Expenditures \r\nExcess of Funds Available over Expenditures \r\nFUND BALANCE JULY 1 \r\nReserved Unreserved \r\nADJUSTMENTS \r\nPrior Year Payables/Expenditures Prior Year Receivables/Revenue Unreserved Fund Balance (Surplus) Returned \r\nto Department of Technical and Adult Education Year Ended June 30, 2006 \r\nPrior Year Reserved Fund Balance Included in Funds Available \r\nFUND BALANCE JUNE 30 \r\nSUMMARY OF FUND BALANCE \r\nReserved Continuing Education Live Works Projects Sales and Services Technology Fees Inventories \r\nTotal Reserved \r\nUnreserved Surplus \r\nTotal Fund Balance \r\n \r\nBUDGET \r\n \r\nACTUAL \r\n \r\nVARIANCEFAVORABLE (UNFAVORABLE) \r\n \r\n$ 5,057,314.02 $ 5,057,314.02 $ \r\n \r\n1,033,589.45 \r\n \r\n997,091.74 \r\n \r\n3,136,075.08 \r\n \r\n3,148,401.15 \r\n \r\n$ 9,226,978.55 $ 9,202,806.91 $ \r\n \r\n0.00 -36.497.71 12,326.07 \r\n-24,171.64 \r\n \r\n0.00 \r\n \r\n226,925.42 \r\n \r\n$ 9,226,978.55 $ 0.4201732.33 $ \r\n \r\n226,925.42 202.753.78 \r\n \r\n$ \r\n \r\n726,424.74 $ \r\n \r\n726,198.74 $ \r\n \r\n6,424.08 \r\n \r\n6,424.08 \r\n \r\n8A94, 129.73 \r\n \r\n8,289.704.54 \r\n \r\n$ 9,226,978.55 $ 9,022,327.36 $ \r\n \r\n$ \r\n \r\n0.00 $ 407,404,97 $ \r\n \r\n226.00 0.00 \r\n204.425.19 \r\n204,651.19 \r\n407,404.97 \r\n \r\n265,024.56 398.05 \r\n \r\n4,089.97 -29,406.50 \r\n-398.05 -226,925.42 $ 420,187.58 \r\n \r\n$ \r\n \r\n184,360.87 \r\n \r\n142,712.28 \r\n \r\n50,923.80 \r\n \r\n1.52 \r\n \r\n38,099.14 \r\n \r\n$ 416,097.61 \r\n \r\n4,089.97 \r\n \r\n$ 420,187.58 \r\n \r\n "},{"id":"dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2005-h2006","title":"Okefenokee Technical College, Waycross, Georgia, report on audit of the financial statements for the fiscal year ended June 30, 2006","collection_id":"dlg_ggpd","collection_title":"Georgia Government Publications","dcterms_contributor":["Georgia. Department of Audits and Accounts, issuing body."],"dcterms_spatial":["United States, Georgia, Ware County, Waycross, 31.21368, -82.3557"],"dcterms_creator":["Georgia. Department of Audits and Accounts"],"dc_date":["2005/2006"],"dcterms_description":["Began with: Fiscal year ended June 30, 2004.","Report year covers fiscal year.","For some years, report may be issued instead called: Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for the fiscal year ended ...; or: Okefenokee Technical College, Waycross, Georgia, management report for fiscal year ended ...","No more published after 2013; in 2014, Altamaha Technical College (Ga.) and Okefenokee Technical College (Ga.) merged to form Coastal Pines Technical College (Ga.)","Description based primarily on print version record.","Fiscal year ended June 30, 2008 (Georgia Government Publications database, viewed November 8, 2023)."],"dc_format":["application/pdf"],"dcterms_identifier":null,"dcterms_language":["eng"],"dcterms_publisher":["Atlanta, GA : Georgia. Dept. of Audits and Accounts, 2006-06-30"],"dc_relation":null,"dc_right":["http://rightsstatements.org/vocab/InC/1.0/"],"dcterms_is_part_of":null,"dcterms_subject":["Okefenokee Technical College--Appropriations and expenditures","Education--Auditing--Georgia","Auditors' reports--Georgia"],"dcterms_title":["Okefenokee Technical College, Waycross, Georgia, report on audit of the financial statements for the fiscal year ended June 30, 2006"],"dcterms_type":["Text"],"dcterms_provenance":["University of Georgia. Map and Government Information Library"],"edm_is_shown_by":["https://dlg.galileo.usg.edu/do:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2005-h2006"],"edm_is_shown_at":["https://dlg.galileo.usg.edu/id:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2005-h2006"],"dcterms_temporal":null,"dcterms_rights_holder":null,"dcterms_bibliographic_citation":null,"dlg_local_right":null,"dcterms_medium":["state government records"],"dcterms_extent":null,"dlg_subject_personal":null,"iiif_manifest_url_ss":null,"dcterms_subject_fast":null,"fulltext":null},{"id":"dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2004-h2005","title":"Management report, Okefenokee Technical College, Waycross, Georgia, an organizational unit of the state of Georgia, year ended June 30, 2005","collection_id":"dlg_ggpd","collection_title":"Georgia Government Publications","dcterms_contributor":["Georgia. Department of Audits and Accounts, issuing body."],"dcterms_spatial":["United States, Georgia, Ware County, Waycross, 31.21368, -82.3557"],"dcterms_creator":["Georgia. Department of Audits and Accounts"],"dc_date":["2004/2005"],"dcterms_description":["Began with: Fiscal year ended June 30, 2004.","Report year covers fiscal year.","For some years, report may be issued instead called: Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for the fiscal year ended ...; or: Okefenokee Technical College, Waycross, Georgia, management report for fiscal year ended ...","No more published after 2013; in 2014, Altamaha Technical College (Ga.) and Okefenokee Technical College (Ga.) merged to form Coastal Pines Technical College (Ga.)","Description based primarily on print version record.","Fiscal year ended June 30, 2008 (Georgia Government Publications database, viewed November 8, 2023)."],"dc_format":["application/pdf"],"dcterms_identifier":null,"dcterms_language":["eng"],"dcterms_publisher":["Atlanta, GA : Georgia. Dept. of Audits and Accounts, 2005-06-30"],"dc_relation":null,"dc_right":["http://rightsstatements.org/vocab/InC/1.0/"],"dcterms_is_part_of":null,"dcterms_subject":["Okefenokee Technical College--Appropriations and expenditures","Education--Auditing--Georgia","Auditors' reports--Georgia"],"dcterms_title":["Management report, Okefenokee Technical College, Waycross, Georgia, an organizational unit of the state of Georgia, year ended June 30, 2005"],"dcterms_type":["Text"],"dcterms_provenance":["University of Georgia. Map and Government Information Library"],"edm_is_shown_by":["https://dlg.galileo.usg.edu/do:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2004-h2005"],"edm_is_shown_at":["https://dlg.galileo.usg.edu/id:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2004-h2005"],"dcterms_temporal":null,"dcterms_rights_holder":null,"dcterms_bibliographic_citation":null,"dlg_local_right":null,"dcterms_medium":["state government records"],"dcterms_extent":null,"dlg_subject_personal":null,"iiif_manifest_url_ss":null,"dcterms_subject_fast":null,"fulltext":"STATE OF GEORGIA DEPARTMENT OF AUDITS AND ACCOUNTS \r\nI \r\nOKEFENOKEE TECHNICAL COLLEGE WAYCROSS, GEORGIA \r\nREPORT ON AUDIT OF THE FINANCIAL STATEMENTS FOR THE FISCAL YEAR ENDED JUNE 30, 2005 \r\nRussell W. Hinton State Auditor \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE - TABLE OF CONTENTS - \r\n \r\nSECTION I \r\n \r\nFINANCIAL \r\n \r\nINDEPENDENT AUDITOR'S COMBINED REPORT ON BASIC FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION \r\n \r\nREQUIRED SUPPLEMENTARY INFORMATION \r\n \r\nMANAGEMENT'S DISCUSSION AND ANALYSIS \r\n \r\nBASIC FINANCIAL STATEMENTS \r\n \r\nEXHIBITS \r\n \r\nA STATEMENT OF NET ASSETS \r\n \r\n3 \r\n \r\nB STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS \r\n \r\n4 \r\n \r\nC STATEMENT OF CASH FLOWS \r\n \r\n5 \r\n \r\nD NOTES TO THE FINANCIAL STATEMENTS \r\n \r\n6 \r\n \r\nSUPPLEMENTARY INFORMATION \r\n \r\nSCHEDULES \r\n \r\n1 SCHEDULE OF FUNDS AVAILABLE AND EXPENDITURES \r\n \r\nCOMPARED TO BUDGET - (NON-GAAP BASIS) \r\n \r\nBUDGETFUND \r\n \r\n\"A\" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION \r\n \r\n21 \r\n \r\n2 RECONCILIATION OF SALARIES AND TRAVEL \r\n \r\n23 \r\n \r\nSECTION II FINDINGS AND QUESTIONED COSTS SCHEDULE OF FINDINGS AND QUESTIONED COSTS \r\n \r\n SECTION I FINANCIAL \r\n \r\n Russell W. Hinton \r\nSTATE AUDITOR (404) 656-2174 \r\n \r\nDEPARTMENT OF AUDITS AND ACCOUNTS \r\n270 Washington Street, S.W., Suite 1-156 Atlanta, Georgia 30334-8400 \r\nSeptember 8, 2005 \r\n \r\nHonorable 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 \r\nand Honorable Gail Thaxton, President Okefenokee Technical College \r\nINDEPENDENT AUDITOR'S COMBINED REPORT ON BASIC FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION \r\nLadies and Gentlemen: \r\nWe have audited the accompanying basic financial statements (Exhibits A through D) ofOkefenokee Technical College, an organizational unit of the State of Georgia, as of and for the year ended June 30, 2005. 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. \r\nWe conducted our audit in accordance with auditing standards generally accepted in the United States ofAmerica. 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 examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes 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. \r\nAs discussed in Note 1, the financial statements of Okefenokee Technical College are intended to present the financial position and changes in financial position and cash flows ofonly that portion of the business-type activities of the State of Georgia that is attributable to the transactions of Okefenokee Technical College. They do not purport to, and do not, present fairly the financial position and changes in financial position and cash flows ofthe State ofGeorgia, in conformity with accounting principles generally accepted in the United States of America. \r\n \r\n05ARL-2TC \r\n \r\n In our opinion, the basic financial statements referred to above present fairly, in all material respects, the financial position of Okefenokee Technical College as of June 30, 2005, 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. \r\n \r\nManagement's Discussion and Analysis is not a required part ofthe basic financial statements but is supplementary information required by accounting principles generally accepted in the United States ofAmerica. We have applied certain limited procedures, which consisted principally ofinquiries 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. \r\n \r\nOur audit was conducted for the purpose of forming an opinion on the basic financial statements of Okefenokee Technical College taken as a whole. The accompanying supplementary information (Schedules 1 and 2) is presented for purposes of additional analysis and is not a required part ofthe 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. \r\n \r\nRespectfully submitted, \r\n \r\n~ \r\n \r\n~len 44,{{l\\ w. Hinton \r\n \r\n, \r\n \r\n6 \r\n \r\n, \r\n \r\n~ \r\n \r\n \r\n \r\nState Auditor \r\n \r\nRWH:gp 05ARL-2TC \r\n \r\n REQUIRED SUPPLEMENTARY INFORMATION \r\n \r\n Okefenokee Technical College Management's Discussion and Analysis \r\nThe following is management's discussion and analysis of Okefenokee Technical College's financial performance for the fiscal year ending June 30, 2005 with comparative data from fiscal year ending June 30, 2004. This discussion and analysis has been prepared by and is the responsibility of management. \r\nOverview ofthe Financial Statements and Financial Analysis \r\nThis annual report consists of a series of financial statements prepared in accordance with the rules and regulations established by the Governmental Accounting Standards Board. \r\nThere 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 College's finances and activities as a whole and assists with providing an answer to the question \"Is the 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. \r\nThe Statement of Cash Flows is a valuable tool when evaluating the ability of the 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. \r\nThis discussion and analysis of the College's financial statements provides an overview of its financial activities for the year. \r\nStatement ofNet Assets \r\nThe 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 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. \r\n- 1- \r\n \r\n Net assets are divided into two major categories. The first category, invested in capital assets, net of debt, provides information concerning the College's equity in property, plant and equipment owned by the College. The final category is unrestricted net assets, which are available for expenditure by the College for any lawful purpose deemed necessary to operate the College. \r\n \r\nStatement of Net Assets (thousands of dollars) \r\n \r\nJune 30, 2005 \r\n \r\nJune 30, 2004 \r\n \r\nAssets Current Assets Capital Assets, Net \r\n \r\n$ \r\n \r\n1,117 \r\n \r\n$ \r\n \r\n862 \r\n \r\n5 435 \r\n \r\n5 947 \r\n \r\nTotal Assets \r\n \r\n$_ _~6,~55~2 \r\n \r\n$_ ~80~9 _..c...,6 \r\n \r\nLiabilities Current Liabilities Noncurrent Liabilities \r\n \r\n$ \r\n \r\n399 \r\n \r\n$ \r\n \r\n462 \r\n \r\n145 \r\n \r\n192 \r\n \r\nTotal Liabilities \r\n \r\n$_ _----\"-54'-'-4 \r\n \r\n$_ ____:,:65c..:.4 \r\n \r\nNet Assets Invested in Capital Assets, Net of Debt Unrestricted \r\n \r\n$ \r\n \r\n5,435 \r\n \r\n573 \r\n \r\n$ \r\n \r\n5,947 \r\n \r\n208 \r\n \r\nTotal Net Assets \r\n \r\n$===\"6='0\"'='0==8 \r\n \r\n$===\"6\"'=1==5\"'=5 \r\n \r\nThe total assets of the College decreased by approximately $257,000 from the prior year. This can be mainly attributed to a decrease of approximately $512,000 in capital assets as a result of an approximate $705,000 restatement of depreciation, and approximately $193,000 of capital additions. The College's philosophy is to use available resources to acquire and improve all areas of the College to better serve the instruction and public service missions of the College. \r\n \r\nTotal liabilities for the fiscal year decreased by approximately $110,000. The primary reason for the decrease was in current liabilities, predominately from the approximate