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HomeMy WebLinkAboutCHERRY BEKAERT HOLAND AUDIT REPORT 2005 _.,. . . . . . CERTIFIED PUBLIC_. ACCOUNTANTS & CONSULTANTS The Finance Committee of the Augusta-Richmond County Commission Augusta, Georgia Dear Members: We have audited the basic financial statements of Augusta, Georgia (the "Government") for the year ended December 31, 2005, and have issued our report thereon dated September 25, 2006. Our opinion on the Government's financial statements, insofar as it relates to the amounts induded for Richmond County Board of Health and the Downtown Development Authority, component units, is based solely on the reports of other auditors. Accordingly, Richmond County Board of Health and the Downtown Development Authority are not covered by this report. As required by auditing standards generally accepted in the United States of America (GMS), we are providing you with the information shown below relative to the conduct of our audit. This report is intended solely for the use of the Board of Commissioners and management of the Government and is not intended to be and should not be used by anyone other than these specified parties. OUR RESPONSIBILITY UNDER GAAS AND OMB CIRCULAR A-133 Our responsibility under GMS is to plan and perform our audit to obtain reasonable, but not absolute, assurance that the financial statements of the Government are free of material misstatement and are fairly presented in accordance with accounting principles generally accepted in the United States of America. Because an audit is designed to provide reasonable, not absolute, assurance and because we did not perform a detailed examination of all transactions, there is a risk that material misstatements may exist and not be detected by us. In planning and performing our audit, we considered the Government's internal control over financial reporting in order to determine our auditing procedures for the purpose of expressing our opinion on the financial statements and not to provide assurance on the internal control over financial reporting. We also considered 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 internal control over compliance in accordance with OMB Circular A-133. As part of obtaining reasonable assurance about whether the Government's financial 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 of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit. Also, in accordance with OMB Circular A-133, we examined, on a test basis, evidence about the Government's compliance with the types of compliance requirements described in the U.S. Office of Management and Budget (OM B) Circular A-133 Compliance Supplement applicable to each of its major federal programs for the purpose of expressing an opinion on the Government's compliance with those requirements. While our audit provides a reasonable basis for our opinion, it does not provide a legal determination on the Government's compliance with those requirements. INDEPENDENCE We are familiar with Rule 101 of the AICPA's Code of Professional Conduct and its interpretations and rulings. As far as the Government is concerned, our firm has been, for the period covered by the financial statements under report and thereafter to date, in fact independent as contemplated by such Rule. SIGNIFICANT ACCOUNTING POLICIES Management is responsible for the selection and use of appropriate accounting policies. In accordance with the terms of our engagement letter, we will advise management about the appropriateness of accounting policies and their application. Note 1 to the financial statements of the Government contains a summary of significant accounting policies. During the year ended December 31, 2005 no new significant accounting policies were adopted and the application of existing policies was not changed. We noted no transactions entered into by the Government during the year that were both significant and unusual, and of which, under professional standards, we are required to inform you, or any significant transactions for which there is a lack of authoritative guidance or consensus. MANAGEMENT JUDGMENTS AND ACCOUNTING ESTIMATES Accounting estimates are an integral part of the financial statements prepared by management and are based upon management's current judgments. