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HomeMy WebLinkAboutAnnual Financial Statement's 12/31/2000 Augusta Richmond GA DOCUMENT NAME: fl,vN UA L h N ",(\Ie; AL ~ T~G' '" 150.J, S I;;L I?, 1/;;1000 ~ DOCUMENT TYPE: YEAR: 2 ODD BOX NUMBER: ) ~ FILE NUMBER: J ~ ~ 3 ~ NUMBER OF PAGES: /4;;2 I I I I I' I I I I I I I I I I I I- I I- ~~ ffi/6.2 3:V AUGUSTA, GEORGIA Annual Financial Statements December 31, 2000 I I I I I I I I I I I I I I I I I I I AUGUST A, GEORGIA Annual Financial Statements December 31,2000 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Table of Contents Report of Independent Certified Public Accountants Page General-Purpose Financial Statements: Combined Balance Sheet - All Fund Types, Account Groups and Discretely Presented Component Unit 3 Combined Statement of Revenues, Expenditures and Changes in Fund Balances - All Governmental Fund Types, Expendable Trust Funds and piscretely Presented Component Unit 7 Combined Statement of Revenues, Expenditures and Changes in Fund Balances - Budget (GAAP Basis) and Actual- General, Special Revenue, Debt Service and Capital Projects Fund Types 9 Combined Statement of Revenues, Expenses and Chauges in Retained EarningslFund Balances _ AU Proprietary Fund Types and Similar Trust Funds 11 Combined Statement of Cash Flows - All Proprietary Fund Types and Nonexpendable Trust Funds 12 Pension Trust Funds - Statements of Plan Net Assets 13 Pension Trust Funds - Statements of Changes in Plan Net Assets 14 Notes to Financial Statements 16 Pension Plan Required Supplementary Information 44 Combining and Individual Fund Financial Statements: General Fund Combining Balance Sheet 55 Combining Statement of Revenues, Expenditures and Changes in Fund Balances (Deficits) 56 General Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual 57 Law Enforcement Fund: Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) ~ Budget (GAAP Basis) and Actual 58 State Grants Fund: Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budget (GAAP Basis) and Actual 59 Port Authority Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual 60 Local Law Enforcement Block Grants Fund: Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budget (GAAP Basis) and Actual 61 Special Revenue Funds Combining Balance Sheet Combining Statement of Revenues, Expenditures and Changes in Fund Balances (Deficits) Urban Services District Fund: Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budget (GAAP Basis) and Actual Emergency Telephone System Fund: Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budget (GAAP Basis) and Actual Capital Outlay Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Law Enforcement Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Fire Protection Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Occupational Tax Fund: Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budget (GAAP Basis) and Actual Special Assessment Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Promotiontrourism Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Housing and Neighborhood Development Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Urban Development Action Grant Fund CUDAG): Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Downtown Development Authority Fund: Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budget (GAAP Basis) and Actual State Capital Grants Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Law Library Fund: Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budget (GAAP Basis) and Actual Page I I I I I I I I I I I I I I I I I I I 65 69 72 73 74 75 76 77 78 79 80 81 82 83 84 I I I I I I I I I I I I I I I I I I I 5% Crime Victim's Assistance Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Supplemental Juvenile Service Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Building Inspection Fund: Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budget (GAAP Basis) and Actual Weed and Seed Federal Grant Fund: . Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Debt Service Funds Combining Balance Sheet Combining Statement of Revenues, Expenditures and Changes in Fu~d Balances Debt Service Fund: Statement of Revenues, Expenditur~s and Changes in Fund Balance - Budget (GAAP Basis) and Actual - Urban Debt Service Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Caoital Projects Funds Combining Balance Sheet Combining Statement of Revenues, Expenditures and Changes in Fund Balances Special Sales Tax Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Special Sales Tax Phase n Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Special Sales Tax Phase ill Fund: Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual - Entemrise Funds Combining Balance Sheet Combining Statement of Revenues, Expenses and Changes in Retained Earnings (Deficits) Combining Statement of Cash Flows Page 85 86 87 88 91 92 93 94 97 99 101 102 103 105 109 III Page I I I I I I I I I I I I I I I I I I I Internal Service Funds Combining Balance Sheet 115 Combining Statement of Revenues, Expenses and Changes in Retained Earnings (Deficits) 117 Combining Statement of Cash Flows 119 Trust and Agency Funds Combining Balance Sheet 121 Agency Funds Combining Statement of Changes in Assets and Liabilities 123 Expendable Trust Funds Combining Statement of Revenues, Expenditures and Changes in Fund Balances (Deficit) 125 Nonexoendable Trust Funds Combining Statement of Revenues, Expenses and Changes in Fund Balances 126 Pension Trust Funds Combining Statement of Revenues, Expenses and Changes in Fund Balances 127 Nonexpendable Trust Funds Combining Statement of Cash Flows 128 Compliance Section: Report ofIndependent Certified Public Accountants on Schedule of Expenditures of Federal Awards 131 Schedule of Expenditures of Federal Awards 132 Notes to Schedule of Expenditures of Federal Awards 134 Summary Schedule of Prior Audit Findings 135 Report of Independent Certified Public Accountants on Compliance and on Internal Control over Financial Reporting Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards 139 Report of Independent Certified Public Accountants on Compliance with Requirements Applicable to Each Major Program and Internal Control over Compliance in Accordance with OMB Circular A-133 140 Schedule of Findings 142 I I I I I REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS I Augusta-Richmond County Commission Augusta, Georgia . I I We have audited the accompanying general-purpose financial statements of Augusta, Georgia as of and for the year ended December 31, 2000, as listed in the table of contents. These general-purpose fmancial statements are the responsibility of the Government's management. Our responsibility is to express an opinion on these general-purpose fmancial statements based on our audit. We diq not audit the financial statements of the Richmond County Department of Health, which represents 100 percent of the assets and revenues of the discretely-presented component unit column. Those financial statements were audited by other auditors whose report has been furnished to us, and our opinion, insofar as it relates to the amounts included for the Richmond County Department of Health, is based on the report of the other auditors. . I I We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require thatwe plan and perfonn the audit to obtain reasonable assurance about whether the general-purpose financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the general-purpose financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall general-purpose fmancial statement presentation.. We believe that our audit and the report of the other auditors provide a reasonable basis for our opinion. I I I I I I In our opinion, based on our audit and the report of other auditors, the general-purpose financial statements referred to above present fairly, in all material respects, the fmancial position of Augusta, Georgia as of December 31, 2000, and the results of its operations and the cash flows of its proprietary fund types and nonexpendable trust funds for the year then ended in conformity with accounting principles generally accepted in the United States of America. In accordance with Government Auditing Standards, we have also issued our report dated May 18,2001, on our consideration of the Government's internal control over fmancial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts and grants. Our audit was conducted for the purpose offonning an opinion on the general-purpose financial statements taken as a whole. The combining and individual fund fmancial statements listed in the table of contents are presented for purposes of additional analysis and are not a required part of the general-purpose financial statements of Augusta, Georgia. Such information has been subjected to the auditing procedures applied in the audit of the general-purpose financial statements and, in our opinion, is fairly presented in all material respects in relation to the general-purpose fmancial statements taken as a whole. I ~,~~7~,~l./>. I Augusta, Georgia May 18,2001 . I I I I I I I I I I I I I I I I I I I I General-Purpose Financial Statements 2 I I I I I I I I I I I I I I I I I I I Proprietary Fiduciary Totals Totals' Fund Types Fund Type Account Groups (Memorandum (Memorandum Only) . General General Only) Internal Trust and Fixed Long-tenn Primary Component Enterprise Service Agency Assets Debt Government Unit 2000 1999 $ 37,942,899 $ 2,818,257 S 18,742,283 $ $ - $157,381,164 $1,082,356 $ 158,463,520 $136,145,721 1,352,913 90,357,122 91,710,035 91,710,035 90,932,103 22,436,451 29,044,858 29,044,858 15,693,676 5,259,200 6,160,151 18.823,125 87,941 18,911,066 10,307.872 82,995 836,839 1,255,405 1,255.405 1.360.759 4.254.822 4,254.822 4.499.442 206,374 5.351,762 1,120.605 6,472,367 10.637.526 1,073.090 1,073,090 1.021.145 1,700.199 1,867.699 . 1,867,699 1,693,408 11,355,863 11.507,724 11.507,724 12,473.114 1,341,051 1.341,051 1,271,966 104,689,291 104,689,291 104.689.291 31,796.810 4.873,604 4,873,604 4.873,604 1,935,800 2,473,234 2,473.234 2,378.439 343,625 343,625 343,625 343,625 1,267,600 1,267,600 1,267,600 975,095 3,570.068 2,849,456 400,000 34,980,080 241,231 35,221,311 426,805 215,360,431 154,725 192,281,880 407,797,036 3,755,932 411,552,968 375,561.021 479,167 479,167 479,167 21,139.657 2,527,518 2.527,518 2,527,518 1,271.455 4,014,718 4,014,718 4.014,718 1.625,544 3,745.989 3,745,989 3.745,989 3,422,973 25.165.970 25.165.970 429.633 25.595.603 28,849.296 $383.995.177 . $23.338.452 $134.383.920 $,1.92.281.880 $28.911.959 $915.968.567 $6.717.698 $922.686.265 $753.827.452 4 Continued on the following page. 7 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Combined Statement of Revenues, Expenditures and Changes in Fund Balances - All Governmental Fund Types, Expendable Trust Funds and Discretely Presented Component Unit See notes to fmancial statements. I I I I Totals Fiduciary (Memorandum Totals Fund Type Only) (Memorandum Only) I Expendable Primary Component Trust Government Unit 2000 1999 $ $122,170,926 $ $122,170,926 $111,769,546 I 3,794,939 3,794,939 4,007,614 67,038 8,232,1l3 8,232,113 6,329,355 1,077 16,884,067 989,581 17,873,648 15,994,138 I 7,978,768 7,978,768 9,429,096 9,330,481 9,041,928 18,372,409 18,326,509 250,142 250,142 7,553 I 584.285 94.693 678.978 924.285 68.115 169.225.721 10.126.202 179.351.923 166.788.096 I 19,740,010 19,740,010 19,557,795 8,838,293 8,838.293 7,970,250 I 51,488,254 51,488,254 48,725,238 16,507,090 16,507,090 13,861,214 I 2,921,039 10,627,175 13,548,214 16,520,568 38,640 11,111,502 11,111,502 9,493,003 10,263.132 10,263,132 9,693,946 I 5,135,275 5,135,275 5,562,731 16,186,292 16,186,292 33,545,300 175 736.571 736.571 204 I 38.815 142.927 .458 10.627.175 153.554.633 164.930.249 29,300 26,298,263 ( 500,973) 25,797,290 1,857,847 I 20,000 7,766,318 7,766,318 12,892,717 I 03.222.116) 03.222.116) (13 .467 .490) 49.300 20.842.465 ( 500.973) 20.341.492 1.283.074 I 582,356 104,582,579 1,659,813 106,242,392 104,959,318 ( 87.872) ( 59) ( 87.931 ) 582.356 104.494.707 1.659.754 106.154.461 104.959.318 I $631.656 $ill.337.172 $ 1.158.781 $126.495.953 $106.242.392 I I 8 AUGUSTA, GEORGIA I Combined Statement of Revenues, Expenditures and Changes in Fund Balances - Budget (GAAP Basis) and Actual- General, Special Revenue, I Debt Service and Capital Projects Fund Types Year Ended December 31, 2000 I General Special Revenue I Variance Variance Favorable Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) I REVENUES Taxes $56,543,628 $58,695,470 $ 2,151,842 $29,749,247 $31,161,110 $ 1,411,863 Licenses and permits 1,450,000 1,262,625 ( 187,375) 2,708,964 2,532,3 14 ( 176,650) I Use of money and property 1,895,142 3,006,912 1,111,770 50,000 579,530 529,530 Charges for services 15,305,563 14,030,948 (1,274,615) 2,698,806 2,852,042 153,236 I Fines and fees 7,737,389 7,593,202 ( 144,187) 449,040 385,566 ( 63,474) Intergovernmental 3,428,879 3,227,768 ( 201,111) 11,547,558 4,585,132 (6,962,426) Contributions and donations 64,611 250,142 185,531 I Other 8.266 125.122 116.856 43.675 458.438 414.763 Total revenues 86.368.867 87.942.047 1.573 .180 47.311.901 42.804.274 (4.507.627) EXPENDITURES I General government 18,583,868 18,739,794 ( 155,926) 879,918 291,273 588,645 Judicial 8,448,560 8,609,914 . ( 161,354) 245,833 228,379 17,454 Public safety 36,974,141 37,365,426 ( 391,285) 15,943,870 14,122,828 1,821,042 I Public works 6,235,662 5,886,769 348,893 5,998,486 7,482,425 (1,483,939) Health and welfare 2,930,029 2,920,935 9,094 48 104 ( 56) I Culture and recreation 9,877,580 10,354,112 ( 476,532) 474,425 325,795 148,630 Housing and development 1,471,894 1,161,299 310,595 16,626,084 9,101,833 7,524,251 I Debt service 3,061,557 1,615,779 1,445,778 4,533,560 2,150,871 2,382,689 Capital outlay 1,785,360 2,614,011 ( 828,651) 2,101,752 2,436,451 ( 334,699) Other 1.691.827 736.396 955.431 I Total expenditures 91.060.478 90.004.435 1.056.043 46.803.976 36.139.959 10.664.017 Excess of revenues over (under) expenditures (4,691,611) (2,062,388) 2,629,223 507,925 6,664,315 6,156,390 I OTHER FINANCING SOURCES (USES) Operating transfers in 5,137,437 312,377 (4,825,060) 8,845,771 7,433,941 (1,411,830) I Operating transfers out ( 445.826) ( 445.826) (9.353.696) (9.566.819) ( 213.123) Excess of revenues over (under) expenditures and I other financing sources (uses) $ (2.195.837) $(2.195.837) $ 4.531.437 $ 4.531.437 Fund balances, beginning of year 28,243,522 9,059,568 Prior period adjustments ( 87 .872) I Fund balances, beginning of year, restated 28.155.650 9.059.568 Fund balances, end of year $25.959.813 $13.591.005 I See notes to financial statements. 9 I AUGUSTA, GEORGIA I Combined Statement of Revenues, Expenses and Changes in Retained Earnings/Fund Balances - I All Proprietary Fund Types and Similar Trust Funds Year Ended December 31,2000 I Totals Proorietarv Fund Tvoes Fiduciarv Fund TVDes {Memorandum Onlv) I Internal Nonexpendable Pension Enterprise Service Trust Trust 2000 1999 OPERATING REVENUES Charges and fees $ 51,025,303 $17,707,642 $ $ $ 68,732,945 $ 63,730,275 I Contributions 2,515,891 2,515,891 2,169,807 Interest -11 2.815.675 2.815.687 5.63 1.760 Total operating revenues 51.025.303 17.707.642 ---11 5.331.566 74.064.523 71.531.842 I OPERATING EXPENSES Personal services 10,865,589 362,375 11,227,964 11,339,977 Purchased/contracted services 7,710,645 3,563,142 11,273,787 12,801,227 Supplies' 7,351,237 212,702 7,563,939 7,643,780 I Capital outlay 348,942 - 348,942 174,606 Interfundlinterdepartmental charges 4,097,332 4,097,332 3,375,574 Other 2,382,700 447,610 1,479 2,831,789 252,993 I Depreciation 9,664,068 81,657 9,745,725 12,022,001 Closurelpostclosurc accrual 1,582,536 1,582,536 880,306 I Risk benefit charges 635,604 635,604 1,756,503 Insurance 11,357,053 11,357,053 10,401,078 Administration 609,096 609,096 596,791 I Benefit payments 6,001,179 6,001,179 5,948,448 Refunds 441.047 441.047 387.256 Total operating expenses 44.003.049 16.660.143 -1J12 7.05 1.322 67.715.993 67.580.540 Operating income (loss) 7.022.254 1.047.499 L!A.ill 0.719.756) 6.348.530 3.95 1.302 I NONOPERATING REVENUES (EXPENSES) Interest revenue 3,400,001 878,032 4,278,033 1,862,571 Sale of property 744,603 Other revenue 163,443 44,692 208,135 291,129 I Interest expense ( 6,346,266) 954,371) ( 7,300,637) ( 6,817,684) Intergovernmental revenue 2.446.850 2.446.850 5.609.314 Total nonoperating revenues I (expenses) ( 335.972) 31.647) ( 367.619) 1.689.933 Income (loss) before operating transfers 6,686,282 1,015,852 ( 1,467) (1,7l9,756) 5,980,911 5,641,235 Operating transfers in 4,697,901 200,000 1,405,000 6,302,901 3,247,533 I Operating transfers out ( 50.000) 777.103) (20.000) ( 847.103) ( 2.672.760) Net income (loss) 1 1.334.183 438.749 (21.467) ( 314.756) 1 1.436.709 6.216.008 Retained earnings/fund balances, beginning of I year, as previously stated 93,918,425 100,389 323,230 97,213,453 191,555,497 184,119,895 Prior period adjustment 1.219.594 I Retained earnings/fund balances, beginning of year, as restated 93.918.425 100.389 323.230 97.213.453 191.555.497 185.339.489 Retained earnings/fund balances, end of year $105.252.608 $ 539.138 $301.763 $96.898.697 $202.992.206 $191.555.497 I I See notes to financial statements. I 11 I AUGUSTA, GEORGIA I Combined Statement of Cash Flows - All Proprietary Fund Types and Nonexpendable Trust Funds I Year Ended December 31, 2000 I Fiduciary Totals Proprietary Fund Types Fund Tvpe (Memorandum Onlv) Internal Nonexpendable Enterprise Service Trust 2000 1999 I Cash flows from operating activities Operating income (loss) $ 7,022,254 $ 1,047,499 $( 1,467)$ 8,068,286 $ 3,124,462 . Adjustments to reconcile operating income (loss) to net. I. eash provided by operating activities Sale of property 744,603 Depreciation and amortization 9,664,068 81,657 9,745,725 12,022,001 Net change in assets and liabilities: I Accounts receivable 91,223 (1,100,974) ( 1,009,751) ( 5,537,663) Intergovernmental receivable 2,442) ( 2,442) ( 108.681 ) Other receivable 83,005 83,005 Prepaid expenses 6,500 I Inventory . ( 99,213) ( 99,213) 139,873 Due from other funds ( 3,143,263) (2,849,456) ( 5,992,719) 52,789 Accounts payable ( 672,599) 549,012 ( 123,587) 597,176 I Accrued salaries and vacation ( 268,779) ( 13,600) ( 282,379) 13,258) Accrued revenue bond interest ( 1,190) ( 1,190) Due to other funds 12,106,114 3,415,074 21,479 15,542,667 2,975,193 Customer deposits 3,221 3,221 5,533 I Closurelpostclosure accrual 1.582.536 1.582.536 880.306 Net cash provided by operating activities 26.364.935 1.129.212 20.012 27.514.159 14.888.834 Cash flows from noncapltal financing activities - Other revenue 163,443 44,692 208,135 291,129 I Intergovernmental revenue 2,446,850 2,446,850 5,855,822 Operating transfers (net) 4.647.901 577.103) (20.000) 4.050.798 ( 902.504) Net cash provided (used) by noncapltal .- financing activities 7.258. 194 532.411) (20.000) 6.705.783 5.244.447 I Cash flows from capital and related financing activities Acquisition and construction of capital assets (29,413,920) 39,470) (29,453,390) (26,757,428) Principal paid on revenue bonds ( 1,215,000) ( 1,215,000) ( 1,221,286) I Principal paid on capital leases ( 31,104) Principal paid on notes payable ( 1,088,870) ( 1,088,870) ( 930,834) Proceeds from sale of property 127,700 Aond issuance costs 2,273 2,273 34,100) I Principal paid on certificates of participation ( 83,189) ( 83,189) ( 116,932) Proceeds from long-tenn debt 93,275,913 93,275,913 2,184,902 Interest paid ( 4,404,422) ( 954,371) ( 5,358,793) ( 6,817,684) Contributed capital - 1.033.996 I - Net cash provided (used) by capital and related activities 57.072.785 993.84 n - 56.078.944 (32.562.770) Cash flows from investing activities I Interest received 3,382,608 878,032 4,260,640 1,862,571 Due from other funds - long-tenn 452,229 452,229 402,811 Sale (purchase) of investment ( 71.93 1) - ( 71.931) 15.810.032 Net cash provided by Investing activities 3.762.906 878.032 - 4.640.938 18.075.414 I Net increase in cash and cash equivalents 94,458,820 480,992 12 94,939,824 5,645,925 Cash and cash equivalents, bc:ginning of year 54.982.774 13.693.128 343.995 69.019.897 63.373,970 I Cash and cash equivalents, end afyear $149.441.594 $14.174.120 $344.007 $163.959.721 $ 69.019.895 I See notes to financial statements. 12 Net assets held in trust for pension benefits (A schedule of funding progress for each plan is presented on pages 45 - 46) $12.745.073 $12.956.994 $71,196.630 $96.898.697 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Pension Trust Funds Statements of Plan Net Assets December 31, 2000 Totalliabilities General Retirement Total 1945 Plan 1977 Plan Plan (Memorandum Only) $ 434,071 $ 2,398,396 $ 2,840,434 $ 5,672.901 2,700,488 3,212,899 18.003,733 23,917,120 3,418,325 2,454,893 15,771,691 21.644,909 ' 5,312,002 4,402,435 31,510,264 41,224,701 483,900 401,304 2,471,326 3,356,530 - 1.267.600 1.267.600 11.914.715 10,471.531 69.024.614 91.410.860 100.609 96.472 633,893 830,974 400.000 400.000 12.849.395 12.966.399 72.498,941 98,314.735 6.583 9,405 31,035 47,023 97,739 1.271.276 1.369.015 104.322 9,405 1.302.311 1.416.038 Assets Cash and short-tenn investments Investments, at fair value U.S. Government bonds Domestic corporate bonds Domestic stocks International stocks Real estate Total investments Interest receivable Due from other funds Total assets Lia b ilities Accounts payable Due to other funds See notes to financial statements. 13 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Pension Trust Funds Statements of Changes in Plan Net Assets Year Ended December 31, 2000 General Retirement 1945 Plan 1977 Plan Plan Total (Memorandum Only) Additions Contributions Employer $ $ 1.257,376 $ $ 1,257,376 Plan members 9.016 898.142 351.357 1.258.515 Total contributions 9.016 2.155.518 351.357 2.515.891 Investment income Net appreciation in fair v8.Jue of investments 99.779 148,558 2,476,214 2,724,551 Interest 48.942 51.713 ( 9.531 ) 91.124 Total investment income 148.721 200.271 2.466.683 2.815.675 Total additions 157.737 2.355.789 2.818.040 5.331.566 Deductions Benefits 981,221 599,854 4,420,104 6,001,179 Refunds 343,196 97,851 441,047 Administrative expenses 83.486 83.653 441.957 609.096 Total deductions 1.064.707 1.026.703 4.959.912 7.05 1.322 Net Increase (decrease) before operating transfers ( 906,970) 1,329,086 (2,141,872) (1,719,756) Operating transfers Transfers in 1.405.000 1.405.000 Total operating transfers 1.405.000 1.405.000 Net Increase (decrease) 906,970) 1,329,086 ( 736,872) ( 314,756) Net assets held in trust for pension benefits Beginning ofyeBr 13.652.043 11.627.908 71.933.502 97.213.453 End of year $12.745.073 $12.956.994 $71.196.630 $96.898.697 See notes to financial statements. 14 I I I I I I I I I I I I I I I I I I I Notes to Financial Statements 16 AUGUSTA, GEORGIA Notes to Financial Statements December 31,2000 Note 1 - Summary of significant accounting policies Augusta, Georgia ("the Government") accounts for its financial position and results of operations in accordance with generally accepted accounting principles (GAAP) applicable to governmental units. The Govemment's reporting entity applies all relevant Government Accounting Standards Board (GASB) pronouncements. Proprietary funds apply Financial Accounting Standards Board (FASB) pronouncements and Ac~ounting Principles Board (APB) opinions issued on or before November 30, 1989, unless those pronouncements conflict with or contradict GASB pronouncements, in which case, GASB prevails. Accordingly, the Government uses several funds and account groups, which are described below. A. Fund types and account groups A fund or account group is an accounting entity with a self-balancing set of accounts established to record the fmancial position and results of operations of a specific governmental activity. The Government maintains the following fund types and account groups: Governmentalfund types, that include the General Fund, Special Revenue Funds, Debt Service Funds, and Capital Projects Funds, are used to record the general operations of the Government. Governmental funds are accounted for using the current fmancial measurement focus. Only current assets and current liabilities are generally included on their balance sheets. Their operating statements present sources and uses ofavailable resources during a given period. Proprietary fund types, that are used to account for activities conducted on a fee for service basis in a manner similar to commercial enterprises, provide services to the Government (Internal Service Funds) and the public (Enterprise Funds). Proprietary. funds use the economic resources measurement focus. The accounting objectives are determination of net income, fmancial position, and cash flows. All assets and liabilities associated with a proprietary fund's activities are included on its balance sheet. Proprietary fund equity is segregated into contributed capital and retained earnings. Fiduciary fund types (trust and agency funds), are used to account for assets held by the Government as an agent for private individuals or organizations or in trust. Expendable trust funds account for financial activity in essentially the same manner as governmental funds. Pension Trust Funds use the economic measurement focus in essentially the same manner as proprietary funds. Agency funds are custodial in nature and do not involve measurement of results of operations. General fIXed assets and general long-term debt account groups, are used to account for property and equipment and long-term obligations of governmental funds. B. Reporting entity Augusta is located in the east central section of the state on the south bank of the Savannah River, which serves as the boundary between Georgia and South Carolina. Augusta is on the fall line and has a landscape dotted with foothills which descend to the coastal plain. Augusta is the head of the navigation on the Savannah River and is 135 miles east of Atlanta, 127 miles northwest of the port of Savannah, and 72 miles southwest of Columbia, South Carolina. Augusta is the trade center for 13 counties in Georgia and five in South Carolina, a section known as the Central Savannah River Area. The Government was created by legislative act in the State of Georgia in 1995 from the unification of the two governments, the City of Augusta, Georgia and Richmond County, Georgia. On June 20, 1995, the citizens of Richmond County and the City of Augusta voted to consolidate into one government named Augusta, Georgia. The officials for the new government were elected and, based on the charter, took office on January 1, 1996. The unified government combined all functions and began financial operations 1anuary I, 1996. The Government is governed by a full-time Mayor, with a tenD of four years, and a ten member Commission, who serve on a part-time basis and are elected to staggered terms offour years. The Mayor and Commission appoint an Administrator who serves as a full-time administrative officer and is responsible for the daily operations of the Government. 