School Financial Services Update

1
School Financial Services Update

• Ask questions any time
• School Financial Services
• SAFS System Update
• FY 0809 Accounting Manual Update
• FY 0809 Budget Update
• FY 0708 F196 Update

2
SAFS Systems Project Update

• Why? The current systems are old, real old!!
• The project has proceeded in two phases
• Phase One funded with 1.9 million appropriated
  in the 0507 budget.
• This phase converted the P-223 enrollment system
  to web based reporting through EDS and converted
  the Apportionment system to a current server
  technology and made significant progress towards
  other systems to be converted.
• Phase Two funded with an additional 2.1
  million in the 0809 budget year.
• This next phase will convert the S-275 and the
  financial systems onto a web based platform that
  will be accessed through the EDS portal. It will
  also convert OSPIs grants management system to a
  modern system.

3
SAFS Systems Project Update

• What Systems?
• F-195, F-196, F-203, S-275, F-200, and OSPI
  Grants Management
• Systems will maintain current functionality with
  only minor enhancements.
• Once all systems are converted, tested, and
  implemented, additional enhancements will be made
  as funds are made available.
• Training and user documentation will be available
  prior to the release of the converted system.

4
SAFS Systems Project Update

• When? Current planned timelines project the
  following implementation timelines
• S-275Fall 2008
• F-195Spring 2009 For 0910 budgeting
• F-203Spring 2009 For 0910 budgeting
• F-200 Budget RevisionFall 2009
• F-196Fall 2009 For 0809 reporting
• OSPI GrantsFall 2009
• This timeline is not yet final and subject to
  revision.

5
FY 0809 School District Accounting Manual Updates

• Vacant
• Supervisor, School District/ESD Accounting
• [phone]
• cal.brodie_at_k12.wa.us
• pam.peppers_at_k12.wa.us or
• mike.dooley_at_k12.wa.us

6
FY 200809 Accounting Manual Updates

• The Accounting Manual is published cooperatively
  by OSPI and SAO.
• The School District Accounting Advisory Committee
  (SDAAC) makes recommendations for updates to the
  manual in their role of advising on accounting,
  budgeting, financial reporting, and related
  matters.
• SDAAC meetings are scheduled now through December
  2008 for the 200910 Accounting Manual updates.
• The SDAAC web page
• http//www.k12.wa.us/safs/PUB/COM/SDAAC.asp.
• Has the complete description of changes to the
  200809 manual.
• Has meeting agendas, materials, list of committee
  members, etc.

7
FY 200809 Accounting Manual Updates

• Chapter 1 Principles of Accounting
• Guidance was added for Donated Capital Assets,
  Donated Non-Capital Assets (Voluntary Nonexchange
  Transactions), and Donated Services.
• Clarified nonreciprocal interfund activity,
  previously known as operating transfers and
  residual equity transfers.
• Chapter 2 - Budgeting
• Added guidance and bullets to the deductible
  revenues.

8
FY 200809 Accounting Manual Updates

• Chapter 3 Accounting Guidelines
• Section 8 Debt and Leases
• Added guidance on Local Option Capital Asset
  Lending (LOCAL).
• Section 9 Interfund Transaction
• Clarified and added guidance on Interfund
  Transactions, previously known as residual equity
  transfers.
• Chapter 4 General Ledger Accounts
• Updated the Table of Contents and Matrix legend.

9
FY 200809 Accounting Manual Updates

• Chapter 4 (cont.)
• Section 2 General Ledger Account Matrix
• Added GL 850, Reserved for Uninsured Risk, in the
  Pension Trust Fund.
• Sections 2 and 3 (Description of General Ledger
  Accounts)
• Revised the description of GL Accounts 510, 515,
  520, 540, and 900 as optional budgetary accounts.
• Revised GL Accounts 535 and 536 as actual and
  budgetary accounts.
• Deleted GL Account 905.
• NOTE Chapters 1, 3, and 4 should be printed in
  their entirety due to pagination changes.

10
FY 200809 Accounting Manual Updates

• Chapter 5 Revenue Accounts
• Sections 2 and 4Added 3 new revenue accounts per
  Addendum to Bulletin No 025-07
• 3121, Special Education, General Apportionment
• 4134, Middle School Career and Technical
  Education
• 4175, Professional Development-State
• Section 4Revenues and Other Financing Sources
  Description
• Added language to Revenue Account 2500, referring
  users to Chapter 9, Section 9, for guidance on
  recording Private Purpose Trust Fund additions.
  Deleted guidance for ASB reimbursements in
  Revenue Account 2299.

11
FY 200809 Accounting Manual Updates

• Chapter 6 Expenditure Accounts
• Sections 2, 3, 4, and 6Added Program 34, Middle
  School Career and Technical Education and Program
  75, Professional Development-State, to the TOC,
  Program/Revenue Descriptions, Program Code
  Descriptions, and Object Expenditure Codes.
• Section 4Program Code Description
• Under Program 20Special Education
  InstructionRevised for Washington State Excess
  Cost Method per Addendum to Bulletin No. 025-07.
  The Addendum has been imbedded into the 0809
  Accounting Manual.