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ markedly from management's current judgments. Management's estimate of the allowance for doubtful accounts is based on historical water, sewer and landfill revenues, historical loss levels, and an analysis of the collectibility of individual accounts. The estimated liability for landfill closure and postclosure care costs is based on usage (filled) of the different cells, costs of equipment, facilities, and services required to close, monitor, and maintain the landfill. We evaluated the key factors and assumptions used to develop the allowance for doubtful accounts and closure and postclosure liability to determine that they seem reasonable in relation to the basic financial statements of the Government for the year ended December 31, 2005 taken as a whole. While the procedures used by management and the amount of the allowance for doubtful accounts and the closure and postclosure liability seem reasonable at this time, there will usually be differences between the allowance for doubtful accounts and landfill liability and actual results and these differences may be material. SIGNIFICANT AUDIT ADJUSTMENTS For purposes of this letter, professional standards define an audit adjustment as a proposed correction of the financial statements that, in our judgment, may not have been detected except through our auditing procedures. An audit adjustment mayor may not indicate matters that could have a significant effect on the Government's financial reporting process (that is, cause future financial statements to be materially misstated). We proposed various significant audit adjustments related to the year-end closing of the trial balance and preparation of reconciliation schedules for the annual financial statements. A number of the significant audit adjustments related to the Government providing adjusting entries after year-end closing ofthe trial balance, relating to accounts payable, revenues, inventory, accounts receivable, accrued expenses, capital expenditures, bonds payable and costs, construction in progress, and interfund transfers. A number of the significant audit adjustments were proposed to correct errors relating to taxes receivable, accounts receivable, deferred revenue, capital assets, capital leases, notes receivable and accounts payable. A listing of the audit adjustments are attached to this letter for reference. Summary of Audit Differences Included as an attachment to this letter is a summary of uncorrected financial statement misstatements aggregated during our audit of the Government's financial statements for the period ended December 31 , 2005 whose effects management believes are immaterial, both individually and in the aggregate, to the financial statements taken as a whole. OTHER INFORMATION IN DOCUMENTS CONTAINING AUDITED FINANCIAL STATEMENTS Our responsibility for other information in documents containing the Government's financial statements and our report thereon does not extend beyond the financial information identified in our report, and we have no obligation to perform any procedures to corroborate other information contained in these documents. We have, however, read the other information included in the Government's annual report, and no matters came to our attention that cause us to believe that such information, or its manner of presentation, is materially inconsistent with the information, or manner of its presentation, appearing in the financial statements. DIFFICULTIES ENCOUNTERED IN PERFORMING THE AUDIT As you know, the financial statements and our report thereon were delivered to you in December 2006. We had previously projected a delivery date of May 2006. The delay was caused by (1) the Government does not have sufficient resources devoted to financial reporting nor personnel