17 I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Notes to Financial Statements - Continued December 31, 2000 Note 1 - Summary ofslgnificant accounting policies (Continued) Augusta, Georgia's combined financial statements include the accounts of all Augusta and Richmond County operations'. The criteria for including organizations as component units within Augusta's reporting entity, as set forth in Section 2100 ofGASB's Codification of Governmental Accounting and Financial Reporting Standards. include whether: . the organization is legally separate (can sue and be sued in their own name) . the Government holds the corporate powers' of the organization . the Government appoints a voting majority ofthe organization's board . the Government is able to impose its will on the organization . the organization has the potential to inlpose a financial benefit/burden on the County . there is fiscal dependency by the organization on the Government Utilizing the above criteria, the following agencies and commissions were included using the blending method in the financild statements: Augusta Port Authority, Downtown Development Authority, and Richmond County Public Facilities, Inc. (see Note 4E). The component unit column in the combined financial statements includes the financial data of Augusta's other component unit. This unit is reported in a separate column to emphasize that it is legally separate from Augusta. Separate financial statements may be obtained from the Richmond County Department of Health. Ri~hmond County Department of Health - A voting majority of the board is appointed by the Government. Complete financial statements for the individual component units may be obtained at the following address: Augusta, Georgia, Finance Department, 501 Greene Street, Augusta, Georgia 30901 The following organizations were excluded from the reporting entity because the elected officials of Augusta are not fmancially accountable for the organization, and based on the nature and significance of their relationship, exclusion of the organizations would not result in the presentation of misleading or incomplete financial statements. Financial statements are available from the organizations. Augusta Housing Authority Augusta-Richmond County Coliseum Authority Augusta Canal Authority City of Augusta Hospital Authority C. Basis of accounting Governmental fund types, agency funds and the expendable trust fund use a modified accrual basis of accounting. Revenues are recognized when available and measurable. Revenues that are accrued include federal and state grants and subventions, property taxes, transient occupancy taxes, sales taxes colle.cted by the State on behalf of the Government prior to year-end, interest, and certain charges for current services. Revenues that are not considered susceptible to accrual include certain licenses, penn its, fmes, forfeitures, penalties, and other taxes. Expenditures, other than interest on long- tenn debt, are recorded when the liability is incurred. Proprietary fund types and the nonexpendable trust fund and pension trust funds are accounted for on the accrual basis. The accrual basis of accounting recognizes revenues when earned. Expenses are recorded when incurred. D. Fixed assets and long-term liablUtles The accounting and reporting treatment applied to the fixed assets and long-term liabilities associated with a fund are determined' by its measurement focus. Fixed assets used in a governmental fund type operation (general fixed assets) are accounted for in the General Fixed Asset Account Group, rather than in the governmental funds. Public domain ("infrastructure") general fIXed assets consisting of certain improvements other than buildings, including roads, bridges, curbs and gutters, streets and sidewalks, drainage systems, and lighting systems, are not capitalized as these assets are immovable and are value only to the Government. 18 AUGUSTA, GEORGIA Notes to Financial Statements - Continued December 31,2000 Note 1 - Summary ofsignific8nt accounting policies (Continued) All fIxed assets are valued at historical cost or estimated historical cost if actual historical cost is not available. Donated fixed assets are valued at their estimated fair value on the date donated. Long-term liabilities expected to be fmanced from governmental funds are accounted for in the General Long- Tenn Debt Account Group, not in the governmental funds. The two account groups are not "funds". They'only measure the flDancial position not the measurement of results of operations. Noncurrent portions oflong-tenn receivables due to governmental funds are reported on their balance sheets, in spite of their spending measurement focus. Special reporting treatments are used to indicate, however, that they should not be considered "available spendable resources," because they do not represent net current assets. Recognition of governmental fund type revenues represented by noncurrent receivables is deferred until they become current receivables. Noncurrent portions of long-term loans receivable are offset by fund balance reserve accounts. Special reporting treatments also are applied to governmental fund inventories to indicate that they do not represent "available spendable resources," even though they are a component of net current assets. Such amounts generally are offset by fund balance reserve accounts. Because of their spending measurement focus, expenditure recognition for governmental fund types is limited to exclude amounts represented by noncurrent liabilities. Because they do not affect net current assets, such long-term amounts are not recognized as governmental fund type expenditures or fund liabilities. They instead are reported as liabilities in the General Long-Term Debt Account Group. All proprietary funds and Nonexpendable Trust and Pension Trust Funds are accounted for on a cost of services or "capital maintenance" measurement focus. Depreciation of all exhaustible fixed assets used by proprietary funds is charged as an expense against their operations. Accumulated depreciation has been provided over the estimated useful lives using the straight-line method. The estimated useful lives are as ~ollows: Buildings Vehicles Machinery and equipment Furniture and fixtures Water and sewerage systems Landfill Cell II C 7 - 40 years 1 - 15 years 1 - 20 years 1 - 15 years 10 - 40 years 10 years Maj or outlays for capital assets and improvements are capitalized in proprietary funds as projects are constructed. Interest incurred during the construction phase of proprietary fund fixed assets is reflected in the capitalized value of the asset constructed, net of interest earned on the invested proceeds over the same period. During 2000, no interest costs were capitalized because interest expenditures related to constructed assets did not exceed related interest revenue. E. Budgets and budgetary accounting The Government generally follows these procedures in establishing the budgetary data reflected in the fmancial statements: I. Budgetary hearings are held in October to discuss departmental budgets. 2. The Finance Committee presents the tentative budget to the Commission in November. 3. The pennanent budget is legally adopted by the Commission prior to the start of the next fiscal year. 4. All budget revisions or changes must be approved as required by Georgia law and administrative policy. Transfer of budgeted amounts between object categories within departments requires the approval of the Government Administrator. The Augusta-Richmond County Commission must approve revisions that alter the total expenditures of any department or fund. Budgets for capital items are reappropriated in the ensuing year's budget Departments may request for other budget items to be reappropriated in the form of a budget adjustment, contingent of the Commission's approval. 19 I I I I I I I I I I I I I I I I I I I I I I I I I -I I I I I I I I I I I I I' AUGUSTA, GEORGIA Notes to Financial Statements - Continued December 31, 2000 . Note 1- Summary of significant accounting policies (Continued) 5. Formal budgetary integration is employed as a management control device during the year for the General, Special Revenue, Debt Service and Capital Projects Funds. 6. Budgets for these funds are adopted on a basis consistent with generally accepted accounting principles (GAAP). Budget information for expenditures represent the operating budget (as amended) as approved by the Augusta-Richmond County Commission. F. Encumbrances Encumbrance accounting, under which purchase orders, contracts, and other commitments for the expenditure of monies are recorded in order to reserve. that portion of the applicable appropriation, is employed as an extension of formal budgetary integration for the General Fund, Special Revenue Funds, Debt Service and Capital Projects Funds. Encumbrances are recorded when purchase orders are issued but are not considered expenditures until liabilities for payments are incurred. Encumbrances for outstanding purchase orders do not lapse at year end. Therefore, they are reported as reservations of fund balance. G. Cash and cash equivalents The Government maintains a cash and investment pool in which the General Fund and all funds share. Each fund's portion of the pool is displayed on its respective balance sheet as cash and cash equivalents and includes non-pooled cash and investments separately held. Funds which have an excess of outstanding checks over bank balance have had these balances reclassified as a due to the General Fund for purposes of financial statement presentation. Interest income is allocated to each fund monthly based on its average monthly balance. For the purposes of financial statement presentation, the Government considers all highly liquid investments with an original maturity of three months or less, or with insignificant early withdrawal penalties, to be cash equivalents. Exceptions include the Government's pension plans which classify only cash as cash equivalents in order to appropriately report investment activity. Cash equivalents include amounts in certificates of deposit, repurchase agreements, and U.S. Treasury bills, and are stated atcost which approximates market. All deposits are stated at cost plus accrued interest, which reasonably estimates fair value. The State statutes authorize the Government to invest in obligations of the United States government and agencies thereof, general obligations of the State of Georgia or any of its political subdivisions, or banks and savings and loan associations to the extent that they are secured by the Federal Deposit Insurance Corporation. H. Investments Investments are reported at cost, except for the investments in the Government's pension plans and deferred compensation plan which are reported at fair value. For these investments, fair value is determined as follows: short-term investments are reported at cost, which approximates fair value; securities traded on national exchanges are valued at current prices or current prices of similar securities; securities for which an established market does not exist are reported at estimated fair value using selling prices for similar investments for which there is an active market; fair value of real estate is based on cost. L Inventories and prepaid expenses Inventories in the governmental funds are valued at cost using the frrst-in, first-out method. Inventories in the proprietary funds are valued at the lower of cost (first-in, frrst-out) or market. The costs of governmental fund-type inventories and prepaid expenses are recorded as expenditures when consumed rather than when purchased. Reported inventories and prepaid expenses are equally offset by a fund balance reserve which indicates that they do not constitute "available spendable resources". 20 AUGUSTA, GEORGIA Notes to Financial Statements - Continued December 31, 2000 Note 1 - Summary of significant accounting policies (Continued) J. Interfund transactions During the course of operations, numerous transactions occur between individual funds for goods provided or services rendered. These receivables and payables are classified as "due from other funds" or "due to other funds" on the balance sheet. Quasi-external transactions are accounted for as revenues, expenditures or expenses. Transactions that constitute reimbursement to a fund for expenditures/expenses initially made on behalf of another fund are recorded as expenditures/expenses in the reimbursing fund and as reductions of expenditures/expenses in the fund that is being reimbursed. All other interfund transactions, except for quasi-external transactions and reimbursements, are reported as transfers. Nonrecurring or non-routine permanent transfers of equity are reported as residual equity transfers. All other interfund transfers are reported as operating transfers. K. Bond discounts and issuance costs Bonddiscounts and issuance costs for proprietary funds are deferred and amortized over the term of the bonds using the effective-interest method. Bond discounts are presented as a reduction of the face amount of bonds payable, whereas issuance costs are recorded as deferred charges. L. Restricted assets Certain assets of the Debt Service Fund, Enterprise Fund, and Internal Service Fund are classified as restricted assets on the balance sheet because their use is limited by applicable debt covenants. M. Compensated absences Government employees are entitled to certain compensated absences based upon their length of employment. No liability is reported for unpaid accumulated sick leave since it is the Government's policy to record the cost of sick leave only when it is used. Vacation pay and comp time are accrued when incurred in proprietary funds and reported as a fund liability. Vacation pay and comp time that are expected to be liquidated with expendable available fmancial resources is reported as an expenditure and a fund liability of the governmental fund that will pay it. Amounts not expected to be liquidated with expendable available fmancial resources are reported in the General Long-term Debt Account Group and no expenditure is reported for these amounts. N. Comparative data and reclassifications Comparative total data for the prior year has been presented in the accompanying fmancial statements in order to provide an understanding of changes in the Government's fmancial position and operations. Comparative (Le., presentations of prior year totals by fund type) data has not been presented in each of the statements because their inclusion would make the statements unduly complex and difficult to read. Also, certain reclassifications to data presented in the prior year columns have been made to conform to current year classifications. However, due to a change in the chart of accounts, certain individual line items do not conform to the current year presentation. O. Total columns Total columns on the general-purpose fffiancial statements are captioned "Memorandum Only" to indicate that they are presented only to facilitate financial analysis. Data in these columns does not present financial position, results of operations or cash flows in conformity with generally accepted accounting principles. Neither is such data comparable to a consolidation. Interfund eliminations have not been made in the aggregation of this data. P. Use of estimates The preparation of fmancial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabil ities and the reported amount of revenues and expenditures/expenses during the reporting period. Actual results could differ from those estimates. 21 I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Notes to Financial Statements - Continued December 31, 2000 Note 2 - Stewardship, compUance and accountability A.. Excess of expenditures over appropriations Expenditures Budget Actual (Excess) General $51,406,315 $49,094,259 $ 2,312,056 Law Enforcement Fund 38,237,753 39,723,331 (1,485,578) State Grants 131,950 101,895 30,055 Port Authority 388,677 309,674 79,003 Local Law Enforcement Block Grants 895.783 775.276 120.507 Total General Funds $91.060.478 $90.004.435 $ 1.056.043 Urban Services District $ 6,379,744 $ 5,078,617 $ 1,301,127 Emergency Telephone System 2,671,000 2,075,448 595,552 Capital Outlay 2,444,937 1,719,515 725,422 Law Enforcement 28,247 25,405 . 2,842 Fire Protection 14,803,824 14,572,890 230,934 Occupational Tax Special Assessment 1,328,680 1,078,708 249,972 Promotion/Tourism 3,715,000 3,680,027 34,973 Housing and Neighborhood Development 11,405,153 5,002,573 6,402,580 Urban Development Action Grant 1,000,000 135,130 864,870 Downtown Development Authority 1,620,536 1,632,374 ( 11,838) State Capital Grants Law Library 47,910 19,014 28,896 5% Crime Victim's Assessment 401,130 236,022 165,108 Supplemental Juvenile Service 7,500 2,804 4,696 Building Inspection 786,464 781,873 4,591 Weed and Seed Federal Grant 163.851 99.559 64.292 Total Special Revenue Funds $46.803.976 $36.139.959 $10.664.017 Debt Service $ $ 972,000 $( 972,000) Urban Debt Service 620.1 00 396.625 223.475 Total Debt Service Funds $ 620.100 $ 1.368.625 $( 748.525) Special Sales Tax $ 1,495,321 $ 423,814 $ 1,071,507 Special Sales Tax Phase II 12,032,492 1,459,363 10,573,129 Special Sales Tax Phase III 67.291.363 13.492.447 53.598.916 Total Capital Projects Funds $80.819.176 $15.375.624 $65.243.552 22 AUGUSTA, GEORGIA Notes to Financial Statements - Continued December 31, 2000 Note 2 - Stewardship, compliance and accountability (Continued) Expenditures Budget Actual (Excess ) Waste Management $ 5,290,016 $ 5,781,766 $( 491,750) Water and Sewerage 33,114,205 24,821,287 8,292,918 Augusta Regional Airport at Bush Field 8,508,094 9,060,502 ( 552,408) Municipal Golf Course 765,307 601,585 163,722 Transit 6,412,119 3,319,505 3,092,614 Daniel Field Airport 808,478 69,369 739,109 Old Government House 120,837 104,024 16,813 Newman Tennis Center 250.850 245.011 5.839 Total Enterprise Funds $55.269.906 $44.003.049 $11.266.857 Risk Management $ 2,382,284 $ 2,008,598 $ 373,686 Fleet Operations 4,288,464 3,625,044 663,420 Other Internal Service Funds 10.213.773 11.026.501 ( 812.728) Total Internal Service Funds S 16.884.521 $16.660.143 $ 224.378 1945 Pension Fund $ 1,987,100 $ 1,064,707 $ 922,393 1977 Pension Fund 1,992,000 1,026,703 965,297 1998 Pension Fund 2,386 ( 2,386) General Retirement 5,330,000 4,957,526 372,474 Expendable Trust Fund - Joseph Lamar 175 175 Expendable Trust Fund - Perpetual Care 52,900 38,640 14,260 Nonexpendable Trust Fund - Perpetual Care 1.479 ( 1.479) Total Trust & Agency Funds $ 9.362.175 $ 7.091.616 $ 2.270.559 B. Fund Balance or Retained Earnings (Deficit) Following is a detail of fund balance/retained earnings (deficit) by fund. Agency funds, which serve only a custodial function, do not have fund balances and are, therefore, not included. Fund Balance/Equity (Deficit) General General Law Enforcement State Grants Port Authority Local Law Enforcement Block Grants Total General Funds $29,373,190 (2,951,500) ( 476,758) 257,548 ( 242.667) $25.959.813 Special Revenue Urban Services District Emergency Telephone System Capital Outlay Law Enforcement Fire Protection Occupational Tax. Special Assessment Promotion/Tourism Housing and Neighborhood Development Urban Development Action Grant $ 1,879,882 537,111 3,591,451 188,608 1,274,043 163,094 23,453 901,613 4,967,210 23 I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Notes to Financial Statements - Continued December 31, 2000 Note 2 - Stewardship, complIance and accountability '(Continued) Special Revenue (Continued) Downtown Development Authority State Capital Grants Law Library 5% Crime Victim's Assessment Supplemental Juvenile Service Building Inspection Weed and Seed Federal Grant Total Special Revenue Funds Debt Service Debt Service Urban Debt Service Total Debt Service Funds Capital Projects Community Development Special Sales Tax Special Sales Tax Phase II Special Sales Tax Phase III Total Capital Projects Funds Enterprise . Waste Management Water and Sewerage Augusta Regional Airport at Bush Field Municipal Golf Course Transit Daniel Field Airport Old Government Hquse Newman Tennis Center Total Enterprise Funds Internal Service Risk management Fleet Operations Workers Compensation Employee Health Benefits GMA Leases Total Internal Service Funds Trust 1945 Pension Fund 1977 Pension Fund General Retirement Expendable Trust Fund - Joseph Lamar Expendable Trust Fund - Perpetual Care Non-expendable Trust Fund - Joseph Lamar Non-expendable Trust Fund - Perpetual Care Total Trust Funds 24 Fund Balance/Equity (Deficit) $( 106,161) 665 ( 22,350) 503,211 30,521 ( 280,999) ( 60.347) $ 13.591.005 $ 3,106,819 639.170 $ 3.745.989 $ 244,833 4,165,435 16,886,870 60.111.571 $ 81.408.709 $ 2,260,527 129,726,023 33,468,789 ( 128,350) 3,831,784 1,052,929 129,612 ( 111.861) $170.229.453 $ 576,614 ( 41,848) ( 24,164) 4,078 24.458 $ 539.138 $ 12,745,073 12,956,994 71,196,630 ( 586) 632,242 5,382 296.382 $ 97.832.117 AUGUST A, GEORGIA Notes to Financial Statements ~ Continued December 31,2000 Note 2 - Stewardship, compliance and accountability (Concluded) The Government plans to fund the deficits through contributed capital and the general operations of the Government. Note 3 - Detailed notes on all funds and account groups A. Deposits and investments At December 31,2000, the Government's cash and cash equivalents balance on the combined balance sheet included demand deposits, certificates of deposit, repurchase agreements, and local government investment pools. The cash balance was secured by Federal Depository Insurance Corporation (FDIC) or Savings Association Insurance Fund (SAIF) or by collateral held by the agent in the Government's name. The local government investment pool "Georgia Fund I", created by a.C.G.A. ~36-83-8, is a stable net asset value investment pool which follows Standard and Poor's criteria for AAAm rated money market funds. However, Georgia Fund 1 operates in a manner consistent with Rule 2a-7 of the Investment Company Act of 1940 and is considered to be a 2a-7 like pool. The pool is not registered with the SEC as an investment company. The pool's primary objectives are safety of capital, investment income, liquidity and diversification while maintaining principal ($1.00 per share value). Net asset value is calculated weekly to ensure stability. The pool distributes earnings (net of management fees) on a monthly basis and determines participant's shares sold and redeemed based on $1.00 per share. The carrying amount of the Government's deposits with fmancial institutions was $74,030,857 and the bank balance was $71,251,237. The bank balance was categorized as follows: Amount insured by the FDIC Amount collateralized with securities held by pledging institutions in the Government's name $ 1,100,000 Total bank balance of deposits 70.151.237 $71.251.237 Investments made by the Government, including repurchase agreements consisting ofU .S. Treasury notes, are summarized below. The investments that are represented by specific identifiable investment securities are classified as to credit risk by the three categories described below: Categorv -L 3 Carrying Market Amount Value $ 95,871,268 $ 95,871,268 59,584,728 59,584,728 69.468.029 69.468.029 76,447,292 76,447,292 74.030.857 74.030.857 $375.402.174 $375.402.174 Repurchase agreements U.S. Government securities Corporate bonds and equity securities $95,871,268 59,584,728 69.468.029 $ - $ - Local government investment pool Carrying amount of deposits with fmancial institutions 25 I I I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Notes to Financial Statements - Continued December 31, 2000 I Note 3 - Detailed notes on all funds and account groups (Continued) The balances shown on the combined balance sheet are as follows: I Cash and temporary investments - primary government Cash and temporary investments - component unit Investments . Restricted assets: Certificates of participation investments: Acquisition/construction account . Reserve account Revenue bond cash and cash equivalents: . Construction account Debt service account Sinking fund account Perpetual care $157,381,164 1,082,356 91,710,035 I I I 11,507,724 1,341,051 I 104,689,291 4,873,604 2,473,324 343.625 $375.402,174 I The Government's investments are shown by type, carrying amount, market value and level of risk assumed in the holding of the various securities. I The levels of risk assumed in the various investments are categorized as follows: Category 1: includes the investments that are insured or registered or for which the securities are held by the Government or its agent in the Government's name. I I I I Category 2: includes uninsured and unregistered investments for which the securities are held by the bank's or dealer's trust department or agent in the Government's uame. Category 3: includes uninsured and unregistered investments for which the securities are held by the bank or dealer, or by its trust department or agent but not in the Government's name. B. Receivables Property taxes are administered on a calendar year basis subject to the following dates: I Lien date Levy date Collection period Due date January 1 August 15 September 15 - November 15 November IS I I I 26 AUGUSTA, GEORGIA I Notes to Financial Statements - Continued I December 31,2000 I Note 3 - Detailed notes on all funds and account groups (Continued) Receivables at December 31, 2000, including the applicable allowances for uncollectible accounts, consistofthe following: Special Debt Capital Internal Trust and General Revenue Service Proiects Enterorise Service Agency Total Receivables: Taxes $ 4,283,599 $2,606,365 $328,495 $ $ $ $22,436,451 . $29,654,910 Accounts 3,885,049 409,589 64S 3,406,212 5,774,804 6,160,151 19,636,450 Interest 57,684 277,887 82,995 836,839 1,255,405 Note 387,500 3,915,336 4,302,836 Intergovernmental 3.752.585 1.392.803 - 206.374 5.351.762 Gross receivables 12,308,733 8,381,777 329,140 3,684,099 6,064,173 6.160,151 23,273,290 60,201,363 Less: allowance for uncollectibles 620.784 321.162 13.841 515.604 1.471.391 Net total receivables $11,687.949 $8.060.615 $315.299 $3.684.099 $5.548.569 $6.160.15 I $23.273.290 $58.729.972 I I I In a prior year, the former City of Augusta entered into an agreement with the Georgia Housing and Finance Authority (GHF A) to aid in the administration of Federal funds granted through the State for HUD's Rental Rehabilitation Program. The Government acts only in an administrative capacity and does not directly receive or disburse any funds related to this project. Therefore, the receipts, disbursements and related notes receivable for the GRF A program have not been included in the financial statements. I I I I I In addition to the above loans receivable, a bank maintains records for certain notes receivable that are not recorded in the accounts of the Government. These loans represent funds received through HUD's Housing Rehabilitation Program. The Housing Rehabilitation Program is designed to fund improvements to homes owned and occupied by persons in low to moderate income ranges. In 1993,Ioans were also made to owners of rental units under a defelTed loan arrangement as part ofthe Housing Rehabilitation Program. Loans made for these projects vary as to amounts and interest rates based on the level of income of the owner/occupiers. Repayments of these loans are recorded as other revenue in the Housing and Neighborhood Development Fund. C. Fixed assets I Activity in the General Fixed Assets Account Group for the year ended December 31,2000, was as follows: I Balance Balance January 1. 