12
FY 200809 Accounting Manual Updates

• Chapter 6 (cont.)
• Section 5 Activity Code Description
• In Activity 52, Operationsadded the sentence
  Vehicle fuel costs should be charged to Object 5
  in this activity.
• Section 5 and 6
• In Activity 63, Operations of BuildingChanged
  custodians and heating engineers to
  personnel.
• In Activity 65, Utilities Added the sentence
  Utility costs may not be charged to any program
  in which this activity is not allowable.

13
FY 200809 Accounting Manual Updates

• Chapter 6 (cont.)
• Section 6 Object Expenditure Codes
• Corrected Program 88 and 89 matrices.
• Updated guidance for Object 5Under the list of
  allowable expenditures added the word fuel to
  Transportation, Parts, and Lubricants, and added
  a new bullet for Vehicle fuel costs per
  Addendum to Bulletin No. 025-07.
• Updated guidance for Object 7Purchased Services
  Changed Energy Services to Energy Services
  (not including vehicle fuel). ( See Object 5.)

14
FY 200809 Accounting Manual Updates

• Chapter 6 (cont.)
• Section 9 Capital Projects Fund Expenditures
• Type Code 30, Equipment Added the paragraph
  Motor vehicles licensed to be operated on the
  road are not charged to the Capital Projects
  Fund. Pupil transportation vehicles are charged
  to the Transportation Vehicle Fund. All other
  vehicles are charged to the General Fund.
• Type Code 32, Additional Deleted except motor
  vehicle and deleted the sentence Motor vehicle
  is defined as any vehicle licensed to be operated
  on the roadway.
• NOTE Chapter 6 should be printed in its
  entirety due to pagination changes .

15
FY 200809 Accounting Manual Updates

• Chapter 7 Journal Entries
• Multiple changes were made and Section 14, LOCAL
  Journal Entries, was added.
• NOTE Chapter 7 should be printed in its
  entirety.
• Chapter 8 Reporting
• No changes were required.
• Chapter 9 Information Unique to Each Fund and
  Account Group
• TOC and Section 4 (ASB Fund) Changed the
  guidance for the optional budgetary general
  ledger accounts.

16
FY 200809 Accounting Manual Updates

• Chapter 9 (cont.)
• Section 6 Debt Service Fund
• Added guidance for the Transfer of State Forest
  Revenue from the Debt Service Fund to the Capital
  Projects Fund per Addendum to Bulletin No.
  025-07.
• Section 7 Capital Projects Fund
• Added and clarified the guidance for Allowable
  Expenditures by Revenue Source.
• Added guidance for Technology Expenditures and
  Capital Projects Fund Transfers per Addendum to
  Bulletin No. 025-07.

17
FY 200809 Accounting Manual Updates

• Chapter 10 Grant Management
• Clarified guidance and updated references
  throughout the chapter.
• NOTE This chapter should be printed in its
  entirety.
• Appendix EOSPI Bulletins and Memorandums on
  Accounting Guidance
• This is a new addition to the Appendices,
  providing guidance per Addendum to Bulletin No.
  025-07.
• NOTE Appendix E should be printed in its
  entirety.

18
FY 200809 Budget Update

• Mike Dooley, CSBO
• Supervisor, School District/ESD Budgeting
• [phone]
• mike.dooley_at_k12.wa.us
• Another SFS
  update at WASBO....
• ...this is like déjà vu all over again!!!

19
FY 200809 Budget Update

• Report Display
• Budgetary GL Account 905Other Financing Uses
  will be removed and replaced with GL Account
  536Other Financing Uses Transfers Out and GL
  Account 535Other Financing Uses in all funds
  except ASB.
• Revenue Accounts
• 4134Middle School Career and Technical Education
• 4175Professional Development

20
FY 200809 Budget Update

• Programs
• 34Middle School Career and Technical
  EducationState
• Open Activities 21, 22, 24, 25, 27, 28, and 29
• 75Professional Development
• Open Activities 21, 22, 23, 24, 25, 26, 27, and
  29
• Edits
• Revenue Edit 113Compare Revenue Account 3121,
  F-195 GF, to Revenue Account 3121, F-203 Output
  (item 329). Variance 100
• Master Revenue Edit 300Include Revenue Code 3121

21
FY 200809 Budget Update

• Budgeted Beginning Fund Balance Review
• OSPI will review each districts budgeted
  beginning fund balance once the F-196 information
  is received.
• The budgeted ending fund balance will be
  recalculated based upon the actual ending fund
  balance from the F-196.
• If the result is a negative fund balance, your
  district can expect a request from OSPI to revise
  its budget.
• Your board will have 30 days of receiving notice
  to submit a revised budget to OSPI.

22
FY 200809 Budget Update

• Budgeting Receivables
• If your district is unable to submit a budget
  extension (or budget for that matter) when
  revenues and fund balance do not exceed
  expenditures, it must request in writing to
  include receivables, collectible in future
  periods, to balance the budget or budget
  extension.
• When a district budgets receivables, OSPI places
  it under binding conditions which is intended to
  have it recover from its deficit budget situation
  and move to a stable financial position.
• This usually places your ESD in an oversight
  position of your districts financial operations.