with the appropriate financial reporting knowledge level in order to properly prepare and review financial statements and schedules, (2) the Government does not have a reconciliation process in place to timely perform a reconciliation of capital expenditures to the additions to the capital asset system and does not enforce the closing out of projects from construction in progress to the capitalization in the capital asset system, and (3) the Government does not have a reconciliation process in place to timely perform a reconciliation of the Schedule of Expenditures of Federal awards to the general ledger. Oflj/l/l1lf,Pt~ (}-/rdUJ1 lLP Augusta, Georgia September 25, 2006 AUGUSTA-RICHMOND COUNTY Page: 1 Journal Entries Report : Adjusting Entries Prepared by: TM 12/21/2006 12:25PM December 31, 2005 Reviewed by: Entry II Status Account/Code Description Debit Credit AJE 1 Posted 509-00-00001256 2000 Bonds Payable 355,000.00 509-00-00001226 Bond Payable - Current 355,000.00 To reclassify current portion of long-term debt. AJE 2 Posted RV 101-00-00001342 Fund Balance-Unreserved, Undes 4.00 101-01-31103891 Miscellaneous Income 4.00 208-00-00001342 Fund Balance-Unreserved, Undes 1. 00 208-02-21125311 General supplies and materials 1.00 216-00-00001342 Fund Balance-Unreserved, Undes 1.00 216-03-71105311 General supplies and materials 1.00 217-00-00001342 Fund Balance-Unreserved, Undes 1.00 217-07-22105311 General supplies and materials 1.00 272-00-00001342 Fund Balance-Unreserved, Undes 824.00 272-01-51105311 General supplies and materials 824.00 276-00-00001342 Fund Balance-Unreserved, Undes 1.00 276-04-16105111 Perm Full-Time S&W-Regular 1. 00 221-00-00001342 Fund Balance-Unreserved, Undes 1.00 221-07-31103891 Miscellaneous Income 1.00 224-00-00001342 Fund Balance-Unreserved, Undes 1. 00 224-03-17015311 General supplies and materials 1.00 791-00-00001342 Fund Balance-Unreserved, Undes 1.00 791-00-00003891 Miscellaneous Income 1.00 326-00-00001342 Fund Balance-Unreserved, Undes 1.00 326-00-00003611 Interest revenues 1.00 411-00-00001342 Fund Balance-Unreserved, Undes 1.00 411-00-00003611 Interest revenues 1.00 541-04-42105311 General supplies and materials 1.00 541-00-00001336 Retained Earnings-Unreserved 1.00 546-00-00001336 Retained Earnings-Unreserved 2.00 546-00-00003891 Miscellaneous Income 2.00 552-00-00001342 Fund Balance-Unreserved, Undes 1.00 552-08-11015213 O~her Technical Services 1.00 571-00-00001342 Fund Balance-Unreserved, Undes 1.00 571-06-14623891 Miscellaneous Income 1.00 542-00-00001336 Retained Earnings-Unreserved 1.00 542-04-41105311 General supplies and materials 1.00 577-00-00001336 Retained Earnings-Unreserved 1.00 577-00-00003891 Miscellaneous Income 1.00 621-00-00001336 Retained Earnings-Unreserved 1. 00 621-00-00003499 Other Charges for Service 1.00 611-00-00001342 Fund Balance-Unreserved, Undes 2.00 611-03-92105311 General supplies and materials 2.00 631-00-00001336 Retained Earnings-Unreserved 1.00 631-61-11405841 Issuance costs 1.00 274-00-00001342 Fund Balance-Unreserved, Undes 1.00 274-03-41105311 General supplies and materials 1.00 511-00-00001342 Fund Balance-Unreserved, Undes 2.00 511-04-34105213 Other Technical Services 2.00 551-00-00001342 Fund Balance-Unreserved, Undes 1.00 551-08-11 013891 Miscellaneous Income 1.00 761-00-00001342 Fund Balance-Unreserved, Undes 1.00 761-00-00003611 Interest revenues 1.00 762-00-00001342 Fund Balance-Unreserved, Undes 3.00 762-00-00003891 Miscellaneous Income 3.00 Fund Balance Adjustments AJE 3 Posted 271-00-00001212 Accounts Payable 88,608.00 271-04-16105312 Electricity 88,608.00 276-00-00001212 Accounts Payable 78,573.00 276-04-16105312 Electricity 78,573.00 324-00-00001212 Accounts Payable 116,142.00 324-04-11105414 Storm Drainage 116,142.00 101-00-00001212 AP - Accrued Expenses-General 114,105.00 101-00-00003891 Tax Commissioner-Other Revenue 114,105.00 274-00-00001212 AP - Accrued Expenses-General 6,054.00 274-10-11106011 Contingency 6,054.00 323-00-00001212 AP - Accrued Expenses-General 106,245.00 323-00-00003611 Interest revenues 106,245.00 To adjust A/P per client ajes 12/21/2006 12:25PM Entry ..! Status AJE 4 PO:3ted AJE 5 Posted AJE 6 Posted AJE 7 Posted AJE 8 Posted AJE 9 Posted AJE 10 Posted AUGUSTA-RICHMOND COUNTY Journal Entries Report : Adjusting Entries December 31, 2005 Account/Code Description 274-00-00003341 Local Emergency Operation Plan 274-00-00001228 Donations Donated funds earmarked for specific purpose not compoletely spent and need remainder for 2006. 