2000 Additions Deletions December 31. 2000 Land $ 14,420,844- $ 1,804,986 $ $ 16,225,830 Land improvements 413,665 413,665 Buildings 61,719,110 12,358 61,73l,468 Building improvements 7,207 7,207 Tax levy acquisitions 30,984 30,984 Vehicles 16,900,144 4,563,517 21,463,661 Machinery and equipment 7,017,439 221,229 7,238,668 IT - hardware 1,903,189 154,100 1,749,089 IT - software 270,023 270,023 Furniture and flXtures 13,348,830 38,078 13,386,908 Other capital 10,744,365 13,394,798 24,139,163 Construction in progress 39,464,160 7,036,261 13,530,690 . 32,969,731 Richmond County Public Facilities, Inc. 12.655.483 12.655.483 $176.301.359 $29.665.311 $13.684.790 $192.281.880 27 I I I I I I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Notes to Financial Statements - Continued December 31, 2000 Note 3 - Detailed notes on all Cunds and account groups (Continued) Fixed assets for proprietary funds as of December 31,2000, were as follows: Internal Enterorise Service Land $ 10,361,297 $ Land improvements 907,859 Buildings 52,049,866 1,065 Building improvements 29,599 2,460 Vehicles 11,764,587 158,198 Machinery and equipment 9,676,413 195,417 IT - hardware 26,623 9,544 IT - software 127,174 12,962 Furniture and fixtures 810,907 88,825 Other capital 19,051,397 Construction in progress 50,639,428 Water and sewerage systems 162,996,380 Contributed water and sewerage systems 10,563,423 Landfill Cell II C 9.059,078 Total 338,064,031 468,471 Less accumulated depreciation (122.703,600) (313.746) Net property, plantand equipment $ 215360.431 $ 154.725 D. Landfill closure and postclosure costs State and Federal laws and regulations require the Government to place a final cover on its landfill when closed and perform certain maintenance and monitoring functions at the landfill site for thirty years after closure. In addition to operating expenses related to current activities of the landfill, an expense provision and related liability are being recognized based on the future closure and postclosure care costs that wiIl be incurred near or after the date the landfill no longer accepts waste. The recognition of these landfill closure and postclosure care costs is based on the amount of the landfill used during the year. The estimated liability for landfill closure and postclosure care costs has a balance of $8,100,000 as of December 31,2000, which is based on 55% usage (filled) of Cell n C which is operating currently, and 100% usage (filled) of Cells II A and II B. This liability is recorded in the Waste Management Enterprise Fund. It is estimated that an additional $2,196,741 will be recognized as closure and postclosure care expenses between the date of the balance sheet and the date the landfill is expected to be filled to capacity, which is in the next 5 years. The estimated total current cost ofthe landfill closure and postclosure care, $10,296,741, is based on the amount that would be paid if all equipment, facilities, and services required to close, monitor, and maintain the landfill were acquired as of December 31, 2000. However, the actual cost of closure and postclosure care may be higher due to inflation, changes in technology, or changes in landfill laws and regulations. The Government expects to finance the costs for the estimated landfill closure and postclosure care costs as they become due during the coming thirty years through the regular operations of the Government. 28 AUGUSTA, GEORGIA Notes to Financial Statements - Continued December 31, 2000 Note 3 - Detailed notes on all funds and account groups (Continued) E. Long-term debt 1. General long-term debt Changes in generallon2-tenn liabilities . During the year ended December 31,2000, the following changes occurred in liabilities reported in the General Long-Term Debt Account Group (in thousands): Accrued Unfunded . General Certificates Vacation! Pension Obligation of Notes Revenue Comp Capital Benefit Bonds Particioation Pavable Bonds Time Leases Obligation Total Balance, 12-31-99 $ 4,020 $ 2,805 $1,737 $6,981 $ 2,982 $ 5,054 $ 9,1l8 $ 32,697 Additions 3,281 3,020 5,941 12,242 Retirements D.JJ.1) 0,375) Llli> ( 837) Q.J.W (3.078) li.2W 06.027) Balance, 12-31-00 $ 2.905 $ 1.430' $1.260 . $6.144 $~ $ 4.996 $ 9.065 $28.9.1 2 General Obligation Bonds $8,000,000 1981 Public Building Bonds - due in annual installments of $550,000 to $990,000, plus interest at 6.5% to 9.6%, through January 2002. $1,880,000 $7,020,000 1973 Public Improvement Bonds - due in annual installments of $325,000 to $350,000, plus interest at 4.75% to 5.5% through November 2003. 1.025.000 $2.905.000 Total Certificates of Participation $33,650,000 Certificates of Participation (Series 1993) issued by Richmond County Public Facilities, Inc. (see Note 4E) - due in annual installments of$I,325,OOO to $1,430,000, plus interest at 4.0% to 4.2% through October 2001. $1.430.000 In a prior year, a portion of the Certificates of Participation (Series 1993) was defeased by the creation ofan irrevocable trust fund. Original proceeds remaining from the issue were used to purchase U.S. Government securities that were placed in a trust fund. The investments and fIXed earnings from the investment are sufficient to fully service the defeased debt until the debt matures. For fmancial reporting purposes, the debt is considered defeased and, therefore, not included as a liability in the General Long-Term Debt Account Group. As of December 31,2000, the amount of defeased debt outstanding but removed from the General Long-Term Debt Account Group is $1,655,000. Notes payable Housing and Neighborhood Development: Section 108 loan - due in annual installments of $40,000 to $1,010,000, plus interest at 3S basis points above LIBOR adjusted on the frrst day of each month, through August 2005. $1.260.000 29 I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Notes to Financial Statements - Continued December 31, 2000 Note 3 - Detailed notes on all funds and account groups (Continued) Revenue bonds Downtown Development Authority: $2,600,000 1989 Downtown Development Authority Bonds - due in annual Installments of$125,000 to $270,000, plus interest at 7.4~, through January 2010.. $3,816,000 1990 Downtown Development Authority Bonds - due in annual installments of$170,000 to $375,000, plus interest at 7.55%, through January 2010. $3,500,000 1993 Downtown Development Authority Bonds - due in monthly principal and interest installments of$41 ,075 through May 2002. Augusta Port Authority: $1,200,000 1993 Augusta Port Authority Bonds - due in monthly principal and interest installments of$9,773 through April 2008. Total 2. Enterprise Funds' debt Revenue bonds Water and Sewer: $97,080,0002000 Water and Sewer Bonds - due in annual installments of$355,000 to $11,105,000, plus interest at 4.4% to 5.25% through October 2030. $66,640,000 1996 Water and Sewer Bonds - due in annual installments of $920,000 to $4,445,000, plus interest at 3.6% to 6.25%, through October 2028 (this liability is reflected in the Water and Sewer Fund net of deferred refunding amount of $2,176, 182). $5,910,000 1997 Water and Sewer Bond - due in annual installments of $100,000 to $400,000, plus interest at 3.6% to 5.25%, through October 2021. (This liability is reflected in the Water and Sewer Fund net of deferred refunding amount of $453.764). Augusta Regional Airport at Bush Field: $1,200,000 1972 Augusta Airport Improvement Bonds - due in annual installments of $70,000 to $85,000, plus interest at 5.9% through April 2002. Notes uavable Water and Sewer Fund: State revolving loan - due in quarterly principal and interest installments of $94,668, plus interest at 4%, through May 2016. State revolving loan - due in quarterly principal and interest installments of $305,904, plus interest at 5.5%, through June 2011. State revolving loan - principal and interest due in quarterly installments of $119,392, plus interest at 4%, through July 2019. Total 30 $ 2,015,000 2,770,000 646,398 712.278 $ 6.143.676 $ 97,080,000 62,835,000 5,375,000 170.000 $165.460.000 $ 4,358,475 9,451,790 6.221.870 $ 20.032.135 AUGUSTA, GEORGIA I December 31, 2000 I I Notes to Financial Statements - Continued Note 3 - Detailed notes on all funds and account groups (Continued) Certificates of Participation Municipal Golf Course Fund: $1,705,000 Certificates of Participation (Series 1998) Augusta Golf Course Project - due in semi-annual installments of $37,700 to $89,800, plus interest of 5.18% (to be adjusted to not more than 15% on December 31,2003) through June 2013. I $ 1.504.879. I $16,888,000 Certificates of Participation - principal due in a lump sum payment on June 1,2028. Interest only payments are due annually at a rate of 4.75%, through June 1, 2028. Original issue amount Original issue discount I $16,888,000 0.033.053) $15.854.947' I I I I I During 1996, the Government issued $66.6 million in Series 1996 Water and Sewer revenue bonds. A portion of the proceeds from the sale of these bonds was used to advance refund all of the fanner City of Augusta's Series 1972 and 1991 Water and Sewer revenue bonds and the fonner Richmond County's Series 1987 and 1991 Water and Sewer revenue bonds. Proceeds of$19.4 million plus an additional $4.9 million of sinking fund monies from the defeased issues were used to purchase U.S. government securities. Those securities were deposited in an irrevocable trust fund with an escrow agent to provide for all future debt service payments on the above-mentioned bonds. As a result, the bonds are considered to be defeased and the liabilities for those bonds have been removed from the Water and Sewer Fund. In 1997, the Government issued $5.9 million in Series 1997 Water and Sewer Revenue Bonds. A portion of the proceeds from the sale of these bonds was used to advance refund all of the former Richmond County's Series 1986 Water and Sewer Revenue Bond. Proceeds of approximately $5.6 million plus an additional $.9 million of sinking fund monies from the defeased issues were used to purchase U.S. government securities. Those securities were deposited in an irrevocable trust fund with an escrow agent to provide for al1 future debt service payments on the above-mentioned bonds. As a result, the bonds are considered defeased and the liability for those bonds have been removed from the Water and Sewer Fund. I As of December 31,2000, the amount of these defeased debts outstanding but removed from the Water and Sewer Fund is $15,538,798, I The advance refunding during 1996 resulted in a difference between the reacquisition price and the net carrying amount of the old debt of approximately $2.5 million. This difference, reported in the accompanying financial statements as a deduction from bonds payable, is being charged to operations through the year 2028 using the effective-interest method. The refunding increased the total debt service payments over the next 30 years by approximately $8.6 million and produced an economic gain of approximately $260,000. I I The advance refunding during 1997 resulted in a difference between the reacquisition price and the net carrying amount of the old debt of approximately $540,000. This difference, reported in the accompanying financial statements as a deduction from bonds payable, is being charged to operations through the year 2021 using the effective-interest method. The refunding will increase total debt service payments over the next 24 years by approximately $2.1 million and will produce an economic gain of approximately $110,000. I I I 31 I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Notes to Financial Statements - Continued December 31, 2000 Note 3 - Detailed notes on all funds and account groups (Continued) Certificates of Participation In June 1998, the Government entered into a lease pool agreement with the Georgia Municipal Association (the "Association"). The funding of the lease pool was provided by the issuance of $150,126,000 Certificates of Participation by the Association. The Association passed the net proceeds through to the participating municipalities with the Government's participation totaling $16,888,000, shown net of original issue discount of $1,033,053 at $15,854,947. The lease pool agreement with the Association provides that the Government owns their portion of the assets invested by the pool and is responsible for the payment of their portion of the principal and interest of the Certificates of Participation. The principal of$16,888,OOO is due in a lump sum payment on June 1,2028. Interest is payable at a rate of 4.75% each year. The Government draws from the investment to lease equipment from the Association. The lease pool agreement requires the Government to make lease payments back into its investment account to fund the principal and interest requirements of the 1998 GMA Certificates of Participation. Equipment in the amount of$3,019,801 was leased during 2000. 3. Debt service requirements to maturity The annual requirements to amortize debt outstanding as of December 31, 2000, including interest are as follows: General Certificates Proprietary Obligation of Notes Revenue GLTDAG Funds Bonds Participation Pavable Bonds Total Debt 2001 $l,383,550 $1,490,060 $ 171,419 $ 1,295,692 $ 4,340,721 $ 13,288,453 2002 1,415,475 171,400 980,144 2,567,019 12,848,329 2003 366,625 170,880 798,147 1,335,652 12,729,728 2004 195,064 797,825 992,889 12,733,848 2005 1,133,016 795,256 1,928,272 12,733,998 Thereafter 3.661.026 3.661.026 340.815.945 3,165,650 1,490,060 1,841,779 8,328,090 14,825,579 405,150,301 Less interest ( 260.650) ( 60.060) ( 581.779) (2.184.414) (3.086.903) (202.298.340) $2.905.000 $1.430.000 $1.260.000 $ 6.143.676 $11.738.676 $ 202.851.961 F. Leases The Government has entered into several long-term lease agreements for various vehicles and machinery and equipment. Although the leases contain clauses which provide that the leases are cancelable if funds are not appropriated for the periodic payments for any future fiscal periods, the leases meet the criteria of a capital lease as defined by Statement of Financial Accounting Standards No. 13 Accounting for Leases and the National Council on Governmental Accounting Statement No.5 Accounting and Financial Reporting Principles for Lease Agreements of State and Local Governments. AUGUST At GEORGIA I Notes to Financial Statements - Continued I December 31,2000 I Note 3 - Detailed notes on all funds and account groups (Continued) Future minimum lease payments under the leases and the net present value of the minimum lease payments as of December 31, 2000 are as follows: I General Long-term Obligations I Present value of lease payments $2,162,764 1,415,122 266,930 232,400 208,845 710.383 $4.996.444 I 2001 2002 2003 2004 2005 Thereafter I I I The Government is lessor ofterm'inal space, land and buildings at Augusta Regional Airport at Bush Field and Daniel Fjeld under various operating leases. Revenues and related expenses for Augusta Regional Airport at Bush Fjeld are recorded in the Augusta Regional Airport at Bush Field Fund while the revenue and related expenses for Daniel Field are recorded in the Daniel Field Airport Fund. Some of the leases provide for additional payments based on usage activity in addition to non-cancelable amounts of fixed rates. During 2000, rental income totaled approximately $2.2 million and $83,647 in the Augusta Regional Airport at Bush Field and Daniel Field Airport Funds, respectively. I The assets acquired through capital leases as of December 31, 2000 are as follows: I General Fixed Assets Enterprise Funds Less: accumulated depreciation $359,217 455.771 814,988 427.741 I I Vehicles Machinery and equipment $6,965,971 562.756 7,528,727 Carrying value $7.528.727 $387.247 I I I I I 33 I I AUGUSTA, GEORGIA I Notes to Financial Statements - Continu'ed I December 31, 2000 I Note 3 - Detailed notes on all Cunds and account groups (Continued) G. Due to/from other funds (excluding component unit) I Interfund Receivable Pavable General Funds: General Fund $25,586,511 $ 3.564,329 I Port Authority 842 Law Enforcement 929,945 1,353,454 Special Revenue Funds: I Urban Services District 510,006 998,437 Capital Outlay 769,478 479,377 Fire Protection 170,723 402,429 I Occupational Tax 1,890 Special Assessment 57,543 Housing and Neighborhood Development 782,659 Urban Development Action Grant (UDAG) 616 I Downtown Development Authority 512,417 Law Library 21,510 5% Crime Victim's Assistance 181 I Building Inspection 263,100 Weed and Seed Federal Grant 59,281 Debt Service Funds: - Debt Service Fund 67,657 I Urban Debt Service Fund 53,825 Capital Projects Funds: Special Sales Tax, Phase ill 14,687 7,911 I Enterprise Funds: Waste Management 82,485 14,055 - Water and Sewer 3,032,010 13,612,400 I Augusta Regional Airport at Bush Field 931,396 1,821,153 Municipal Golf Course 402,494 Transit 3,344 891,243 .- Daniel Field Airport - 381,405 I' Old Government House 36,305 Newman Tennis Center 111,932 Internal Service Funds: I Risk Management and Employee Health Benefits 600,416 169 Fleet Operations and Management 105,663 1,246,167 Unemployment 66,259 GMA Leases 2,143,377 3,663,937 I Trust and Agency Funds: Tax Commissioner 2,732,968 Probate 11,599 I Civil Court 48,020 Clerk of Court 559,045 Joseph R. Lamar Expendable Trust 586 I Perpetual Care Nonexpendable Trust Funds 42,243 1945 Plan 400,000 97,739 General Retirement 1.271.276 I $35.459.247 $35.459.247 :14 AUGUSTA, GEORGIA I Notes to Financial Statements - Continued I December 31, 2000 Note 3 - Detailed notes on all Cunds and account groups (Continued) I H. Contributed capital During 2000, contributed capital in proprietary funds changed due to contributions offtxed assets by subdividers and developers. The following schedule summarizes the changes by fund: I Enterprise Funds Waste Management , Augusta Regional Water Airport at and Sewer Bush Field Transit Daniel Field Airoort Old Government House Totals I I Contributed capital, January 1,2000 $1.741,644 $41,896,587 $10,980.252 $10,015,263 $314.900 Capital contributions: Subdividers! developers Contributed capital, December 31, 2000 $1.741.644 $41.896.587 $10.980.252 $10.015.263 $314.900 $28,199 $64.976,845 I I I I $28.199 $64.976.845 Note 4 - Other information A. Risk management The Government is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets; errors and omissions; and natural disasters for which the Government is self-insured. The Risk Management Funds (an internal service fund) are utilized by the Government to account for and finance its self-insured risks of loss. The Risk. Management Funds are maintained to provide general liability insurance, workers' compensation coverage, unemployment coverage and employee health benefits coverage. The Government is self-insured for its employee group health insurance and workers' compensation coverage through a self-insurance program that is administered under contracts with third party administrators. Future claims can be paid from designated funds established in 1987 from previously unrestricted-unreserved funds. Balances as of December 31, 2000, include the following: I General Fund Fire Protection Fund Risk Management Fund $ 5,500.000 250,000 576.614 I I Total reserve $ 6.326.614 I I Related liabilities are reported when it is probable that a loss has occurred and the amount of the loss can be reasonably estimated. Liabilities include an amount for claims that have been incurred but not reported (IBNRs). Claim liabilities are calculated considering the effects of inflation, recent claim settlement trends including frequency and amount of payouts and other economic and social factors. The following represents the changes in the balance of claim liabilities for the Government from January 1, 1999 to December 31, 2000: I Unpaid claims, January 1, 1999 Incurred claims (including IBNRs) Claim payments Unpaid claims, December 31, 1999 Incurred claims (including IBNRs) Claim payments $ 277,665 2,105,668 (2.175.352) 207,981 3,295,048 (2.903.029) I I Unpaid claims, December 31, 2000 35 $ 600.000 I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Notes to Financial Statements - Continued December 31, 2000 Note 4 - Other Information (Continued) B. Segment information for Enterprise funds The Government maintains eight enterprise funds. Segment information for the year ended December 31, 2000, is presented below: Waste Management Augusta Regional Water Airport at Municipal and Sewer Bush Field Golf Course Operating revenues $ 4,638,095 $ 34,806,812 $10,034,036 Depreciation and amortization . 1,252,229 6,820,600 1,000,328 Operating income (loss)(I,143,671) 9,985,525 973,534 Operating transfers (net) 3,009,471 ( 50,000) Net income (loss) ( 942,167) 9,779,202 1,633,715 Net working capital 4,550,648 14,747,264 9,519,688 Property, plant and equipment additions 274,673 27,122,745 381,891 Total assets 10.569,737 329,499.649 35,731.369 Bonds payable and other long-tenn liabilities 8,100,000 180,358,749 85,000 Total retained earnings (deficit) 518,883 87,829,436 22,488,537 Total equity (deficit) 2,260,527 129,726,023 33,468,789 C. Contingent liabilities Transit Daniel Old Newman Field Govemment Tennis Airport House Center $ 589,136 $ 650,828 $ 84,047 $ 43,005 $ 179,344 50,805 12,449} ( 82,372) ( 407,494) 5,048 1,791,313 1,504,879 ( 128,350) ( 128,350) 509,398 (2,668,677) 8,045 14,678 22,663 (61,019) ( 65,667) 40,900 14,626 (20,795) ( 47,865) (38,324) (111,861) 32,235 168,136 6,945 101,413 (111,861) 129,612 (111,861) Litigation The Government is party to various legal proceedings which normally occur in governmental operations. The Government follows the practice of recording liabilities resulting from claims and legal actions only when they become probable and measurable. The Government has accrued a liability in the Risk Management Fund (an internal service fund) for all claims for which a loss is probable and measurable. 1,582,904 50,000 315,426 699,039 ( 664,497) 138,049 849,010 748,318 4,792,576 1,435,452 (6,183,479) 738,029 3,831,784 1,052,929 Possible unasserted claims The Government participates in a number of Federal and state assisted grant programs, which are subject to program compliance audits under the Single Audit Act of 1984. An audit of these programs has been perfonned for the year ended December 31, 2000, in compliance with the Single Audit Act ofl984 and OMB Circular A-133. However, the audit is pending fmal acceptance by the various grantor agencies. The amount, if any, of expenditures, which may be disallowed by the granting agencies, is expected to be immaterial. D. Contracts and commitments Augusta-Richmond County Coliseum Authoritv The Government has committed to provide funds to service the Augusta-Richmond County Coliseum Authority's debt to the extent of the 3% Hotel-Motel Excise Tax and 30% of the Beer Tax collected. Development Authority of Richmond CQ!!!ill! The Government has contracted with the Development Authority for services related to the "Forward Together" program of the Metro Augusta Chamber of Commerce. The contract provides for funding by the Government of $500,000 to be disbursed in increments 0($100,000 per year over a five-year period. The contract expired in 2000. 