Conformity to GAAP Governmental Accounting Standards Board American Institute of Certified Public Accountants Modified Accrual vs.

Transcription

1 1 2 Conformity to GAAP Governmental ing Standards Board American Institute of Certified Public ants Modified Accrual vs. Cash Basis Fund ing 3 1

2 Standard Chart of s Revised School Code Section and State Board Authority to Prescribe Uniform Pupil and ing Records and to examine, audit, and compel proper accounting by legal action 4 Uniform Budgeting Act (PA 621) Audits are to disclose Material deviations from applicable rules Michigan Public School ing Manual - Section IV Budget Preparation and Mgt

3 Balance Sheet Major Class Suffix 7 GASB # 54 requires that districts classify fund balances that comprise a hierarchy based primarily on the extent to which the government is bound to honor constraints on the specific purpose for which amounts in those funds can be spent. 8 The new Fund Balance Classifications are as follow: Non-spendable (MC 71x) (Inventory and Prepays) Restricted (MC 72x) (Specific Millage, School Meals) Committed (MC 73x) (Board Resolutions) Assigned (MC 74x) (Budgeted Fund Balance) Unassigned (MC 75x) (Whatever is left or a deficit) 9 3

4 Fund Major Class Suffix Function Object Program Year Facility Other 10 Revenue Major Class Suffix 11 Expenditure Function Object Program 12 4

5 General Fund (11) Athletics (21) Community Services (23) Bookstore (24) School Lunch (25) Private Purpose Trust (28) Debt Service (3x) Capital Projects (4x) Trust (5x) Agency (6x) Enterprise (7x) Internal Service (8x) 13 ISDs and Center Programs Only Special Education [22) Vocational Education (26)

6 Revenue Major Class Suffix 16 Major Revenue Categories 1XX Local 2XX Other Political Subdivisions 3XX State 4XX Federal 5XX Other Financing Sources 6xx Fund Modifications 17 Revenue Major Class Suffix 18 6

7 A school district should use this dimension to further describe a Revenue Source For Example, Receipt of State School Aid Payment in General Fund would be coded Revenue Major Class Suffix Spec. Ed. Categorical 306 State At-Risk Funds 601 Title I 851 National School Lunch Added as needed Fourth position can be used to identify year, etc. Not required for revenue, but encouraged 21 7

8 22 Expenditure Function Object Program 23 Instruction Support Services 24 8

9 Instruction 11x Basic Instruction 12x Added Needs 13x Adult Education 25 Support Services Instructional Support Non-Instructional Support 26 Instructional Support 21X Pupil Support 22x Instructional Staff Support 27 9

10 Non-Instructional Support 23x General Administration 24x School Administration 25x Business Services 26x Operations and Maintenance 28 Non-Instructional Support 27x Transportation 28x Central Services 29x Athletics, Food Service 29 Community Services - 3xx Those activities that are not directly related to providing education for pupils in the school system

11 Facilities Acquisition - 45x Activities concerned with the acquiring land, buildings, remodeling buildings, additions to buildings, installing or extending service systems. 31 Other Financing Uses 41x-44x Payments to other Govt. - 5xx Debt Service 6xx Fund Modifications 32 Expenditure Function Object Program 33 11

12 1 2xxx 3xxx-4xxx 5xxx 6xxx 7xxx 8xxx Salaries Benefits Purchased Services Supplies Capital Outlay Dues/Fees/Debt Pmts. Other Govt. 34 Expenditure Function Object Program x x Early Intervention Services Mild Cognitive Impairment Specific Learning Disability Hearing Impaired Visually Impaired Career Technical 36 12

13 Expenditure Function Object Program Spec. Ed. Categorical 801 Federal IDEA 601 Title I Added as needed Required for Restricted Revenue 38 Local Revenue Taxable Value Millage Rates 39 13

14 State School Aid Payment State School Aid Act State Aid Status Reports State Aid Updates Spreadsheet on PY Adj. Foundation Allowance Non-Resident Pupils 40 Federal Revenue MEGS CMS Medicaid 41 Other Financing Sources ISD Other Public Schools 42 14

15 Web-based submission of financial data to state Fulfills requirement of (4) Due November 1st of each year (previously November 15th) Balance Sheet, Revenues, Expenditures, ESP (if applicable), and Data Entry 43 Maintenance of Effort Compliance with Michigan School ing Manual Indirect Cost Rate Calculation Deficit District Monitoring School Meals Cost Report State and Federal Reporting/Publications 44 State School Aid Revenue Proper coding and amounts (August status report) Audit Amounts Fund Balances, Federal Revenues and Expenditures, USDA Entitlement and Bonus Commodities Fund Modifications In = Out 45 15

16 Programs & Offices State Aid and School Finance 46 Public School ing Michigan School ing Manual Federal ing Manual Major Class and Suffix Codes for State Aid Competitive Bid Threshold Indirect Costs Maintenance of Effort 47 Public School Finance State School Aid Revenue Sources Link to House Fiscal Agency Link to NCES (federal reporting) Foundation Allowances 48 16

17 Publications Retention and Disposal of Public School Records Financial ing Manual Pupil ing Manual Bulletins 1011 and 1014 (state publications) Number of Schools in Michigan Codes for State School Aid Revenues 49 Office of Audits Link to CFDA Michigan School Audit Manual List of Auditors Federal Fiscal Monitoring Requirements Electronic Audits of all Michigan Public Schools 50 Contact Information Christopher May Michigan Department of Education Office of State Aid and School Finance Glenda Rader Grand Ledge Public Schools