541-00-00001232 2C Closure & Post Closure Liab 541-04-42105432 2C Clsoure and Post Closure Cost To adjust/correct 2A, 2B and 2C Closure, Post Closure Liability. 541-00-00001232 2A & 2B Post Closure Liability 541-04-42105111 Perm Full-Time S&W-Regular 541-04-42105223 R & M - Equipment 541-04-42105212 Other Professional Services 541-04-42105212 Legal To adjust 2A and 2B 2005 Post Closure expenditures to the liability. 101-01-64101134 Inventory-Postage 101-01-64101134 Inventory-Postage 101-01-64105731 Inventory Writeoff 101-01-51701135 Inventories-Stores For Resale 101-01-51701135 Inventories-Stores For Resale 101-01-51705731 Inventory Writeoff 101-01-64101134 Inv - Materials & Supplies 101-01-64101134 Inv - Materials & Supplies 101-01-64105731 Inventory Writeoff 101-00-00001341 Fund Balance-Reserved For Inve 101-00-00001341 Fund Balance-Reserved For Inve 101-00-00001342 Fund Balance-Unreserved, Undes To adjust inventory to physical count. 101-00-00001119 Accounts Receivable 101-00-00003891 Tax Commissioner-Other Revenue 216-00-00001119 Accounts Receivable 216-00-00003425 E911 charges 273-00-00001119 Accounts Receivable 273-00-00003891 Miscellaneous Income To adjust year end AIR balances. 101-00-00001111 Consolidated Cash 101-00-00001116 Taxes Receivable-Delinquent 273-00-00001111 Consolidated Cash 273-00-00001116 Taxes Receivable-Delinquent To adjust delinquent taxes receivable between funds 101 and 273. 101-00-00001111 Consolidated Cash 101-00-00001131 Due From Other Funds 101-00-00001111 Consolidated Cash 101-00-00001131 Due From Other Funds To reclassify consolidated cash owed to the General Fund. Debit 17,840.00 570,921.00 143,576.00 30,129.00 87,502.00 9,886.00 13,481.00 11,286.00 4,543.00 103,014.00 101,778.00 65,836.00 245,773.00 327,805.00 327,805.00 13,198,332.00 115,841.00 Page: 2 Prepared by: TM Reviewed by: Credit 17,840.00 570,921.00 27,300.00 281. 00 41,316.00 74,679.00 117,631.00 23,367.00 15,829.00 58,741. 00 44,273.00 101,778.00 65,836.00 245,773.00 327,805.00 327,805.00 13,198,332.00 115,841.00 12/21/2006 12:25PM AUGUSTA-RICHMOND COUNTY Journal Entries Report : Adjusting Entries December 31, 2005 Entry Jt Status AJE 11 Posted AJE 12 Posted Account/Code 101-00-00001224 101-00-00003111 273-00-00003111 273-00-00001224 271-00-00003111 271-00-00001224 272-00-00003111 272-00-00001224 274-00-00003111 274-00-00001224 411-00-00001224 411-00-00003111 412-00-00001224 412-00-00003111 Description Deferred Items-Misc. Real Property Tax-Curr Year Real Property Tax-Curr Year Deferred Items-Misc. Real Property Tax-Curr Year Deferred Items-Misc. Real Property Tax-Curr Year Deferred Items-Misc. Real Property Tax-Curr Year Deferred Items-Misc. Deferred Items-Misc. Real Property Tax-Curr Year Deferred Items-Misc. Real Property Tax-Curr Year To adjust deferred revenue at 12.31.2005. 101-10-11105123 1977 Pension Plan 101-00-00001212 AP - Accrued Expenses-General 216-03-71105123 1977 Pension Plan 216-00-00001212 AP - Accrued Expenses-General 217-07-22105123 1977 Pension Plan 217-00-00001212 AP - Accrued Expenses-General 221-07-31105123 1977 Pension Plan 221-00-00001212 AP - Accrued Expenses-General 273-10-11105123 1977 Pension Plan 273-00-00001212 AP - Accrued Expenses-General 274-03-52105123 1977 Pension Plan 274-00-00001212 AP - Accrued Expenses-General 324-04-11975123 1977 Pension Plan 324-00-00001212 AP - Accrued Expenses-General 506-10-11105123 1977 Pension Plan 506-00-00001212 AP - Accrued Expenses-General 541-04-42105123 1977 Pension Plan 541-00-00001212 AP - Accrued Expenses-General 546-09-11125123 1977 Pension Plan 546-00-00001212 AP - Accrued Expenses-General 551-10-11105123 