36 December 31, 2000 I I I I AUGUSTA, GEORGIA Notes to Financial Statements - Continued Note 4 - Other information (Continued) E. Richmond County Public Facilities, Ine. The Richmond County Public Facilities, Inc. is a nonprofit organization, tax exempt under Internal Revenue Code Section 501(c)(3). The purpose of this nonprofi~ organization is to construct and maintain buildings and equipment to be leased by the Government, the Department of Family and Children Services, and the Richmond County Board of Education. The Richmond County Public Facilities, Inc. is part of the reporting entity of Augusta, Georgia, due to the degree of control the Government has over the Board of Directors of Richmond County Public Facilities, Inc. I Richmond County Public Facilities, Inc. issued Certificates of Participation to provide funds for the Government to refund the 1990 Certificates of Participation issue and for certain capital projects. The related assets are included in the fmancial statements of the Government in the General Fixed Asset Account Group and the Debt Service Fund (a debt service fund). The liability is included in the General Long-Term Debt Account Group. I Single-emplover pension plans 1945 Plan The 1945 Plan was available to all former Richmond County employees hired prior to October 1, 1975 that met the Plan's age and length of service requirements. Participants in the Plan who retired at or after age 60 are entitled to a monthly benefit equal to 2% of average earnings multiplied by years of service. Also, the benefit is not to exceed 60% of the average earnings. The Plan provides death and disability benefits. These benefit provisions and all other requirements including amendments are established by Government ordinance. The Plan also provides for reduced benefits if the participant elects to retire after attaining age 50 and completing 15 years of service. Employees are required to make contributions to the Plan equal to 5% of earnings. The Government is required to contribute the remaining amounts necessary to fund the Plan. If a participant terminates employment prior to completion often years of credited service, the participant receives a lump-sum amount equal to his total contributions to the Plan, with 5% interest computed from January I, 1997. After completion of at least ten years of credited service, the participant receives a monthly benefit deferred to his normal retirement date, equal to the benefit computed as for normal retirement multiplied by the percentage based on completed years of credited service, as follows: 50% after 10 years, increasing 10% each year to 100% after 15 years of credited service. This is a closed retirement plan (new employees may not participate in the Plan). I I I I I I In addition, the Richmond County Public Facilities, Inc. . issued Certificates of Participation of $13,240,000 for the Richmond County Board of Education in a prior year. These Certificates of Participation are the sole responsibility of the Richmond County Board of Education and the related assets and liabilities have not been included in the financial statements of the Government. Note 5 - Pension plans A. Plan descriptions, contribution information and funding policies The Government has seven single-employer pension plans and one agent multiple-employer pension plan currently in existence. These plans are defIDed benefit plans. The Government also has a single-employer, defined contribution plan. The following is a summary of funding policies, contribution methods, and benefit provisions for each plan. I I I I 1977 Plan The 1977 Plan was available to all former Richmond County full-time employees who were not participants in the 1945 Plan provided that they were not hired after reaching age 60. Normal retirement for the Plan is age 65 or the date when age 62 is attained and an employee completes 25 years of credited service. At that time, the employee is entitled to a monthly benefit equal to 1% of average earnings multiplied by years of credited service. The Plan provides death and disability benefits. These benefit provisions and all other requirements including amendments are established by I I 37 I I AUGUSTA, GEORGIA I Notes to Financial Statements - Continued I I I December 31, 2000 . Note 5 - Pension plans (Continued) I Government ordinance. The Plan also provides for reduced benefits if the participant elects to retire after attaining age 50 and completing 15 years of service. Employees are required to make contributions to the Plan equal to 4% of earnings. The Government is required to contribute the remaining amounts necessary to fund the Plan. If a participant terminates employment prior to completion of five years of credited service, the participant receives a lump-sum amount equal to his total contributions to the Plan, with interest. After completing at least five years of credited service, the participant receives a monthly benefit deferred to his normal retirement date, equal to the benefit computed as for normal retirement. This is a closed retirement plan (new employees may not participate in the Plan). I I The funding policy for the 1945 and 1977 Plans provide for actuarially determined periodic contributions at rates that, for individual employees, remain stable over time so that sufficient assets will be available to pay benefits when due. The attained age aggregate cost method has been used to compute the normal cost for the plan. Any unfunded plan costs are spread over the average future working lifetime of the participants as a level percentage of payroll. The significant actuarial assumptions used to compute pension contribution requirements are the same as those used to determine the standard measure of the pension obligation. I General Pension Plan. Policemen's Pension Plan. Firemen's Pension Plan and the City Employee's Pension Plan These Plans covered fonner City of Augusta employees. Policemen and firemen hired before 1945 are covered under the General Pension Plan. Policemen hired between 1945 and 1949 are covered under the Policemen's Pension Plan. Firemen hired between 1945 and 1949 are covered under the Firemen's Pension Plan. Other fonner City of Augusta employees hired between 1945 and 1949 are covered by the City Employee's Pension Plan. Pension benefits are being paid under these Plans to retired employees and beneficiaries. These are closed retirement plans (new employees may not participate in the plans). I I General Retirement Plan Employees hired after March 1, 1949 and before March 1, 1987, whose age did not exceed thirty-five years at the time of their employment and are not participants of the 1977 Plan are covered under the General Retirement Plan. Pension benefits vest after an employee is 45 years of age and has 15 years of full-time employment. An employee may retire at age 60 with 25 years of service and receive annual pension benefits equal to 2% of the employee's average salary earned during the last three years of employment, multiplied by the number of full-time years of employment. The Plan provides death and disability benefits. These benefit provisions and all other requirements including amendments are established by Government ordinance. All full-time employees hired before July 1, 1980, must contribute 8% of gross earnings to the Plan, with the Government contributing remaining amounts sufficient to provide future pensions. This is a closed retirement plan (new employees may not participate in the Plan). I I I I I Periodic employer contributions to the pension plan are determined on an actuarial basis using the frozen entry age cost method. The unfunded accrued liability is composed of pieces that are amortized over various periods to comply with Georgia law. When the actuarial value of assets exceeds 150% of the present value of accrued benefits, the Official Code of Georgia states that there is no minimum required contribution. The significant actuarial assumptions used to compute pension contribution requirements are the same as those used to determine the standard measure of the pension obligation. I Agent multiple-employer pension plan Georgia Municipal Employees Benefit Svstem (GMEBS) Employees hired after March 1, 1987 and beforr. consolidation on December 31, 1995, and who were not participants in any other employer-sponsored retirement plan are covered under the Georgia Municipal Employees Benefit System. The Plan provides pension benefits, deferred allowances, and death and disability benefits. These benefit provisions and all other requirements including amendments are established by Government ordinance. A participant may retire after reaching the age of 65 if the participant is not classified as public safety personnel; participating public safety personnel may retire at age 65 or age 55 with 25 years of total credited service, whichever is earlier. Early retirement may be taken at age 55 with 10 years of credited service. Benefits vest after 10 years of service. Employees who retire at or after age 55 with 10 or more years of service are entitled to pension payments for I I ..0 AUGUSTA, GEORGIA I I Notes to Financial Statements - Continued December 31,2000 the remainder of their lives equal to 1 1/4% of their final five-year avemge salary times the number of years of which they were employed as a partiCipant in the GMEBS. The final five-year avemge salary is the average salary of the employee during the fmal five years offull-time employment Pension provisions include deferred allowances, whereby an employee may terminate his or her employment with the County !lfter accumulating 10 years of service but before reaching the age of 55. If the employee does not withdraw his or hero accumulated contributions, the employee is entitled to all pension benefits upon reaching the age of 55. Employees must contribute 3.5% of their gross earnings to the Plan. In addition, the Government must provide annual contributions sufficient to satisfY the actuarially determined contribution requirements as amended by GMEBS. The GMEBS Retirement Fund issues a publicly available flfiancial report that includes fmancial statements and required supplementary information. That report may be obtained by writing to Georgia Municipal Employees Benefit System, 201 Pryor Street, SW, Atlanta, Georgia 30303. I I I Note 5 - Pension plans (Continued) I 1945 Plan 1971 Plan General Pension Plan Policemen's Pension Plan Firemen's Pension Plan City Employees' Pension Plan General Retirement Plan GMEBS 43 57 5 2 11 16 168 75 29 4 820 I I I I I Periodic employer contributions to the pension plan are determined on an actuarial basis using the entry age normal actuarial cost method. Normal cost is funded on a current basis. The Plan is subject to the minimum funding standards of the Public Retirement Systems Standards Law. Since the Government's policy is to contribute the pension expense in each year, the funding strategy should provide sufficient resources to pay employee pension benefits on a timely basis. The significant actuarial assumptions used to compute pension contribution requirements are the same as those used to detennine the standardized measure of the pension obligation. Membership of the defined benefit plans are as follows: Tenninated plan members Retirees and beneficiaries entitled to but not yet receiving benefits receiving benefits Active Plan members I 2 ...f 162 300 Total 377 = 33 = ~ I Actuarial assumptions and other information used to determine the annual required contributions are located in the Supplementary Information section of this report I I The cost of administering the plans are financed through investment earnings. Derlfied contribution ulan Augusta-Richmond Countv Board of Commissioners Retirement Savings Plan (the "1998 Plan") All full-time employees with more than one month of service are eligible to participate in the Retirement Savings Plan. The Plan is a defined contribution plan under Section 401(a) of the Internal Revenue Code, and is administered by Nationwide Life Insurance.PPA support The Plan was organized and may be amended by a majority vote of the full-body of the governing board, the Augusta-Richmond County Commission. Employees contribute four percent (4%) of their salary, and the Government contributes tWo percent (2%) of the employee's salary. At December 31, 2000, there were approximately 784 plan participants. Participants are considered fully vested in the Government's contributions after completing five (5) years of service. For the year ended December 31,2000, the employees' contributions were approximately $870,000, and the Government's contributions were approximately $434,000. I I I 39 I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Notes to Financial Statements - Continued December 31, 2000 Note 5 - Pension plans (Continued) B. Summary of significant accounting policies Pension trust funds are accounted fOf on the accrual basis. The accrual basis of accounting recognizes fevenues when earned. Expenses are recorded when incurred. . Plan member contributions are recognized in the period in which the contributions are due. Employer contributions' are recognized when due and the Government has made a formal commitment to provide the contributions. Benefits and refunds are recognized when due and payable in accordance with the terms of the plan. For information relating to reported investment values, see Note 1 H. C. Concentrations and reserves There are no assets legally reserved for purposes other than the payment of plan member benefits for any plans. The plans held no individual investments whose market value exceeds five percent or more of net assets available for benefits. There are no long-term contracts for contributions. D. Annual pension cost and net pension obligation The Government's annual pension cost is determined using the calculation methodology defined in GASB Statement No. 27. The annual pension cost equals the Government's annual required contribution, plus any adjustments required to reflect defined minimum and maximum amortization periods and any prior period differences between the actual contribution paid into the plans and the annual pension cost. E. Trend Information Fiscal Year Annual Actual County Percentage of Net Pension Beginning Pension Cost Contribution APC Contributed Obligation 1999 1945 Plan 01101/1999 $ $ 100% $ 1977 Plan 01/01/1999 1,124,928 1,124,928 100% General Pension Plan 01/01/1999 113,807 113,807 100% Policemen's Pension Plan 01/0111999 53,823 53,823 100% Firemen's Pension Plan 01101/1999 240,623 240,623 100% City Employees' Pension Plan 01101/1999 348,792 348,792 100% General Retirement Plan (City 1949) 01/01/1999 100% GMEBS 01101/1999 191,385 191,385 100% 2000 . 1945 Plan 01/01/2000 $ $ 100% $ 1977 Plan 01/01/2000 940,054 940,054 100% General Pension Plan 01/01/2000 102,476 102,476 100% Policemen's Pension Plan 01/01/2000 44,880 44,880 100% Firemen's Pension Plan 01/01/2000 205,435 205,435 100% City Employees' Pension Plan 01/01/2000 302,169 302,169 100% General Retirement Plan (City 1949) 01/01/2000 100% GMEBS 01/01/2000 204,576 204,576 100% 40 AUGUSTA, GEORGIA I Notes to Financial Statements - Continued I December 31,2000 I Note 6 - Deferred compensation plan The Government offers its employees a deferred compensation plan created in accordance with Internal Revenue Code Section 457. The plan, available to all Government employees, permits them to defer a portion of their salary until future years. . The deferred compensation is not available to employees until termination, retirement, death, or unforeseeable emergency. I I Prior to 1999, all amounts of compensation deferred under the plan, all property and rights purchased with those amounts, and all income attributable to those amounts, property, or rights were (until paid or made available to the employee or other beneficiary) solely the property and rights of the Government (without being restricted to the provisions of benefits under the plan), subject only to the claims of the Government's general creditors. Participants' rights under the plan are equal to those of general creditors of the Government in an amount equal to the fair market value of the deferred account for each participant. I Note 7 - Prior period adjustment I I I I In 1996 Congress passed new legislation requiring existing Internal Revenue Code Section 457 plans be modified so that by 1999 all assets and income of the plan are to be held in trust for the exclusive benefit of participants and their beneficiaries. All assets of the plan are held by an independent administrator. In compliance with GASB Statement 32, Accounting and Financial Reportingfor Internal Revenue Code Section 457 Deferred Compensation Plans, the Government has not included the assets of the deferred plan or the obligations owed to plan participants in the Government's fmancial statements. In the [mancial statements for the year ended December 31, 1999, an error was made in accounting for deferred revenue resulting in an overstatement of net income of$87,872. The error has b~en corrected and has had the following effect on the beginning fund equity (deficit) for the year ended December 31, 2000: Local Law Enforcement Block Grants Fund ~eginning fund deficit, as previously reported Adjustment of deferred revenue $( 83,183) ( 87.872) I I Beginning fund deficit, as ,restated $071.055) I Note 8 - Joint ~enture Under Georgia law, the Government, in conjunction with the sixteen counties and fifty-four cities in east Georgia known as the Central Savannah River Area (CSRA), is a member of the CSRA Regional Development Center (CSRA RDC). The CSRA ROC is a public organization that assists local governments in planning for common needs, cooperating for mutual benefit, and coordinating for sound regional development. The operations are mainly financed by membership dues and financial assistance provided by the State of Georgia. Membership in the CSRA RDC is required by the Official Code of Georgia Annotated (O.C.G.A.) ~58-8-34 with annual dues based on a per capita amount. During the year ended December 31, 2000, the Government paid $104,652 in such dues, which was based on a per capita amount of$.5 5. The CSRA RDC Board membership is composed of one city official, one county official, and one private sector individual from each county. O.C.G.A. 958-8-39.1 provides that the Government is liable for any debts or obligations of the CSRA RDC. The Comprehensive Annual Financial Report of the CSRA RDC may be obtained from: I I I I CSRA Regional Development Center 2123 Wrightsboro Road Augusta, Georgia 30904-0800 I 41 I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Notes to Financial Statements - Concluded December 31, 2000 Note 9 - Hotellmotellodglng tax The Government has levied a 6% lodging tax. A summary of the transactions for the year ended December 31, 2000 follows: Lodging tax receipts $2,785,487 Disbursements to the Augusta-Richmond County Coliseum Authority, Augusta Convention and Visitors Bureau, and the Augusta Museum for promotion of tourism 2,785.487 Balance of lodging tax funds on hand at end of year $ The Government has received audit reports from the Augusta-Richmond County Coliseum Authority, Augusta Convention and Visitors Bureau, and the Augusta Museum covering the lodging tax monies. The subcontractor's expenditures were for promotion of tourism as required by a.C.G.A. 48-13-51. Note 10 - New reporting standard In June 1999, the Governmental Accounting Standards Board (GAS B) issued Statement 34 "Basic Financial Statements and Management's Discussion and Analysis for State and Local Governments." This Statement establishes new financial reporting requirements for state and local governments throughout the United States. When implemented, it will require new information and restructure much ofthe information that governments have presented in the past. Comparability with reports issued in all prior years will be affected. The Government is required to implement this standard for the fiscal year ending December 31,2002. The Government has not yet determined the full impact that adoption ofGASB Statement 34 will have on the financial statements. d?' I. I I I I I I I I I I I I I I I I I I Pension Plan Required Supplementary Information . 44 AUGUSTA, GEORGIA I Defined Benefit Pension Trusts - Required Supplementary Information I December 31,2000 A. ~chedules of funding progress I 1945 Plan I Actuarial (Funded) (F AAL) Accrued Unfunded UAAL as I Actuarial Actuarial LiabiliJ:y AAL a%of Valuation Value of AAL (F AAL) Funded Covered Covered Date Assets Entry Age UAAL Ratio Payroll Payroll 01/01/91 $ 9,055,522 $ 8,084,072 $( 971,450) 112% $ 670,286 ( 145)% 01 01/01/93 10,044,942 8,595,027 (1,449,915) 117 620,412 ( 234) 01/01/94 10,047,526 8,927,649 (1,119,877) 113 606,450 ( 185) I 01101/95 9,936,022 9,440,717 ( 495,305) 105 598,795 ( 83) 01/01/96 11,537,840 9,566,390 (1,971,450) 121 629,034 ( 313) 01/01/98 13,934,975 9,431,701 (4,503,274) 148 160,888 (2,799) 01/01/99 13,760,620 12,535,885 . (1,224,735) 110 598,795 ( 205) I 01/0 1/00 13,038,384 12,251,489 ( 786,895) 106 168,818 ( 466) 1977 Plan I 01/01/91 $ 3,018,241 $ 1,430,898 $(1,587,343) 211% $ 3,772,441 ( 42)% 01/01/93 3,892,816 1,937,061 (1,955,755) 201 4,607,419 ( 42) I 01/0 1/94 4,262,572 2,813,432 (1,449,140) 152 5,180,438 ( 28) 01/01/95 4,439,451 3,333,577 (1,105,874) 133 6,797,338 ( 16) 01/01/96 5,446,380 4,332,024 (1,114,356) 126 8,952,224 ( 12) o 1/0 1/97 6,285,732 5,510,585 ( 775,147) 114 11,509,974 ( 7) I 01/0 1/99 9,976,793 14,137,712 4,160,919 71 24,454,857 17 01/01/00 10,836,439 15,060,421 4,223,982 72 21,709,421 19 General Pension Plan I 12/31/93 $ $ 629,859 $ 629,859 $ 12/31/94 619,418 619,418 I 12/31/95 587,797 587,797 12/31/96 564,008 564,008 12/31/97 637,605 637,605 I 12/31/98 533,575 533,575 12/31/99 511,305 511,305 12/31/00 524,410 524,410 I Policemen's Pension Plan 12/31/93 $ $ 528,904 $ 528,904 $ I 12131/94 437,814 437,814 12/31/95 422,070 422,070 12/31/96 417,725 417,725 I 12/31/97 391,153 391,153 12'31/98 - 389,072 389,072 12/31/99 246,783 246,783 I 12131/00 246,217 246,217 45 I I AUGUSTA, GEORGIA I Defined Benefit Pension Trusts - Required Supplementary Information - Continued . December 31, 2000 I A. Schedules of funding progress (Continued) I Firemen's Pension Plan Actuarial (Funded) (FAAL) I Accrued Unfunded UAAL as Actuarial Actuarial Liability AAL a%of Valuation Value of AAL (FAAL) Funded Covered Covered Date Assets EntrY Age UAAL Ratio Payroll Payroll I 12/31/93 $ $ 1,475,590 $ 1,475,590 - % $ - % 12131/94 1,342,821 1,342,821 I 12/31/95 1,296,843 1,296,843 12/31/96 1,202,831 1,202,831 12/31/97 1,507,501 1,507,501 12131/98 1,479,472 1,479,472 I 12131/99 1,276,044 1,276,044 12131/00 1,258,550 1,258,550 I City Employees' Pension Plan 12/31/93 $ $ 2,960,183 $ 2,960,183 - % $ - % I 12/31/94 2,704,129 2,704,129 12/31/95 2,598,066 2,598,066 12/31/96 2,584,786 2,584,786 12/31197 2,418,723 2,418,723 I 12131/98 2,266,704 2,266,704 12/31/99 2,060,501 2,060,501 12/31/00 1,911,904 1,911,904 I General Retirement Plan (Citv 1949) 01/01/93 $47,314,256 $38,551,529 $( 8,762,727) 123% $ 7,397,577 (119)% I 01101/94 49,875,350 36,456,408 (13,418,942) 137 7,243,580 (185) 01101/95 47,110,074 39,699,516 ( 8,010,558) 120 7,053,091 (114) o 1/0 1/96 56,004,033 41,587,715 (14,416,318) 135 6,345,073 (227) I 01/0 1/97 59,413,476 42,712,240 (16,701,236) 139 5,165,172 (323) 01/01/99 71,138,815 51,388,074 (19,750,741) 138 5,794,554 (341) 01/01/00 70,974,830 54,306,953 (16,667,877) 131 5,112,578 (326) I GMEBS 03/01/94 $ 2,754,918 $ 2,903,208 $ 148,290 95% $10,375,830 1.0% I 03/01/95 3,351,907 3,315,936 ( 35,971) 101 10,657,439 ( .3) 03/01/96 3,731,118 3,568,982 ( 162,136) 105 9,369,684 ( 2.0) 03/01/97 4,144,704 5,312,277 1,167,573 78 8,082,062 14.0 I 03/01/98 4,609,848 5,756,304 1,146,456 80 8,913,934 13.0 03/01/00 5,559,655 6,422,501 862,846 86 7,719,739 11.2 I I 46 AUGUST A, GEORGIA I Defined Benefit Pension Trusts - Required Supplementary Information - Continued December 31,2000 I B. Schedules of employer contributions I 1945 Plan Annual I Fiscal Required Percentage ~ Contribution Contributed 1993 $ - % I 1994 1995 1996 I 1998 1999 2000 1977 Plan I 1993 $ - % 1994 1995 I 1996 1997 600,260 100 1998 897,930 100 I 1999 1,124,928 100 2000 940,054 100 General Pension Plan I 1993 $ 127,642 100% 1994 111,109 100 1995 125,174 100 I 1996 125,874 100 1997 139,861 100 1998 107,338 100 I 1999 113,807 100 2000 102,476 100 Policemen's Pension Plan I 1993 $ 85,487 100% 1994 80,866 100 1995 69,407 100 I 1996 69,407 100 1997 79,952 100 1998 63,169 100 1999 53,823 100 I 2000 44,880 100 Firemen's Pension Plan I 1993 $ 223,387 100% 1994 212,392 100 1995 204,492 100 I 1996 200,757 100 1997 249,706 _ 100 1998 237,914 100 1999 240,623 100 I 2000 205,435 100 47 I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Defined Benefit Pension Trusts - Required Supplementary Information - Continued December 31, 2000 B. Schedules of employer contributions (C~ntlnued) City Emnlovees' Pension Plan Annual Fiscal Required Percentage Year Contribution Contributed 1993 $442,423 100% 1994 415,480 100 1995 408,999 100 1996 369,477 100 1997 409,881 100 1998 331,619 100 1999 348,792 100 2000 302,169 100 General Retirement Plan (City 1949) 1993 $ - % 1994 1995 1996 1997 1998 1999 2000 GMEBS 1993 $216,604 100% 1994 232,298 100 1995 106,440 100 1996 187,548 100 1997 197,167 100 1998 214,536 100 1999 191,385 100 2000 204,576 100 C. Notes to required supplementary Information 1945 Plan 197TPlan Valuation date Actuarial cost method Amortization method Amortization period Actuarial asset valuation method Actuarial assumptions: Investment rate of return Projected salary increases Post retirement benefit increases Inflation 1/1/00 Attained age aggregate Level percentage of payroll Average future working lifetime Market value 1/1100 . Attained age aggregate Level percentage of payroll Average future working lifetime Market value 8% 5% 5% 5% 8% 5% 5% 5% 48 AUGUSTA, GEORGIA I Defined Benefit Pension Trusts - Required Supplementary Information - Continued December 31,2000 C. Notes to required supplementary information (Continued) Valuation date Actuarial cost method Amortization method Amortization period Actuarial asset valuation method Actuarial assumptions: Investment rate of return Projected salary increases Post retirement benefit increases Inflation Valuation date Actuarial cost method Amortization method Amortization period Actuarial asset valuation method Actuarial assumptions: Investment rate of return Projected salary increases Post retirement benefit increases Inflation General Pension Plan 12131/00 Actuarial present value of total projected benefits N/A N/A N/A 8% N/A N/A N/A Firemen's Pension Plan 12/31/00 Actuarial present value of total projected benefits N/A N/A N/A 8% N/A N/A N/A 49 I I Policemen's Pension Plan I 12/31/00 Actuarial present value of total projected benefits N/A N/A N/A I I 8% N/A N/A N/A I I I I City Employees' Pension Plan 12/31/00 Actuarial present value of total projected benefits N/A N/A N/A I 8% N/A N/A N/A I I I I I I I I I I AUGUST A, GEORGIA Defined Benefit Pension Trusts - Required Supplementary Information - Concluded I December 31, 2000 I C. Notes to requ~red supplementary information (Continued) I Valuation date Actuarial cost method Amortization method Amortization period I Actuarial asset valuation method I I I I Actuarial assumptions: Investment rate of return Projected salary increases Post retirement benefit increases Inflation I I I I I I I I I General Retirement Pension Plan (City 1949) 1/1/00 Aggregate cost method Level percentage of payroll Various periods to comply with state law The sum of the actuarial value of assets on the preceding valuation date, net contributions and disbursements during the preceding year, interest on the items calculated using the valuation investment return assumption, and 20% of the difference between the market value of asst:ts on the current valuation date and the sum of the first three items. 8.0% 5.5% 4.0% 4.0% 50 GMEBS 3/1/00 Projected unit credit Level dollar 30 years open Roll forward prior year's actuarial value with contributions, disbursements, and expected return of investments, plus 10% of investment gains (losses) during 10 prior years. 