decrease of $91,000 in accounts payable. The combination of the decrease in total assets of approximately $257,000 and the decrease in total liabilities of approximately $110,000 yields a decrease in total net assets of approximately $147,000. The decrease in total net assets is primarily in the category of invested in capital assets, net of debt which decreased approximately $512,000 as indicated above; however, all categories of Net Assets did not decrease during the year. \r\n \r\n- 11 - \r\n \r\n Statement ofRevenues, Expenses and Changes in Net Assets \r\n \r\nThe purpose of the Statement of Revenues, Expenses and Changes in Net Assets is to present the revenues received by the College, both operating and nonoperating, and the expenses incurred by the College, operating and nonoperating, and any other revenues, expenses, gains and losses received or spent by the College during the fiscal year. Changes in total net assets as presented on the Statement of Net Assets are based on the information presented in the Statement of Revenues, Expenses and Changes in Net Assets. \r\n \r\nOperating revenues are received for providing goods and/or services to various customers and constituencies of the College. Operating expenses are those expenses paid to acquire or produce the goods and/or services provided in return for the operating revenues, and to carry out the mission of the College. Therefore, nonoperating revenue is received when no goods or services are provided in exchange for the revenue. With the issuance of Statement No. 35, new guidelines were established by the Governmental Accounting Standards Board (GASB), which changed the classifications of state appropriations and gifts from operating to nonoperating revenue. This change may result in an operating deficit that is offset by a nonoperating surplus. \r\n \r\nStatement of Revenues, Expenses and Changes in Net Assets (Thousands of dollars) \r\n \r\nJune 30, 2005 \r\n \r\nJune 30, 2004 \r\n \r\nOperating Revenues Operating Expenses \r\n \r\n$ \r\n \r\n5,417 \r\n \r\n11,102 \r\n \r\n$ \r\n \r\n4,895 \r\n \r\n11,236 \r\n \r\nOperating Gain/Loss \r\n \r\n$ \r\n \r\n-5,685 \r\n \r\n$ \r\n \r\n-6,341 \r\n \r\nNonoperating Revenues and Expenses \r\n \r\n6,061 \r\n \r\n6,307 \r\n \r\nIncome (Loss) Before Other Revenues, Expenses, Gains or Losses \r\n \r\n$ \r\n \r\n376 \r\n \r\n$ \r\n \r\n-34 \r\n \r\nOther Revenues, Expenses, Gains or Losses \r\n \r\n182 \r\n \r\n528 \r\n \r\nIncrease (Decrease) in Net Assets \r\n \r\n$_ _~55~8 \r\n \r\n$_ _----'-\"49~4 \r\n \r\nNet Assets at Beginning of Year, as Originally Reported \r\n \r\n$ \r\n \r\n6,155 \r\n \r\n$ \r\n \r\n5,683 \r\n \r\nPrior Period Adjustment \r\n \r\n-705 \r\n \r\n-22 \r\n \r\nNet Assets at Beginning of Year Restated \r\n \r\n$_ _~5,~45~0 \r\n \r\n$_ _~5,~66~1 \r\n \r\nNet Assets at End of Year \r\n \r\n$===\"6,==00==8 \r\n \r\n$===\"6,-15==5 \r\n \r\n- iii - \r\n \r\n The Statement of Revenues, Expenses and Changes in Net Assets reflects a negative year with an decrease in the net assets at the end of the year due to the restatement for asset depreciation. Some highlights of the information presented on the Statement of Revenues, Expenses and Changes in Net Assets are as follows: \r\n \r\nRevenue By Source (thousands of dollars) For The Years Ended June 30, 2005 and June 30, 2004 \r\n \r\nJune 30, 2005 \r\n \r\nJune 30, 2004 \r\n \r\nOperating Revenue Tuition and Fees Grants and Contracts Sales and Services of Educational Departments Rents and Royalties Other \r\n \r\n$ \r\n \r\n3,309 \r\n \r\n1,577 \r\n \r\n431 7 \r\n93 \r\n \r\n$ \r\n \r\n2,913 \r\n \r\n1,500 \r\n \r\n457 10 15 \r\n \r\nTotal Operating Revenue \r\n \r\n$ \r\n \r\n5 417 \r\n \r\n$ \r\n \r\n4 895 \r\n \r\nNonoperating Revenue State Appropriations Grants and Contracts Nonoperating Gifts Investment Income Other \r\n \r\n$ \r\n \r\n4,916 \r\n \r\n1,003 232 14 \r\n \r\n$ \r\n \r\n5,001 \r\n \r\n1,161 207 5 -8 \r\n \r\nTotal Nonoperating Revenue \r\n \r\n$ \r\n \r\n6,165 \r\n \r\n$ \r\n \r\n6,366 \r\n \r\nCapital Grants and Gifts State Other \r\n \r\n$ \r\n \r\n133 \r\n \r\n$ \r\n \r\n517 \r\n \r\n49 \r\n \r\n11 \r\n \r\nTotal Capital Grants and Gifts \r\n \r\n$ \r\n \r\n182 \r\n \r\n$ \r\n \r\n528 \r\n \r\nTotal Revenues \r\n \r\n$ \r\n \r\n11 764 \r\n \r\n$ \r\n \r\n11 789 \r\n \r\nExpenses (thousands of dollars) For The Years Ended June 30, 2005 and June 30, 2004 \r\n \r\nJune 30, 2005 \r\n \r\nJune 30, 2004 \r\n \r\nOperating Expenses Instruction \r\n \r\n$ \r\n \r\n11,102 \r\n \r\n$ \r\n \r\n11,236 \r\n \r\nNonoperating Expenses Other \r\n \r\n104 \r\n \r\n59 \r\n \r\nTotal Expenses \r\n \r\n$==1=1-,2=0=6 \r\n \r\n$==1=1'-'=.2=9=5 \r\n \r\n- IV - \r\n \r\n The sources of operating revenue for the College are tuition and fees, grants and contracts, and educational activities. The increase in operating revenue of approximately $522,000 is related to increases in Tuition and Fees, Grants and Contracts, and Other Operating revenues for fiscal year 2005. \r\n \r\nTuition and Fees increased by approximately $396,000. This is directly related to an increase in Continuing Education fees as a result of the Freight Conductor program. Grants and Contracts increased by approximately $77,000 as a result of an increase in financial aid awards, mainly in the SEOG grant. Other operating revenues increased by approximately $78,000 as a result of an insurance claim on lightning damage at the beginning of the year. \r\n \r\nUnder nonoperating revenues (expenses) state appropriations decreased by approximately $85,000. While it appears that the College did not receive any additional new money from the state, the College actually had a relatively flat funding year when all things are considered. Grants and contracts decreased by approximately $158,000 primarily due to the end of the School to Work, WIA Healthcare Training, and USDA RBEG Commercial Truck Driving grants. \r\n \r\nStatement of Cash Flows \r\n \r\nThe purpose of the Statement of Cash Flows is to provide relevant information concerning the cash receipts and payments of the College during the year. It also provides information concerning the College's ability to generate future cash flows and to meet its obligations as they come due. The statement is divided into five sections. The first section reports on the operating cash flows and shows the net cash used by the operating activities of the College. The second section reflects cash flows from noncapital financing activities. The third section deals with cash flows from capital and related financing activities, which reflects the cash used for the acquisition and construction of capital related items. The fourth section reflects the cash flows from investing activities and shows the purchases, proceeds, and interest received from investing activities. The final section reconciles the net cash used to the operating income or loss reflected on the Statement of Revenues, Expenses and Changes in Net Assets. \r\n \r\nStatement of Cash Flows (thousands of dollars) \r\n \r\nJune 30, 2005 \r\n \r\nJune 30, 2004 \r\n \r\nCash Provided (Used) By: Operating Activities Noncapital Financing Activities Capital and Related Financing Activities Investing Activities \r\n \r\n$ \r\n \r\n-5,417 \r\n \r\n6,163 \r\n \r\n-373 \r\n \r\n14 \r\n \r\n$ \r\n \r\n-5,888 \r\n \r\n6,109 \r\n \r\n-250 \r\n \r\n6 \r\n \r\nNet Change in Cash Cash, Beginning of Year \r\n \r\n$ \r\n \r\n387 \r\n \r\n$ \r\n \r\n-23 \r\n \r\n200 \r\n \r\n223 \r\n \r\nCash, End of Year \r\n \r\n$=====5'='8==7 \r\n \r\n$=======20=ee0 \r\n \r\n-v- \r\n \r\n Capital Assets The College had no significant capital asset additions for facilities in the fiscal year under review. Projects funded by the Georgia State Financing and Investment Commission (GSFIC) includes approximately $115,000 in general allocation bonds. Projected funding by the GSFIC for fiscal year 2006 will be approximately $454,475. Long-Term Debt Okefenokee Technical College had a total long-term debt of $334,332.48 of which $189,496.48 was reflected as a current liability at June 30, 2005. For additional information on Long-Term Debt see Notes 1 and 7 in the Notes to the Financial Statements. Economic Outlook The College is unaware of any currently known fact, decision, or condition that is expected to have a significant effect on the financial position or change how the College operates for the next fiscal year. As in prior years, the College's overall financial position is strong. As a result, the College anticipates the next fiscal year will be much like the last and the College will maintain a close watch over resources to maintain the ability to react to unknown internal and external issues. Gail Thaxton, President Okefenokee Technical College \r\n- Vl - \r\n \r\n BASIC FINANCIAL STATEMENTS - 1- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE STATEMENT OF NET ASSETS JUNE 30, 2005 \r\nASSETS \r\nCurrent Assets Cash and Cash Equivalents Accounts Receivable Federal Financial Assistance Other Prepaid Items Inventories \r\nTotal Current Assets \r\nNoncurrent Assets Capital Assets, Net \r\nTotal Assets \r\nLIABILITIES \r\nCurrent Liabilities Salaries Payable Accounts Payable Deferred Revenue Funds Held for Others Compensated Absences \r\nTotal Current Liabilities \r\nNoncurrent Liabilities Compensated Absences \r\nTotal Liabilities \r\nNET ASSETS \r\nInvested in Capital Assets, Net of Related Debt Unrestricted \r\nTotal Net Assets \r\n \r\nEXHIBIT\"A\" \r\n \r\n$ \r\n \r\n587,044.92 \r\n \r\n110,738.36 142,343.26 \r\n29,089.72 247,323.11 \r\n \r\n$ 1,116,539.37 \r\n \r\n5,435,085.89 $ 6,551,625.26 \r\n \r\n$ \r\n \r\n28,542.17 \r\n \r\n93,351.65 \r\n \r\n78,122.70 \r\n \r\n9,380.94 \r\n \r\n189,496.48 \r\n \r\n$ \r\n \r\n398,893.94 \r\n \r\n144,836.00 \r\n \r\n$ \r\n \r\n543,729.94 \r\n \r\n$ 5,435,085.89 572,809.43 \r\n \r\n$ 6,007,895.32 \r\n \r\nThe notes to the financial statements are an integral part of this statement. -3 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS \r\nYEAR ENDED JUNE 30, 2005 \r\n \r\nEXHIBIT \"B\" \r\n \r\nOPERATING REVENUES \r\nStudent Tuition and Fees Less: Scholarship Allowances \r\nGrants and Contracts Federal \r\nRents and Royalties Sales and Services Other Operating Revenues \r\nTotal Operating Revenues \r\nOPERATING EXPENSES \r\nSalaries Employee Benefits Travel Scholarships and Fellowships Utilities Supplies and Other Services Depreciation \r\nTotal Operating Expenses \r\nOperating Income (Loss) \r\nNONOPERATING REVENUES (EXPENSES) \r\nState Appropriations Grants and Contracts \r\nFederal State Gifts Interest and Other Investment Income Other Nonoperating Expenses \r\nNet Nonoperating Revenues \r\nIncome (Loss) Before Other Revenues, Expenses, Gains, or Losses \r\nCapital Grants and Gifts State Nongovernmental \r\nTotal Other Revenues, Expenses, Gains or Losses \r\nIncrease (Decrease) in Net Assets \r\nNet Assets - Beginning of Year as Originally Reported \r\nPrior Period Adjustment (See Note 1) \r\nNet Assets - Beginning of Year, Restated \r\nNet Assets - End of Year \r\nThe notes to the financial statements are an integral part of this statement. -4 - \r\n \r\n$ 3,393,031.79 -84,377.91 \r\n1,577,003.00 6,613.00 \r\n431,569.21 93 347.49 \r\n$ 5,417,186.58 \r\n \r\n$ 5,655,273.60 1,175,692.19 88,810.37 1,408,113.09 250,894.72 2,160,001.29 363,165.21 \r\n$ 11,101,950.47 \r\n$ -5,684, 763.89 \r\n \r\n$ 4,916,024.51 \r\n \r\n986,556.10 16,251.21 \r\n231,694.05 14,241.46 \r\n-104411.44 \r\n \r\n$ 6,060,355.89 \r\n \r\n$ \r\n \r\n375,592.00 \r\n \r\n$ \r\n \r\n133,373.27 \r\n \r\n48,889.00 \r\n \r\n$ \r\n \r\n182,262.27 \r\n \r\n$ \r\n \r\n557,854.27 \r\n \r\n$ 6,154,815.36 \r\n \r\n-704,774.31 \r\n \r\n$ 5,450,041.05 \r\n \r\n$ 6,007,895.32 \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE STATEMENT OF CASH FLOWS YEAR ENDED JUNE 30. 