1977 Pension Plan 551-00-00001212 AP - Accrued Expenses-General 552-08-11015123 1977 Pension Plan 552-00-00001212 AP - Accrued Expenses-General 566-06-14515123 1977 Pension Plan 566-00-00001212 AP - Accrued Expenses-General 101-10-11105123 1977 Pension Plan 101-00-00001212 AP - Accrued Expenses-General 101-10-11105123 1945 Pension Plan 101-00-00001212 AP - Accrued Expenses-General To accrue additional contribution necessary for pension plans Page: 3 Prepared by: TM Reviewed by: Debit Credit 171,619.00 171,619.00 658,384.00 658,384.00 361,217.00 361,217.00 86,628.00 86,628.00 69,228.00 69,228.00 2,655.00 2,655.00 3,674.00 3,674.00 98,045.00 98,045.00 4,377.00 4,377.00 3,069.00 3,069.00 2,095.00 2,095.00 106,804.00 106,804.00 31,915.00 31,915.00 4,467.00 4,467.00 16,625.00 16,625.00 958.00 958.00 1,755.00 1,755.00 6,551.00 6,551.00 1,723.00 1,723.00 757.00 757.00 3,279.00 3,279.00 361,352.00 361,352.00 12/21/2006 12:25PM Entry f Status AJE 13 Posted AJE 14 Posted AJE 15 Posted AJE 16 Posted Account/Code -- 506-04-31105111 506-04-32105111 506-04-32105111 506-04-35105111 506-04-34105111 506-04-35305111 506-04-35405111 506-00-00001212 541-04-42105111 541-00-00001212 542-04-41105111 542-00-00001212 546-09-11105111 546-09-11115111 546-09-11125111 546-09-11135111 546-09-11145111 546-09-11155111 546-09-11165111 546-09-11205111 546-00-00001212 551-08-11015111 551-08-11025111 551-08-11035111 551-08-11045111 551-08-11055111 551-08-11065111 551-08-11075111 551-08-11085111 551-08-11095111 551-08-11105111 551-08-11115111 551-00-00001212 552-08-11015111 552-00-00001212 566-06-14515111 566-00-00001212 571-06-14625111 571-00-00001212 577-06-14955111 577-00-00001212 611-01-52105111 611-00-00001212 626-01-64405111 626-00-00001212 901-00-00001192 901-00-00001212 AUGUSTA-RICHMOND COUNTY Journal Entries Report : Adjusting Entries December 31, 2005 Description Perm Full-Time S&W-Regular Perm Full-Time S&W-Regu]ar Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Accrued Vacation Perm Full-Time S&W-Regular Accrued Vacation Perm Full-Time S&W-Regular Accrued Vacation Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Accrued Vacation Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Perm Full-Time S&W-Regular Accrued Vacation Perm Full-Time S&W-Regular Accrued Vacation Perm Full-Time S&W-Regular Accrued Vacation Perm Full-Time S&W-Regular Accrued Vacation Perm Full-Time S&W-Regular Accrued Vacation Perm Full-Time S&W-Regular Accrued Vacation Perm Full-Time S&W-Regular Accrued Vacation Amount To Be Provided Accrued Vacation To adjust accrued vacation for Enterprise funds. 101-04-17105422 Other Vehicles 101-00-00003935 Capital Lease Proceeds 273-03-13105422 Other Vehicles 273-00-00003935 Capital Lease Proceeds 626-01-64405422 Other Vehicles 626-00-00003935 Capital Lease Proceeds 541-04-42105899 Contra Capital Lease pymts 541-00-00005899 Contra Capital Lease Pmnts 541-00-00001254 Capital Leases Pay-Noncurrent To record draws on capital leases for governmental funds during the year ended 12.31.2005 and reclassify capital lease activity on waste management funds. 541-04-42105224 Other Equip or Veh Rental 541-04-42105422 Heavy Equipment To reclassify final lease payment and adjust non-gma capital leases. 273-00-00001212 AP - Accrued Expenses-General 273-00-00001212 AP - Accrued Expenses-General 273-03-25105317 Medical-Contract 273-03-25115317 Medical-Contract To adjust A/P balance in Fund 273 to agree to detail listing. Debit 74,023.00 72,147.00 107,004.00 12,527.00 47,128.00 13,253.00 8,170.00 18,369.00 4,321.00 14,186.00 15,479.00 15,308.00 1,124.00 2,972.00 23,921. 