special education – fiscal overview session 2 kathy guralski, school finance auditor lori ames,...
TRANSCRIPT
Special Education – Fiscal Overview
Session 2
Kathy Guralski, School Finance Auditor
Lori Ames, School Finance Consultant
11/28/06
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Agenda
Project Code Accounting Review
Accounting ExamplesDistrict-Operated ProgramsTuition Payments66.03 ContractsPackage Programs
Deductible Receipts
Questions & Answers
Project Coding
The key to identifying the correct project code is ……
……understanding that the project code identifies how the expense is to be ultimately funded.
Project Code
How is the expense funded?Locally Funded
011 Aidable Expense 019 Non-Aidable Expense
Grant Funded Project code depends upon which entity is the
grant holder
Project Code
Grant FundedOwn District Files the Claim
340 Series – IDEA grants 599 – Other grants
Another School District Files the Claim 316 State Grant (SE Report – 315) 317 Federal Grant
CESA/CCDEB Files the Claim 516 State Grant (SE Report – 515) 517 Federal Grant
Project Code
Funded by a CESA/CCDEB as a result of a package program host district expense.
091 – CESA Package Program092 – CCDEB Package Program
Account/Project Coding You have a special education cost:
Directly incur costs Provide service to another district Purchase service from another school district 66.0301 cooperative agreement Purchase service from CESA/CCDEB
The project code you use may depend on: Who incurs the expenditure? What is the source to fund the cost? Who are you receiving the funding from?
Account/Project Coding
All special education related costs to your district are reported in fund 27 irregardless of the type of funding or type of program offered.
Directly incur costs
Your district hires all staff involved in providing the special education service to your district only and directly incurs all related special education costs (i.e. transportation, supplies)
Directly incur costs Who incurs the expenditure?
Your district What is the source to fund the cost?
Grants (specifically IDEA) Categorical aid Local
Equalization aid Property taxes
Who are you receiving the funding from? DPI
IDEA grant passed through DPI Categorical aid
Transfer from general fund
Directly incur costsExample
Hire CD teacher What is the source to fund the cost?
Categorical aid 27E 158000 100/200 011 IDEA Grant 27E 158000 100/200 340 Local 27E 158000 100/200 019
Who are you receiving the funding from? DPI – Categorical SPED aid 27R 611 DPI – Flow Through 27R 730 Transfer from General Fund 27R 411000 110
Directly incur costsExample
Incur supplies What is the source to fund the cost?
IDEA Grant 27E 158000 410 340 Local 27E 158000 410 019
Who are you receiving the funding from? DPI – IDEA source 730 Transfer from General Fund 27R 411000 110
Directly incur costsExample
Contract for OT services What is the source to fund the cost?
Categorical aid 27E 218100 310 011 IDEA Grant 27E 218100 310 340 Local 27E 218100 310 019
Who are you receiving the funding from? DPI – Categorical SPED aid 27R 611 DPI – Flow Through 27R 730 Transfer from General Fund 27R 411000 110
Directly incur costsExample
Contract for Special Transportation Services What is the source to fund the cost?
Categorical aid 27E 256000 341 011 IDEA Grant 27E 256000 341 340 Local 27E 256000 341 019
Who are you receiving the funding from? DPI – Flow Through 27R 730 DPI – Categorical SPED aid 27R 611 Transfer from General Fund 27R 411000 110
Provide special education program for nonresident students
Your district hires all staff involved in providing the special education service and directly incurs all related special education costs (i.e. transportation, supplies). Tuition is paid by resident district for student attending the program.