23
FY 200809 Budget Update

• Budget Extension Reminder
• We know all of you are busy preparing your new
  year budgets, but don't forget any remaining
  current year budget extensions. August is the
  final month to file your F-200 budget extensions
  with OSPI. Depending on when you submitted your
  current year F-200 for approval and when you
  printed your new year F-195 budget document, you
  may need to update your new year budget with
  state data after OSPI approval. This will allow
  your current year budget extension to be
  accurately displayed in the middle column of your
  new year F-195.

24
FY 200809 Budget Update

• Budget Extension Reminder
• If your district needs to increase the amount of
  current year appropriation, before incurring
  expenditures in excess of current year
  appropriation, your board of directors must adopt
  a resolution stating the estimated amount needed.
  Any appropriation resolution adopted after the
  current appropriation level has been exceeded
  shall be null and void to the extent that the
  current appropriation level has been exceeded.

25
FY 200809 Budget Update

• ABFR Status
• ABFR Handbook is posted on our website at
  http//www.k12.wa.us/safs/INS/ABF/0809/hb.asp.
• New Chapter 11 Schedule of Expenditures of
  Federal Awards (SEFA)
• After SDAAC discussion, SAO and OSPI determined
  that the Handbook would be a better fit for SEFA
  guidance.
• For 200809 SEFA guidance will be in both the
  Handbook and SDAM. For 200910 SEFA guidance will
  be removed from the SDAM.
• SAO will continue to send out the bulletin
  reminding school districts of the due dates and
  process.

26
FY 200708 F196 Update

• Pam Peppers
• Supervisor, School District/ESD Financial
  Reporting
• [phone]
• pam.peppers_at_k12.wa.us

27
FY 200708 F196 Update

• Certification Page through Page 8
• No changes.
• Page 9 Statement of Fiduciary Net Assets Trust
  Funds
• Added GL 850, Reserved for Self Insured Risk, in
  the Pension Trust Fund (Other Trust Column),
  input item 3717.
• Page 10 Statement of Changes in Fiduciary Net
  Assets Trust Funds
• Removed Total Investment Income item.
• Pages 11 and 12
• No changes.
• Pages 1316 Revenue and Other Financing Sources
• Added 3121 Special EducationGeneral
  Apportionment, 4134 Middle School Career and
  Technical Education, and 4175 Professional
  Development.

28
FY 200708 F196 Update

• Page 17 Program Activity Object Report
• Added Program 34, Middle School Career and
  Technical Education-State, and Program 75,
  Professional Development-State.
• Page 18 Program Matrix Report
• Added Programs 34 and 75 matrices.
• Page 19 Index Supplemental Reports and
  Schedules
• No changes.
• Page 20 Data Requirements for Supplemental
  Reports
• Removed input item 1561 for Certification of
  Excess Cost Methodology.

29
FY 200708 F196 Update

• Page 21 Data Requirements for End of Year
  Reporting to Apportionment and State Recovery
  Rate
• Changed the year reference in 2 to July 1, 2007
  through August 31, 2008, for TAP reporting.
• Pages 22 and 23
• No Changes.
• Pages 24 and 25 Federal Restricted and
  Unrestricted Indirect Rates
• Multiple changes were made to the year references
  but no changes were made to the calculation.
• Page 26 Resource to Program Expenditure Report
• Added State, Federal, and Other Resource input
  item numbers for Program 34 and Program 75.

30
FY 200708 F196 Update

• Pages 27 through 29
• No changes.
• Page 30 Special Education Maintenance of Effort
• Added Revenue Accounts 6321 and 3121 to the
  Actual and Mid Year calculations.
• Revised the notes at the bottom of the page.
• Page 31 Preliminary Federal Cross-Cutting
  Maintenance of Effort
• No changes.
• Page 32 Preliminary Vocational Education
  Maintenance of Effort
• Added Revenue Account 6338 to the calculation in
  both columns.

31
Financial Reporting Update

• The SAFS website (www.k12.wa.us/safs) has two
  menu picks on the left hand side of the page,
  Financial History Reports and Indirect Cost
  Rates. These menu picks were added last year to
  make access to reports easier.
• Financial History Reports
• Financial Reporting SummaryThe most current
  year, 2006-07, is the first summary report on the
  list. Section 3 reports are in pdf and MS Excel
  format.
• Financial History ReportsMultiple 5 year
  financial history reports and a 3-Year General
  Fund Expenditure Matrix.
• Apportionment Reports, F-195 Budget, and F-196
  Annual Financial Statements.

32
Maintenance of Effort and Recovery and Carryover
Templates

• The Federal Cross-Cutting and Special Education
  MOE tests are complete. The MOE templates have
  been updated and posted to our website under
  Training/Tools at http//www.k12.wa.us/safs/TT/tt.
  asp.
• Districts are encouraged to access these
  templates and run their own MOE tests for mid
  year and budget purposes.
• Steve Shish has updated the 200607 Recovery and
  Carryover Spreadsheet through April on our
  website at http//www.k12.wa.us/safs/TT/tt.asp.

33
Thank you for coming

• Other topics of discussion?
• Comments?
• Questions?