8% 5.5% None None I I I I I I I. I I I I I I I I I I I I Combining and Individual Fund Financial Statements 52 I I I I General Fund I The General Fund is used to account for all oftl;te Government's fmancial resources except those resources that must be accounted for in a special purpose fund. Current inflows are typically from revenue sources such as property taxes, fmes, and penalties. Current outflows are generally related to the provision of various governmental services such as health and welfare, public safety, and general governmental administration. I I I General Fund - This fund is the general operating fund of the County. It is used for all fmancial resources except those required to be accounted for in anothef fund. Law EnforcemenfFund - This fund is a sub-fund of the General Fund. It accounts for property tax revenues from the established mill rate fOf law enforcement, and other revenues, other fmancing sources, and expenditures related to law enforcement. I State Grants Fund - This fund is a sub-fund of the General Fund. It accounts for expenditures and receipts of general state grants. I Port Authority Fund - This fund is a sub-fund ofthe General Fund. It accounts for revenues, other financing sources, and expenditures ofthe Augusta Port Authority. . I I I Local Law Enforcement Block Grants Fund - This fund is a sub-fund of the General Fund. It accounts for receipts and expenditures of a two year grant to fund five deputies and one purchasing clerk. I I I I I I 54 55 I I I I I I I I I I I I I I I I I I I See notes to financial statements. I AUGUSTA, GEORGIA I General Fund Combining Statement of Revenues, Expenditures I and Changes In Fund Balances (Deficits) Year Ended December 31, 2000 I Local Law Law State Port Enforcement Totals I General Enforc~ment Grants Authoritv Block Grants 2000 1999 REVENUES Taxes $24,357,217 $34,~38,253 $ $ - $ - $58,695,470 $55,873,456 Licenses and permits 1,262,625 1,262,625 2,333,684 I Use of money and property 3,006,912 3,006,912 2,590,066 Charges for services 12,789,374 1,157,001 84,573 14,030,948 12,638,668 Pines and fees 6,503,235 1,089,967 7,593,202 8,980,633 I Intergovernmental 1,209,155 1,331,392 687,221 3,227,768 2,799,911 Other 107.165 1.514 16.443 125.122 349.550 Total revenues 49.235.683 37.916,613 86.087 703.664 87.942.047 85.565.968 I EXPENDITURES General government 14,279,383 4,460,411 18,739,794 18,4 I 3,862 . Judicial 8,564,202 3,730 41,982 8,609,914 7,841,920 I Public safety 4,297,762 32,987,022 80,642 37,365,426 34,233,011 Public works 5,886,769 5,886,769 6,077,771 Health and welfare 2,920,935 2,920,935 4,223,130 I Culture and recreation 10,221,898 132,214 10,354,112 8,884,917 Housing and development 1,161,299 1,161,299 1,005,496 Debt service 1,498,451 117,328 1,615,779 2,014,322 I Capital outlay 141,980 1,661,082 98,165 18,150 694,634 2,614,011 2,331,829 Other 121.580 614,816 736.396 Total expenditures 49,094.259 39.723,331 101.895 309,674 775.276 90.004.435 85,026.258 I Excess of revenues over (under) expenditures 141,424 (1,806,718) (101,895) (223,587) ( 71,612) (2,062,388) 539,710 I OTHER FINANCING SOURCES (USES) Operating transfers in 32,500 279,877 312,377 4,404,927 Operating transfers out ( 445.826) ( 445.826) (2.211.983) I Excess or revenues over (under) expendItures I and other financing sources (uses) ( 271,902) (1,806,718) (10 1,895) 56,290 ( 71,612) (2,195,837) 2,732.654 I Fund balances (deficits), beginning of year, as previously reported 29,645,092 (1,144,782) (374,863) 201,258 ( 83,183) 28,243,522 25,510,868 Prior period adjustments - ( 87.872) ( 87.872) Fund balances (deficits), beginning I of year, restated 29.645.092 0.144.782) (374,863) . 20 1.258 (171.055) 28.155.650 25.510.868 Fund balances (deficits), I end of year $29.373.190 $(2.951,500) $(476.758) $ 257,548$(242.667) $25.959.813 $28.243.522 I See notes to financial statements. 56 57 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA General Fund Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Year Ended December 31, 2000 (With Comparative Totals for the Year Ended December 31,1999) See notes to financial statements. I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Law Enforcement Fund Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budgef(GAAP Basis) and Actual Year Ended December 31,2000 (With Comparative Totals for the Year Ended December 31,1999) See notes to financial statements. 58 59 I I I I I I I I I I I I I I I I I I I AUGUST A, GEORGIA State Grants Fund Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budget (GAAP Basis) and Actual Year Ended December 31,2000 (With Comparative Totals for the Year Ended December 31,1999) Variance Favorable 1999 Budget Actual (Unfavorable) Actual REVENUES Intergovernmental $ $ $ $ EXPENDITURES General government 30,000 30,000 Judicial 7,500 3,730 3,770 3,087 Culture and recreation 6,500 Capital outlay 94.450 98.165 ( 3.715) Total expenditures 131.950 10 1.895 30.055 9.587 Excess of revenues under expenditures (131,950) (101,895) 30,055 ( 9,587) OTHER FINANCING SOURCES Operating transfers in 131.950 (131.950) Excess of revenues over expenditures and financing sources $ (101,895) $(101.895) Fund balance (deficit), beginning oryear (374.863) 065.276) Fund balance (deficit), end of year $(476.758) $(374.863) See notes to fmandaI statements. I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Port Authority Fund Statement of Revllnues, Expenditures and Changes In Fund Balance - Budget (GAAP Basis) and Actual Year Ended December 31,2000 (WIth Comparative Totals Cor the Year Ended December 31,1999) Variance Favorable 1999 Budget Actual (Unfavorable) Actual REVENUES Charges for services $ 85,650 $ 84,573 $( 1,077) $ 91,421 Other 5.000 1.514 ( 3.486) 198 Total revenues 90.650 86.087 ( 4.563) 91.619 EXPENDITURES General government 62,659 41,982 20,677 43,524 Culture and recreation 190,590 132,214 58,376 115,404 Debt service 117,278 117,328 ( 50) 117,278 Capital outlay 18.150 18.150 59,952 Total expenditures 388.677 309,674 79.003 336.158 Excess of revenues under expenditures (298,027) (223,587) 74,440 (244,539) OTHER FINANCING SOURCES Operating transfers in 298.027 279.877 08.150) 279,877 Excess of revenues over expenditures and other financing sources $ 56,290 $ 56.290 35,338 Fund balance, beginning oC year 201.258 165.920 Fund balance, end of year $ 257.548 $ 201.258 See notes to fmancial statements. 60 61 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Local Law Enforcement Block Grants Fund Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budget (GAAP Basis) and Actual Year Ended December 31, 2000 (With Comparative Totals for the Year Ended December 31,1999) Variance Favorable 1999 Budget Actual (Unfavorable ) Actual REVENUES Use of money and property $ 27,832 $ $( 27,832) $ 34,211 Intergovernmental 472,423 687,221 214,798 395,528 Other 16.443 t 6.443 Total revenues 500.255 703.664 203.409 429.739 EXPENDITURES Public safety 80,642 ( 80,642) 102,509 Capital outlay 895.783 694.634 201.149 96.408 Total expenditures 895.783 775.276 120.507 198.917 Excess of revenues under expenditures (395,528) ( 71,612) 323,916 230,822 OTHER FINANCING SOURCES Operating transfers in 395.528 (395.528) Excess of revenues under expenditures and other financing sources $ ( 71,612) $( 71.612) Fund balance (deficit), beginning of year, as previously reported ( 83,183) (314,005) Prior period adjustment ( 87 .872) Fund balance (deficit), beginning of year, as restated 071.055) (314.005) Fund balance (deficit), end of year $(242.667) $( 83.183) See notes to financial statements. I I I I Special Revenue Funds I Special Revenue Funds are used to account for the proceeds from specific revenue sources which are legally restricted to expenditures for specified purposes. I Urban Services District Fund - This fund accounts for n:venue primarily from ad valorem taxes from areas within the former city limits and expenditures related to governmental services such as "Main Street", "Urban Street Lights", and "Sanitation" . I Emergencv Telephone System Fund - This fund accounts for the receipt and disbursement of revenues of the emergency telephone response system. I Capital Outlav Fund. This fund accounts for the disbursement of revenues for all capital expenditures in General Fund departments. Capital expenditures are defIDed as any non-disposable item over $500 which includes vehicles, office and computer equipment, communications equipment, building renovations and office furniture. I Law Enforcement Fund - This fund accounts for revenue and expenditures of the Sheriff's Department and Jail. I Fire Protection Fund - This fund accounts for the receipt and disbursement of tax revenues restricted for fITe protection services in the unincorporated area only. I Occupational Tax Fund - This fund accounts for the receipt and disbursement of tax revenues restricted for fire protection services in the unincorporated area only. I I Special Assessment Fund. This fund accounts for the receipt and disbursement of street light assessment taxes for the installation of street lights in the County. Promotion!rourism Fund - This fund accounts for the receipt and disbursement of hotel/motel and beer/wine tax revenues to the Augusta-Richmond County Convention & Visitors Bureau and the Augusta-Richmond County Coliseum Authority. I Housing and Neighborhood Development Fund - This fund accounts for the financing and construction of various community development projects from grants received from the U.S. Department of Housing and Urban Development. I Urban Develotlment Action Grant CUDAG) Fund - This fund accounts for loan transactions in relation to urban development action grants. Repayments of initial grant revenue loaned to qualified recipients are restricted to additional financing to qualified applicants. I Downtown Development Authority Fund - This fund accounts for funding it receives from the County and from special tax on downtown merchants. I State Capital Grants Fund - This fund accounts for receipt and expenditure of the State Capital Grant, which is restricted . for capital expenditures only. Law Librarv Fund - This fund accounts for revenue and. expenditures of the Law Library. I 5% Crime Victim's Assistance Fund - This fund accounts for the 5% surcharge on certain fines with the proceeds used for a victim's assistance program. I 62 I I Supplemental Juvenile Service Fund - This fund accounts for supervisory fees collected on juvenile cases. I Building Insoection Fund - This fund accounts for building inzpection revenues and expenditures. I Weed and Seed Federal Grant Fund - This fund accounts for a grant designed to target high risk areas for teens and weed out the bad influences and sow the seed for a better life. I I I I I I I I I I I I I I I 64 ASSETS Cash and cash equivalents Receivables (net, where applicable, of allowance for uncollectibles) Taxes Accounts Loans Interest Intergovernmental Restricted assets Sinking fund account Due from other funds Due from (to) other Special Revenue Funds Total assets LIABILITIES AND FUND BALANCES (DEFICITS) AUGUSTA, GEORGIA Special Revenue Funds Combining Balance Sheet December 31, 2000 Urban Emergency Services Telephone Capital Law Fire Occupational . District System Outlay Enforcement Protection Tax $ 491,144 $248,136 $3,036,600 $325,582 $ 9,977,691 $ 1,327,778 481,690 258,964 10,000 337,572 1,890 42,920 5,627 1,307,069 85,734 510,006 769,478 170,723 - $3.694.544 $585.708 $4.373.502 $325.582 $10.407.378 $1.890 LIABILITIES Accounts and other payables $ 33,573 $ 4,198 $ 36,858 $ 1,075 $ 48,527 $ Accrued interest Due to other funds 998,437 479,377 402,429 1,890 Accrued salaries and vacation 8,854 44,399 345,216 Deferred revenue 773.798 265.816 135.899 8.337.163 - - TotalliabUities 1.814.662 48.597 782.051 136.974 9.133.335 U2Q FUND BALANCES (DEFICITS) Reserved for encumbrances 429 166,544 149,928 114,631 Reserved for wireless phase 400,056 Unreserved - designated for risk benefit 250,000 Unreserved - undesignated 1.879.453 (29.489) 3.441.523 188.608 909.412 - - Total fund balances (deficits) 1.879.882 537.111 3.591.451 188.608 1.274.043 - - Total liabilities and fund balances (deficits) $3.694.544 $585.708 $4.373.502 $325.582 $10.407.378 See notes to fmancial statements. $ 1.890 65 I I I I I I I I I I I I I I I I I I I AUGUST At GEORGIA Special Revenue Funds Combining Balance Sheet - Continued December 31, 2000 5% Crime Supplemental Victim's Juvenile Assistance Service Weed and Seed Federal Grant Building Insnection Totals 2000 1999 ASSETS Cash and cash equivalents $481,766 Receivables, (net, where applicable of . allowance for uncollectibles) Taxes Accounts 28,225 Loans Interest Intergovernmental Restricted assets Sinking fund account Due from other funds 181 Due from (to) other Special Revenue Funds $ $17,854,080 $15,125,086 $27,621 $ 2,333,217 409,589 3,867,322 57,684 1,392,803 1,253,319 163,479 3,961,942 57,684 1,813,459 2,900 537,434 1,507,931 519,803 2,211 Total assets $510.172 $30.521 $ $27.960.060 $22.896.983 $ LIABILITIES AND FUND BALANCES (DEFICITS) LIABILITIES Accounts and other payables $ 356 $ $ 415 $ $ 402,537 $ 958,436 Accrued interest 179,140 192,926 Due to other funds 263,100 59,281 3,521,716 3,121,751 Accrued salaries and vacation 6,605 17,484 1,066 438,639 315,521 Deferred revenue - 9.827.023 9.248.781 - Total liabilities 6.961 - 280.999 60.347 14.369.055 13.837.415 - FUND BALANCES (DEFICITS) Reserved for encumbrances 1,911 982 816 503,327 Reserved for wireless phase 400,056 Unreserved - designated for risk benefit 250,000 250,000 Unreserved - undesignated 501.300 30.521 (281.981) (61.163) 12.437.622 8.809.568 Total Cund balances (deficits) 503.211 30.521 (280.999) (60.347) 13.591.005 9.059.568 Total liabilities and Cund balances (deficits) $510.172 $30.521 $ $ $27.960.060 $22.896.983 67 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA I Special Revenue Funds I Combining Statement of Revenues, Expenditures and Changes in Fund Balances (Deficits) - Continued Year Ended December 31, 2000 I Weed I and Seed Supplemental Building Federal Totals Juvenile Service Insoection Grant 2000 1999 REVENUES I Taxes $ $ $ $31,161,110 $ 29,454,957 Licenses and permits 747,139 2,532,314 1,673,930 Intergovernrnental 4,585,132 4,535,406 I Charges for services 20,550 2,852,042 2,329,557 Fines and forfeitures 385,566 448,463 Investment income 956 613 579,530 553,304 I Contributions and donations 250,142 7,553 Other - 458.438 524.629 - Total revenues 21.506 747.139 613 42.804.274 39.527.799 I EXPENDITURES Current General government 18,271 291,273 1,143,933 I Judicial 804 228,379 128,330 Public safety 63,032 14,122,828 14,471,677 Public works 7,482,425 5,612,269 I Health and welfare 104 40 Culture and recreation 325,795 305,145 Housing and development 763,566 9,101,833 8,688,450 01 Capital outlay 2,000 36 36,527 2,436,451 5,019,666 Debt service - 2.150.871 2.192.309 - Total expenditures 2.804 781.873 99.559 36.139.959 37.561.819 I Excess or revenues over (under) expenditures 18,702 ( 34,734) (98,946) 6,664,315 1,965,980 OTHER FINANCING SOURCES I (USES) Operating transfers in 7,433,941 8,467,790 Operating transfers out - (9.566.819) nO,490.270) I - Excess or revenues over (under) expenditures and other financing sources I (uses) 18,702 ( 34,734) (98,946) 4,531,437 ( 56,500) Fund balances (deficits), beginning of year .1.Lll2 (246.265) 38.599 9.059.568 9.116.068 I Fund balances (deficits), end of year $30.521 $(280.999) $(60.347) $13.591.005 $ 9.059.568 I I 71 I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Urban Services District Fund Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budget (GAAP Basis) and Actual Year Ended December 31, 2000 (With Comparative Totals fOi' the Year Ended December 31,1999) REVENUES Taxes Inve~entincon1e Other Budget Variance Favorable Actual nJnfuvorabl~ 1999 Actual $13,810,940 $13,764,839 9,066 183.532 13.810.940 13.957.437 $( 46,101) 9,066 183.532 146.497 $13,101,078 1,127 174.263 13.276.468 Total revenues EXPENDITURES General government Public works Housing and development Capital outlay Debt service Total expenditures Excess of revenues over expenditures 38,129 68,426 ( 30,297) 52,212 4,675,506 4,540,340 135,166 4,512,580 88,466 65,685 22,781 33,127 120,000 67,093 52,907 146,459 1.457.643 337.073 1.120.570 493.649 --2.379.744 5.078.617 1.30(127 5.238.027 7,431,196 8,878,820 1,447,624 8,038,441 (7.431.196) (7.436.917) 5.721 (6.995.994) $ 1,441,903 $1.453.345 1,042,447 437.979 ( 604.468) $ 1.879.882 $ 437.979 OTHER FINANCING SOURCES (USES) Operating transfel':l out Excess of revenues over expenditures and other financing sources (uses) Fund balance (deficit), beginning of year as previously reported Fund balance, end of year See notes to fmancial statements. 72 73 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Emergency Telephone System Fund Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) . Budget (GAAP Basis) and Actual Year Ended December 31, 2000 (With Comparative Totals for the Year Ended December 31,1999) Variance Favorable 1999 Budget Actual (Unfavorable) Actual REVENUES Charges for services $2,671,000 $2,747,143 $ 76,143 $2,193,412 Investment income 16.996 16.996 Total revenues 2,671,000 2,764,139 93,139 2,193,412 EXPENDITURES General government 494,644 123,756 370,888 261,993 Public safety 1,946,891 1,873,425 73,466 1,421,273 Capital outlay 209,465 78).67 131,198 59,469 Debt service 20.000 20.000 Total expenditures 2.671.000 2.075.448 595.552 1.742.735 Excess of revenues over expenditures 688,691 688,691 450,677 OTHER FINANCING SOURCES (USES) Operating transfers in 74.142 Excess of revenues over expenditures and other financing sources (uses) $ 688,691 $688.691 524,819 Fund balance (deficit), beginning of year ( 151.580) ( 676.399) Fund balance (deficit), end of year $ 537.111 $( 151.580) See notes to financial statements. I I I I I I I I I I' I I I I I I I I I AUGUSTA, GEORGIA Capital Outlay Fund Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Year Ended December 31,2000 (With Comparative Totals for the Year Ended December 31,1999) Variance Favorable 1999 Budget Actual (U nfavorab Ie) Actual REVENUES Taxes $ 1,189,820 $2,817,790 $1,627,970 $ 2,568,135 Intergovernmental 11,250 85,734 74,484 595,739 Charges for services 8,808 8,808 52,266 Investment incom'e 1,916 1,916 1,776 Other 10.000 ( 10.000) 7.390 Total revenues 1.211.070 2.914.248 1.703.178 3.225.306 EXPENDITURES General government 95,789 773 95,016 58,877 Judicial 3,400 .3,400 Public safety 760 993 ( 233) 261 Public works 4,300 10,054 ( 5,754) 102 Culture and recreation 174,425 23,538 150,887 2,978 Housing and development 7,000 7,039. ( 39) 21,090 Capital outlay 1,310,218 1,654,100 ( 343,882) 4,246,642 Debt service 849.045 23.018 826.027 Total expenditures 2.444.937 1.719.515 725.422 4.329.950 Excess of revenues over (under) expenrlitures (1,233,867) 1,194,733 2,428,600 (1,104,644) OTHER ~'INANCING SOURCES (USES) Operating transfers in 1,233,867 814,903 ( 418,964) 1,724,286 Operating transfers out (1.571.776) Excess of revenues over (under) expendItures and other financing sources (uses) $ 2,009,636 $2.009.636 ( 952,134) Fund .balance, begInning of year 1.581.815 2.533.949 Fund balance, end of year $3.591.451 $ 1.581.8 f5 See notes to financial statements. 74 75 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Law Enforcement Fund Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Year Ended December 31,2000 See notes to fmandai statements. I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Fire Protection Fund Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Year Ended December 31,2000 (WIth Comparative Totals for the Year Ended December 31,1999) REVENUES Taxes Intergovernmental Charges for services Investment income Contributions and donations Other Variance Favorable 1999 Budget Actual (Unfavorable) Actual $ 9,259,407$ 9,311,617 $ 52,210 $ 8,310,623 . 7,500 3,500 3,500 29,862 50,000 360,885 310,885 368,106 64,6 11 66,610 1,999 7,553 33.675 252.148 218.473 27.389 9.407.693 9.994.760 587.067 8.751.033 666,003 13,849,056 14,043,375 (194,319) 12,928,319 48 104 ( 56) 40 403,345 529,411 (126,066) 522,490 551.375 55 1.375 14.803.824 14.572.890 230.934 14.116.852 (5,396,131) (4,578,130) 818,001 (5,365,819) 5,396,131 5,115,000 (281,131) 5,236,500 ( 328.902) (328.902) $ 207,968 $ 207.968 ( 129,319) 1.066.075 1.195.394 $ 1.274.043 $ 1.066.075 Total revenues EXPENDITURES General government Public safety Health and welfare Capital outlay Debt service Total expenditures Excess of revenues under expenditures OTHER FINANCING SOURCES (USES) Operating transfers in Operating transfers out Excess of revenues over (under) expenditures and other financing sources (uses) Fund balance, beginning of year Fund balance, end of year See notes tofmancial statements. 76 AUGUSTA, GEORGIA Occupational Tax Fund Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budget (GAAP Basis) and Actual Year Ended December 31,2000 (With Comparative Totals for the Year Ended December 31, 1999) REVENUES Taxes Licenses and permits Charges for services Other Investment income Total revenues Variance Favorable 1999 Budget Actual (Unfavorable ) Actual $ - $ $ $ 19,451 1,922,500 1,785,175 (137,325) 1,673,930 57 13,738 13,738 1,665 2.087 2.087 22.193 1.922.500 1.80 1.000 (121.500) 1.717.296 EXPENDITURES General government 12.063 Excess of revenues over expenditures 1,922,500 1,801,000 (121,500) 1,705,233 OTHER FINANCING USES Operating transfers in Operating transfers out 328,902 (1.922.500) (1.801.000) 328,902 121.500 0.922.500) Excess of revenues over (under) expenditures and other financing uses $ 328,902 $ 328.902 ( 217,267) Fund balance (deficit), beginning of year ( 328.902) ( 111.635) Fund balance (deficit), end of year $ $( 328.902) See notes to fmancial statements. 77 I I I I I I I I I I I I I I I I I I I I I I I I 01 I I I I I I I I I I I I ,. AUGUSTA, GEORGIA Special Assessment Fund Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Year Ended December 31,2000 (With Comparative Totals for the Year Ended December 31,1999) REVENUES Taxes Charges for services Total revenues Variance Favorable 1999 Budget Actual (Unfavorable) Actual $1,328,680 $1,161,212 $(167,468) $1,092,670 30.958 1.328.680 1.161.212 067.468) 1.123.628 1,318,680 1,058,606 260,074 1,099,587 10.000 20.102 ( 10.102) 13.747 1.328.680 1.078.708 249.972 1.113.334 $ 82,504 $ 82.504 10,294 80.590 70.296 $ 163.094 $ 80.590 EXPENDITURES Public works Capital outlay Total expenditures Excess of revenues over expenditures Fund balance, beginning of year Fund balance, end of year See notes to fmancial statements. 78 AUGUSTA, GEORGIA Promotionrrourism Fund Statement oCRevenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Year Ended December 31,2000 (With Comparative Totals for the Year Ended December 31,1999) Variance Favorable 1999 Budget Actual (Unfavorable) Actual REVENUES Taxes $3.715.000 $3.669.836 $(45.164) $3.918.757 EXPENDITURES Culture and recreation Housing and development Total expenditures 302,257 3.377.770 3.680.027 ( 2,257) 37.230 34.973 302,167 3.587.121 3.889.288 .- 300,000 3.415.000 3.715.000 Excess oC revenues over (under) expenditures $ (10,191) $(10.190 29,469 Fund balance, beginning of year 33.644 4.175 Fund balance, end of year $ 23.453 $ 33.644 See notes to financial statements. 79 I I I I I I I I I I I I I I I I I I , I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Housing and Neighborhood Development Fund Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Year Ended December 31,2000 (With Comparative Totals for the Year Ended December 31,1999) REVENUES Intergovernmental Investment income Other Budget Variance Favorable Actual (Unfavorable) 1999 Actual $11,402,367 $4,499,398 $(6,902,969) 70,369 70,369 204,203 204.203 11.402.367 4.773.970 (6.628.397) $3,816,108 56,256 227.170 4.099.534 Total revenues EXPENDITURES General government Housing and development Capital outlay Debt service Total expenditures 67,213 67,213 67,213 11,329,154 4,752,373 6,576,781 4,222,899 8,786 12,018 ( 3,232) 170.969 ( 170.969) 11.405.153 5.002.573 6.402.580 4.290.112 ( 2,786) (22~,603) ( 225,817) ( 190,578) 2.786 ( 2.786) 262.237 ( 228,603) $( 228.603) 71,659 1.130.216 1.058.557 $ 901.613 $1.130.216 Excess of revenues under expenditures OTHER FINANCING SOURCES Operating transfers in Excess of revenues over (under) expenditures and other financing sources $ . Fund balance, beginning of year Fund balance, end oCyear See notes to financial statements. 80 Excess of revenues over (under) expenditures and other financing sources $ 1.000.000 135.130 864.870 599.397 (1,000,000) ( 63,829) 936,171 ( 442,265) 1.000.000 ( 1.000.000) 508.689 ( 63,829) $( 63.829) 66,424 5.031.039 4.964.615 $4.967.210 $5.031.039 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Urban Development Action Grant Fund (UDAG) Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Year Ended December 31, 2000 (Witb Comparative Totals for the Year Ended December 31,1999) Total revenues Variance Favorable 1999 Budget Actual (Unfavorable ) Actual $ $ 71,301 $ 71,301 $ 70,380 86.752 71.301 71.301 157.132 REVENUES Investment income Other EXPENDITURES Housing and development Excess of revenues under expenditures OTHER FINANCING SOURCES Operating transfers in Fund balance, beginning of year Fund balances, end of year See notes to [mancial statements. 81 I I I I I I I I I I I I I I I I I I I AUGUST A, GEORGIA Downtown Development Authority Fund Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budget (GAAP Basis) and Actual Year Ended December 31, 2000 (With Comparative Totals for the Year Ended December 31, 1999) REVENUES Taxes Variance Favorable 1999 Budget Actual (Unfavorable) Actual $ 445.400 $ 435.816 $( 9.584) $ 444.243 12,293 (12,293) . 2,102 270 ( 270) 1,128 1.620.536 1.619.811 725 1.698.660 1.620.536 1.632.374 (11.838) 1.701.890 (1,175,136) (1,196,558) (21,422) (1,257,647) 1.175.136 1.175.136 661.936 $ ( 21,422) $(21.422) ( 595,711) ( 84.739) 510.972 $( 106.161) $( 84.739) EXPENDITURES Geneml government Housing and development Debt service Total expenditures Excess of revenues under expenditures OTHER FINANCING SOURCES Operating transfers in Excess of revenues under expenditures and other financing sources Fund balance (deficit), beginning of year Fund balance (deficit), end oryear See notes to financial statements. 82 AUGUSTA, GEORGIA State Capital Grants Fund Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Year Ended December 31, 2000 (With Comparative Totals for the Year Ended December 31,1999) Budget Fund balance, beginning of year Fund balance, end of year See notes to fmancial statements. 