00 3,907.00 365.00 22,946.00 9,325.00 7,917.00 8,080.00 8,157.00 25,150.00 15,462.00 26,014.00 9,774.00 3,742.00 1,790.00 9,784.00 9,814.00 3,220.00 4,210.00 17,235.00 6,140.00 626,963.00 739,664.00 917,731.00 45,323.00 606,957.00 135,000.00 50,561.00 119,000.00 Page: 4 Prepared by: TM Reviewed by: Credit 334,252.00 18,369.00 4,321.00 77,262.00 138,357.00 9,784.00 9,814.00 3,220.00 4,210.00 17,235.00 6,140.00 626,963.00 739,664.00 917,731.00 45,323.00 198,324.00 408,633.00 135,000.00 50,561.00 119,000.00 12/21/2006 12:25PM AUGUSTA-RICHMOND COUNTY Journal Entries Report : Adjusting Entries December 31, 2005 Page: 5 Prepared by: TM Reviewed by: Credit Entry 11 Status AJE 17 Posted AJE 19 Posted AJE 20 Posted AJE 21 Posted AJE 22 Posted AJE 23 Posted Account/Code 273-03-25105317 273-03-25115317 101-03-32115317 101-03-32135317 273-00-00001212 101-00-00001212 Description Medical-Contract Medical-Contract Medical-Contract Medical-Contract AP - Accrued Expenses-General AP - Accrued Expenses-General To accrue invoice for services received in 2005 which was improperly excluded from A/P at 12.31.2005. 277-00-00001119 Accounts Receivable 277-00-00001111 Other 277-00-00001224 Deferred Revenue 277-01-56135233 Other Expense To adjust DDA cash balance. 541-00-00001254 Capital Leases Pay-Noncurrent 541-04-42105224 Other Equip or Veh Rental To reclassify payments made on non-GMA capital leases. 541-00-00001227 Capital Leases Payable-Current 541-00-00001253 Capital Leases - Non-GMA To adjust current portion of capital leases for Waste Management 101-01-17105424 Server 101-00-00003935 Capital Lease Proceeds 901-00-00001192 Amount To Be Provided 901-00-00001254 Capital Leases Pay-Noncurrent 901-00-00001192 Amount To Be Provided 901-00-00001254 Capital Leases Pay-Noncurrent To record activity on capital leases for governmental funds during the year ended 12.31. 2005 546-00-00001127 Inter Gov't - Due from Federal 546-09-12043313 Federal Transit Capital Asst To record A/R related to federal assistance payment earned by County during 3rd quarter of 2005. Debit 118,657.00 142,388.00 25,215.00 10,382.00 95,527.00 95,527.00 337,359.00 115,901.00 324,919.00 324,919.00 167,906.00 219,513.00 261,045.00 35,597.00 95,527.00 95,527.00 337,359.00 115,901.00 324,919.00 324,919.00 167,906.00 219,513.00 12/21/2006 12:25PM Entry it Status AJE 24 Posted AJE 26 Posted AJE 29 Posted AJE 30 Posted AJE 31 Posted Account/Code 631-01-64403911 631-01-57103911 631-01-62133911 631-01-64203911 631-01-13103911 631-01-26103911 631-03-12103911 631-03-12213911 631-03-12223911 631-03-13103911 631-03-21103911 631-03-23103911 631-03-25103911 631-03-32113911 631-03-61103911 631-03-99103911 631-03-92103911 631-04-11103911 631-04-12603911 631-04-17103911 631-06-11103911 631-06-24113911 631-06-31103911 631-00-00001111 272-11-11106111 272-11-11106111 631-01-64403911 631-00-00001111 272-00-00001111 AUGUSTA-RICHMOND COUNTY Journal Entries Report : Adjusting Entries December 31, 2005 Description Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Operating Transfer from Capital Operating Transfer from Capital Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr From Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Op Tsfr from Capital Outlay Consolidated Cash GMA Lease Program GMA Lease Program Op Tsfr from Capital Outlay Consolidated Cash Consolidated Cash Outlay Outlay To adjust transfers from funds to GMA lease internal service fund. 551-00-00001151 Bond Issuance Cost 551-08-11015211 Management Consultants 551-00-00001217 Intergovernmental Payable 551-08-11013492 Airline Security 551-00-00001119 A/R-Credit Cards 551-08-11013492 Parking Revenue 551-08-11015212 Legal 551-08-11015311 Special Events 551-08-11015731 Bad Debt Expense 551-08-11015311 Special Events PBC entry for Bush Field 000-00-00001111 Concentration Acct - BankofArn 543-00-00001162 Sinking Fund Account 543-00-00001162 Sinking Fund Account 541-61-11305811 Bonds - Prin 541-61-11305821 Bonds - Interest 541-11-11106111 Transfer to Waste Management 543 000-00-00001111 Concentration Acct - BankofArn 543-00-00001162 Sinking Fund Account 543-00-00003911 Transfer from from Waste Management 541 543-00-00001226 Revenue Bonds Pay - Current 543-61-11305821 Bonds - Interest 543-00-00001162 Sinking Fund Account 543-00-00001226 Revenue Bonds Payable 543-00-00001226 Revenue Bonds Pay - Current To adjust bond payable in Waste Management. 