2005 \r\nCASH FLOWS FROM OPERATING ACTIVITIES Tuition and Fees Grants and Contracts Sales and Services Payments to Suppliers Payments to Employees Payments for Scholarships and Fellowships Other Receipts (Payments) \r\nNet Cash Provided (Used) by Operating Activities \r\nCASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES State Appropriations Agency Funds Transactions Gifts and Grants Received for Other than Capital Purposes \r\nNet Cash Flows Provided (Used) by Noncapital Financing Activities \r\nCASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Capital Grants and Gifts Received Purchases of Capital Assets \r\nNet Cash Provided (Used) by Capital and Related Financing Activities \r\nCASH FLOWS FROM INVESTING ACTIVITIES Earnings on Investments \r\nNet Increase (Decrease) in Cash \r\nCash and Cash Equivalents - Beginning of Year \r\nCash and Cash Equivalents - End of Year \r\nRECONCILIATION OF OPERATING LOSS TO NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES: \r\nOperating Income (Loss) Adjustments to Reconcile Operating Income to Net Cash \r\nProvided (Used) by Operating Activities Depreciation Expense Change in Assets and Liabilities: Receivables, Net Inventories Prepaid Items Accounts Payable Salaries Payable Deferred Revenue Compensated Absences \r\nNet Cash Provided (Used) by Operating Activities \r\nNONCASH ACTIVITY Gift of Capital Assets Reducing Proceeds of Capital Grants and Gifts \r\nThe notes to the financial statements are an integral part of this statement. -5- \r\n \r\nEXHIBIT\"C\" \r\n \r\n$ 3,373,858.39 1,577,003.00 431,569.21 -3,755,656.37 -5, 735,482.42 -1,408,113.09 99,960.49 \r\n$ -5,416,860.79 \r\n \r\n$ 4,922,901.51 96,448.84 \r\n1,143,639.29 \r\n$ 6,162,989.64 \r\n \r\n$ \r\n \r\n115,183.19 \r\n \r\n-488,770.36 \r\n \r\n$ -373,587 .17 \r\n \r\n$ ---'---14=2c..c4...;_1:....;,46~ \r\n \r\n$ \r\n \r\n386,783.14 \r\n \r\n200,261.78 \r\n \r\n$ 587,044.92 \r\n \r\n$ -5,684,763.89 \r\n363,165.21 4,802.06 \r\n24,817.95 -2,795.18 -102,280.57 7,295.75 60,402.45 -87,504.57 \r\n$ -5,416,860.79 \r\n$ ==-=67=,0=7=9=.0=8 \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2005 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES \r\nREPORTING ENTITY Okefenokee Technical College is one of thirty-four (34) State supported member colleges of postsecondary education in Georgia which comprise the Georgia Department ofTechnical and Adult Education, an organizational unit of the State of Georgia. The accompanying financial statements reflect the operations of Okefenokee Technical College as a separate reporting entity. \r\nThe Technical College's Local Board of Directors is composed of eight (8) members serving staggered three-year terms who are appointed by the State Board ofTechnical and Adult Education. Appropriation of State funds is made to the Georgia Department of Technical and Adult Education by the General Assembly of Georgia. The Department's Administrative Central Office determines the amount of State appropriations to be received by Okefenokee Technical College. The Technical College does not have authority to retain unexpended State appropriations (surplus) for any given fiscal year. Accordingly, Okefenokee Technical College is considered an organizational unit ofthe Georgia Department of Technical and Adult Education for financial reporting purposes because of the significance of its legal, operational, and financial relationships as defined in Section 2100 ofthe Governmental Accounting Standards Board (GASB) Codification ofGovernmental Accounting and Financial Reporting Standards. \r\nLegally separate, tax exempt organizations whose activities primarily support member colleges of postsecondary education in Georgia which comprise the Georgia Department ofTechnical and Adult Education (an organizational unit ofthe State ofGeorgia), are considered potential component units of the State. See Note 13 for additional information. \r\nFINANCIAL STATEMENT PRESENTATION In June 1999, the GASB issued Statement No. 34, Basic Financial Statements and Management Discussion andAnalysisfor State and Local Governments. This was followed in November 1999 by GASB Statement No. 35, Basic Financial Statements and Management's Discussion and Analysis for Public Colleges and Universities. The State of Georgia implemented GASB No. 34 as ofand for the year ended June 30, 2002. As an organizational unit of the State of Georgia, the Technical College also adopted GASB Statements No. 34 and No. 35 as amended by GASB Statements No. 37 and No. 38. 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. \r\nGAAP requires that the reporting of summer school revenues and expenses be split between fiscal years rather than in one fiscal year. Due to lack ofmateriality, the Technical Colleges ofthe Georgia Department ofTechnical and Adult Education will continue to report summer revenues and expenses in the year in which the predominate activity takes place. \r\n \r\n-6 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2005 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES \r\nBASIS 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. \r\nThe 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. \r\nRESTATEMENT OF PRIOR YEAR NET ASSETS - BEGINNING OF YEAR In the prior fiscal year, the Technical College failed to properly record all of its depreciation on capital assets in accordance with the Technical College's asset capitalization policies. As a result of adjustments made to depreciable capital assets, net assets at July 1, 2004 were reduced by $704,774.31. \r\nCASH AND CASH EQUIVALENTS Cash and Cash Equivalents include petty cash and demand deposits in authorized financial institutions. \r\nACCOUNTS RECEIVABLE Accounts receivable consist oftuition and fee charges to students, allotments due from the Georgia Department of Technical and Adult Education -Administrative Central Office, reimbursements due from Federal, State, local, and private grants and contracts, and other receivables disclosed from information available. \r\nINVENTORIES Resale inventories are valued at cost using the consumption method. \r\nCAPITAL 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 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, 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 ofthe assets, \r\n-7- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2005 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES \r\nCAPITAL ASSETS generally 10 to 40 years for buildings, 15 to 25 years for infrastructure, 15 years for improvements other than buildings, 10 years for library books, and 3 to 10 years for equipment. \r\nTo fully portray capital assets acquired by the Technical Colleges of the Georgia Department of Technical and Adult Education, it is necessary to look at the activities ofthe Georgia State Financing and Investment Commission (GSFIC) - an organization that is external to both the Technical College and the Georgia Department of Technical and Adult Education. 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 the GSFIC. The bonds are issued for the purpose of acquiring capital assets and this debt constitutes direct and general obligations ofthe State of Georgia, to the payment of which the full faith, credit and taxing power of the State are pledged. \r\nFor 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 Okefenokee Technical College to be recorded as an asset on the Technical College's books. For the year ended June 30, 2005, GSFIC did not transfer any capital additions to Okefenokee Technical College. \r\nDEFERRED 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. \r\nCOMPENSATED 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. Okefenokee Technical College had an accrued liability for compensated absences in the amount of $421,837.05 as of July 1, 2004. For fiscal year 2005, $311,764.76 was earned in compensated absences and employees were paid $399,269.33, for a net decrease of$87,504.57. The ending balance as ofJune 30, 2005 in accrued liability for compensated absences was $334,332.48. \r\nNONCURRENT LIABILITIES Noncurrent liabilities include liabilities that will not be paid within the next fiscal year. \r\nNET ASSETS The Technical College's net assets are classified as follows: \r\nInvested in capital assets, net ofrelated debt: This amount represents the Technical College's total investment in capital assets, net ofoutstanding 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 \r\n-8 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2005 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES \r\nNET ASSETS as a component of invested in capital assets, net ofrelated debt. (The term \"debt obligations\" as used in this definition does not include debt of the GSFIC as discussed above.) \r\nUnrestricted net assets: 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 $996.69. Unexpended state appropriations must be refunded to the Department of Technical and Adult Education for remittance to the Office of Treasury and Fiscal Services. \r\nWhen 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. \r\nINCOME TAXES Okefenokee 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. \r\nCLASSIFICATION OF REVENUES The Technical College has classified its revenues as either operating or nonoperating revenues in the Statement of Revenues, Expenses and Changes in Net Assets according to the following criteria: \r\nOperating revenues: Operating revenues include activities that have the characteristics ofexchange 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. \r\nNonoperating 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, Reporting Cash Flows ofProprietary andNonexpendable Trust Funds and Governmental Entities That Use Proprietary Fund Accounting, and GASB No. 34, such as state appropriations and investment income. \r\nSCHOLARSHIP 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 \r\n-9- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2005 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES \r\nSCHOLARSHIP ALLOWANCES 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 revenue for scholarship allowances. \r\nNOTE 2: DEPOSITS \r\nDEPOSITS 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: \r\n1. Bonds, bills, certificates of indebtedness, notes, or other direct obligations of the United States or of the State of Georgia. \r\n2. Bonds, bills, certificates of indebtedness, notes, or other obligations of the counties or municipalities of the State of Georgia. \r\n3. Bonds of any public authority created by the laws ofthe State of Georgia, providing that the statute that created the authority authorized the use of the bonds for this purpose. \r\n4. Industrial revenue bonds and bonds of development authorities created by the laws of the State of Georgia. \r\n5. Bonds, bills, certificates of indebtedness, notes, or other obligations of a subsidiary corporation ofthe 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. \r\n6. Guarantee or insurance of accounts provided by the Federal Deposit Insurance Corporation. \r\nAs 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 Okefenokee Technical College), the option of exempting demand deposits from the collateral requirements. \r\n \r\n- 10 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2005 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 2: DEPOSITS \r\n \r\nDEPOSITS At June 30, 2005, Okefenokee Technical College's bank balance was $965,659.97. Ofthis balance, $865,659.97 was collateralized with securities held by the financial institution's trust department or agency, but not in the Technical College's name. \r\n \r\nNOTE 3: ACCOUNTS RECEIVABLE \r\n \r\nAccounts receivable at June 30, 2005, consists of the following: \r\n \r\nStudent Tuition and Fees Gifts - GSFIC Federal, State and Private Funds Other \r\n \r\n$ 58,400.47 52,270.00 114,180.49 28,230.66 \r\n \r\nTotal Accounts Receivable \r\n \r\n$ 253,081.62 \r\n \r\nNOTE 4: INVENTORIES \r\n \r\nInventories at June 30, 2005, consists of the following: \r\n \r\nBookstore Other \r\n \r\n$ 246,690.21 632.90 \r\n \r\nTotal \r\n \r\n$ 247,323.11 \r\n \r\nNOTE 5: CAPITAL ASSETS \r\n \r\nFollowing are the changes in capital assets for the year ended June 30, 2005: \r\n \r\n- 11 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2005 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTES: CAPITAL ASSETS \r\n \r\nBalance July 1, 2004 (Restated) \r\n \r\nAdditions \r\n \r\nReductions \r\n \r\nBalance June 30, 2005 \r\n \r\nCapital Assets, Not Being Depreciated: \r\n \r\nLand and Land Improvements \r\n \r\n$ \r\n \r\nConstruction Work-In-Progress \r\n \r\n783,999.84 $ 73,373.20 \r\n \r\n0.00 $ \r\n \r\n0.00 $ 783,999.84 73,373.20 \r\n \r\nTotal Capital Assets Not Being Depreciated \r\n \r\n$ 857,373.04 $ \r\n \r\n0.00 $ \r\n \r\n0.00 $ 857,373.04 \r\n \r\nCapital Assets, Being Depreciated: \r\n \r\nBuilding and Building Improvements $ 5,008,553.00 \r\n \r\nImprovements Other Than Buildings \r\n \r\n144,920.00 $ \r\n \r\nEquipment \r\n \r\n1,468,251.39 \r\n \r\nLibrary Collections \r\n \r\n101,087.97 \r\n \r\n238,540.00 289,618.29 $ \r\n27,691.15 \r\n \r\n$ \r\n68,394.30 1,843.56 \r\n \r\n5,008,553.00 383,460.00 \r\n1,689,475.38 126,935.56 \r\n \r\n$ 6,722,812.36 $ 555,849.44 $ 70,237.86 $ 7,208,423.94 \r\n \r\nLess: Accumulated Depreciation: Buildings and Building Improvements $ Improvements Other Than Buildings Equipment Library Collections \r\n \r\n1,189,751.33 $ 144,920.00 975,878.39 27,015.52 \r\n \r\n113,705.82 3,975.67 \r\n232,414.62 $ 13,069.10 \r\n \r\n$ \r\n68,394.30 1,625.06 \r\n \r\n1,303,457.15 148,895.67 \r\n1,139,898.71 38,459.56 \r\n \r\n$ 2,337,565.24 $ 363,165.21 $ 70,019.36 $ 2,630,711.09 \r\n \r\nTotal Capital Assets, Being Depreciated, \r\n \r\nNet \r\n \r\n$ 4,385,247.12 $ 192,684.23 $ \r\n \r\n218.50 $ 4,577,712.85 \r\n \r\nCapital Assets, Net \r\n \r\n$ 5 242,620.16 $ 192 684 23 $ \r\n \r\n218 50 $ 5 435.085.89 \r\n \r\nNOTE 6: DEFERRED REVENUE \r\n \r\nDeferred revenue at June 30, 2005, consists of the following: \r\n \r\nPrepaid Tuition and Fees \r\n \r\n$ 78,122.70 \r\n \r\nNOTE 7: LONG-TERM LIABILITIES \r\n \r\nLong-Term liability activity for the year ended June 30, 2005, was as follows: \r\n \r\nOther Liabilities Compensated Absences \r\n \r\nBalance July 1, 2004 \r\n \r\nAdditions \r\n \r\nReductions \r\n \r\nBalance June 30, 2005 \r\n \r\nCurrent Portion \r\n \r\n$ 421,837.05 $ 3 I 1,764.76 $ 399 269 33 $ 334 332 48 $ 189,496.48 \r\n \r\nNOTE 8: NET ASSETS \r\n \r\nChanges in Net Asset activity for the year ended June 30, 2005 was as follows: \r\n \r\n- 12 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2005 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 8: NET ASSETS \r\nInvested in Capital Assets Net of Related Debt \r\nUnrestricted Net Assets Total Net Assets \r\n \r\nBalance July I, 2004 (Restated} \r\n \r\nAdditions \r\n \r\nReductions \r\n \r\nBalance June 30, 2005 \r\n \r\n$ 5,242,620.16 $ 192,684.23 $ \r\n \r\n218.50 $ 5,435,085.89 \r\n \r\n207,420.89 11,581,953.91 11,216,565.37 \r\n \r\n572,809.43 \r\n \r\n$ 5 450,041.05 $ 11 1'.24,638 14 $ l l,216,:Z83.8:Z $ 6 00:Z 825 32 \r\n \r\nNOTE 9: RETIREMENT PLANS \r\n \r\nTEACHERS RETIREMENT SYSTEM OF GEORGIA \r\n \r\nPlan Description Okefenokee Technical College participates in the Teachers Retirement System ofGeorgia (TRS), a cost-sharing multiple-employer defined benefit pension plan established by the General Assembly of Georgia for the purpose of providing retirement allowances and other benefits for teachers of the State ofGeorgia. TRS provides service retirement, disability retirement, and survivor's benefits for its members in accordance with State statute. The Teachers Retirement System ofGeorgia issues a separate stand alone financial audit report and a copy can be obtained from the TRS offices or from the Georgia Department of Audits and Accounts. \r\n \r\nFunding Policy Employees ofOkefenokee Technical College who are covered by TRS are required by State statute to contribute 5% of their gross earnings to TRS. Okefenokee Technical College makes monthly employer contributions to TRS at rates adopted by the TRS Board of Trustees in accordance with State statute and as advised by their independent actuary. For fiscal year 2005, the employer contribution rate was 9.24% for covered employees. Employer contributions for the current fiscal year and the preceding two fiscal years are as follows: \r\n \r\nFiscal Year \r\n \r\nPercentage Contributed \r\n \r\nRequired Contribution \r\n \r\n2005 2004 2003 \r\n \r\n100% 100% 100% \r\n \r\n$ 367,766.38 $ 370,584.92 $ 370,082.71 \r\n \r\nEMPLOYEES' RETIREMENT SYSTEM OF GEORGIA \r\n \r\nPlan Description Okefenokee Technical College participates in the Employees' Retirement System ofGeorgia (ERS), a single-employer defined benefit pension plan established by the General Assembly ofGeorgia for the purpose of providing retirement allowances for employees of the State of Georgia. \r\n \r\n- 13 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2005 \r\n \r\nEXHIBIT\"D\" \r\n \r\nNOTE 9: RETIREMENT PLANS \r\nEMPLOYEES' RETIREMENT SYSTEM OF GEORGIA \r\nPlan Description The benefit structure of ERS is defined by State statute and was significantly modified on July 1, 1982. Unless elected 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. All other members are \"new plan\" members subject to the modified plan provisions. \r\nUnder both the old plan and new plan, members become vested after 10 years ofcreditable service. A member may retire and receive normal retirement benefits after completion of 10 years of creditable service and attainment of age 65. If 10 years of service is completed and age 60 is reached, the member may retire with a reduced benefit. Additionally, there are certain provisions allowing for retirement after 25 years of service regardless of age. \r\nRetirement benefits paid to members are based upon a formula which considers the monthly average of the member's highest twenty-four consecutive calendar months of salary, the number ofyears of creditable service, and the member's age at retirement. Postretirement cost-of-living adjustments are also made to member's benefits. The normal retirement pension is payable monthly for life; however, options are available for distribution ofthe 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. \r\nIn addition, the ERS Board of Trustees created the Supplemental Retirement Benefit Plan (SRBP) effective January 1, 1998. The SRBP was established as a qualified governmental excess benefit plan in accordance with Section 415 ofthe Internal Revenue Code (IRC) as a portion ofERS. The purpose of SRBP is to provide retirement benefits to employees covered by ERS whose benefits are otherwise limited by IRC 415. \r\nThe ERS issues a financial report each fiscal year which may be obtained through ERS. \r\nFunding Policy As established by State statute, all full-time employees of the State of Georgia and its political subdivisions, who are not members ofother state retirement systems, are eligible to participate in the ERS. Both employer and employee contributions are established by State statute. The Technical College's payroll for the year ended June 30, 2005, for employees covered by ERS was $651,076.00. The Technical College's total payroll for all employees was $5,655,273.60. \r\nUnder the old plan, member contributions consist of 7.16% of annual compensation. Of these member contributions, the employee pays the first 1.5% and the Technical College pays the remainder on behalf ofthe employee. Under the new plan, member contributions consist solely of 1.5% of annual compensation paid by employee. The Technical College also is required to \r\n- 14 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2005 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 9: RETIREMENT PLANS \r\nEMPLOYEES' RETIREMENT SYSTEM OF GEORGIA \r\nFunding Policy contribute at a specified percentage of active member payroll determined annually by actuarial valuation. For the year ended June 30, 2005, the ERS employer contribution rate for the Technical College amounted to 10.41 % of covered payroll and included the amounts contributed on behalf of the employee under the old plan referred to above. Employer contributions are also made on amounts paid for accumulated leave to retiring employees. \r\nTotal contributions to the plan made during fiscal year 2005 amounted to $77,545.12, of which $67,778.29 was made by the Technical College and $9,766.83 was made by employees. These contributions met the requirements of the plan. \r\nActuarial and Trend Information Actuarial and historical trend information is presented in the ERS June 30, 2005, financial report which may be obtained through ERS. \r\nGEORGIA DEFINED CONTRIBUTION PLAN \r\nPlan Description Okefenokee 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 ofproviding 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. \r\nBenefits A member may retire and elect to receive periodic payments after attainment ofage 65. The payment will be based upon mortality tables and interest assumptions to be adopted by the Board ofTrustees. Ifa member has less than $3,500.00 credited to his/her account, the Board ofTrustees has the option ofrequiring a lump sum distribution to the member in lieu ofmaking periodic payments. Upon the death ofa 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. \r\nThe Employees' Retirement System ofGeorgia issues a financial report each fiscal year which may be obtained through ERS. \r\nContributions and Vesting Member contributions are seven and one-halfpercent (7.5%) ofgross 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 \r\n- 15 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2005 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 9: RETIREMENT PLANS \r\nGEORGIA DEFINED CONTRIBUTION PLAN \r\nContributions and Vesting 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, 2005, for employees covered by GDCP was $532,668.52. The Technical College's total payroll for all employees was $5,655,273.60. \r\nTotal contributions made by employees during fiscal year 2005 amounted to $39,950.48 which represents 7.5% of covered payroll. These contributions met the requirements of the plan. \r\nNOTE 10: RISK MANAGEMENT \r\nPublic Entity Risk 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 ofGeorgia. This plan is funded by participants covered in the plan, by employers' contributions paid by the various units ofgovernment participating in the plan, and appropriations made by the General Assembly of Georgia. The Department ofCommunity Health has contracted with Blue Cross Blue Shield ofGeorgia to process medical claims and Express Scripts, Incorporated to process prescription drug claims in accordance with the State Employees' Health Benefit Plan as established by the Department of Community Health. \r\nOther Risk Management The Department ofAdministrative Services (DOAS) has the responsibility for the State of Georgia ofmaking and carrying out decisions that will minimize the adverse effects ofaccidental 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 Georgia Department of Technical and Adult Education, 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. \r\nNOTE 11: CONTINGENCIES \r\nAmounts 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 \r\n- 16 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2005 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 11: CONTINGENCIES \r\nunder grant terms. The amount of expenses which may be disallowed by the grantor cannot be determined at this time although Okefenokee Technical College expects such amounts, ifany, to be immaterial to its overall financial position. \r\nLitigation, claims and assessments filed against Okefenokee Technical College (an organizational unit of the Department of Technical and Adult Education), 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, 2005. \r\nNOTE 12: NATURAL CLASSIFICATIONS WITH FUNCTIONAL CLASSIFICATIONS \r\nThe 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. \r\nNOTE 13: AFFILIATED ORGANIZATIONS \r\nIn accordance with GASB Statement No. 39, Determining Whether Certain Organizations are Component Units, an amendment ofGASB Statement No. 14, The Reporting Entity, which became effective for the year ended June 30, 2004, Okefenokee Technical College Foundation is a legally separate, tax exempt organization whose activities primarily support Okefenokee Technical College, a member college of postsecondary education in Georgia whose units comprise the Department of Technical and Adult Education (an organizational unit of the State of Georgia). Okefenokee Technical College Foundation was reported as a component unit ofthe State of Georgia for the year ended June 30, 2004, based on its significance to Okefenokee Technical College. For the year ended June 30, 2005, the State Accounting Office determined Component Units ofthe State of Georgia, as required by GASB Statement No. 39, should not be assessed in relation to their significance to individual Technical Colleges, but instead based on their significance to the State of Georgia. Accordingly, Okefenokee Technical College has not included financial activity for Okefenokee Technical College Foundation in these financial statements. \r\n \r\n- 17 - \r\n \r\n SUPPLEMENTARY INFORMATION - 19- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE SCHEDULE OF FUNDS AVAILABLE AND EXPENDITURES \r\nCOMPARED TO BUDGET - (NON-GMP BASIS} BUDGET FUND \r\n\"A\" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION YEAR ENDED JUNE 30, 2005 \r\n \r\nSCHEDULE \"1\" \r\n \r\nFUNDS AVAILABLE REVENUES \r\nState Appropriation Federal Revenues Other Revenues Retained \r\nCARRY-OVER FROM PRIOR YEAR Transfer from Reserved Fund Balance \r\n \r\nBUDGET \r\n \r\nACTUAL (1) \r\n \r\nVARIANCEFAVORABLE (UNFAVORABLE) \r\n \r\n$ 4,916,030.00 $ 4,916,024.51 $ \r\n \r\n1,121,480.39 \r\n \r\n1,082,563.08 \r\n \r\n4,013,985.98 \r\n \r\n3,987,304.76 \r\n \r\n$ 10,051,496.37 $ 9,985,892.35 $ \r\n \r\n-5.49 -38,917.31 -26,681.22 \r\n-65,604.02 \r\n \r\n0.00 \r\n \r\n134,365.75 \r\n \r\n134,365.75 \r\n \r\n$ 10,051,496.37 $ 10,120,258.10 $ \r\n \r\n68,761.73 \r\n \r\nEXPENDITURES \r\nPersonal Services - Institutions Operating Expenses - Institutions Adult Literacy Grants \r\n \r\n$ 6,376,145.61 $ 6,361,150.67 $ \r\n \r\n2,962,233.78 \r\n \r\n2,935,402.37 \r\n \r\n713,116.98 \r\n \r\n700,345.28 \r\n \r\n14,994.94 26,831.41 12,771.70 \r\n \r\n$ 10,051,496.37 $ 9,996,898.32 $ _ _ _5_4_,5_9_8._05_ \r\n \r\nExcess of Funds Available over Expenditures \r\n \r\n$ \r\n \r\n123,359.78 $ ======12=3=,3=5=9.=78= \r\n \r\n(1) Actual amounts were 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. \r\n \r\n- 21 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE RECONCILIATION OF SALARIES AND TRAVEL \r\nYEAR ENDED JUNE 30, 2005 \r\n \r\nSCHEDULE \"2\" \r\n \r\nTotals per Annual Supplement \r\nAccruals June 30, 2004 June 30, 2005 \r\nCompensated Absences June 30, 2004 June 30, 2005 \r\n \r\nSALARIES \r\n$ 5,715,169.57 $ \r\n \r\nTRAVEL 88,810.37 \r\n \r\n-21,246.42 28,542.17 \r\n \r\n-396,745.67 329,553.95 \r\n \r\n$ 5,655,273.60 $ ===88=,8=1=0=.3=7 \r\n \r\n- 23- \r\n \r\n SECTION II FINDINGS AND QUESTIONED COSTS \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE SCHEDULE OF FINDINGS AND QUESTIONED COSTS \r\nYEAR ENDED JUNE 30, 2005 \r\nFINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS No matters were reported. FEDERAL AWARD FINDINGS AND QUESTIONED COSTS No matters were reported. \r\n \r\n "},{"id":"dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2003-h2004","title":"Management report, Okefenokee Technical College, Waycross, Georgia, an organizational unit of the state of Georgia, year ended June 30, 2004","collection_id":"dlg_ggpd","collection_title":"Georgia Government Publications","dcterms_contributor":["Georgia. Department of Audits and Accounts, issuing body."],"dcterms_spatial":["United States, Georgia, Ware County, Waycross, 31.21368, -82.3557"],"dcterms_creator":["Georgia. Department of Audits and Accounts"],"dc_date":["2003/2004"],"dcterms_description":["Began with: Fiscal year ended June 30, 2004.","Report year covers fiscal year.","For some years, report may be issued instead called: Okefenokee Technical College, Waycross, Georgia, independent accountant's report on applying agreed-upon procedures for the fiscal year ended ...; or: Okefenokee Technical College, Waycross, Georgia, management report for fiscal year ended ...","No more published after 2013; in 2014, Altamaha Technical College (Ga.) and Okefenokee Technical College (Ga.) merged to form Coastal Pines Technical College (Ga.)","Description based primarily on print