Program Budget and Finance Issues

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Program Budget and Finance Issues

• Types of Costs
• Allowable/Unallowable Expenses
• Reporting Requirements
• Match Requirements
• Supporting Documentation
• Budget Revisions

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Regulatory Requirements
OMB Circulars State Laws AmeriCorps
Provisions Program Contract Lead Agency Policies
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Types of Costs

• Direct Costs
• costs solely for the AmeriCorps Program
• Indirect Costs
• costs incurred for common or joint objectives and
  cannot be readily identified with particular
  final cost objectives
• Administrative Costs
• Administrators salary, Accounting/Bookkeeper
  Salary, Insurance, etc

4
Allowable Expenses

• Reasonable and necessary
• Consistent with the policies and procedures of
  the grantee organization
• Conforms to limitations or exclusions set forth
  in the contracted budget and AmeriCorps
  Provisions
• Consistent with the OMB Circulars

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OMB Circulars

• www.whitehouse.gov/omb
• OMB Circular A-122
• Cost Principles for Non-Profit Organizations
• OMB Circular A-87
• Cost Principles for State, Local and Indian
  Tribal Governments

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Most Common Allowable Expenses

• Compensation for personnel services
• Travel
• Equipment and capital expenses (5,000 )
• Materials and supplies
• Meetings and conferences
• Publication and printing costs
• Communication costs
• Transportation Costs

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Unallowable Expenses

• Cash awards or ceremony expenditures
• Penalties on borrowed funds
• Late fees or statutory violations
• Organizational affiliations
• Fund raising
• Severance pay and unearned leave
• Overtime

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Top Ten Audit Findings

• Member Time Keeping
• Timesheet Inaccuracies
• Questionable Service Activities
• Member Service Hour Verification
• Missing Eligibility Documentation
• Late Background Checks
• Missing Member Files
• Undocumented Match
• Missing Member Mid/End Term Evaluation
• Late Member Enrollment/Exits

9
Reporting Requirements

• Periodic Expense Report
• Income Reports
• Quarterly FSR
• Audit Report (including Management Letter)

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Dates to Remember

• Submit reports (monthly) based on contracted
  obligation
• Submit reports by the 15th of the month following
  the month of expenditures
• Reports submitted before the 20th will be
  processed that month
• Final reports are due 45 days after contract
  ending date
• Audit reports are due 90 days after fiscal year
  end

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Match Requirements

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Match Reporting Implications

• Required by OMB Circular and AmeriCorps
  Provisions
• Evaluated by the Commission as factor for renewal
• Means of documenting community support
• Means of tracking to identify potential
  shortfalls before the end of a project
• Provides an inaccurate picture of operations if
  excluded from financial statements

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In-Kind Contributions

• You must document the basis for determining the
  value of services, material equipment, building
  and land. For items of Fair Market Value over
  25, give the donor a receipt signed by the donor
  which includes
• Name of donor and date donated
• Description of item and estimated value
• Keep a copy of the receipt in your files

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Acceptable Sources of In-Kind Contributions

• Equipment Space Utilities

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Acceptable Sources of In-Kind Contributions
(Continued)

• Professional Services

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Acceptable Sources of In-Kind Contributions
(Continued)

• Airfare Member Supervision

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Valuation of In-Kind Contributions
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Supporting Documentation

• You must maintain adequate supporting
  documentation for all expenditures applicable to
  this grant
• In addition to review during site visits we will
  be requesting one periods supporting
  documentation during the program year

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Supporting DocumentationTime and Attendance
Records

• Time period worked
• Actual hours worked or approved leave
• Type of leave used
• Payment Schedule
• Rate of pay for period
• Number of hours approved for the pay period
• Total salary costs
• Signature of employee AND supervisor

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Supporting Documentation

• Purchases from outside vendors must be supported
  by receipts or invoices
• Purchases for all in-house expenses (supplies,
  postage) must be supported by usage logs or
  similar documentation
• Travel requests and reimbursement vouchers
• In-kind matching fund vouchers

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Budget Revisions

• Prior written approval is required before a
• 1) Revision exceeds 10 of the budget
• 2) Revision to all sections
• 3) Purchase of equipment not included in
  contracted budget
• 4) Specific costs requiring prior approval before
  incurrence under OMB Circulars A-21, A-87, or
  A-122.
• The Commission MUST be notified of all changes
  and the purposes of changes to the budget.
• The Commission reserves the right to disallow any
  revisions.

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HOW TO CONTACT US
Fax [phone]
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Contacts

• Claire Benjamin, Director of Financial Operations
• claire_at_volunteerflorida.org
• 850-921-5145
• Kelly Gallavan, Grants Administrator
• kellygallavan_at_volunteerflorida.org
• 850-414-0097
• Suzanne Harrell, Budget assistant
• suzanne_at_volunteerflorida.org
• 850-921-5144