543-04-42105499 Contra Capital Expense (Cap) 541-00-00001176 Construction In Progress 543-00-00001176 Construction In Progress 543-04-42105499 Contra Capital Expense (Cap) 543-00-00001111 Consolidated Cash 541-00-00001111 Consolidated Cash To adjust Waste Management Fixed Assets. 221-00-00001224 Deferred Revenue 221-00-00003891 Program Income - HND To adjust program income and deferred revenue for payments received on mortgages receivable during 2005. Debit 666,069.00 10,947.00 1,411.00 2,092.00 346.00 5,088.00 4,489.00 381.00 620.00 2,387.00 1,195.00 3,303.00 756.00 10,127.00 395.00 417.00 1,415.00 31,342.00 20,319.00 15,342.00 2,226.00 15,108.00 15,108.00 753,465.00 44,000.00 39,000.00 19,415.00 5,705.00 42,770.00 1,629,747.00 1,629,747.00 1,629,747.00 1,629,747.00 1,445,000.00 184,747.00 1,490,000.00 3,961,106.00 3,961,106.00 3,961,106.00 264,312.00 Page: 6 Prepared by: TM Reviewed by: Credit 10,863.00 1,231. 00 768,573.00 768,573.00 15,108.00 44,000.00 39,000.00 19,415.00 5,705.00 42,770.00 1,629,747.00 1,445,000.00 184,747.00 1,629,747.00 1,629,747.00 1,629,747.00 1,490,000.00 3,961,106.00 3,961,106.00 3,961,106.00 264,312.00 12/21/2006 12:25PM Entry Jt Status AJE 32 Posted AJE 33 Posted AJE 34 Posted AJE 35 Posted AJE 36 Posted AJE 37 Posted AUGUSTA-RICHMOND COUNTY Journal Entries Report : Adjusting Entries December 31, 2005 Account/Code Description 221-00-00003931 Loan Proceeds 221-07-31105823 Section 108 P.I. Loan Disbursements To record revenue and expense related to Partridge Inn note receivable and HUD note payable. 543-61-11305841 Issuance costs 543-00-00001151 Bond Issuance Cost To record amortization of bond issuance costs for 2005. 901-00-00001192 Amount To Be Provided 901-00-00001254 GMA Leases To adjust GMA Capital Leases to amortization schedule. 104-00-00001341 Fund Balance-Reserved For Inve 104-00-00001342 Fund Balance-Unreserved, Undes 101-00-00001341 Fund Balance-Reserved For Inve 101-00-00001342 Fund Balance-Unreserved, Undes 273-00-00001341 Fund Balance - Reserved for Inventory/Prepaid 273-00-00001342 Fund Balance-Unreserved, Undes To adjust the reserve for prepaid items and inventory in governmental funds. 506-00-00001311 Investment In Gen Fixed Asset 506-00-00001336 Retained Earnings-Unreserved 508-00-00001311 Investment In Gen Fixed Asset 508-00-00001336 Retained Earnings-Unreserved 551-00-00001329 Investmnt in Capital Asset-net 551-00-00001342 Fund Balance-Unreserved, Undes 541-00-00001329 Investmnt in Capital Asset-net 541-00-00001342 Fund Balance-Unreserved, Undes 566-00-00001336 Retained Earnings-Unreserved 566-00-00001329 lnvestmnt in Capital Asset-net 546-00-00001336 Retained Earnings-Unreserved 546-00-00001329 Investmnt in Capital Asset-net 552-00-00001336 Retained Earnings-Unreserved 552-00-00001329 Investmnt in Capital Asset-net 611-00-00001329 Investmnt in Capital Asset-net 611-00-00001336 Retained Earnings-Unreserved 626-00-00001329 Investmnt in Capital Asset-net 626-00-00001336 Retained Earnings-Unreserved 506-00-00001341 FB-Reserved for Extraord Loss 506-00-00001336 Retained Earnings-Unreserved 506-00-00001311 Investment In Gen Fixed Asset 551-00-00001349 Fund Balance - Other 551-00-00001342 Fund Balance-Unreserved, Undes 541-00-00001329 Investmnt in Capital Asset-net 541-00-00001342 Fund Balance-Unreserved, Undes 541-00-00001319 Retained Earnings - Restricted To adjust enterprise and internal service funds' investment in capital assets, net of related debt, to actual. 546-00-00001127 Inter Gov't - Due from State 101-00-00001119 Accounts Receivable 101-00-00003435 State Road Maintenance Fees 101-00-00003891 Tax Commissioner-Other Revenue 546-00-00001127 Inter Gov't - Due from State 546-00-00003313 Federal Transit Capital Asst 546-00-00001111 Consolidated Cash 101-00-00001111 Consolidated Cash To adjust credit balance in Transit Intergovernmental transfer. Debit 2,500,000.00 21,368.00 986,311.00 24,456.00 358,969.00 3,419.00 41,585,597.00 105,876.00 8,119,049.00 491,988.00 35,167.00 416,477.00 157,794.00 99,056.00 10,693.00 3,408.00 9,036,507.00 1,378,932.00 118,912.00 74,254.00 118,912.00 Page: 7 Prepared by: TM Reviewed by: Credit 2,500,000.00 21,368.00 986,311.00 24,456.00 358,969.00 3,419.00 41,585,597.00 105,876.00 8,119,049.00 491,988.00 35,167.00 416,477.00 157,794.00 99,056.00 10,693.00 3,407.00 1.00 9,036,507.00 1,373,726.00 5,206.00 33,975.00 16,987.00 67,950.00 74,254.00 118,912.00 12/21/2006 12:25PM Entry 11 Status AJE 38 Posted AJE 39 Posted TOTALS Account/Code 506-04-31105223 506-04-31105611 551-08-11065223 551-08-11015611 AUGUSTA-RICHMOND COUNTY Journal Entries Report : Adjusting Entries December 31, 2005 Description Repairs and maintenar.ce Depreciation Repairs and maintenance Depreciation To adjust propietary accounts. 