version record.","Fiscal year ended June 30, 2008 (Georgia Government Publications database, viewed November 8, 2023)."],"dc_format":["application/pdf"],"dcterms_identifier":null,"dcterms_language":["eng"],"dcterms_publisher":["Atlanta, GA : Georgia. Dept. of Audits and Accounts, 2004-06-30"],"dc_relation":null,"dc_right":["http://rightsstatements.org/vocab/InC/1.0/"],"dcterms_is_part_of":null,"dcterms_subject":["Okefenokee Technical College--Appropriations and expenditures","Education--Auditing--Georgia","Auditors' reports--Georgia"],"dcterms_title":["Management report, Okefenokee Technical College, Waycross, Georgia, an organizational unit of the state of Georgia, year ended June 30, 2004"],"dcterms_type":["Text"],"dcterms_provenance":["University of Georgia. Map and Government Information Library"],"edm_is_shown_by":["https://dlg.galileo.usg.edu/do:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2003-h2004"],"edm_is_shown_at":["https://dlg.galileo.usg.edu/id:dlg_ggpd_y-ga-ba800-b-pr1-bv6-bo38-b2003-h2004"],"dcterms_temporal":null,"dcterms_rights_holder":null,"dcterms_bibliographic_citation":null,"dlg_local_right":null,"dcterms_medium":["state government records"],"dcterms_extent":null,"dlg_subject_personal":null,"iiif_manifest_url_ss":null,"dcterms_subject_fast":null,"fulltext":"STATE OF GEORGIA DEPARTMENT OF AUDITS AND ACCOUNTS \r\nI \r\nOKEFENOKEE TECHNICAL COLLEGE WAYCROSS, GEORGIA \r\nREPORT ON AUDIT OF THE FINANCIAL STATEMENTS FOR THE FISCAL YEAR ENDED JUNE 30, 2004 \r\nRussell W. Hinton State Auditor \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE -TABLE OF CONTENTS- \r\n \r\nSECTION I \r\n \r\nFINANCIAL \r\n \r\nINDEPENDENT AUDITOR'S COMBINED REPORT ON BASIC FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION \r\n \r\nREQUIRED SUPPLEMENTARY INFORMATION \r\n \r\nMANAGEMENT'S DISCUSSION AND ANALYSIS \r\n \r\nBASIC FINANCIAL STATEMENTS \r\n \r\nEXHIBITS \r\n \r\nA STATEMENT OF NET ASSETS \r\n \r\n3 \r\n \r\nB STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS \r\n \r\n4 \r\n \r\nC STATEMENT OF CASH FLOWS \r\n \r\n5 \r\n \r\nD NOTES TO THE FINANCIAL STATEMENTS \r\n \r\n7 \r\n \r\nSUPPLEMENTARY INFORMATION \r\n \r\nSCHEDULES \r\n \r\n1 SCHEDULE OF FUNDS AVAILABLE AND EXPENDITURES \r\n \r\nCOMPARED TO BUDGET - (NON-GAAP BASIS) \r\n \r\nBUDGET FUND \r\n \r\n\"A\" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION \r\n \r\n23 \r\n \r\n2 RECONCILIATION OF SALARIES AND TRAVEL \r\n \r\n25 \r\n \r\nSECTION II CURRENT YEAR FINDINGS AND QUESTIONED COSTS SCHEDULE OF FINDINGS AND QUESTIONED COSTS \r\n \r\n SECTION I FINANCIAL \r\n \r\n Russell W. Hinton \r\nSTATE AUDITOR \r\n(404) 656-2174 \r\n \r\nDEPARTMENT OF AUDITS AND ACCOUNTS \r\n254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 \r\nOctober 28, 2004 \r\n \r\nHonorable Sonny Perdue, Governor Members ofthe General Assembly of Georgia Members of the State Board of Technical and Adult Education Members ofthe Local Board of Directors \r\nand Honorable John Pike, President Okefenokee Technical College \r\nINDEPENDENT AUDITOR'S COMBINED REPORT ON BASIC FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION \r\nLadies and Gentlemen: \r\nWe have audited the accompanying basic financial statements ofOkefenokee Technical College, an organizational unit ofthe State ofGeorgia, and its' aggregate discretely presented component unit as ofand for the year ended June 30, 2004, as listed in the table ofcontents. These financial statements are the responsibility of the Okefenokee Technical College's management. Our responsibility is to express an opinion on these financial statements based on our audit. We did not audit the financial statements ofOkefenokee Technical College's discretely presented component unit. Those financial statements were audited by other auditors whose report thereon has been furnished to us, and our opinion, insofar as it relates to the amounts included for Okefenokee Technical College Foundation, Inc. is based on the report of the other auditors. \r\nWe conducted our audit in accordance with auditing standards generally accepted in the United States ofAmerica. 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 examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes 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 and the report of other auditors provide a reasonable basis for our opinions. \r\nAs discussed in Note 1, the financial statements of Okefenokee Technical College are intended to present the financial position and changes in financial position (including cash flows) of only that portion ofthe business-type activities ofthe State ofGeorgia that is attributable to the transactions of Okefenokee Technical College. They do not purport to, and do not, present fairly the financial \r\n04ARL-1TC \r\n \r\n position and changes in financial position (including cash flows) of the State of Georgia, in conformity with accounting principles generally accepted in the United States of America. \r\nIn our opinion, based on our audit and the report of other auditors, the financial statements referred to above present fairly, in all material respects, the financial position of Okefenokee Technical College and of its aggregate discretely presented component unit as of June 30, 2004, and the respective changes in financial position and cash flows, where applicable, thereof for the year then ended in conformity with accounting principles generally accepted in the United States ofAmerica. \r\nAs discussed in Note 1, the Okefenokee Technical College adopted the provisions of the Governmental Accounting Standards Board, Statement Number 39, Determining Whether Certain Organizations are Component Units during the year ended June 30, 2004. \r\nManagement's Discussion and Analysis is not a required part ofthe basic financial statements but is supplementary information required by accounting principles generally accepted in the United States of America. We and the other auditors have applied certain limited procedures, which consisted principally of inquiries of management regarding the methods of measurement and presentation of the required supplementary information. However, we did not audit this information and express no opinion on it. \r\nOur audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the Okefenokee Technical College's basic financial statements. The accompanying supplementary information (Schedules 1 and 2) is presented for purposes of additional analysis and is not a required part ofthe basic financial statements. Such information has been subjected to the auditing procedures applied by us in the audit ofthe basic financial statements and, in our opinion, based on our audit, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. \r\nRespectfully submitted, \r\n \r\nRWH:gp 04ARL-1TC \r\n \r\nState Auditor \r\n \r\nIt).~ \r\n \r\n REQUIRED SUPPLEMENTARY INFORMATION \r\n \r\n Okefenokee Technical College Management's Discussion and Analysis \r\nThe following is management's discussion and analysis of Okefenokee Technical College's financial performance for the fiscal year ending June 30, 2004 with comparative data from fiscal year ending June 30, 2003. This discussion has been prepared by and is the responsibility of management. \r\nOverview ofthe Financial Statements and Financial Analysis \r\nThis annual report consists of a series of financial statements prepared in accordance with the rules and regulations established by the Governmental Accounting Standards Board. \r\nThere 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 College's finances and activities as a whole and assists with providing an answer to the question \"Is the 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. \r\nThe Statement of Cash Flows is a valuable tool when evaluating the ability of the 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. \r\nThis discussion and analysis of the College's financial statements provides an overview of its financial activities for the year. \r\nStatement ofNet Assets \r\nThe 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 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. \r\n- 1- \r\n \r\n Net assets are divided into three major categories. The first category, invested in capital assets, net of debt, provides information concerning the College's equity in property, plant and equipment owned by the College. The second category is restricted net assets. Expendable restricted net assets are available for expenditure by the 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 College for any lawful purpose deemed necessary to operate the College. \r\n \r\nStatement ofNet Assets (thousands of dollars) \r\n \r\nJune 30, 2004 \r\n \r\nJune 30, 2003 \r\n \r\nAssets Current Assets Capital Assets, Net \r\n \r\n$ \r\n \r\n862 \r\n \r\n$ \r\n \r\n753 \r\n \r\n5 947 \r\n \r\n5,485 \r\n \r\nTotal Assets \r\n \r\n$_ _~6,~80~9 \r\n \r\n$_ _\"\"\"'6,=23'---\"-8 \r\n \r\nLiabilities Current Liabilities Noncurrent Liabilities \r\n \r\n$ \r\n \r\n462 \r\n \r\n$ \r\n \r\n381 \r\n \r\n192 \r\n \r\n174 \r\n \r\nTotal Liabilities \r\n \r\n$_ _-----\"-'65'--'-4 \r\n \r\n$_ _---=--:55;.::.5 \r\n \r\nNet Assets Invested in Capital Assets, Net of Debt Restricted - Expendable Unrestricted \r\n \r\n$ \r\n \r\n5,947 \r\n \r\n208 \r\n \r\n$ \r\n \r\n5,485 \r\n \r\n3 \r\n \r\n195 \r\n \r\nTotal Net Assets \r\n \r\n$==~6,-15==5 \r\n \r\n$==\"\"\"5.==68..3.. \r\n \r\nThe total assets of the College increased by approximately $571,000 from the prior year. This can be mainly attributed to an increase of approximately $462,000 in capital assets. This increase in assets follows the institutional philosophy to use available resources to acquire and improve all areas of the College to better serve the instruction and public service missions of the College. \r\n \r\nTotal liabilities for the fiscal year increased by approximately $99,000, primarily due to an increase of approximately $81,000 in current liabilities. Due to budget cuts incurred earlier in the year, orders for needed goods and services were delayed until near the end of the year resulting in the increase in current liabilities. The combination of the increase in total assets of approximately $571,000 and the increase in total liabilities of approximately $99,000 yields an increase in total net assets of approximately $472,000. The increase in total net assets is primarily in the category of invested in capital assets, net of debt which increased approximately $462,000. \r\n \r\n- 11 - \r\n \r\n Statement ofRevenues, Expenses and Changes in Net Assets \r\n \r\nThe purpose of the Statement of Revenues, Expenses and Changes in Net Assets is to present the revenues received by the College, both operating and nonoperating, and the expenses incurred by the College, operating and nonoperating, and any other revenues, expenses, gains and losses received or spent by the College during the fiscal year. Changes in total net assets as presented on the Statement of Net Assets are based on the information presented in the Statement of Revenues, Expenses and Changes in Net Assets. \r\n \r\nOperating revenues are received for providing goods and/or services to various customers and constituencies of the College. Operating expenses are those expenses paid to acquire or produce the goods and/or services provided in return for the operating revenues, and to carry out the mission of the College. Therefore, nonoperating revenue is received when no goods or services are provided in exchange for the revenue. With the issuance of Statement No. 35, new guidelines were established by the Governmental Accounting Standards Board (GASB), which changed the classifications of state appropriations and gifts from operating to nonoperating revenue. This change may result in an operating deficit that is offset by a nonoperating surplus. \r\n \r\nStatement of Revenues, Expenses and Changes in Net Assets (Thousands of dollars) \r\n \r\nJune 30, 2004 \r\n \r\nJune 30, 2003 \r\n \r\nOperating Revenues Operating Expenses \r\n \r\n$ \r\n \r\n4,895 \r\n \r\n11,236 \r\n \r\n$ \r\n \r\n4,245 \r\n \r\n10,487 \r\n \r\nOperating Gain/Loss \r\n \r\n$ \r\n \r\n-6,341 \r\n \r\n$ \r\n \r\n-6,242 \r\n \r\nNonoperating Revenues and Expenses \r\n \r\n6,307 \r\n \r\n6,186 \r\n \r\nIncome (Loss) Before Other Revenues, Expenses, Gains or Losses \r\n \r\n$ \r\n \r\n-34 \r\n \r\n$ \r\n \r\n-56 \r\n \r\nOther Revenues, Expenses, Gains or Losses \r\n \r\n528 \r\n \r\n54 \r\n \r\nIncrease (Decrease) in Net Assets \r\nNet Assets at Beginning of Year, as Originally Reported \r\n \r\n$_ _----'-'49:.._:.4 \r\n \r\n$ \r\n \r\n5,683 \r\n \r\n$- - - -2 \r\n \r\n$ \r\n \r\n5,685 \r\n \r\nPrior Period Adjustment \r\n \r\n-22 \r\n \r\nNet Assets at Beginning of Year Restated \r\n \r\n$_ _~5,~66~1 \r\n \r\n$_ _~5,~68~5 \r\n \r\nNet Assets at End of Year \r\n \r\n$====6-,1=5==5 \r\n \r\n$===\"5==.6==8==3 \r\n \r\n-111- \r\n \r\n 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, Expenses and Changes in Net Assets are as follows: \r\n \r\nRevenue By Source (thousands of dollars) \r\n \r\nJune 30, 2004 \r\n \r\nJune 30, 2003 \r\n \r\nOperating Revenue Tuition and Fees Grants and Contracts Rents and Royalties Sales and Services of Educational Departments Other \r\n \r\n$ \r\n \r\n2,913 \r\n \r\n$ \r\n \r\n2,378 \r\n \r\n1,500 \r\n \r\n1,241 \r\n \r\n10 \r\n \r\n13 \r\n \r\n457 \r\n \r\n609 \r\n \r\n15 \r\n \r\n4 \r\n \r\nTotal Operating Revenue \r\n \r\n$ \r\n \r\n4 895 \r\n \r\n$ \r\n \r\n4,245 \r\n \r\nNonoperating Revenue State