Provide special education program for nonresident students
What is the source to fund the cost? Tuition Categorical aid IDEA grant Local
Who are you receiving the funding from? Another district DPI
IDEA grant Categorical aid
Transfer from general fund 27R 411000 110
Provide special education program for nonresident students
District A provides special education services
District B – resident student open enrolls to Distr. A
Example 1 District A receives flat tuition rate from District B
Source 347 no matter what funds District B uses No deductible receipt on SPED report No special education aid transited to District B
Provide special education program for nonresident students
Example 2 District A receives flat tuition rate plus additional cost
from District B (No IDEA) Source 347 No deductible receipt on SPED report Special education aid transited to District B for
amount of additional eligible cost (27E 491000 936 019)
Provide special education program for nonresident students
Example 3 District A receives flat tuition rate plus additional cost
from District B. District B uses partly IDEA funds Source 347 Deductible receipt on SPED report for portion of
additional cost attributable to 011 expenditures and reimbursed by District B with IDEA grant dollars
Special education aid transited to District B for amount of additional eligible cost not reimbursed by Flow Through dollars (27E 491000 936 019)
Expenditure Coding
Expenditure Payment for Transit of State Special Ed Categorical Aid:To another LEA 27E 491000 936 019
Purchase service from another school district
Your district does not incur the special education costs directly but rather sends students to participate in a program provided by another district.
Purchase service from another school district
What is the source to fund the cost? Categorical aid IDEA grant Local
Who are you receiving the funding from? DPI
IDEA grant Categorical aid
Transfer from general fund 27R 411000 110
Purchase service from another school district
Example District A provides special education
services District B – resident student open enrolls
or attends District A
Purchase service from another school district
Example 1District B pays flat tuition rate to District A
Local funds - 27E 437000 382 019 IDEA - 27E 437000 382 340
Example 2District B pays flat tuition rate plus additional
cost to District A (No IDEA funds) 27E 437000 382 019 Special education aid transited to District
B for amount of additional eligible cost (Source 316)
Purchase service from another school district
Example 3District B pays flat tuition rate plus additional
cost to District A. District B uses partly IDEA funds
27E 437000 382 019 27E 437000 382 340 portion of additional
cost reimbursed by District B with IDEA grant dollars
Special education aid transited to District B for amount of additional eligible cost not reimbursed by Flow Through dollars (source 316)
Receipt of IDEA grant (source 730)
PURCHASED SERVICE
When someone else is providing the instructional services costs should be recorded in 430 000.
Typical Functions: 431 000 General Tuition
433 000 Co-Curricular 435 000 General Tuition Open Enrollment 436 000 Special Education - Non Open Enrollment 437 000 Special Education - Open Enrollment
Typical Objects: 370 Private Educational Services
381 Payment to Municipality 382 Interdistrict Payment Within Wisconsin (Other districts, etc) 386 Payment to CESA 387 Payment of State (Universities, etc) 389 Payment to WTCS 390 Other Funds
PURCHASED SERVICE
When someone else is providing the instructional services costs should be recorded in 430 000.
Examples: Special Ed Payment to CESA 27E 436 000 386 Special Ed Payment to Another District (not O.E.) 27E 436 000
382 Non-Special Ed Payment to CESA 10E 431 000 386 Special Ed Payment to WTCS 27E 436 000 389 Special Ed - Open Enrollment 27E 437 000 382 Non-Special Ed Open Enrollment 10E 435 000 382 Non-Special Ed Payment to Private School 10E 431 000 370
(371, 372, etc.)
66.0301 cooperative agreement
Your district enters into a 66.0301 agreement to provide special education services to all districts within the cooperative agreement.
66.0301 cooperative agreement One district is operator and fiscal agent
Only fiscal agent may hire staff All program or project accounting is done on fiscal
agent books Maintains records for financial and compliance audit Submits all reports (categorical aid claim)
Fiscal agent policy clarify responsibilities of the fiscal agent and put in
writing terms conditions where agreement would be terminated Administrative fees for the fiscal agent
66.0301 cooperative agreementWho is paying vendor?