83 Variance Favorable Actual (Unfavorable) $ 665 $~ 1999 Actual I I I I I I I I I I I I I I I I I I I $~ $ 665 = I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Law Library Fund Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Budget (GAAP Basis) and Actual Year Ended December 31, 2000 (With Comparative Totals for the Year Ended December 31,1999) REVENUES Fines and forfeitures Variance Favorable 1999 Budget Actual (Unfavorable) Actual $ 47.910 $ $(47.910) $--=- 541 ( 541) 893 41,871 12,409 29,462 2,443 6.039 6.064 ( 25) - - 47.910 19.014 28.896 3.336 $ (19,014) $(19.014) (3,336) ( 3.336) - - $(22.350) $(3.336) EXPENDITURES General government 1udicial Capital outlay Total expenditures Excess of revenues under expenditures Fund balance (deficit), beginning of year Fund balance (deficit), end of year See notes to financial statements. 84 AUGUSTA, GEORGIA 5% Crime Victim's Assistance Fund Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Year Ended December 31, 2000 (With Comparative Totals for the Year Ended December 31,1999) Variance Favorable 1999 Budget Actual (Unfavorable) Actual REVENUES Fines and forfeitures $401,130 $385,566 $(15,564) $448,463 Investment income 19.881 19.881 13.892 Total revenues 401.130 405.447 4.317 462.355 EXPENDITURES General government 176,643 176,643 Judicial 200,562 215,166 (14,604) 125,887 Capital outlay 23.925 20.856 3.069 2.682 Total expenditures 401.130 236.022 165.108 128.569 Excess of revenues over expenditures $ 169,425 $169.425 333,786 Fund balance, beginning of year 333.786 Fund balance, end of year $503.211 $333.786 See notes to financial statements. 85 I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Supplemental Juvenile Service Fund Statement oCRevenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual Year Ended December 31,2000 . (With Comparative Totals Cor the Year Ended December 31,1999) Variance Favorable Budget Actual (Unfavorable ) REVENUES Charges for services $7,500 $20,550 $13,050 Investment income - ~ -.ill - Total revenues 7.500 21.506 14.006 EXPENDITURES General government 7,500 7,500 Iudicial 804 ( 804) Capital outlay - 2.000 !2..QQQ.) - Total expenditures 7.500 2.804 4.696 Excess of revenues over expenditures $ - 18,702 $18.702 = Fund balance, beginning of year 11.819 Fund balance, end of year $30.521 See notes to financial statements. 86 1999 Actual $11,600 --.n2. 11.819 11,819 $~ AUGUSTA, GEORGIA Building Inspection Fund Statement of Revenues, Expenditures and Changes in Fund Balance (Deficit) - Dudget (GAAP Basis) and Actual Year Ended December 31, 2000 (With Comparative Totals for the Year Ended December 31.1999) Budget Variance Favorable Actual (Unfavorable) REVENUES Licenses and permits $786.464 $ 747.139 $(39.325) EXPENDITURES General government Housing and development Capital outlay Total expenditures 18,271 (18,271) 786,464 763,566 22,898 36 ( 36) 786.464 781.873 4.591 $ ( 34,734) $(34.734) (246.265) $(280.999) Excess of revenues under expenditures Fund balance (deficit), beginning of year Fund balance (deficit), end of year See notes to financial statements. 87 1999 Actual I I I I I I I I I I I I I I I I I I I $ 22,577 223,688 246.265 (246,265) $(246.265) I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Weed and Seed Federal Grant Fund Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) an'd Actual Year Ended December 31,2000 (With Comparative Totals for the Year Ended December 31,1999) Variance Favorable 1999 Budget Actual (Unfavorable) Actual REVENUES Intergovernmental $133,941 $ $(133,941) $116,059 Investment income 613 613 1.091 Total revenues 133.941 613 033.328) 117.150 EXPENDITURES Public safety 128,890 63,032 65,858 77,117 Capital outlay 36,527 ( 36,527) 1,434 Debt service 34.961 34.961 Total expenditures 163.851 99.559 64.292 78.55 I Excess of revenues over (under) expenditures (29,910) (98,946) ( 69,036) 38,599 OTHER FINANCING SOURCES Operating transfers in 29.910 ( 29.9 to) Excess of revenues over (under) expenditures $ (98,946) $( 98,946) 38,599 Fund balance, beginning of year 38.599 Fund balance (deficit), end of year $(60.347) $ 38.599 See notes to [mancial statements. 88 I I I I Debt Service Funds I The Debt Service Funds are used to accountJor resources that will be used to service generallong-tenn debt that is recorded in the General Long-Term Debt Account Group. In general, Debt Service Funds are established only if legally required or when resources are being accumulated to meet principal and interest payments that will be made in future periods. I I I I Debt Service Fund - This fund accounts for general obligation bonds and notes payable and any other debts not recorded in the Enterprise Funds. . Urban Debt Service Fund - This fund accounts for general obligation bonds related to the fonner City of Augusta. I I I I I I I I I I 90 Total assets Urban Debt Debt Totals Service Service 2000 1999 $ 509,111 $510,237 $1,019,348 $1,083,561 158,713 155,941 314,654 178,314 645 645 965,200 965,200 896,800 151,861 151,861 143,982 1,341,051 1,341,051 1,271,966 67.657 53.825 121.482 $3.193.593 $720.648 $3.914.241 $3.574.623 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Debt Service Funds Combining Balance Sheet December 31,2000 ASSETS Cash and cash equivalents Receivables (net of allowances for uncollectibles) Taxes Accounts receivable Prepaid expenses Certificates of participation investments Acquisition/construction account Reserve account Due from other funds LIABILITIES AND FUND BALANCES LIABILITIES Deferred revenues TotalUabilities and fund balances $ 86.174 $ 81.478 $ 168.252 $ 151.650 965,200 965,200 896,800 2.141.619 639.170 2.780.789 2.526.173 3.106.819 639.170 3.745.989 3.422.973 $3.193.593 $720.648 $3.914.241 $3.574.623 FUND BALANCES Reserved for inventory/prepaid expenses Reserved for debt service Total fund balances See notes to financial statements. 91 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Debt Service Funds Combining Statement of Revenues, Expenditures and Changes in Fund Balances Year Ended December 31,2000 REVENUES Taxes Charges for services Use of money and property Total revenues Urban Debt Debt Totals Service Service 2000 1999 $ 923,260 $630,271 $1,553,531 $1,387,997 14,500 118.845 19,265 138.110. 190,290 1.042.1 05 649.536 1.691.641 1.592,787 972,000 396,625 l.368.625 l.356.100 70,105 252,911 323,016 236,687 EXPENDITURES Debt service Excess of revenues over expenditures OTHER FINANCING SOURCES Operating transfers in Excess of revenues over expenditures and other financing sources 70,105 252,911 323,016 236,687 Fund balances, beginning of year 3,036.714 386,259 3.422.973 3.186.286 Fund balances, end of year $3,106,819 $639.170 $3.745.989 $3.422.973 See notes to financial statements. 92 93 I 01 I I .1 I I I I I I I I I I I I I I AUGUSTA, GEORGIA Debt Service Fund Statement of Revenues, Expenditures and Changes in Fund Balance- Budget (GAAP Basis) and Actual Year Ended December 31,2000 (With Comparative Totals for the Year Ended December 31,1999) Variance Favorable 1999 Budget Actual (Unfavorable) Actual REVENUES Taxes $ $ 923,260 $ 923,260 $ 801,848 Charges for services 14,500 Use of money and property - 118.845 118.845 175.666 - Total revenues - 1.042.1 05 1.042.1 05 992.014 - EXPENDITURES Debt service - 972.000 ( 972.000) 941.600 - Excess of revenues over expenditures $ - 70,105 $ 70.105 50,414 = Fund balance, beginning of year 3.036.714 2.986.300 Fund balance, end oCyear $3.106.819 $3.036.714 See notes to financial statements. I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Urban Debt Service Fund Statement of Revenues, Expenditures and Changes in Fund Balance- Budget (GAAP Basis) and Actual Year Ended December 31,2000 (With Comparative Totals for the Year Ended December 31,1999) Variance Favorable 1999 Budget Actual (Unfavorable) Actual REVENUES Taxes $620,100 $630,271 $ 10,171 $478,876 Use of money and property 19.265 19.265 6.523 Total revenues 620,100 649,536 29,436 485,399 EXPENDITURES Debt service 620.100 396.625 223.475 435.553 Excess of revenues over expenditures 252,911 252,911 49,846 OTHER FINANCING SOURCES Operating transfers in 3.180 Excess of revenues over expenditures and other financing sources $ 252,911 $252.911 53,026 Fund balance, beginning of year 386.259 146.960 Fund balance, end of year $639.170 $199.986 See notes to financial statements. 94 I I I I Capital Projects Funds I The acquisition or construction of capital projects, other than those fmanced by Enterprise Funds, Internal Service Funds, or Trust Funds, may be accounted for in a Capital Projects Fund. Usually a Capital Projects Fund is used to account for major capital expenditures, such as the construction of civic centers, libraries, and general administrative service buildings. The acquisition of other capital assets, such as machinery, furniture, and vehicles, is usually accounted for in the ftmd that is responsible for the financing of the expenditure. I I I I Community Development Fund - This fund accounts for the financing and construction of various community development projects. Financing is provided by grants received from the u.s. Department ofHUD. Special Sales Tax Fund - This fund accounts for fmancing and construction of various road improvement projects. Financing is provided by receipts from a 1987 special one percent local option sales tax referendum. Special Sales Tax Phase II Fund - This fund accounts for fmancing and construction of various construction and road improvements, drainage, jail improvements, and museums. Financing is to be provided by receipts from a 1991 special one percent local option sales tax referendum. I Special Sales Tax Phase III Fund - This fund was established to account for expenditures specifically budgeted from revenues from the one cent sales tax (Phase Ill) collected from the years 1996 - 2000 to be used primarily for public works, recreation and outside agency projects. I I I I I I I I I 96 97 I I I Community Special Sales I Development Tax $244,833 $4,011,951 I 153,499 I $244.833 $4.165.450 I I $ $ 15 IS I 390,669 I 3,774,766 244.833 I 244.833 4.165.435 $244.833 $4,165.450 I I I I I I I I AUGUSTA, GEORGIA Capital Projects Funds Combining Balance Sheet December 31, 2000 ASSETS Cash and investments Receivables: Accounts Interest Prepaid items Due from other funds Total assets LIABILITIES AND FUND BALANCES LIABILITIES Accounts and other payables Accrued salaries and vacation Due to other funds Totalliabllities FUND BALANCES Reserved for encumbrances Reserved for special sales tax projects Reserved for inventory/prepaid expenses Unreserved - designated for capital improvements Total fund balances Total liabilities and fund balances See notes to fmancial statements. ". ...... ...... ................ ....,.............................................................;.............:..,.......................:......... AUGUSTA, GEORGIA Capital Projects Funds Combining Statement of Revenues, Expenditures and Changes In Fund Balances Year Ended December 31,2000 Commuriity Oevelooment REVENUES Taxes Use of money and property Intergovernmental- Cost reimbursements from state Other $ Total revenues EXPENDITURES General government Public safety Public works Health & welfare Culture/recreation Capital outlay Total expenditures Excess of revenues over (under) expenditures OTHER FINANCING USES Operating transfers in (out) Excess of revenues over (under) expenditures and other financing uses Fund balances, beginning of year 244.833 Fund balances, end of year $244.833 See notes to fmancial statements. 99 Special Sales Tax I I I I I I I I I I I I I I I I I I I $ 318,106 154,262 472.368 2,189 421.625 423.814 48,554 ( 978.100) ( 929,546) 5.094.981 $4.165.435 I I I I Special Special Sales Tax Sales Tax Totals I Phase II Phase III 2000 1999 $ $30,760,815 $30,760,8i5 $25,053,136 I 1,037,346 3,085,071 4,440,523 2,974,690 135,028 1,228,291 1,517,581 1,439,261 725 725 634 I 1.172.374 35.074.902 36.719.644 .29.467.721 I 708,943 708,943 20,550 154,228 2,981,479 3,137,896 2,171,174 I 1,874,065 392,955 392,955 284,439 1.305.135 9.409.070 11.135.830 26.193.805 I 1.459.363 13.492.447 15.375.624 30.544.033 ( 286,989) 21,582,455 21,344,020 (1,076,312) I (2.231.3 71) (3.209.471 ) ( 765.237) I ( 286,989) 19,351,084 18,134,549 ( 1,841,549) I 17.173.859 40.760.487 63.274.160 65.115.709 $16.886.870 $60.11 1.571 $81.408.709 $63.274.160 I I I - I I I 100 AUGUSTA, GEORGIA Special Sales Tax Fund Actual Variance Favorable (Unfavorable) I I I I I I I I I I I I I I I I I I I Statement of Revenues, Expenditures and Changes In Fund Balance - Budge.t (GAAP Basis) and Actual Year Ended December 31,2000 (With Comparative Totals for the Year Ended December 31, 1999) REVENUES Use of money and property Cost reimbursements Total revenues EXPENDITURES Public works Capital outlay Total expenditures Excess of revenues over (under) expenditures OTHER FINANCING SOURCES (USES) Operating transfers in Operating transfers out Excess of revenues over (under) expenditures and other financing sources (uses) Fund balance, beginning of year Fund balance, end of year See notes to financial statements. Budget $ 115,714 1.379.607 1.495.321 (1,495,321) 1,495,321 $ 101 1999 Actual $ 318,106 $ 154.262 472.368 318,106 $ 261,009 154.262 14.119 472.368 275.128 2,189 113,525 25,454 421.625 957.982 460.321 423.814 1.071.507 485.775 48,554 1,543,875 ( 210,647) (1,495,321) ( 978.1 00) ( 978.100) (929,546) $( 929.546) ( 210,647) 5.094.981 5.305.628 $4.165.435 $5.094.981 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Special Sales Tax Phase II Fund Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual . Year Ended December 31,2000 . (With Comparative Totals Cor the Year Ended December 31,1999) OTHER FINANCING SOURCES Operating transfers in 12.032.492 02.032.492) Excess of revenues under expenditures $ (286,989) $( 286.989) Fund balance, beginning of year 17.173.859 Fund balance, end of year $16.886.870 See notes to fmancial statements. 102 (2,302,190) 19.476.049 $17.173.859 ... .... ............'.......'.. ............ .' ................1.. ...... .'...'.............. .,................. . ..... Excess of revenues over expenditures and other fmancing sources (uses) Variance Favorable 1999 Budget Actual (Unfavorable) Actual $ 38,458,452 $30,760,815 $( 7,697,637) $25,053,136 3,000,000 3,085,071 85,071 1,810,835 369,681 1,228,291 858,610 1,404,934 725 725 276 41.828.133 35.074.902 ( 6.753.23 1) 28.269 .181 687,009 708,943 ( 221,934) 7,993,561 2,981,479 5,012,082 1,872,443 1,874,065 1,249,184 392,955 856,229 284,439 57.361.609 9.409.070 47.952.539 22.801.709 67.291.363 13.492.447 53.598.916 26.832.656 (25,463,230) 21,582,455 46;845,685 1,436,525 25.463.230 (2,231.371) (27.494.601) ( 765.237) $ 19,351,084 $ 19.351.084 671,288 40.760.487 40.089.199 $60.111.571 $40.760.487 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Special Sales Tax Phase ill Fund Statement of Revenues, Expenditures and Changes In Fund Balance. Budget (GAAP Basis) and Actual Year Ended December 31,2000 (With Comparative Totals for the Year Ended December 31,1999) REVENUES Taxes Use of money and property Cost reimbursement Other Total revenues EXPENDITURES General government Public works Health & welfare Culture/recreation Capital outlay Total expenditures. Excess of revenues over (under) expenditures OTHER FINANCING SOURCES (USES) Operating transfers in (out) Fund balance, beginning of year Fund balance, end oryear See notes to fmancial statements. 103 - .~ .....' ,....,..... ....... ..~.._.. .....6.........:,..~.........,.. 1 .1 I I Enterprise Funds I Enterprise Funds are generally established if the intent of the governing body is that the cost of providing goods or services is financed or recovered primarily thrQugh user charges or if the governing body has decided that periodic determination of revenues earned, expenses incurred, and/or net income is appropriate for capital maintenance, public policy, accountability, or other purposes. 1 1 I Waste ManalZement Fund - This fund accounts for the provision of landfill services to residents and industries of the County. All activities necessary to provide such services are accounted for in this fund including, but not limited to, administration, operations, billing and collection. Water and Sewer Fund - This fund accounts for the provision of water and sewer services to residents of the County. All activities necessary to provide such services are accounted for in this fund, including, but not limited to, administration, operations, maintenance, financing and related debt service and billing and collection. 1 I Augusta Regional Airport at Bush Field Fund - This fund accounts for the operations of Augusta Regional Airport at Bush Field, the only airport within the County from which service from the major airlines is available. Municipal Golf Course Fund - This fund accounts for the operation of th.e Municipal Golf Course, an IS-hole golf course located within the city limits. I Transit Fund - This fund accounts for the operations ofthe Augusta Public Transit which provides scheduled bus service within Richmond and Columbia counties. I 1 I I 1 I Daniel Field Airport Fund - This fund accounts for revenue and expenditures related to Daniel Field Airport. Old Government House Fund - This fund accounts for the operations of the Old Government House, a historic building within the city limits. The house is available for short-term rentals. Newman Tennis Center Fund - This fund accounts for receipt and expenditures related to the operations at Newman Tennis Center. I I 104 AUGUSTA, GEORGIA Enterprise Funds Combining Balance Sheet December 31,2000 ASSETS CURRENT ASSETS Cash and temporary investments Investments Receivables (net of allowances for uncollectibles) Accounts Interest Intergovernmental Prepaid expenses Inventory Due from other funds (current portion) Total current assets RESTRICTED ASSETS Revenue bond cash and cash equivalents: Construction account Current debt service account Sinking Fund Total restricted assets PROPERTY, PLANT AND EQUIPMENT (net of accumulated depreciation) OTHER ASSETS Deferred bond issuance costs Revenue bond discount Long-term portion - due from other funds Total other assets Total assets 105 Waste Management $ 4,314,497 301,955 82.485 4.698.937 Water and Sewer Augusta Regional Airport at Bush Field I I I I I I I I I I I I I I I I I I I $ 23,442,118 $ 9,737,547 1,352,913 3,785,840 33,211 1,112,531 33,728 95,883 1,326,049 180,350 3.032.010 452.229 32.972.141 11.612.268 104,517,906 4,873,604 1.675.937 255.152 111.067.447 255.152 5.870.800 178.946.242 23.384.782 2,499,101 4,014,718 479.167 6.513.819 479.167 $10.569.737 $329.499.649 $35.731.369 AUGUSTA, GEORGIA Enterprise Funds Combining Balance Sheet - Continued December 31,2000 LIABILITIES AND FUND EQUITY CURRENT LIABILITIES Accounts and other payables Accrued interest Due to other funds Accrued salaries and vacation Notes payable - current Total current liabilities CURRENT LIABILITffiS (payable from restricted assets) Accrued revenue bond interest Revenue bonds payable. current Customer deposits Total current liabilities (payable from restricted assets) LONG-TERM LIABILITIES Revenue bonds payable Notes payable Certificates of Participation Closure/postclosure accrual Total long-term liabilities Total liabilities FUND EQUITY Contributed capital Retained earnings (deficits) Reserved for revenue bond debt Unreserved .Total retained earnings (deficits) Total fund equity Total liabilities and fund equity See notes to financial statements. 107 Waste Management $ 110,973 14,055 23,261 148.289 60.921 60.921 8.100.000 8.100.000 8.309.210 1.741.644 518.883 518.883 2.260.527 $10.569.737 Water' and Sewer $ 665,327 $ 2,632,427 13,612,400 171,283 1.143.440 18.224.877 1,190,000 1.190.000 161,470,054 18,888,695 180.358.749 199.773.626 Augusta Regional Airport at Bush Field I I I I I I I I I I I I I I I I I I I 199,489 3,472 1,821,153 68,466 2.092.580 85,000 85.000 85,000 85.000 2.262.580 41.896.587 10.980.252 390,234 87.439.202 22.488.531 87.829.436 22.488.537 129.726.023 33.468.789 $329.499.649 $35.731.369 " . .... '" .. . ...... '. ...... ................................... '.' . -......... ..... ,no AUGUSTA, GEORGIA Enterprise Funds Combining Statement of Revenues, Expenses and Changes in Retained Earnings (Deficits) Year Ended December 31,2000 Waste Management Augusta Regional Water Airport at and Sewer Bush Field OPERATING REVENUES Charges and fees $ 4.638.095 $34.806.812 $10.034.036 743,724 5,144,857 2,535,847 1,058,762 5,634,678 627,846 183,704 2,969,065 3,615,784 307,651 811,145 3,031,099 1,252,229 6,820,600 1,000,328 149,666 1,220,988 973,046 1.582.536 5.781.766 24.821.287 9.060.502 0.143.671) 9.985.525 973.534 181,172 2,954,996 233,346 135,709. (6,170,790) ( 11,305) 20.332 352.431 20 1.504 (3.215.794) 710.181 ( 942,167) 6,769,731 1,683,715 3,009,471 ( 50.000) ( 942,167) 9,779,202 1,633,715 1,461,050 78,050,234 20,854,822 OPERATING EXPENSES Personal services and employee benefits Purchased/contracted services Supplies Capital outlay Interfund/interdepartmental charges Depreciation and amortization Other costs Closure/postclosure accrual Total operating expenses Operating income (loss) NONOPERATING REVENUES (EXPENSES) Interest revenue Other revenue Interest expense Intergovernmental revenue Net nonoperating revenues (expenses) Income (loss) before operating transfers Operating transfers in Operating transfers out Net income (loss) Retained earnings (deficits), beginning of year, as previously reported Prior period adjustment Retained earnings (deficits), beginning of year, as restated 78.050.234 20.854.822 1.461.050 Retained earnings (deficits), end of year $ 518.883 $87.829.436 $22.488.537 See notes to financial statements 109 I I I I I I I I I I I I I I I I I I I . . '.. . ..........'.........,.... . ......... ....... AUGUSTA, GEORGIA I Enterprise Funds' I Combining Statement of Cash Flows Year Ended December 31,2000 I . Augusta Regional Waste Water and Airport at I Management Sewer Bush Field Cash flows from operating activities Operating income (loss) $(1,143,671) $ 9,985,525 $ 973,534 Adjustments to reconcile operating income (IQss) to net cash I provided (used) by operating activities: Depreciation 1,252,229 6,820,600 1,000,328 Net change in assets and liabilities: I AccoWlts receivable 700,017 ( 3,160) ( 547,483) Intergovernmental receivable ( 72,503) Other receivable 83,005 I Inventory ( 57,982) ( 41,231) Due from other funds ( 82,485) ( 3,032,010) ( 25,424) Accounts payable ( 263,882) ( 341,622) 47,301 I Accrued salaries and vacation ( 19,460) ( 134,787) ( 63,699) Accrued revenue bond interest ( 1,190) Due to other funds 14,055 12,847,891 352,383 Customer deposits 3,221 I Closure/postclosure accrual 1.582.536 Net cash provided (used) by operating activities 2.042.560 26.084.455 1.705.02 t Cash flows from noncapital financing activities I Other revenue 135,709 Intergovernmental revenue 20,332 352,43 I I Operating transfers (net) 3.009.471 ( 50.000) Net cash provided by noncapital financing activities 20.332 3.009.471 438.140 Cash flows from capital and related financing activities I Acquisition and construction of capital assets ( 274,673) (27,122,745) ( 381,891) Principal paid on revenue bonds ( 1,135,000) ( 80,000) Principal paid on capital leases I Principal paid on notes payable ( 1,088,870) Principal paid .on certificates of participation Bond issuance costs Proceeds from long-term debt 93,275,913 -' I Interest paid ( 4,228,946) ( 11,305) Contributed capital Proceeds from sale of property I Net cash provided (used) by capital and related financing activities ( 274.673) 59.700.352 ( 473.196) Cash flows from investing activities I Interest received 181,172 2,946,940 233,346 Due from other funds . long-term 452,229 I Purchase of investments ( 71.93 1) Net cash provided by investing activities 181.172 2.875.009 685.575 Net increase (decrease) in cash and cash equivalents 1,969,391 . 91,669,287 2,355,540 I Cash and cash equivalents, beginning of year 2.345.106 42.840.278 7.637.159 Cash and cash equivalents, end of year $ 4.314.497 $134.509.565 $9.992.699 I See notes to fmancial statements. III . . .. ." n.. . .... .. ....... ......._.. ~ .... . '.". ....u.. ..... '" ....... '. " .... ,. I......... ..:,:,............;..:.;.~.:.............':.-.....:... '.,'" .-..........:.. :............,' I I I I Internal Service Funds I Internal service funds are used to account for goods or services provided by a central service department or agency to other departments, agencies, or component uni~ of the governmental unit, or to other unrelated governmental units, usually on a cost reimbursement basis. . I Risk Management Fund - This fund accounts for the receipt and disbursement of settlement exposure and damage expense claims, commercial insurance premiums and bond on certain employees and elected officials. I Fleet Operations Fund - This fund accounts for the operation and maintenance of County vehicles. The Fund bills other County funds at amounts that will approximately recover all the cost of the services provided. I Workers' Comoensation Fund - This fund accounts for the receipt and disbursement of self-insured workers' compensation claims. I Emplovee Health Benefits Fund - This fund accounts for the receipt and disbursement of self-insured employee group health insurance claims. I Unemplovment Fund - This fund accounts for the recdpt and disbursement of unemployment benefits. I Long-term Disability Insurance Fund - This fund accounts for the receipt and disbursement of long-term disability claims. GMA Leases Fund - This fund accounts for the receipt and disbursement of the lease pool agreement with the Georgia Municipal Association. I I I I I I I I 114 ..... ..' ~,. ~_. ~.. ...'. ...,........ '.........~. i..........\.,............... . .10.... ......... ........... .. ..... ....."./.\..........,/./'...i.'./Vt. .... '.:.'\~..'.' .'./." 43,407 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Internal Service Funds Combining Balance Sheet December 31,2000 ASSETS Risk Fleet Workers Management Ooerations Compensation CURRENT ASSETS Cash and cash equivalents Accounts receivable Inventory Due from other funds Due from (to) other Internal Service Funds Total current assets $470,102 $2,234,365 $ 43,407 430 555 416 105,663 115.064 470,948 2,455,647 Restricted investments PROPERTY, PLANT AND EQUIPMENT (net of accumulated depreciation) 122.718 32.007 Total assets $593.666 . $2.487.654 $ 43.407 LIABILITIES AND FUND EQUITY CURRENT LIABILITIES Accounts and other payables $ 8,230 $1,280,881 $ 67,571 Due to other funds 169 1,246,167 Accrued salaries and vacation 8.653 2.454 Total current liabilities 17,052 2,529,502 67,571 NONCURRENT~ILIT~ Certificates of participation Total noncurrent liabilities FUND EQUITY Retained earnings (deficits) 576.614 ( 41.848) (24.164) Total liabilities and fund equity $593,666 $2.487.654 $ 43.407 See notes to financial statements. 