Appropriations Federal Grants and Contracts Nonoperating Gifts Investment Income Other \r\n \r\n$ \r\n \r\n5,001 \r\n \r\n1,161 207 5 -8 \r\n \r\n$ \r\n \r\n4,772 \r\n \r\n1,278 234 9 -107 \r\n \r\nTotal Nonoperating Revenue \r\n \r\n$ \r\n \r\n6,366 \r\n \r\n$ \r\n \r\n6,186 \r\n \r\nCapital Gifts and Grants State Other \r\n \r\n$ \r\n \r\n517 \r\n \r\n$ \r\n \r\n54 \r\n \r\n11 \r\n \r\nTotal Capital Gifts and Grants \r\n \r\n$ \r\n \r\n528 \r\n \r\n$ \r\n \r\n54 \r\n \r\nTotal Revenues \r\n \r\n$ \r\n \r\n11,789 \r\n \r\n$ \r\n \r\n10A85 \r\n \r\nOperating Expenses (thousands of dollars) \r\nOperating Expenses Instruction \r\nNonoperating Expenses Other Total Expenses \r\n \r\nJune 30, 2004 \r\n \r\n$ \r\n \r\n11,236 \r\n \r\n59 $==1=1,==29===5 \r\n \r\n- IV - \r\n \r\nJune 30, 2003 \r\n \r\n$ \r\n \r\n10,487 \r\n \r\n$==1='0,==48==7 \r\n \r\n Tuition and Fees increased by approximately $535,000. This is directly related to the increased enrollment of 4% in credit programs from fiscal year 2003, 3.85% tuition increase, and an increased enrollment in non-credit programs. Additionally, our Childcare Center fees were reclassified from Sales and Services of Educational Departments to Tuition and Fees, which accounts for approximately $198,000 of this increase. \r\nGrants and Contracts increased by approximately $259,000 as a result of increases in student financial aid and the reclassification of approximately $80,000 of Federal Work Study as operating revenue from nonoperating revenue. \r\nUnder nonoperating revenues, State appropriations increased by approximately $229,000. While it appears that the College received additional new money from the state, given the mandatory cost increases of various expense categories as well as the decrease in Federal nonoperating grants and contract revenues of approximately $117,000, the College actually had a relatively flat funding year when all things are considered. \r\nPersonal Services expenses increased by approximately $371,000 because additional positions were filled due to enrollment increases. \r\nRepairs/Maintenance and Improvements increased by approximately $101,000 during the past year due to several renovations projects that were completed in fiscal year 2004. \r\nSupplies increased by approximately $156,000 as a result of increased enrollment and release of long delayed purchases due to earlier budget shortfalls. \r\nAnother direct result of increased enrollment was an approximate $108,000 increase in financial aid disbursed directly to the students due to increased total Pell and SEOG awards. \r\nStatement ofCash Flows \r\nThe purpose of the Statement of Cash Flows is to provide relevant information concerning the cash receipts and payments of the College during the year. It also provides information concerning the College's ability to generate future cash flows and to meet its obligations as they come due. The statement is divided into five sections. The first section reports on the operating cash flows and shows the net cash used by the operating activities of the College. The second section reflects cash flows from noncapital financing activities. The third section deals with cash flows from capital and related financing activities, which reflects the cash used for the acquisition and construction of capital related items. The fourth section reflects the cash flows from investing activities and shows the purchases, proceeds, and interest received from investing activities. The final section reconciles the net cash used to the operating income or loss reflected on the Statement of Revenues, Expenses and Changes in Net Assets. \r\n-v- \r\n \r\n Statement of Cash Flows (thousands of dollars) \r\nCash Provided (Used) By: Operating Activities Noncapital Financing Activities Capital and Related Financing Activities Investing Activities \r\nNet Change in Cash Cash, Beginning of Year \r\nCash, End of Year \r\n \r\nJune 30, 2004 \r\n \r\n$ \r\n \r\n-5,888 \r\n \r\n6,109 \r\n \r\n-250 \r\n \r\n6 \r\n \r\n$ \r\n \r\n-23 \r\n \r\n223 \r\n \r\n$ \r\n \r\n200 \r\n \r\nJune 30, 2003 \r\n \r\n$ \r\n \r\n-6,145 \r\n \r\n6,399 \r\n \r\n-120 \r\n \r\n9 \r\n \r\n$ \r\n \r\n143 \r\n \r\n80 \r\n \r\n$ \r\n \r\n223 \r\n \r\nCapital Assets \r\nOkefenokee Technical College had no significant capital asset additions for facilities in the fiscal year under review except the addition of land purchased at a value of $411,170. This land was purchased because of the College's urgent need for additional space. Architect fees of $73,373 have been paid to date on an Allied Health Building which is projected to be completed by the end of fiscal year 2007. \r\n \r\nLong-Term Debt \r\nOkefenokee Technical College had a total Long-Term Debt of $421,837.05 of which $230,219.04 was reflected as a current liability at June 30, 2004. \r\nFor additional information on Long-Term Debt see Notes 1 and 7 in the Notes to the Financial Statements. \r\n \r\nComponent Units \r\nIn compliance with GASB Statement No. 39, Okefenokee Technical College has included the financial statements and notes for all required component units for fiscal year 2004. For additional information see Notes 2 and 13 in the Notes to the Financial Statements. \r\nEconomic Outlook \r\nThe 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 College operates for the next fiscal year. As in prior years, the College's overall financial position is strong. Enrollment for fiscal year 2000 was 1,680 and fiscal year 2004 enrollment is 3,601, which is a 114% increase. \r\n \r\n- Vl - \r\n \r\n The College anticipates the next fiscal year will be much like the last and the College will maintain a close watch over resources to maintain the ability to react to unknown internal and external issues. John Pike, President Okefenokee Technical College \r\n-vn - \r\n \r\n BASIC FINANCIAL STATEMENTS - 1- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE STATEMENT OF NET ASSETS JUNE 30, 2004 \r\n \r\nEXHIBIT\"A\" \r\n \r\nASSETS \r\nCurrent Assets Cash and Cash Equivalents Accounts Receivable State Appropriations Federal Financial Assistance Other Prepaid Items Inventories \r\nTotal Current Assets \r\nNoncurrent Assets Capital Assets, Net \r\nTotal Assets \r\nLIABILITIES \r\nCurrent Liabilities Accounts Payable Salaries Payable Deferred Revenue Funds Held for Others Compensated Absences \r\nTotal Current Liabilities \r\nNoncurrent Liabilities Compensated Absences \r\nTotal Liabilities \r\nNET ASSETS \r\nInvested in Capital Assets, Net of Related Debt Restricted \r\nExpendable Unrestricted \r\n \r\nPRIMARY GOVERNMENT \r\n \r\nCOMPONENT UNIT \r\nOKEFENOKEE TECHNICAL COLLEGE \r\nFOUNDATION, INC. \r\n \r\n$ \r\n \r\n200,261.78 $ \r\n \r\n6,877.00 125,274.05 230,715.85 26,294.54 272,141.06 \r\n \r\n$ \r\n \r\n861,564.28 $ \r\n \r\n191,425.00 191,425.00 \r\n \r\n5,947,394.47 $ 6,808,958.75 $ \r\n \r\n92,365.00 283,790.00 \r\n \r\n$ \r\n \r\n184,075.50 \r\n \r\n21,246.42 \r\n \r\n18,925.07 \r\n \r\n8,059.35 \r\n \r\n230,219.04 \r\n \r\n$ \r\n \r\n462,525.38 \r\n \r\n191,618.01 \r\n \r\n$ \r\n \r\n654,143.39 \r\n \r\n$ 5,947,394.47 $ 207,420.89 \r\n \r\n92,365.00 \r\n26,244.00 165,181.00 \r\n \r\nTotal Net Assets \r\n \r\n$ 6,154,815.36 $ ====2=s.3..,._79=o=.o=o \r\n \r\nThe notes to the financial statements are an integral part of this statement. -3- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE STATEMENT OF REVENUES. EXPENSES AND CHANGES IN NET ASSETS \r\nYEAR ENDED JUNE 30. 2004 \r\n \r\nEXHIBIT\"B\" \r\n \r\nOPERATING REVENUES \r\nStudent Tuition and Fees Less: Scholarship Allowances \r\nGrants and Contracts Federal \r\nRents and Royalties Sales and Services Other Operating Revenues \r\nTotal Operating Revenues \r\nOPERATING EXPENSES \r\nSalaries Benefits Travel Scholarships and Fellowships Utilities Supplies and Other Services Depreciation \r\nTotal Operating Expenses \r\nOperating Income (Loss) \r\nNONOPERATING REVENUES (EXPENSES) \r\nState Appropriations Grants and Contracts \r\nFederal Gifts Interest and Other Investment Income Other Nonoperating Revenues Other Nonoperating Expenses \r\nNet Nonoperating Revenues \r\nIncome (Loss) Before Other Revenues, Expenses, Gains, or Loss \r\nCapital Grants and Gifts State Nongovernmental \r\nTotal Other Revenues \r\nIncrease (Decrease) in Net Assets \r\nNet Assets Net Assets - Beginning of Year, as Originally Reported Prior Period Adjustment to Correct Improper Recording of Capital Assets (Net) \r\nNet Assets - Beginning of Year, Restated \r\nNet Assets - End of Year \r\nThe notes to the financial statements are an integral part of this statement. -4 - \r\n \r\nPRIMARY GOVERNMENT \r\n \r\nCOMPONENT UNIT \r\nOKEFENOKEE TECHNICAL COLLEGE \r\nFOUNDATION, INC. \r\n \r\n$ 3,213,277.71 -300,290.38 \r\n \r\n1,499,743.02 10,280.02 \r\n456,937.01 15,026.25 $ \r\n \r\n73,023.00 \r\n \r\n$ 4,894,973.63 $ \r\n \r\n73,023.00 \r\n \r\n$ 5,710,539.21 1,187,720.82 103,763.55 $ 1,119,452.64 233,334.08 2,596,199.56 284,801.81 \r\n$ 11,235,811.67 $ \r\n$ -6,340,838.04 $ \r\n \r\n183.00 46,638.00 \r\n15,790.00 9,743.00 \r\n72,354.00 \r\n669.00 \r\n \r\n$ 5,000,669.11 \r\n \r\n1,161,033.19 207,067.92 5,728.65 -8,153.21 -59,261.72 \r\n \r\n$ 6,307,083.94 \r\n \r\n$ \r\n \r\n-33,754.10 \r\n \r\n$ \r\n \r\n516,663.04 \r\n \r\n11,033.36 \r\n \r\n$ \r\n \r\n527,696.40 \r\n \r\n$ \r\n \r\n493,942.30 \r\n \r\n$ 5,682,661.06 $ -21,788.00 \r\n$ 5,660,873.06 $ \r\n \r\n296,357.00 -13,236.00 \r\n283,121.00 \r\n \r\n$ 6,154,815.36 $ ====2=8=3,-=7=90=.o==o \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE STATEMENT OF CASH FLOWS YEAR ENDED JUNE 30. 2004 \r\nCASH FLOWS FROM OPERATING ACTIVITIES Tuition and Fees Grants and Contracts Sales and Services Payments to Suppliers Payments to Employees Payments for Scholarships and Fellowships Other Receipts (Payments) \r\nNet Cash Provided (Used) by Operating Activities \r\nCASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES State Appropriations Agency Funds Transactions Gifts and Grants Received for Other than Capital Purposes \r\nNet Cash Flows Provided (Used) by Noncapital Financing Activities \r\nCASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Capital Grants and Gifts Received Purchases of Capital Assets \r\nNet Cash Provided (Used) by Capital and Related Financing Activities \r\nCASH FLOWS FROM INVESTING ACTIVITIES Interest on Investments \r\nNet Increase (Decrease) in Cash \r\nCash and Cash Equivalents - Beginning of Year \r\nCash and Cash Equivalents - End of Year \r\nRECONCILIATION OF OPERATING LOSS TO NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES: \r\nOperating Income (Loss) Adjustments to Reconcile Operating Income to Net Cash \r\nProvided (Used) by Operating Activities Depreciation Expense Change in Assets and Liabilities: Receivables Prepaid Items Inventories Salaries Payable Accounts Payable Deferred Revenue Compensated Absences \r\nNet Cash Provided (Used) by Operating Activities \r\nNONCASH ACTIVITY Gift of Capital Assets Reducing Proceeds of Capital Grants and Gifts \r\nThe notes to the financial statements are an integral part of this statement. \r\n-5- \r\n \r\nEXHIBIT\"C\" \r\n \r\n$ 2,879,477.12 \r\n1,499,743.02 456,937.01 \r\n-3,963,289.58 -5,666,667.48 -1, 119,452.64 \r\n25,306.27 \r\n$ -5,887,946.28 \r\n \r\n$ 5,004,235.11 -72,068.01 \r\n1,176,665.20 \r\n$ 6,108,832.30 \r\n \r\n$ \r\n \r\n17,720.00 \r\n \r\n-267 ,288.64 \r\n \r\n$ -249,568.64 \r\n \r\n$ _ _ _5~,7_2_8._65_ \r\n \r\n$ \r\n \r\n-22,953.97 \r\n \r\n223,215.75 \r\n \r\n$ \r\n \r\n200,261.78 \r\n \r\n$ -6,340,838.04 \r\n284,801.81 -46,375.96 \r\n1,078.48 -1,385.39 3,277.26 158,035.34 12,865.75 40 594.47 \r\n$ -5,887,946.28 \r\n$ -509,976.40 \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2004 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES \r\nREPORTING ENTITY Okefenokee Technical College is one of thirty-three (33) State supported member colleges of postsecondary education in Georgia which comprise the Georgia Department ofTechnical and Adult Education, an organizational unit of the State of Georgia. The accompanying financial statements reflect the operations of Okefenokee Technical College as a separate reporting entity. \r\nThe Technical College's Local Board of Directors is composed of eight (8) members serving staggered three-year terms who are appointed by the State Board ofTechnical and Adult Education. Appropriation of State funds is made to the Georgia Department of Technical and Adult Education by the General Assembly of Georgia. The Department's Administrative Central Office determines the amount ofState appropriations to be received by Okefenokee Technical College. The Technical College does not have authority to retain unexpended State appropriations (surplus) for any given fiscal year. Accordingly, Okefenokee Technical College is considered an organizational unit ofthe Georgia Department of Technical and Adult Education for financial reporting purposes because of the significance of its legal, operational, and financial relationships as defined in Section 2100 ofthe Governmental Accounting Standards Board (GASB) Codification ofGovernmental Accounting and Financial Reporting Standards. \r\nThe Department of Technical and Adult Education (and thus Okefenokee Technical College) is required to implement the Governmental Accounting Standards Board (GASB) Statement No. 39 Determining Whether Certain Organizations are Component Units - an amendment of Statement No. 14, for fiscal year 2004. This statement requires the inclusion of the financial statements for foundations and affiliated organizations that qualify as component units of the Technical College. These statements (Statement of Net Assets and Statement of Revenues, Expenses and Changes in Net Assets) are reported discretely in the Technical College's financial statements. For fiscal year 2004, Okefenokee Technical College is reporting the activity for the Okefenokee Technical College Foundation, Inc. \r\nSee Note 13, for additional component unit disclosures. \r\nFINANCIAL STATEMENT PRESENTATION In June 1999, the GASB issued Statement No. 34, Basic Financial Statements and Management Discussion andAnalysisfor State and Local Governments. This was followed in November 1999 by GASB Statement No. 35, Basic Financial Statements and Management's Discussion and Analysis for Public Colleges and Universities. The State ofGeorgia implemented GASB No. 34 as ofand for the year ended June 30, 2002. As an organizational unit of the State of Georgia, the Technical College also adopted GASB Statements No. 34 and No. 35 as amended by GASB Statements No. 37 and No. 38. 