Fiscal agent is making all purchases for the participating organizations
The participating organization is also making purchases and submitting copies of all supporting documentation or transaction detail to the fiscal agent
66.0301 cooperative agreementFlow of activity
Cost of program incurred Fiscal agent reimburses participating
organization for any cost they incurred Fiscal agent bills all participating districts for
their portion of the program Fiscal agent files aid claims Fiscal agent receives federal grant in current year Fiscal agent receives categorical aid in following
year Fiscal agent transits to participating districts
their portion of the categorical aid
Cost of program incurred
CD Teacher Fiscal Agent
Categorical Aid 27E 158000 100/200
011 Flow Through
27E 158000 100/200 340
Participating District Cannot hire staff
Supplies Fiscal Agent
Not Eligible Categorical Aid 27E 158000 410 019
Flow Through 27E 158000 410 340
Participating District Not Eligible Categorical Aid
27E 158000 410 019 Flow Through
27E 158000 410 317
Fiscal agent reimburses participating organization for any cost they incurred
Supplies Fiscal Agent
Not Eligible Categorical Aid 27E 436000/200000 382
019 Flow Through
27E 436000/200000 382 340
Supplies Participating District
Not Eligible Categorical Aid 27R346
Flow Through 27R317
Fiscal agent bills all participating districts for their portion of the program
Fiscal Agent Categorical Aid
27R 346
Participating District Not Eligible Categorical Aid
27E 436000,200000 382 019
Fiscal agent files aid claims
Fiscal agent receives federal grant in current year
Fiscal Agent Flow Through
27R 730
Participating District
Fiscal agent receives categorical aid in following year
Fiscal Agent Categorical Aid
27R 611
Participating District
Fiscal agent transits to participating districts their portion of the categorical aid
Fiscal Agent Not Eligible Categorical Aid
27E 491000 936 019
Participating District 27R 316
Purchase service from CESA/CCDEB CESA is operator and fiscal agent
CESA may package a program Host district may hire staff
All program or project accounting is done on fiscal agent books
Maintains records for financial and compliance audit Submits all reports (categorical aid claim)
Fiscal agent policy clarify responsibilities of the fiscal agent and put in
writing terms conditions where agreement would be terminated Administrative fees for the fiscal agent
Purchase service from CESA/CCDEB
Flow of activity Cost of program incurred CESA reimburses participating district for any
cost they incurred CESA bills all participating districts for their
portion of the program CESA files aid claims CESA receives federal grant in current year CESA receives categorical aid in following year CESA transits to participating districts their
portion of the categorical aid
Cost of program incurred
CD Teacher CESA hires
Categorical Aid 27E 158000 100/200 011
Flow Through 27E 158000 100/200 340
Host District hires Not Eligible Categorical Aid
27E 158000 100/200 091 Flow Through
27E 158000 100/200 517
Supplies CESA incurs
Not Eligible Categorical Aid 27E 158000 410 019
Flow Through 27E 158000 410 340
Host District incurs Not Eligible Categorical Aid
27E 158000 410 091 Flow Through
27E 158000 410 517
CESA reimburses participating district for any cost they incurred
CD Teacher CESA
Categorical Aid 27E 436000/200000 382
019 Identify 011 in package
program Flow Through
27E 436000/200000 382 340
Host District Categorical Aid
27R 546 Flow Through
27R 517
Supplies CESA
Categorical Aid 27E 436000/200000 382
019 Flow Through
27E 436000/200000 382 340
Host District Categorical Aid
27R 546 Flow Through
27R 517
CESA agent bills all participating districts for their portion of the program
CESA Categorical Aid
27R 240
Participating District Categorical Aid
27E 436000,200000 386 019
CESA files aid claims
CESA receives federal grant in current year
Fiscal Agent Flow Through
27R 730
Participating District
CESA receives categorical aid in following year
CESA Categorical Aid
27R 611
Participating District
CESA transits to participating districts their portion of the categorical aid
CESA Categorical Aid
27E 491000 936 019
Participating District 27R 516
Expenditure Coding
Expenditure payments by host district for “package program” billings for special education services:To a CCDEB
Appropriate function and object, project 092
To a CESA Appropriate function and object, project 091
Who are you receiving the funding from?