277-00-00001342 Fund Balance-Unreserved, Undes 277-01-56135233 Other Expense To adjust beginning fund balance in Downtown Development, so as to have beginning fund balance for total governmental funds to agree to PY report. Amount Immaterial for separate disclosure Debit 3.00 2.00 80,378.00 Page: 8 Prepared by: TM Reviewed by: Credit 3.00 2.00 80,378.00 113,309,615.00 113,309,615.00 Summary of Audit Differences Attachment - Governmental Client: Augusta-Richmond County Governmental Activities Year End: December 31, 2005 2 Effect of Current Year Differences Journal entry needed to correct misstatement - Dr. (Cr.) Liabilities Equity Revenue Fund 101 101 276 Account Name Assets (56,850) (211,343) nse related to fiscal year 2005, fJaid subsequent to year end. ( 186,427) nses related to fiscal year 2005, paid subsequent to year end. 5 221 CDBG 221 Emer en Shelter Grant 221 221 221 221 221 293,520 101 101 101 101 101 101 101 77,435 224 224 (12,691) 274 274 Accounts Receivable 40,893 Passed en to reconcile Schedule of Ex enditures of Federal Awards to General Ledger (83,309) 10,485 (246,500) (22,876) 79,754 (31,074) (63,298) 149 23,690 (109,828) (2,028) 73,880 12,691 (40,893) Expense 56,850 211,343 186,427 6 101 IDC Recove 28,316 101 Due to Other Funds (28,316) 108 Local Law Enforcement Block Grant V 234,837 108 Interest Revenue 6,858 108 Due to Federal Gov't (241,695) 109 Due to Other Funds (905) 109 Due to Federal Gov't (8,162) 109 Deferred Revenue 4,796 109 Local Law Enforcement Block Grant V 4,271 221 HOME Revenue 50,664 221 CDBG Revenue 25,773 221 Deferred Revenue (76,437) Passed entry to record Questioned Costs related to testing of grant programs. I Subtotals 411,848 (818,030) (48,438) 454,620 Net effect of current year differences 411,848 (818,030) (48,438) 454,620 Net effect of prior year differences 71,613 (71,613) Net effect on financial statements 411,848 (818,030) 71,613 (120,051 ) 454,620 Financial statement totals 475,650,841 (50,070,603) (425,580,238) (188,072,887) 162,659,275 % of differences to financial statement totals 0.1 % 1.6% (0.0)% 0.1 % 0.3 % Summary of Audit Differences Attachment - Business-type Client: Augusta-Richmond County Business-type Year End: December 31, 2005 4 178,158 (178,158) rtion of the water lIution plant project due as of year-end. Fund 506 Effect of Current Year Differences Journal entry needed to correct misstatement. Dr. (Cr.) Assets Liabilities Equity Revenue Expense 64,016 (64,016) nse related to fiscal year 2005, paid subsequent to year end. 3 210,000 (210,000) nses related to fiscal year 2005, paid subsequent to year end. 5 546 Federal Transit Ca ital Asst. 546 Deferred Revenue 551 Fed 0 Grt - Ca ital-Dir-FAA 551 Accounts Receivable Passed ent to reconcile Schedule of Ex 454,535 (454,535) (123,031) 123,031 nditures of Federal Awards to General Ledger 6 551 IDC Recove 551 Due from Other Funds 27,810 552 IDC Recove 552 Due from Other Funds 506 Passed en to record Questioned Costs related to testing of grant programs. (27,810) (506) 7 506 Bond Interest 506 Accrued Interest Pa ble Passed en to correct over-accrual of interest. (1,286,475) 1,286,475 Subtotals 151,347 379,766 303,188 (834,301 ) Net effect of current year differences 151,347 379,766 303,188 (834,301 ) Net effect of prior year differences Net effect on financial statements 151,347 379,766 303,188 (834,301) Financial statement totals 749,407,849 (533,663,199) (215,744,650) (106,244,900) 93,039,393 % of differences to financial statement totals 0.0% (0.1)% 0.0% (0.3)% (0.9)%