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. \r\n-7- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2004 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES \r\nFINANCIAL STATEMENT PRESENTATION 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 ofmateriality, the Technical Colleges ofthe Georgia Department ofTechnical and Adult Education will continue to report summer revenues and expenses in the year in which the predominate activity takes place. \r\nBASIS 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. \r\nThe 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. \r\nRESTATEMENT OF PRIOR YEAR NET ASSETS - BEGINNING OF YEAR In the prior fiscal year, the College failed to properly record all of its depreciable capital assets and associated depreciation in accordance with the College's asset capitalization policies. As a result of adjustments made to depreciable capital assets, net assets at July 1, 2003 were reduced by $21,788.00. \r\nCASH AND CASH EQUIVALENTS Cash and Cash Equivalents include petty cash and demand deposits in authorized financial institutions. \r\nACCOUNTS RECEIVABLE Accounts receivable consist oftuition and fee charges to students, allotments due from the Georgia Department ofTechnical and Adult Education - Administrative Central Office, reimbursements due from Federal, State, local, and private grants and contracts, and other receivables disclosed from information available. \r\nINVENTORIES Resale inventories are valued at cost using the consumption method. \r\nCAPITAL 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, \r\n-8- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2004 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES \r\nCAPITAL ASSETS Improvements Other Than Buildings 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, 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 ofthe assets, generally 10 to 40 years for buildings, 15 to 25 years for infrastructure, 15 years for improvements other than buildings, 10 years for library books, and 3 to 10 years for equipment. \r\nTo fully portray capital assets acquired by the Technical Colleges of the Georgia Department of Technical and Adult Education, it is necessary to look at the activities ofthe Georgia State Financing and Investment Commission (GSFIC) - an organization that is external to both the Technical College and the Georgia Department ofTechnical and Adult Education. 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 the GSFIC. The bonds are issued for the purpose of acquiring capital assets and this debt constitutes direct and general obligations ofthe State of Georgia, to the payment of which the full faith, credit and taxing power of the State are pledged. \r\nFor 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 Okefenokee Technical College to be recorded as an asset on the Technical College's books. For the year ended June 30, 2004, GSFIC did not transfer any capital additions to Okefenokee Technical College. \r\nDEFERRED 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. \r\nCOMPENSATED 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. Okefenokee Technical College had an accrued liability for compensated absences in the amount of $381,242.58 as of July 1, 2003. For fiscal year 2004, $378,756.47 was earned in compensated absences and employees were paid $338,162.00, for a net increase of$40,594.47. The ending balance as ofJune 30, 2004 in accrued liability for compensated absences was $421,837.05. \r\nNONCURRENT LIABILITIES Noncurrent liabilities include liabilities that will not be paid within the next fiscal year. \r\n \r\n-9- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2004 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES \r\nNET ASSETS The Technical College's net assets are classified as follows: \r\nInvested in capital assets, net ofrelated debt: This amount represents the Technical College's total investment in capital assets, net ofoutstanding 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 ofrelated debt. (The term \"debt obligations\" as used in this definition does not include debt ofthe GSFIC as discussed above.) \r\nRestricted 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. \r\nUnrestricted net assets: 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) which must be refunded to the Department ofTechnical and Adult Education forremittance to the Office of Treasury and Fiscal Services. At June 30, 2004, there was no surplus balance to be refunded. \r\nWhen 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. \r\nINCOME TAXES Okefenokee Technical College, as a political subdivision ofthe State of Georgia, is excluded from Federal income taxes under Section 115(1) of the Internal Revenue Code, as amended. \r\nCLASSIFICATION OF REVENUES The Technical College has classified its revenues as either operating or nonoperating revenues in the Statement of Revenues, Expenses and Changes in Net Assets according to the following criteria: \r\nOperating revenues: Operating revenues include activities that have the characteristics ofexchange 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. \r\nNonoperating 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, Reporting Cash Flows ofProprietary andNonexpendable Trust Funds and Governmental Entities That Use Proprietary Fund Accounting, and GASB No. 34, such as state appropriations and investment income. \r\n- 10 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2004 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES \r\nSCHOLARSHIP 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 revenue for scholarship allowances. \r\nNOTE 2: CASH AND CASH EQUIVALENTS AND OTHER DEPOSITS \r\nSTATE OF GEORGIA COLLATERALIZATION STATUTES AND POLICIES Funds belonging to Okefenokee Technical College (and thus the State of Georgia) 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: \r\n1. Bonds, bill, certificates ofindebtedness, notes, or other direct obligations ofthe United States or of the State of Georgia. \r\n2. Bonds, bills, certificates of indebtedness, notes, or other obligations of the counties or municipalities of the State of Georgia. \r\n3. Bonds of any public authority created by the laws ofthe State of Georgia, providing that the statute that created the authority authorized the use of the bonds for this purpose. \r\n4. Industrial revenue bonds and bonds of development authorities created by the laws of the State of Georgia. \r\n5. Bonds, bills, certificates of indebtedness, notes, or other obligations of a subsidiary corporation ofthe 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. \r\n6. Guarantee or insurance of accounts provided by the Federal Deposit Insurance Corporation. \r\n \r\n- 11 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2004 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 2: CASH AND CASH EQUIVALENTS AND OTHER DEPOSITS \r\n \r\nSTATE OF GEORGIA COLLATERALIZATION STATUTES AND POLICIES As authorized in the Official Code of Georgia Annotated Section 50-17-53, the State Depository Board has adopted policies, which allow agencies of the State of Georgia (and thus Okefenokee Technical College), the option of exempting demand deposits from the collateral requirements. \r\n \r\nCATEGORIZATION OF DEPOSITS Cash deposits are categorized by risk as follows: \r\n \r\nCategory 1 - Amounts covered by depository insurance or collateralized with securities (at fair value) held by the entity or by its agent in the entity's name. \r\n \r\nCategory 2 - Amounts collateralized with securities (at fair value) held by the pledging financial institution's trust department or agent in the entity's name. \r\n \r\nCategory 3 - Amounts collateralized with securities (at fair value) held by the pledging financial institution, or by its trust department or agent but not in the entity's name, and amounts uncollateralized. \r\n \r\nOkefenokee Technical College At June 30, 2004, the Technical College's cash deposits were as follows: \r\n \r\nCash Deposits \r\n \r\nCarrying Amount \r\n \r\nBank Balances \r\n \r\nRisk Categories \r\n \r\n2 \r\n \r\n3 \r\n \r\n$ 199,146.78 $ 522 207 83 $ 100 000 00 $====0\"='0'=0 $ 422 207,83 \r\n \r\nComponent Unit At June 30, 2004, Okefenokee Technical College Foundation, Inc.'s cash deposits were as follows: \r\n \r\nCash Deposits \r\n \r\nCarrying Amount \r\n \r\nBank Balances \r\n \r\nRisk Categories \r\n \r\n2 \r\n \r\n3 \r\n \r\n$ 191 425 00 $ 191,425 00 $ )68 695 00 $====0\"'=0\"\"'0 $ 22 730 00 \r\n \r\nNOTE 3: ACCOUNTS RECEIVABLE \r\n \r\nAccounts receivable at June 30, 2004, consists of the following: \r\nStudent Tuition and Fees State Appropriation Gifts - GSFIC Federal, State and Private Funds Other \r\nTotal Accounts Receivable \r\n \r\n$ 23,234.01 6,877.00 \r\n122,502.70 125,274.05 84,979.14 \r\n$ 362,866.90 \r\n \r\n- 12 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2004 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 4: INVENTORIES \r\n \r\nInventories at June 30, 2004, consists of the following: \r\n \r\nBookstore Other \r\nTotal \r\n \r\n$ 271,514.04 627.02 \r\n$ 272,141.06 \r\n \r\nNOTE 5: CAPITAL ASSETS \r\n \r\nFollowing are the changes in the College's capital assets for the year ended June 30, 2004: \r\n \r\nBalance July I, 2003 (Restated) \r\n \r\nAdditions \r\n \r\nReductions \r\n \r\nBalance June 30, 2004 \r\n \r\nCapital Assets, Not Being Depreciated: \r\n \r\nLand and Land Improvements \r\n \r\n$ \r\n \r\nConstruction Work-In-Progress \r\n \r\n372,830.00 $ 0.00 \r\n \r\n411,169.84 73,373.20 \r\n \r\n$ 783,999.84 73,373.20 \r\n \r\nTotal Capital Assets Not Being Depreciated \r\n \r\n$ 372,830.00 $ 484,543.04 \r\n \r\n$ 857,373.04 \r\n \r\nCapital Assets, Being Depreciated: \r\n \r\nBuilding and Building Improvements $ 5,008,553.00 \r\n \r\nImprovements Other Than Buildings \r\n \r\n144,920.00 \r\n \r\nEquipment \r\n \r\n1,258,217.47 $ \r\n \r\nLibrary Collections \r\n \r\n73,099.69 \r\n \r\n267,821.88 $ 29,900.12 \r\n \r\n$ \r\n57,787.96 1,911.84 \r\n \r\n5,008,553.00 144,920.00 \r\n1,468,251.39 101,087.97 \r\n \r\n$ 6,484,790.16 $ 297,722.00 $ 59,699.80 $ 6,722,812.36 \r\n \r\nLess: Accumulated Depreciation: Buildings and Building Improvements $ Improvements Other Than Buildings Equipment Library Collections \r\n \r\n1,076,045.51 $ 144,920.00 155,325.19 18,245.01 \r\n \r\n113,705.82 \r\n160,796.01 $ 10,299.98 \r\n \r\n$ \r\n45,017.12 1,529.47 \r\n \r\n1,189,751.33 144,920.00 271,104.08 27,015.52 \r\n \r\n$ 1,394,535.71 $ 284,801.81 $ 46,546.59 $ 1,632,790.93 \r\n \r\nTotal Capital Assets, Being Depreciated, \r\n \r\nNet \r\n \r\n$ 5,090,254.45 $ \r\n \r\n12,920.19 $ \r\n \r\n13,153.21 $ 5,090,021.43 \r\n \r\nCapital Assets, Net \r\n \r\n$ 5.463.084.45 $ 497.463 23 $ 13.153 21 $ 5,947,394.47 \r\n \r\nNOTE 6: DEFERRED REVENUE \r\n \r\nDeferred revenue at June 30, 2004, consists of the following: \r\n \r\nPrepaid Tuition and Fees Other Deferred Revenue \r\n \r\n$ 17,720.25 1,204.82 \r\n \r\nTotals \r\n \r\n$ 18,925.07 \r\n \r\n- 13 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2004 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 7: LONG-TERM LIABILITIES \r\n \r\nLong-Term liability activity for the year ended June 30, 2004, was as follows: \r\n \r\nOther Liabilities Compensated Absences \r\n \r\nBalance July I, 2003 \r\n \r\nAdditions \r\n \r\nReductions \r\n \r\nBalance June 30, 2004 \r\n \r\nCurrent Portion \r\n \r\n$ 381 242.58 $ 378,756.47 $ 338,162.00 $ 421 837 05 $ 230 219 04 \r\n \r\nNOTE 8: NET ASSETS \r\n \r\nChanges in Net Asset activity for the year ended June 30, 2004 was as follows: \r\n \r\nInvested in Capital Assets Net of Related Debt \r\nRestricted Expendable \r\nUnrestricted Net Assets \r\nTotal Net Assets \r\n \r\nBalance July 1, 2003 {Restated) \r\n$ 5,463,084.45 \r\n \r\nAdditions $ 497,463.23 \r\n \r\nReductions $ 13,153.21 \r\n \r\nBalance June 30, 2004 \r\n$ 5,947,394.47 \r\n \r\n2,714.30 \r\n \r\n2,660,776.21 \r\n \r\n2,663,490.51 \r\n \r\n0.00 \r\n \r\n195,074.31 \r\n \r\n8,608,696.29 \r\n \r\n8,596,349.71 \r\n \r\n207,420.89 \r\n \r\n$ 5 660 873 06 $ II 766 935 73 $ II 272 993 43 $ 6 154.815.36 \r\n \r\nNOTE 9: RETIREMENT PLANS \r\n \r\nTEACHERS RETIREMENT SYSTEM OF GEORGIA \r\n \r\nPlan Description Okefenokee Technical College participates in the Teachers Retirement System ofGeorgia (TRS), a cost-sharing multiple-employer defined benefit pension plan established by the General Assembly of Georgia for the purpose