Revenue Receipt for Transit of State Special Ed Categorical Aid Direct from DPI to “Fiscal
Agent LEA” From Another School District
Tuition and/or 66.0301 From a CCDEB From a CESA
27R 611
27R 316
27R 516 27R 516
Who are you receiving the funding from?
Revenue Receipt for Transit of Federal Aid Direct from DPI to “Fiscal
Agent LEA” From Another School District
Tuition and/or 66.0301 From a CCDEB From a CESA
27R 730
27R 317
27R 517 27R 517
Who are you receiving the funding from?
Revenue Receipt for Tuition/66.0301 Billings for Special Ed Services From another school district –
non open enrollment From another school district –
open enrollment From a CCDEB From a CESA
27R 346
27R 347
27R 536 27R 546
Who are you receiving the funding from?
Revenue Receipt for Package Program billings for Special Ed services From a CCDEB From a CESA
27R 536 27R 546
Grant Payments Between Entities
For entity that is not the grant holder:
Code expenses to the appropriate 316, 317, 516, 517 project number
When reimbursed by the other grant-holding entity, receipt the funds into the corresponding source (316, 317, 516, or 517)
Grant Payments Between Entities
For the district who is the grant-holder:
Code the reimbursement to the appropriate project (340 or 599)
In the special education report, answer “yes” to paying another LEA for services from your grants, identify the entity, and the amount paid
Grant Payments Between Entities
How does DPI verify grant payments between entities?
Special Education Report Edit
Verify the amount paid and reported by the reimbursing district is equal to the amount reported by the non-grant holding district in the appropriate 316, 317, 516, or 517 project lines.
Deductible Receipts
What is a deductable receipt?
A deductible receipt is created when an entity incurs an aidable expense (coded to project 011) that is ultimately reimbursed by another entity with grant funds.
Deductible Receipts
Why does DPI care about deductible receipts?
DPI should not pay special education categorical aid on an aidable expense (coded to project 011) that has been reimbursed with state or federal grant funds.
Deductible Receipts
How should entities report deductible receipts? The district incurring the original expense should:
Code the original expense with the appropriate project. (mostly likely 011 and 019)
Code the reimbursement to the appropriate 316, 317, 516, or 517 source code.
In the special education report:
Answer “yes” to receiving deductable receipts, identify the entity, and the amount receipted (only the 011 amount)
On the 27D line, enter the amount of 011 expenses that were reimbursed by another entity with grant funds
Deductible Receipts
How should entities report deductible receipts?The district reimbursing the original expense
should:
Code the reimbursement expense with the appropriate project. (mostly likely 340 or 599)
In the special education report, answer “yes” to paying another LEA for services from their grants, identify the entity, and the amount paid
Deductible Receipts
How does DPI verify deductible receipts?
Special Education Report Edit
Verify the amount paid and reported by the reimbursing district is equal to or less than the amount received and reported on the deductible receipt question and on the 27D lines by the entity incurring the original expense.
Resources Special Education Media-Site – Session 3 –
Date to be Determined
http://media2.wi.gov/dpi/viewer/?cid=2352cf23-e130-4a9c-b83f-8f8e90b15f41
Open Enrollmenthttp://www.dpi.wi.gov/sfs/doc/open_enrollment_wufar.doc
Selected WUFAR Coding for Fund 27http://www.dpi.wi.gov/sfs/xls/spr_wufar_code.xls
Function 430000http://www.dpi.wi.gov/sfs/doc/funct_430.doc
Resources Coop Agreement – 66.0301
http://www.dpi.wi.gov/sfs/coop_agree.html
Fiscal Agent Requirementshttp://www.dpi.wi.gov/sfs/doc/fisagnt.doc
Fiscal Agent Agreement Account Codinghttp://www.dpi.wi.gov/sfs/xls/fisagagree.xls
Fiscal Agent-Example of Level 3 Documentationhttp://www.dpi.wi.gov/sfs/doc/fisagnt_example.doc
Contacts
Beverly Kraus [email protected]
Lori Ames [email protected]
Kathy Guralski [email protected]
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PRODUCED BY:Daryl Miller