115 . . .;... 1\.....l"....... ....... .~... ...~(....~ .... ..... '.' ~. . .;.h..,........:.. .:.... .... ..' ,:.' ........ .'1. ...:....,...... :....,.;,.; '.':. . .,':" '._ . ... :... "., . "'. ....... '..;. ...,.......:..;.....:.... ...... I I I I I I I I I I I I I I I I I I I Employee Health Benefits Long-term Disabil~ty GMA Unemplovment Insurance Leases Totals 2000 1999 $ 4.124 $66,259 $ - $ - $ 2,818,257 $ 1,363,996 6,159,166 6,160.151 5.059,177 600.000 604,124 66.259 2,143,377 2,849,456 - (115.064) 8,187,479 11,827,864 6.423.173 11.355,863 11.355,863 12,329,132 154.725 151.999 $604.124 $66.259 $ - $19.543.342 $23.338.452 $18.904.304 = $600.046 $ $ - $ - $ 1,956,728 $ 1,407,716 66.259 3,663,937 4,976,532 1,561,458 - - 11.1 07 24.707 - - 600,046 66,259 3,663,937 6,944,367 2,993,881 - - 15,354.947 15.854.947 15.810.034 - - 15,854,947 15,854,947 15,810,034 4.078 - - 24.458 539.138 100.389 - - $604.124 $66.259 $ - $19.543.342 $23.338.452 $18.904.304 = 11": .' .,.. ...:...... AUGUSTA, GEORGIA Internal Service Funds . .............r....;../}.....~:\-....~:....,.....:):.<....I':.~:.,..:.;,. Combining Statement of Revenues, Expenses and Changes in Retained Earnings (Deficits) Year Ended December 31,2000 OPERATING REVENUES Charges and fees Interfund charges Fines and forfeitures Total operating revenues OPERATING EXPENSES Personal services Purchased and contracted services Materials and supplies Insurance . Other Depreciation Risk benefit charges Total operating expenses Operating Income (loss) NONOPERATING REVENUES (EXPENSES) Interest revenue Other revenue Interest expense Sale of property Inco~e (loss) before operating transfers Operating transfers in Operating transfers out Net income (loss) Retained earnings (deficits), beginning of year Retained earnings (deficits), end of year See notes to fmancial statements. 117 Risk Fleet Workers Management Operations Comoensation $ 990,203 38.204 1.028.407 66,813 32,906 4.911.929 1.017.761 978,038 978.038 39,723 10,253 (24,751) (24,164) 200,000 (280,472) 1,272,387 15,559 ( 777.103) (80,472) 495,284 15,559 657.086 ( 537.132) (39.723) $ 576.614 $( 41.848) $( 24.164) '.':' ..... .,~::.~;: -:-.::: ';'.:: :: ~.:. I I I I I I I I I I I I I I I I I I I I I I I Long-term Employee Disability GMA Totals I Health Benefits Unemplovment Insurance Leases 2000 1999 $10,281,887 $ $143,931. $ - $15,337,753 $12,076,726 I 288,062 35,659 2,331,685 3,289,646 38.204 158.513 10,281,887 288,062 179,596 17,707,642 15,524,885 I 362,375 365,047 54,089 3,563,142 3,617,252 I 212,702 338,456 10,173,323 - 11,357,053 10,401,078 214,064 162,074 447,610 159,860 I 44,913 81,657 94,918 635.604 1.756.503 10.227.412 214.064 162.074 44.913 16.660.143 16.733.114 I 54,475 73,998 17,522 ( 44,913) 1,047,499 (1,208,229) I 811,219 878,032 1,361,782 1,533 44,692 31,426 ( 70,193) ( 7,741) ( 4,326) (823,196) ( 954,371) (1,438,930) I 744.603 ( 14,185) 66,257 13,196 ( 56,890) 1,015,852 ( 509,348) I 200,000 7,200 - ( 777.1 03) ( 122.760) ( 14,185) 66,257 13,196 ( 56,890) 438,749 ( 624,908) I 18.263 (66.257) (13 .196) ~ 1.348 100.389 725.297 $ 4.078 $ $ $ 24.458 $ 539.138 $ 100.389 I I I I .1 118 . ,',:,: ..... '.' .':..\.::..'~'."""''''''-'''' .... ....... ....,.......... ....., ...,;.,.,.........,....,:..,.,....;......:... :-0.... ......... .'. ......;..... ....;.. .';'. .'. .....~ .......... ..... . ..:. . ........ .... .. .......... ...... ........;.... . t ... :...... .t..,...... .,.......... ..,.... ....,...../. :......,...:. .... '. t.... "', ';. '.' .... 23,579) ( 15,891) ( 39,470) ( 46,445) ( 24.751) ( 929.620) ( 954.371) 0.438.930) 23.579) ( 40.642) ( 929.620) ( 993.84 n 0.485.375) . 66,813 811,219 878,032 1,361,782 15.810.032 66.813 811.219 878.032 17.171.814 AUGUSTA, GEORGIA Internal Service Funds Combining Statement of Cash Flows Year Ended December 31,2000 Risk Fleet Management Operations Cash flows Crom operating activities Operating income (loss) $( 380,191) $1,286,885 . $ Adjustments to reconcile operating loss to net cash provided (used) by operating activities: Sale of property Depreciation 36,529 215 Net change in assets and liabilities: Accounts receivable 1,296 ( 555) Inventory Accounts payable (647,788) 635,296 Accrued salaries and vacation (11,988) ( 1,612) Due to/from other funds, net ( 247) 1.025.440 Net cash provided (used) by operating activities 0.002.389) 2.945.669 Cash flows from noncapital financing activities Other revenue Operating transfers (net) Net cash provided (used) by operating noncapital financing activities 32,906 200.000 10,253 ( 777.1 03) 232.906 ( 766.850) Cash flows from capital and related fmancing activities Acquisition of capital assets ( Interest paid Net cash used by capital and related financing activities ( Cash flows from investing activities Interest received Sale of certificates of participation Net cash provided by investing activities Net increase (decrease) in cash and cash equivalents (726,249) 2,138,177 Cash and cash equivalents, beginning of year 1.196.351 96.188 Cash and cash equivalents, end of year $ 470.102 $2.234.365 See notes to financial statements. 119 Other Internal Service Funds 140,805 44,913 (1,101,715) 561,504 ( 459.575) ( 814.068) 1,533 1.533 ( 930,936) 12.400.589 $11.469.653 Totals 2000 1999 $ 1,047,499 $(1,208,229) 81,657 744,603 94,918 (1,100,974) (5,057,451) 191,036 ( 310,905) 2,626 1.532.522 ( 549,012 13,600) 565.618 1.129.212 (4.010.880) 44,692 31,426 ( 577.103) ( 115.560) ( 532.411) ( 84.134) 480,992 11,591,425 13.693.128 2.101.703 $14.174.120 $13.693.128 .1 I I I I I I I I I I I I I I I I I I I I Trust and Agency Funds Fiduciary funds are used to account for assets when a governmental unit is functioning either as a trustee or as an agent for another party. Because the County is functioning in a fiduciary capacity, the authority to employ, dispose of, or otherwise use the assets is not determined by a legislative body or oversight board, but by the public laws and private agreements that created the trustee or agency relationship. I I Agency Funds . An agency fund is created to act as custodian for other funds, governmental units, or private entities. Assets are recorded by the agency fund, held for a period of time as detennined by legal contract or circumstances, and then returned to their owners. The Government utilizes agency funds to account for the following: I Tax Commissioner - This fund accounts for tax billings, collections and remittances made by the Tax Commissioner on behalf of the County and other governmental agencies. I Probate Judge - This fund accounts for the receipt and disbursement of licenses and other fees collected by the Probate Judge. Sheriff's Department. This fund accounts for the receipt and disbursement offunds collected by the department from individuals posting bond. I I Civil Court - This fund accounts for the receipt and disbursement of court-ordered fines, fees and garnishments made on behalf of third panoes. . Clerk of Court - This fund accounts for the receipt and disbursement of court-ordered fines and fees made on behalf of third parties and traffic violation fines. I Expendable Trust Funds - TIlOse trust funds whose principal and income may be expended in the course of their designated operations so that they are depleted by the end of their designated life. An expendable trust fund is accounted for in the same manner as governmental funds. I . Joseph R. Lamar Fund - This fund accounts for the receipt of investment earnings from the Joseph R. Lamar Principal Fund and payment of the annual award. I Pemetual Care Fund - This fund accounts for monies collected from sale of perpetual care contracts at Government-owned cemeteries after October 1, 1970, as well as receipt of investment earnings on all perpetual care investments and payment of cemetery maintenance expenditures. I I I I Nonexpendable Trust Funds - Trust funds that allow the earnings to be used to achieve the objectives of the fund, but require that the principal be preserved intact. A nonexpendable trust fund is accounted for in essentially the same manner as a proprietary fund. Joseph R. Lamar Fund - This fund accounts for monies provided by a private donor to finance awards for children attending Joseph R. Lamar School. The principal amount of the gift is to be maintained intact and invested. Investment earnings are used for the awards. Pemetual Care Fund - This fund accounts for monies collected from the sale of perpetual care contracts at Government-owned cemeteries before October 1, 1970. The principal must be maintained intact and invested. Investment earnings are used for cemetery maintenance. Pension Trust Funds - Pension trust fund~ account for the assets of the Government's employees' retirement plans. I 1945 Pension Trust Fund - This fund accounts for the accumulation of resources to be used for retirement annuity payments to panocipants of the 1945 Plan at appropriate amounts and times in the future. Resources are contributed by the Government at amounts determined using actuarial assumptions and calculations. Resources contributed by employees are based on a percentage of an individual's gross salary. I 1977 Pension Trost Fund - This fund accounts for the accumulation of resources to be used for retirement annuity payments to panocipants of the 1977 Plan at appropriate amounts and times in the future. Resources are contributed by the Government at amounts determined using actuarial assumptions and calculations. Resources contributed by employees are based. on a percentage of an individual's gross salary. I I General Retirement Fund - This fund accounts for contributions to the Government's pension plan that are to be used for retirement payments at appropriate amounts and times in the future. 120 ,',' .~'lt. . . :."~,.,..'",,:. -:1:():-:-~"::'..\-1:"';':-";:ljo~~':~;~,;~:",I.:~;': . : , . .. .\' \' : .":.... /: .~ AUGUSTA, GEORGIA Trust and Agency Funds Combining Balance Sheet December 31,2000 I I I Agency Funds Tax Civil Clerk of Commissioner Probate Sheriff Court Court ASSETS Cash and cash equivalents $ .8,274,905 $16,292 $942,925 $302,662 $3,119,106 Investments Receivables: Taxes 22,436,451 Interest Restricted investments: Perpetual care Real estate Due from other funds - Total assets $30.711.356 $16.292 $942.925 $302,662 $3,119,106 LIABILITIES AND FUND BALANCES (DEFICITS) LIABILITIES Accounts payable $ $ $ $ .$ Due to others 5,541,937 4,693 942,925 254,642 2,560,061 Due to other funds 2, 732,968 11,599 48,020 559,045 Uncollected taxes 22.436.451 . - - Tota1liabilities 30.711.356 16,292 942.925 302.662 3.119.106 FUND BALANCES (DEFICITS) Reserved for special purposes Reserved for employees' retirement benefits - - Total fund balances (deficits) - - Total liabilities arid fund balances $30,711.356 $16.292 $942.925 $302.662 $3.119,106 = I I I I I I I I I I I I I I I See notes to fmancial statements. 121 I I I I I I I I I I I I I I I I I I I I .,.." . ...... ....:.... .... : ," ....," ..........:...........tl.~.~'...;.r:. ...:..;..:.......;....,...:~.,....:..:, :..~...'..... " Nonexpendable EXDendable Trust Funds Trust Funds Pension Trust Funds Joseph R. Perpetual Joseph R. Perpetual 1945 1977 General Totals Lamar Care Lamar Care Plan Plan Retirement 2000 1999 .$ - $413,110 .$ 382 .$ .$ 434,071 .$ 2,398,396 .$ 2,840,434 .$ 18,742,283 .$ 16,523,606 213,862 11,914,715 10,471,531 67,757,014 90,357, I 22. 89,651,121 22,436,451 12,657,104 5,865 100,609 96,472 633,893 836,839 765,579 5,000 338,625 343,625 343,625 1,267,600 1,267,600 975,095 - - - 400.000 400.000 500.000 .$ - $632.8ll $5.382 $338.62~ $12.849.395 $12.966.399 $72.498.941 $134.383.920 $121.416.130 = .$ - .$ 595 $ .$ $ 6,583 .$ 9,405 .$ 31,035 .$ 47,618 .$ 958 9,304,258 7,743,297 586 42,243 97,739 1,271,276 4,763,476 2,895,732 - 22.436.451 12.657. t 04 - - - 586 ~ - 42.243 104.322 9.405 1.302.311 36.551.803 23.297.091 - (586) 632,242 5,382 296,382 933,420 905,586 - - 12.745.073 12.956.994 71.196.630 96.898.697 97.213.453 (586) 632.242 5.382 296.382 12.745.073 12.956.994 71.196.630 97.832.117 98.119.039 .$ - $632..837 $5.382 $338.625 $12.849.395 $12.966.399 $72.498.941 $134.383.920 $121.416.130 = 122 Total liabilities December 31, December 31, 1999 Additions Deductions 2000 ASSETS $ 7,054,507 $ 98,555,145 $ 97,334,747 $ 8,274,905 12.657.104 108.334.492 98.555.145 22.436.451 $19.711.611 $206.889.637 $195.889.892 $30.711.356 LIABILITIES $ 4,969,789 $ 66,538,393 $ 65,966,245 $ 5,541,937 2,084,718 32,016,752 31,368,502 2,732,968 12.657.104 108.334.492 98.555.145 22.436.451 $19.711.611 $206.889.637 $195.889.892 $30.711.356 I I I I I I I I I I I I I I I I I I I AUGUST A, GEORGIA Agency Funds Combining Statement of Changes in Assets and Liabilities Year Ended December 31,2000 Tax Commissioner Cash Taxes receivable Total assets. Due to others Due to other funds Uncollected taxes Probate Total liabilities ASSETS $ 18.339 $ 420.154 $ 422.201 $ 16,292 LIABILITIES $ 6,633 $ 26,340 $ 28,280 $ 4,693 11.706 393.814 393.921 11.599 $ 18.339 $ 420.154 $ 422.201 $ 16.292 Cash Due to others Due to other funds Sheriff ASSETS Cash $ 990.836 $ 3.701.442 $ 3.749.353 $ 942.925 LIABILITmS Due to others $ 990.836 $ 3.701.442 $ 3.749.353 $ 942.925 See notes to financial statements. 123 I I I I I I I I I I I I I I I I I I I AUGUSTA~ GEORGIA Agency Funds Combining Statement of Changes In Assets and Liabilities - Continued Civil Court Year Ended December 31,2000 December 31, 1999 Additions ASSETS $ 381.845 $ 1.952.990 LIABILITIES $ 168,422 $ 1,194,583 213.423 758.407 $ 381.845 $ 1.952.990 Cash Due to others Due to other funds Total liabilities Clerk of Court ASSETS Cash December 31, Deductions 2000 $ 2.032.173 $ 302.662 $ 1,108,363 $ 254,642 923.810 48.020 $ 2.032.1 73 $ 302.662 $ 2.131.030 $ 14.296.440 $ 13.308.364 $ 3.119.106 LIABILITIES Due to others Due to other funds $ 1,607,617 $ 7,078,146 $ 6,125,702 $ 2,560,061 523.413 7.218.294 7.182.662 559.045 Total liabilities $ 2.131.030 $ 14.296.440 $ 13.308.364$ 3.119.106 ASSETS $10,576,557 $118,926,171 $116,846,838 $12,655,890 12.657.104 108.334.492 98.555.145 22.436.451 $23.233.661 $227.260.663 $215.401.983 $35.092.341 LIABILITmS $ 7,743,297 $ 78,538,904 $ 76,977,943 $ 9,304,258 2,833,260 40,387,267 39,868,895 3,351,632 12.657.104 108.334.492 98.555.145 22.436.451 $~3.233.661 $227.260.663 $215.401.983 $35.092.341 Totals Cash Taxes receivable Total assets Due to others Due to other funds Uncollected taxes Total liabilities See notes to fmancial statements. 124 . .... .' ..................f"r.~,../ll."}..(.\.....'.............-.........o.:,...,.~~ ,t.':,.... AUGUSTA, GEORGIA Expendable Trust Funds Combining Statement of Revenues, Expenditures and Changes in Fund Balances (Deficit) Year Ended December 31, 2000 Joseph R Perpetual Totals Lamar Care 2000 1999 REVENUES Interest $ 143 $ 66,895 $ 67,038 $ 21,005 Charges for services - 1.077 1.077 5.948 - Total revenues 143 67.972 68.115 26.953 EXPENDITURES Culture and recreation 38,640 38,640 18,502 Other ..ill 175 204 Total expenditures 175 38.640 38.815 18.706 Excess of revenues over (under) expenditures ( 32) 29,332 29,300 8,247 OTHER FINANCING SOURCES Operating transfers in - 20.000 20.000 20.000 - Excess of revenues over (under) expenditures and other financing sources ( 32) 49,332 49,300 28,247 Fund balances (deficit), beginning of year (554) 582.910 582.356 554.109 Fund balances (deficit), end of year $(586) $632.242 $631.656 $582.356 See notes to financial statements. 125 . ....#.. I I I I I I I I I I I I I I I I I I I . t. ........... ....... ;........ ~..'. '. .. ... :.. :.'. '.';.." .:.:...... :.,.......... ". '..' " ;.' .:' .' ''': -." :.": .... -~:'.. ","; ...::.......:.~::.. . ..:. .... .\:.. "; '.;. I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Nonexpendable Trust Funds Combining Statement of Revenues, Expenses and Changes In Fund Balances Year Ended December 31,2000 Joseph R. Perpetual Totals Lamar Care 2000 1999 OPERATING REVENUES Interest $-11 S $ 12 $ 20 Total revenues -11 12 20 OPERATING EXPENSES - 1.479 1.479 765 Operating income 12 ( 1,479) ( 1,467) ( 745) Operating transfers out - (20.000) (20.000) (20.000) Net income (loss) 12 (21,479) (21,467) (20,745) Fund balances, beginning of year 5.370 317.860 323.230 343.975 Fund balances, end of year $5.382 $296.381 $301.763 $323.230 See notes to fmancial statements. 126 . . . ............ ........ ........ " ................ ~. . .1..... ....... ... .... '0'.', '. '...,. ......... .......... . ......'.. ,..... ....... 127 I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Pension Trust Funds Combining Statement of Revenues, Expenses and Changes in Fund Balances Year Ended December 31, 2000 Total operating expenses 1945 1977 General Totals Plan Plan Retirement 2000 .1999 $ 9,016 $ 2,155,518 $ 351,357 $ 2,515,891 $ 2,169,807 148.721 200.271 2.466.683 2.815.675 5.631.740 157.737 2.355.789 2.818.040 5.331.566 7.801.547 83,486 83,653 441,957 609,096 596,791 981,221 599,854 4,420,104 6,001,179 5,948,448 343,196 97,851 441,047 387,256 42.212 1.064.707 1.026.703 4.959.912 7.051.322 6.974.707 ( 906,970) 1,329,086 (2,141,872) (1,719,756) 826,840 1.405.000 1.405.000 1.477.277 ( 906.970) 1.329.086 ( 736.872) ( 314.756) 2.304.117 13.652.043 11.627.908 71.933.502 97.213.453 94.909.336 OPERATING REVENUES Contributions Investment income Total revenues OPERATING EXPENSES Administration Benefit payments Refunds Other Operating Income (loss) Operating transfers in Net income (loss) Fund balances, beginning of year Fund balances, end of year $12.745.073 $12.956.994 $71.196.630 $96.898.697 $97.213.453 See notes to fmancial statements. - ..~ -.. . . .. . .'~ .' " ....' ".. .~.., .., '.",' '. ., ',..:\',' .;...:..... .. . .,: .:.'. _:. :-.',:. . .:.:,~:, 'J..'; ~:.:.... I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Nonexpendable Trust Funds Combining Statement oC Cash Flows Year Ended December 31, 2000 Joseph R. Perpetual Totals Lamar Care 2000 1999 Cash flows froOl operating activities Operating income (loss) $ 12 $( 1,479) $( 1,467) $( 745) Adjustments to reconcile operating income (loss) to net cash provided by operating activities Net change in liabilities Due to other funds . 21.479 21.479 20.765 - Net cash provided by operating activities 12 20,000 20,012 20,020 Cash flows Crom noncapltal financing activities Operating transfers out - (20.000) (20.000) (20.000) - Net increase in cash and cash equivalents 12 12 20 Cash and cash equivalents, beginning of year 5.370 338.625 343.995 343.975 Cash and cash equivalents, end oryear $5.382 $338.625 $344.007 $343.995 See notes to financial statements. "11 I I I I I I I I I I I I I I I I I I I Compliance Section 130 '" . ., ..... ~'-"'''''' . ... ....'tJ:t:/... Il" ...... .- ....', .......... ....... " ...... '.,.' ....../'.. ." "... . 131 I I I I I I I I I I I I I I I I I I I -' . . . . ' . CERTIFIED PUBLIC ACCOUNTANTS & CONSULTANTS REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS Augusta-Richmond County Commission Augusta, Georgia We have audited the accompanying general-purpose financial statements of Augusta, Georgia, as of and for the year ended December 31, 2000, as listed in the table of contents. These general-purpose fmancial statements are the responsibility of the Government's management. Our responsibility is to express an opinion on these general- purpose financial statements based on our audit. We did not audit the financial statements of the Richmond County Department of Health, which represents 100 percent of the assets and revenues of the discretely-presented component unit column. Those fmancial statements were audited by other auditors whose report has been furnished to us, and our opinion, insofar as it relates to the amounts included for the Richmond County Department of Health, is based on the report of the other auditors. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the auditto obtain reasonable assurance about whether the general-purpose fmandal statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the general-purpose financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall general-purpose financial statement presentation. We believe that our audit and the report of the other auditors provide a reasonable basis for our opinion. In our opinion, based on our audit and the report of other auditors, the general-purpose fmancial. statements referred to above present fairly, in all material respects, the financial position of Augusta, Georgia as of December 31, 2000, and the results of its operations and the cash flows of its proprietary fund types and non expendable trust funds for the year then ended in conformity with accounting principles generally accepted in the United States of America. In accordance with Government Auditing Standards, we have also issued our report dated May 18, 2001 on our consideration of the Government's internal control over fmancial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts and grants. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be read in conjunction with this report in considering the results of our audit. . The accompanying schedule of expenditures of federal awards is presented for purposes of additional analysis as required by U.S. Office of Management and Budget Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations, and is nota required part of the general-purpose fmancial statements. Such information has been subjected to the auditing procedures applied in the audit of the general-purpose financial statements and, in our opinion, is fairly stated, in all material respects, in relation to the general-purpose financial statements taken as a whole. ~.~.r 7~/I..l.A Augusta, Georgia May 18,2001 ". . . .. I AUGUST A, GEORGIA I Schedule of Expenditures of Federal Awards I Year Ended December 31,2000 Federal Grantor I Federal Agency or I Pass-through Grantor I CFDA Pass-through Federal Prol!ram Title Number Number Exnenditures I U.S. Department of Housing and Urban Development Direct Programs Community Development Block Grant. 14.218 B-99-MC-13-0003 $3,557,895 Emergency Shelter Grant 14.231 S-99-MC-13-0004 125,773 I Home Investment Partnerships Program 14.239 M-99-MC-13-0206 815.729 Total U.S. Department of Housing and Urban Development 4.499.397 I U.S. Department of Justice Direct Programs I COPS Ahead 16.7.10 95-CC-WX-0135 1,305,387 Local Law Enforcement Block Grant 16.592 96-LB- VX-5235 395,528 16.592 99-LBVX-7162 291.694 I 687.222 Juvenile Accountability Incentive Block Grant 16.523 98B-02-9803-00 19 4,931 I 16.523 OOB-57-0001 18.056 22.987 Pass-through from the Office of the Governor I Criminal Justice Coordinating Council Drug Control and System Improvement Fonnula Grants 16.579 B99-8-084 83,663 16.579 BOO-8-006 1.238 I 84.901 Victims Assistance Grants 16.575 97-VA-GX-0013 43,826 I 16.575 98- V A-GX-OO 13 36.750 80.576 I Violence Against Women 16.588 W99-8-008 38,136 16.588 WOO-8-004 19.440 57.576 I Total U.S. Department of Justice 2.238.649 U.S. Department of Transportation I Direct Programs Urban Mass Transportation Capital and Operating Assistance Grants 20.507 GA-90-XI29 589,365 I 20.507 GA-90-XI02 8,071 20.507 GA-90-X112 20,331 20.507 GA-90-XI22 708.820 1.326.587 I I 1~2 AUGUSTA, GEORGIA Schedule of Expenditures oCFederal Awards - Continued Year Ended December 31, 2000 The accompanying notes are an integral part of the schedule of expenditures offederal awards. 133 I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Notes to the Schedule of Expenditures of Federal Awards Year Ended December 31, 2000 Note 1 - Basis of presentation The accompanying schedule of expenditures of federal awards includes the federal grant activity of Augusta, Georgia, and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of: the geneml purpose financial statements. Note 2 - Non-cash awards Augusta, Georgia did not receive any non-cash federal awards during the year ended December 31, 2000. 134 . .' ..... . ....... .... ............ ". " . .....: : "~;" ....... . '.:".;':': ..;.~. "'.:: '.\ ';.:'.:.:.;:}:( .:.:.....;~:..~{;.;.:.:~::::::;..);.:.:i".~.~~:I.:.:;}y:.:..;:;~:::::.;;..::... '. ...