of providing retirement allowances and other benefits for teachers of the State ofGeorgia. TRS provides service retirement, disability retirement, and survivor's benefits for its members in accordance with State statute. The Teachers Retirement System ofGeorgia issues a separate stand alone financial audit report and a copy can be obtained from the TRS offices or from the Georgia Department of Audits and Accounts. \r\n \r\nFunding Policy Employees ofOkefenokee Technical College who are covered by TRS are required by State statute to contribute 5% of their gross earnings to TRS. Okefenokee Technical College makes monthly employer contributions to TRS at rates adopted by the TRS Board of Trustees in accordance with State statute and as advised by their independent actuary. For fiscal year 2004, the employer contribution rate was 9.24% for covered employees. Employer contributions for the current fiscal year and the preceding two fiscal years are as follows: \r\n \r\n- 14 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2004 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 9: RETIREMENT PLANS \r\n \r\nTEACHERS RETIREMENT SYSTEM OF GEORGIA \r\n \r\nFunding Policy Fiscal Year \r\n \r\nPercentage Contributed \r\n \r\nRequired Contribution \r\n \r\n2004 2003 2002 \r\n \r\n100% 100% 100% \r\n \r\n$ 370,584.92 $ 370,082.71 $ 354,157.54 \r\n \r\nEMPLOYEES' RETIREMENT SYSTEM OF GEORGIA \r\n \r\nPlan Description Okefenokee Technical College participates in the Employees' Retirement System ofGeorgia (ERS), a single-employer defined benefit pension plan established by the General Assembly ofGeorgia for the purpose of providing retirement allowances for employees of the State of Georgia. \r\n \r\nThe benefit structure of ERS is defined by State statute and was significantly modified on July 1, 1982. Unless elected 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. All other members are \"new plan\" members subject to the modified plan provisions. \r\n \r\nUnder both the old plan and new plan, members become vested after 10 years of creditable service. A member may retire and receive normal retirement benefits after completion of 10 years of creditable service and attainment of age 65. If 10 years of service is completed and age 60 is reached, the member may retire with a reduced benefit. Additionally, there are certain provisions allowing for retirement after 25 years of service regardless of age. \r\n \r\nRetirement benefits paid to members are based upon a formula which considers the monthly average of the member's highest twenty-four consecutive calendar months of salary, the number ofyears of creditable service, and the member's age at retirement. Postretirement cost-of-living adjustments are also made to member's benefits. The normal retirement pension is payable monthly for life; however, options are available for distribution ofthe 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. \r\n \r\nIn addition, the ERS Board of Trustees created the Supplemental Retirement Benefit Plan (SRBP) effective January 1, 1998. The SRBP was established as a qualified governmental excess benefit plan in accordance with Section 415 of the Internal Revenue Code (IRC) as a portion ofERS. The purpose of SRBP is to provide retirement benefits to employees covered by ERS whose benefits are otherwise limited by IRC 415. \r\n \r\n- 15 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2004 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 9: RETIREMENT PLANS \r\nEMPLOYEES' RETIREMENT SYSTEM OF GEORGIA \r\nPlan Description The ERS issues a financial report each fiscal year which may be obtained through ERS. \r\nFunding Policy As established by State statute, all full-time employees of the State of Georgia and its political subdivisions, who are not members ofother state retirement systems, are eligible to participate in the ERS. Both employer and employee contributions are established by State statute. The Technical College's payroll for the year ended June 30, 2004, for employees covered by ERS was $554,481.48. The Technical College's total payroll for all employees was $5,710,539.21. \r\nUnder the old plan, member contributions consist of 7.16% of annual compensation. Of these member contributions, the employee pays the first 1.5% and the Technical College pays the remainder on behalf ofthe employee. Under the new plan, member contributions consist solely of 1.5% of annual compensation paid by employee. The Technical College also is required to contribute at a specified percentage of active member payroll determined annually by actuarial valuation. For the year ended June 30, 2004, the ERS employer contribution rate for the Technical College amounted to 10.41% of covered payroll and included the amounts contributed on behalf of the employee under the old plan referred to above. Employer contributions are also made on amounts paid for accumulated leave to retiring employees. \r\nTotal contributions to the plan made during fiscal year 2004 amounted to $64,674.08, of which $57,722.49 was made by the Technical College and $6,951.59 was made by employees. These contributions met the requirements of the plan. \r\nActuarial and Trend Information Actuarial and historical trend information is presented in the ERS June 30, 2004, financial report which may be obtained through ERS. \r\nGEORGIA DEFINED CONTRIBUTION PLAN \r\nPlan Description Okefenokee Technical College participates in the Georgia Defined Contribution Plan (GDCP) which is a single-employer defined contribution plan established by the General Assembly of Georgia for the purpose ofproviding retirement coverage for State employees who are temporary, seasonal, and part-time and are not members of a public retirement or pension system. GDCP is administered by the Board of Trustees of the Employees' Retirement System of Georgia. \r\n \r\n- 16 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2004 \r\n \r\nEXHIBIT\"D\" \r\n \r\nNOTE 9: RETIREMENT PLANS \r\nGEORGIA DEFINED CONTRIBUTION PLAN \r\nBenefits A member may retire and elect to receive periodic payments after attainment ofage 65. The payment will be based upon mortality tables and interest assumptions to be adopted by the Board ofTrustees. Ifa member has less than$ 3,500.00 credited to his/her account, the Board ofTrustees has the option ofrequiring a lump sum distribution to the member in lieu ofmaking periodic payments. Upon the death ofa 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. \r\nThe Employees' Retirement System ofGeorgia issues a financial report each fiscal year which may be obtained through ERS. \r\nContributions and Vesting Member contributions are seven and one-halfpercent (7.5%) ofgross 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 ofthe member's account is refundable upon request by the member. The Technical College's payroll for the year ended June 30, 2004, for employees covered by GDCP was $487,462.90. The Technical College's total payroll for all employees was $5,710,539.21. \r\nTotal contributions made by employees during fiscal year 2004 amounted to $36,560.07 which represents 7.5% of covered payroll. These contributions met the requirements of the plan. \r\nNOTE 10: RISK MANAGEMENT \r\nPublic Entity Risk 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 ofgovernment participating in the plan, and appropriations made by the General Assembly of Georgia. The Department ofCommunity Health has contracted with Blue Cross Blue Shield ofGeorgia to process medical claims and Express Scripts, Incorporated to process prescription drug claims in accordance with the State Employees' Health Benefit Plan as established by the Department of Community Health. \r\nOther Risk Management The Department ofAdministrative Services (DOAS) has the responsibility for the State ofGeorgia ofmaking and carrying out decisions that will minimize the adverse effects ofaccidental 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 \r\n- 17 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2004 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 10: RISK MANAGEMENT \r\nOther Risk Management 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 Georgia Department of Technical and Adult Education, 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. \r\nNOTE 11: CONTINGENCIES \r\nAmounts 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 Okefenokee Technical College expects such amounts, ifany, to be immaterial to its overall financial position. \r\nLitigation, claims and assessments filed against Okefenokee Technical College (an organizational unit of the Department of Technical and Adult Education), 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, 2004. \r\nNOTE 12: NATURAL CLASSIFICATIONS WITH FUNCTIONAL CLASSIFICATIONS \r\nThe 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. \r\nNOTE 13: COMPONENT UNIT NOTES \r\nOkefenokee Technical College Foundation, Inc. (foundation) is a legally separate, tax-exempt component unit ofOkefenokee Technical College (college). The foundation acts primarily as a fundraising corporation to supplement the resources that are available to the college in support of its programs. The fourteen member board of the foundation is self-perpetuating and consists of graduates and friends ofthe college. Although the college does not control the timing or amount of receipts from the foundation, the majority of resources or income thereon that the foundation holds and invests are restricted to the activities of the college by the donors. Because these restricted resources held by the foundation can only be used by, or for the benefit of, the college, the foundation is considered a component unit ofthe college and is discretely presented in the college's financial statements. \r\n- 18 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS \r\nJUNE 30, 2004 \r\n \r\nEXHIBIT \"D\" \r\n \r\nNOTE 13: COMPONENT UNIT NOTES \r\nThe foundation is a chartered nonprofit corporation that reports under FASB standards, including FASB Statement No. 117, Financial Reportingfor Not-for-Profit Organizations. As such, certain revenue recognition criteria and presentation features are different from GASB revenue recognition criteria and presentation features. The FASB reports have been reclassified to the GASB presentation for external financial reporting purposes. The foundation's fiscal year is January 1 through December 31. \r\nDuring the year ended June 30, 2004, the foundation distributed $3,109.75 to the college for restricted purposes. Complete financial statements for the foundation can be obtained from the foundation. \r\n \r\n- 19 - \r\n \r\n SUPPLEMENTARY INFORMATION - 21 - \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE SCHEDULE OF FUNDS AVAILABLE AND EXPENDITURES \r\nCOMPARED TO BUDGET - (NON-GAAP BASIS) BUDGET FUND \r\n\"A\" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION YEAR ENDED JUNE 30, 2004 \r\n \r\nSCHEDULE \"1\" \r\n \r\nFUNDS AVAILABLE REVENUES \r\nState Appropriation Federal Revenues Other Revenues Retained \r\nCARRY-OVER FROM PRIOR YEAR Transfer from Reserved Fund Balance \r\n \r\nBUDGET \r\n \r\nACTUAL(1) \r\n \r\nVARIANCEFAVORABLE (UNFAVORABLE) \r\n \r\n$ \r\n \r\n5,043,930.00 $ 5,043,926.71 $ \r\n \r\n1,283,725.52 \r\n \r\n1,234,523.99 \r\n \r\n3,752,303.84 \r\n \r\n3,706,549.14 \r\n \r\n$ 10,079,959.36 $ 9,984,999.84 $ \r\n \r\n-3.29 -49,201.53 -45 754.70 \r\n-94,959.52 \r\n \r\n0.00 \r\n \r\n123,456.67 \r\n \r\n123,456.67 \r\n \r\n$ 10,079,959.36 $ 10,108,456.51 $ _ _ _2::.;8:..:.,4.c...:9c;.7.:...;.1..:...5 \r\n \r\nEXPENDITURES \r\nPersonal Services - Institutions Operating Expenses - Institutions Adult Literacy Grants \r\n \r\n$ \r\n \r\n6,312,978.06 $ 6,289,600.62 $ \r\n \r\n3,040,723.95 \r\n \r\n2,972,713.29 \r\n \r\n726,257.35 \r\n \r\n714,075.54 \r\n \r\n23,377.44 68,010.66 12,181.81 \r\n \r\n$ 10,079,959.36 $ 9,976,389.45 $ _ _ _1_03--',_56_9_.9_1 \r\n \r\nExcess of Funds Available over Expenditures \r\n \r\n$ \r\n \r\n132,067.06 $=====13=2-,0=6=7.=06;;;. \r\n \r\n(1) Actual amounts were prepared on a prescribed basis of accounting that demonstrates compliance with budgetary statutes and regulations of the State of Georgia, which is a comprehensive basis of accounting other than generally accepted accounting principles. \r\n \r\n- 23- \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE RECONCILIATION OF SALARIES AND TRAVEL \r\nYEAR ENDED JUNE 30, 2004 \r\n \r\nSCHEDULE \"2\" \r\n \r\nTotals per Annual Supplement \r\nAccruals June 30, 2003 June 30, 2004 \r\nCompensated Absences June 30, 2003 June 30, 2004 \r\n \r\nSALARIES \r\n \r\nTRAVEL \r\n \r\n$ \r\n \r\n5,684,070.18 $ 103,763.55 \r\n \r\n-17,969.16 21,246.42 \r\n \r\n-373,553.90 396,745.67 \r\n \r\n$ \r\n \r\n5,710,539.21 $ 103,763.55 \r\n \r\n- 25- \r\n \r\n SECTION II CURRENT YEAR FINDINGS AND QUESTIONED COSTS \r\n \r\n OKEFENOKEE TECHNICAL COLLEGE SCHEDULE OF FINDINGS AND QUESTIONED COSTS \r\nYEAR ENDED JUNE 30, 2004 \r\nFINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS No matters were reported. FEDERAL AWARD FINDINGS AND QUESTIONED COSTS No matters were reported. \r\n \r\n "}],"pages":{"current_page":1,"next_page":null,"prev_page":null,"total_pages":1,"limit_value":10,"offset_value":0,"total_count":8,"first_page?":true,"last_page?":true},"facets":[{"name":"type_facet","items":[{"value":"Text","hits":8}],"options":{"sort":"count","limit":16,"offset":0,"prefix":null}},{"name":"creator_facet","items":[{"value":"Georgia. 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