~. .:.": ....; :',': ..' AUGUSTA, GEORGIA I Summary Schedule of Prior Audit Findings I Year Ended December 31, 2000 I Findine:s in Relation to the Audit of the Financial Statements I We issued an unqualified opinion on the fmancial statements of Augusta, Georgia as of and for the year ended December 31, 1999. . We noted matters involving the internal control over financial reporting which were considered to be material weaknesses. I We did not note any non-compliance items considered material to the financial statements. I Findine:s for Federal Awards Findine: 99-1 Internal control over financial reporting. I I I I We noted no matters involving the internal control over major programs that we consider to be material weaknesses. We issued an unqualified opinion on compliance for major programs for Augusta, Georgia as of and for the year ended December 31,1999. We did note f"mdings that are required to be reported in accordance with OMB Circular A-133, Section 510(a) as Findings Number 99-3 through 99-6. Condition noted · Financial transactions were not recorded during the year, and the errors were not corrected during routine monthly reviews by the Finance Department. · Transactions were not recorded properly or reviewed and approved by appropriate Finance Department personnel. · The accuracy of the Consolidated Government's fmancial information was not adequately reviewed by the Finance Department throughout the year. · The Finance Department staffwas not properly supervised to insure that the work assignments were completed throughout the year. The job descriptions and responsibilities of aU of the positions in the Finance Department are not clearly defmed. I Recomrnendatiol\ We recommend that the Consolidated Government establish formal, written procedures to insure that all transactions are correctly approved and recorded on a timely basis. Once effective procedures are established, appropriate personnel (preferably senior or supervisory personnel in Finance) should be assigned responsibility to monitor the procedures on a frequent and regular basis to insure compliance with the established procedures. , I I , I i.'r I We recommend that appropriate Finance Department personnel review and approve the monthly financial records. The governments should establish formal, written procedures to insure that all transactions are reviewed for accW'acy and approved by appropriate Finance Department personnel. When procedures are established, Finance Department personnel (preferably senior or supervisory personnel) should be assigned responsibility to monitor the procedures on a frequent and regular basis to insure that the procedures are followed and are adequate to produce reliable information. We recommend that formal, written procedures be established to insure that the fmancial information generated by the Finance Department is reasonable and accurate. The procedures should include; at a minimum: I 135 I I AUGUST A, GEORGIA I I I Summary Scbedule of Prior Audit Findings - Continued Year Ended December 31, 2000 I · agreeing the balances of the balance sheet accounts to subsidiary records or schedules. This procedure should be performed as regularly as practical, but no less frequently than monthly. · reviewing the balances in the income and expense accounts for reasonableness, as compared with informed expectations, prior year amounts, budgeted amounts, and other sources of analytical information. This procedure should be performed as regularly as practical, but no less frequently than monthly. I We recommend that management evaluate the duties, job descriptions, and abilities of each person in the Finance Department to determine the proper levels of staffmg, job responsibility, and qualifications for each position. Personnel should be evaluated on a continuing, regular basis and these regular evaluations should be documented in writing. I I Current status Partially corrected this fIScal year, will complete planned actions during the next fiscal year. I I Finding 99-2 All Federal Grant Programs Condition noted During our audit of Augusta, Georgia's Schedule of Expenditures under Federal grant programs, the following conditions were revealed: I · The listing of all Federal grants by CFDA, grantor agency, current year expenditures and year-end receivable balances, if any, was not reconciled by accounting personnel to general ledger accounts as part of Augusta, Georgia's year end/grant period end close out procedures. I I I I I I This condition could result in errors going undetected and could reduce the reliability of the grant receivables reported through the general ledger system. . Recommendation Augusta, Georgia should centralize fiscal management responsibility related to Federal grants in the accounting department The responsibility for preparing and reconciling the year end Schedule of Federal Grant Activity to general ledger accounts should be assigned to one individual. The accuracy of both the year-end schedule of Federal Grant Activity and general ledger accounts can be verified through a detail supervisory review and the posting of any necessary adjusting entries. Current status Partially corrected this fiscal year, will complete planned action during the next fIScal year. Finding 99-3 U.S. Department of Housing and Urban Development - CFDA 14.218; Community Development Block Grant I I Criteria 24 CFR ch. V section 570.901 requires CDBG grantees to carry out federally funded activities in a timely manner, which is determined by measuring the ratio of undisbursed grant funds available in the grantees U.S. Treasury account to the current grant entitlement 136 AUGUST A, GEORGIA I I I I I Summary Schedule of Prior Audit Findings - Continued Year Ended December 31, 2000 Condition noted . The amount of undisbursed grant funds available for expenditure in Housing's U.S. Treasury account exceeds its 1999 entitlement by more than the 1.5 times allowed under the statute. The amount of undisbursed grant funds available to Housing in its U.S. Treasury account is 1.87 times its 1999 entitlement. Recommendation Department ofHousing and Urban Development ("HUO") is currently monitoring grant activities regularly and City program personnel are developing an aggressive project timetable to move all planned grant-funded projects forward, which will prevent future excess buildup of undisbursed grant funds. Current status This was not corrected during the fiscal year. This will be corrected during the next fiscal year. I Condition noted We found three (3) projects that did not comply with this requirement; Antioch's 1994 funding, Antioch's 1995 funding and Laney Walker's 1992/93 funding. I I I Finding 99-4 U.S. Department of Housing and Urban Development CFDA 14.239; HOME Investment Partnerships Program Criteria . 24 CFR Part 92, section 92.64 requires all Home funds to be spent on approved activities within 5 years. Current status This was corrected this fiscal year. I I I I Recommendation HUn is currently monitoring grant activities regularly and program personnel are developing an aggressive project timetable to move all planned grant-funded projects forward, which will prevent future excess buildup of undisbursed grant funds. Written approvals from HUD should be obtained to carry over projects beyond the 5 year period to prevent loss of funding. Finding 99-5 U.S. Department of Housing and Urban Development - CFDA 14.218; Community Development Block Grant Criteria OMB A-I 02 Common Rule requires local governments to maintain property records of all non-expendable property acquired with federal funds in sufficient detail to determine date of purchase, location, identification number, costs, and amount of federal funds used. A physical inventory should be taken at least once every two years, which is to be reconciled to the property inventory records ("Property Management"). I I Condition noted On April 1, 1999, Housing and Neighborhood Development used $17,500 in CDBG funding to purchase land, which is to be used as a future site for the Good Hope Senior Apartment complex. We were not able to find this land on the County's property records, properly identified as being acquired using CDBG funds. I I 137 I I I . .. '.... .... .,' .'. ..j, ;' ..':"!':r{'.::":.,'.:..' ..:-::;....:"..:..: ". .:::: ..... '. ". I AUGUSTA, GEORGIA Summary Schedule oCPrlor Audit Findings - Continued I Year Ended December 31,2000 I. Recommendation .. Augusta, Georgia should immediately conduct a physical inventory of property purchased with Federal funds and reconcile the physical count with Federal property recorded in the Fixed Asset records. Augusta, Georgia should also schedule future physical inventory counts in a manner consistent with Federal grant requirements, which is typically once every two years. I I Current status This was corrected this fIScal year. I I I Finding 99-6 U.S. Department of Housing and Urban Development - CFDA 14.218; Community Development Block Grant Criteria DOL 40 USC 276a requires that aU laborers and mechanics employed by contractors or subcontractors working on construction contracts in excess of $2,000, which are fmanced by federal funds must be paid prevailing wages ("Davis-Bacon It). I Condition noted We found significant differences in wages paid to different employees that had the same work classification who were employed by Augusta Fire Protection, Inc. for pay periods ending October 1,1999 and October 8,1999. We also found that the procedures in place to monitor certified payrolls were not adequate to ensure compliance with Davis-Bacon. I Recommendation Augusta, Georgia should revise the flow of grant information through the Housing and Neighborhood Development (ltHNDIt) so that any planned construction or rehabilitation projects can be reviewed to determine if Davis-Bacon applies. When a decision is made that Davis-Bacon applies, aU related grant information should be routed to the Davis-Bacon compliance officer who should be accumulating information to develop and implement an overall monitoring and site visit review schedule. . I I I I Current statu~ This was corrected this fiscal year. Finding 99-7 Internal control over purchasing. I Condition noted A weakness in internal control existed that allowed the County purchasing director to both request and approve a purchase order. I Recommendation We recommend that an appropriate division of authority be established for the request and approval of purchase orders. I Current status This was corrected this fIScal year. I REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON COMPLIANCE AND ON INTERNAL CONTROL OVER FINANCIAL REPORTING BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS Augusta-Richmond County Commission Augusta. Georgia W ehave audited the general-purpose financial statements of Augusta, Georgia as of and for the year ended December 31, 2000, and have issued our report thereon; based on our audit and the report of other auditors, dated May 18, 2001. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standardr, issued by the Comptroller General of the United States. Compliance As part of obtaining reasonable assurance about whether Augusta, Georgia's general-purpose fmancial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts and grants, noncompliance with which could have a direct and material effect on the determination offmancial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance that are required to be reported under Government Auditing Standards. Internal Control over Financial Reoorting In planning and performing our audit, we considered Augusta Georgia's internal control over financial reporting in order to determine our auditing procedures for the purpose of expressing our opinion on the general-purpose financial statements and not to provide assurance on the internal control over fmancial reporting. However, we noted certain matters involving the internal control over financial reporting and its operation. that we consider to be reportable conditions. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design or operation of the internal control over financial reporting that, in our judgment, could adversely affect Augusta, Georgia's ability to record, process, summarize and report financial data consistent with the ~ertions of management in the general-purpose financial statements. Reportable conditions are described in the accompanying schedule of findings as item 99-1 and 99-2. A material weakness is a condition m which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that misstatements in amounts that would be materialln relation to the general-purpose financial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. Our consideration of the internal control over financial reporting would not necessarily disclose all matters in the internal control that might be reportable conditions and, accordingly, would not necessarily disclose all reportable conditions that are also considered to be material weaknesses. However, we believe that none of the reportable conditions described above is a material weakness. We also noted other matters involving the internal control over financial reporting that we have reported to management of Augusta, Georgia in a separate letter dated May 18, 2001. . This report is intended solely for the infonnation and use of management, the Augusta-Richmond County Commission, federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than these specified parties. Augusta, Georgia May 18, 2001 ~ m ~ - - ~.+- 7~~'-J t., L P- . V~ , .' 139 I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I ", ~ ",. ....,..... ..... .'.".... ._......:.~.....:... ..:.:.......':..~.~.. .~.:...~....'.... . ....; .... '~.' . ..,....:.::.. ..:.,'..:......,..:., ,'.::.,'..:.....'..... ','. . ," .':.. ,'., ,~".' . ": ',' ." ~':. .' ...~... '.. . ....:. '". ,',.... ,',. . CHERRY . , BE[<AERT&. . HOl.I;.AND .,~ .C.ERTlFIED PUBLIC. '. ACCOUNTANTS & .., CONSULT-ANTS .. ., REPORT OF INDEPENDENT CERTIFIED PUBUC ACCOUNTANTS ON COMPLIANCE \VITH REQUlRE:MENTS APPLICABLE TO EACH MAJOR. PROGRAM AND INTERNAL CONTROL OVER COMPLIANCE IN ACCORDANC~ WITH OMB CffiCULARA-133 Augusta-Richmond County Commission Augusta, Georgia Comnliance We have audited the compliance of Augusta, Georgia with the types of compliance requirements described in the U.S. Office of Management and Budget (OMB) Circular A-J 33 Compliance Supplement that are applicable to each of its major federal programs for the year ended December 31, 2000. Augusta, Georgia's major federal programs are identified in the summarj of auditor's results section of the accompanying schedule offmdings. Compliance with the requirementS of laws, regulations, contracts and grants applicable to each of its major federal programs is the responsibility of Augusta, Georgia's management. Our responsibility is to express an opinion on Augusta, Georgia's compliance based on our audit . We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to fmancial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and OMB Circular A-133, Audits of States, Local Governments, and Non- Profit Organizations. Those standards and OMB Circular A-133 require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about Augusta, Georgia's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal determination on Augusta, Georgia's compliance with those requirements. In our opinion, Augusta, Georgia complied, in all material respects, with the requirements referred to above that are applicable to each of its major tederal programs for the year ended December 31,2000. However, the results of our auditing procedures disclosed instances of noncompliance with those requirements that are required to be reported in accordance with OMB Circular A-133 and which are described in the accompanying schedule of findings as items 99-3,001-1 and 00-2. Internal Control Over Comnliance The management of Augusta, Georgia is responsible for establishing and maintaining effective internal control over compliance with requirements of laws, regulations, contracts and grants applicable to federal programs. In planning and performing our audit, we considered Augusta, Georgia's internal control over compliance with requirements that could have a direct and material effect on a major federal program in order to determine our auditing procedures for the purpose of expressing our opinion on compliance and to test and report on the internal control over compliance in accordance with OMB Circular A-133. We noted certain matters involving the internal control over compliance and its operation that we conside~ to be reportable conditions. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design or operation of the internal control over compliance that, in our judgment, could adversely affect Augusta, Georgia's ability to administer a major federal program in accordance with applicable requirements of laws, regulations, contracts and grants. Reportable conditions are described in the accompanying schedule of findings as items 00-3 and 004. .Aft A material weakness is a condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that noncompliance with the applicable requirements of laws, regulations, contracts and grants that would be material in relation to a major federal program being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. Our consideration of the internal control over compliance would not necessarily disclose all matters in the internal control that might be reportable conditions and, accordingly, would not necessarily disclose all reportable conditions that are also considered to be material weaknesses. However, we believe that none of the reportable conditions described above is a material weakness. I I I This report is intended solely for the information and use of management, the Augusta-Richmond County Commission, and federal awarding agencies and pass-through ,entities and is not intended to be and should not be used by anyone other than these specified parties. I I CL,.;/, ~!J.'1'~, t ?A I Augusta, Georgia May 18,2001 I I I I I I I I I I I I 141 I I I I I I I I I I I I I I I I I I I I AUGUSTA, GEORGIA Schedule of Findings Year Ended December 31,2000 L Summary of the Auditor's Results Findings for Financial Statements We issued an unqualified opinion on the financial statements of Augusta, Georgia as of and for the year ended December 31, 2000. We noted matters involving the internal control over financial reporting as Finding Numbers 99-1 and 00-1. However, none were considered to be material weaknesses. . We did not note any non-compliance items considered material to the financial statements. Findings for Federal A wards We noted matters involving the internal control over major programs as Finding Numbers 00-4 and 00-5. However, none were considered to be material weaknesses, as Finding Numbers 00-4 and 00-5. We issued an unqualified opinion on compliance for major programs for Augusta, Georgia as of and for the year ended Decem~er 31, 2000. We did note audit fmdings that are required to be reported in accordance with OMB Circular A-133, Section 510(a) as Finding Numbers 99-2, 00-2 and 00-3. Identification ofMaior Programs CFDA Number Name of Federal Program or Cluster 14.218 14.239 U.s. Department of Housing and Urban Development Community Development Block Grant Home Investment Partnerships Program u.s. Deparbnent of Justice COPS Ahead Local Law Enforcement Block Grant 16.710 16.592 20.507 U.S. Department of Transportation . Urban Mass Transportation Capital and Operating Assistance Grants Airport Improvement Program Grants 20.106 We used a threshold of$300,000 to distinguish between Type A and Type B programs. Augusta, Georgia is a low-risk auditee. 142 AUGUSTA, GEORGIA I Schedule of Findings - Continued Year Ended December 31, 2000 I I I I I I I I I II. Findings for Financial Statements Flndin!! 99-1 - Repeat Finding Internal control over financial reporting Condition noted . Financial transactions were not recorded dUring the year, and errors were not corrected during routine monthly reviews by the Finance Department . Transactions were not recorded properly or reviewed and approved by appropriate Finance Department personnel. . The accuracy of the Consolidated Government's financial information was not adequately reviewed by the Finance Department throughout the year. . The Finance Department staffwas not properly supervised to insure that the work assignments were completed throughout the year. The job descriptions and responsibilities of all of the positions in the Financial Department are not clearly defined. . Recommendation We recommend that the Consolidated Government establish formal, written procedures to insure that all transactions are correctly approved and recorded on a timely basis. Once effective procedures are established, appropriate personnel (preferably senior or supervisory personnel in Finance) should be assigned responsibility to monitor the procedures on a frequent and regular basis to insure compliance with the established procedures. We recommend that appropriate Finance Department personnel review and approve the monthly financial records. The government should establish formal, written procedures to insure that all transactions are reviewed for accuracy and approved by appropriate Finance Department personnel. When procedures are established, Finance Department personnel (preferably senior or supervisory personnel) should be assigned responsibility to monitor the procedures on a frequent and regular basis to insure that the procedures are followed and are adequate to. produce reliable information. We recommend that formal, written procedures be established to insure that the fmancial information generated by the Finance Department is reasonable and accurate. The procedures should include, at a minimum: I I . agreeing the balances of the balance sheet accounts to subsidiary records or schedules. This procedure should be performed as regularly as practical, but no less frequently than monthly. . ~eviewing the balances in the income and expense accounts for reasonableness, as compared with informed expectations, prior year amounts, budgeted amounts, and other sources of analytical information. This procedure should be performed as regularly as practical, but no less frequently than monthly. I We recommend that management evaluate the duties, job descriptions, and abilities of each person in the Finance Department to determine the proper levels of staffmg, job responsibility, and qualifications for each position. Personnel should be evaluated on a continuing, regular basis and these performance evaluations should be documented in writing. I I Findin!! 99-2 . Repeat Finding All Federal Grant Programs I Condition noted I During our audit of Augusta, Georgia's Schedule of Expenditures under Federal grant programs, the following conditions were revealed: I 143 I I AUGUSTA~ GEORGIA I Schedule of Findings - Continued I Year Ended December 31,2000 I · The listing of all Federal grants by CFDA, grantor agency, current year expenditures and year-end receivable balances, if any, was not reconciled by accounting personnel to general ledger accounts as part of Augusta. Georgia's year end/grant period end close out procedures. I This condition could result in errors going undetected and could reduce the reliability of the grant receivables reported through the general ledger system. I Recommendation Augusta, Georgia should centralize fiscal management responsibility related to Federal grants in the accounting deparbnent The responsibility for preparing and reconciling the year end Schedule of Federal Grant Activity to general ledger accounts should be assigned to one individual. The accuracy of both the year-end schedule of Federal Grant Activity and general ledger accounts can be verified through a detail supervisory review and the posting of any necessary adjusting entries. I I ID. Findings for Federal Awards I Finding 99-3 - Repeat Finding U.S. Department of Housing and Urban Development - CFDA 14.218; Community Development Block Grant I Criteria 24 CFR ch. V section 570.901 requires CDBG grantees to carry out federally funded activities in a timely manner, which is detennined by measuring the ratio of undisbursed grant funds available in the grantees U.S. Treasury account to the current grant entitlement. I Condition noted The amount of undisbursed grant funds available for expenditure in Housing's U.S. Treasury account exceeds its 1999 entitlement by more than the 1.5 times allowed under the statute. The amount of undisbursed grant funds available to Housing in its U.S. Treasury account is 1.91 times its 2000 entitlement. I I I I Recommendation Department of Housing and Urban Development (nHUOn) is currently monitoring grant activities regularly and City program personnel are developing an aggressive project timetable to move all planned grant-funded projects forward, which will prevent future excess buildup of undisbursed grant funds. . Finding 00-1 U.S. Department of Justice CFDA 16.592; Local Law Enforcement Block Grant I Criteria The Grant Award Letter Special Conditions number 8, "the recipient agrees to establish a trust fund in which all payments received under this program, including match, must be deposited. For purposes of this grant, a trust fund is an interest-bearing account that is specifically designated for this program...". I Condition noted Augusta, Georgia did not establish a specifically designated trust fund for receipts under this program. Receipts were deposited in the pooled cash account of Augusta, Georgia and were initially recorded as receipts on the trial balance of another fund. I I 144 AUGUSTA, GEORGIA Schedule of Findings - Continued Year Ended December 31, 2000 Recommendation Augusta, Georgia should set up a separate interest-bearing account for Local Law Enforcement Block Grant receipts, transfer in unexpended grant balances to this account and notify the Department of 1ustice to, in the future, wire advances to this account for Local Law Enforcement Block Grant funds only. Findinl! 00-2 . U.S. Department of Housing and Urban Development - CFDA 14.218; Community Development Block Grant Criteria 24 CFR Section 570.201 requires the amount ofCDBG funds obligated during the program year for public services must not exceed 15 percent of the grant amount received for that year plus 15 percent of the program income it received during the preceding program year. Condition noted The amount ofCDBG funds obligated during the 2000 program year for public services was equal to 24.7 percent of the grant amount received for 2000 plus 24.7 percent of the program income received during 1999. Recommendation Augusta, Georgia should reduce CDBG public service expenditures for 2001 by an amount approximately equal to the excess for 2000 in accordance with the Department of Housing and Urban Development current recommendations. Findinl! 00-3 Internal control over compliance with federal awards. U.S. Department of Transportation CFDA 20.106; Airport Improvement Program Grants Condition noted Internal control for draw requests did not prevent drawdown of 100 percent reimbursement on initial expenditures under the program when federal share was limited to 90 percent of expenditures. Separate purchase orders were not issued for AlP projects and non-AlP projects. Vendors billed Daniel Field for non-AXP projects referencing federal project numbers. Recommendation Augusta, Georgia should coordinate administration of grants by appropriately trained personnel with the work perfonned by outside consultants and personnel at Daniel Field. Finding 00-4 Internal control over compliance with federal awards U.S. Department of Transportation CFDA 20.507; Urban Mass Transit Capital and Operating Assistance Grants Condition noted Internal control did not ensure timely response to the Federal Transit Authority in regard to all deficiencies noted during their Triennial Review. The Federal Transit Authority performed a Triennial Review of Augusta, Georgia's Urban Mass Transit Program and issued its report during October 2000. As a result, the FT A noted deficiencies in seven areas and required corrective action responses to the deficiencies within 30,60 and 90 days of the report. As of May 2000, responses in six of the seven areas had not been submitted. Deficiencies involving departments other than Transit had not been addressed. 145 . ".":' I I I I I I I I I I I I I I I I I I I 1 I I I I I I I I I I 1 I 1 1 I I I ,I AUGUSTA, GEORGIA Schedule of Findings - Continued Year Ended December 31, 2000 Recommendation Augusta, Georgia should designate administration of grants and responsibility for internal control over federal grant awards by appropriate personnel with enough authority to ensure that deficiencies in each affected department are addressed. 146