1 / 168

Required Training ACA Section 6-20-2204

Tier 1 Training Annual Updates 2010-2011 School Year School Management Issues & Updates School Finance Issues & Updates. Required Training ACA Section 6-20-2204. Tier 1 & Tier 2 apply to school districts, open-enrollment charter schools and education service cooperatives. Tier 1 required for:

Download Presentation

Required Training ACA Section 6-20-2204

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Tier 1 TrainingAnnual Updates2010-2011 School YearSchool Management Issues & UpdatesSchool Finance Issues & Updates

  2. Required TrainingACA Section 6-20-2204 • Tier 1 & Tier 2 apply to school districts, open-enrollment charter schools and education service cooperatives. • Tier 1 required for: • Superintendents • Cooperative Directors • Charter Schools Directors • Person responsible for preparing budget or overall accounting responsibility (GBM)

  3. General Business ManagerACA Section 6-15-2302 • A chief financial officer or business manager, however the position is titled, who: • Is responsible for fiscal operations • Under direction of superintendent • Meets minimum qualifications specified by ADE Rule

  4. Required Tier 1 - ContentACA Section 6-20-2204 • School laws of Arkansas; • Laws and rules governing the expenditure of public education funds, fiscal accountability, and school finance; • Ethics; and • Financial accounting and reporting of schools, school districts, open-enrollment public charter schools, and cooperatives.

  5. Tier 1 Initial Training-12 HoursACA Section 6-20-2204 • School Revenues – 2 hrs • School Expenditures – 2 hrs • School Ethics & Audit Compliance – 2 hrs • School Purchasing – 2 hrs • School Finance Issues & Updates – 2 hrs • School Management Issues & Updates-2hrs

  6. Tier 1 Annual TrainingACA Section 6-20-2204 • 4 hours of annual training and instruction in order to maintain basic proficiency in the topics required in the initial 12 hours of Tier 1 training. • Must receive training by December 31st for the current school year. • Accreditation citation for failure to meet December 31st deadline. • Unable to continue in position if training not received by March 1st of following calendar year.

  7. Tier 2 Annual TrainingACA Section 6-20-2204 • For employees who do not make decisions about selecting codes or who have a limited number of codes that they can use. • Principals • Assistant Principals • School Secretaries • Program Directors

  8. Tier 2 Annual TrainingACA Section 6-20-2204 • 4 hours per year • School district, charter school or cooperative responsible for providing the training • Trainers required to attend Tier 1 training • Maintain records of all employees required to have Tier 2 training and who have completed Tier 2 training.

  9. School Finance Issues & Updates

  10. Educational Financial Accounting and Reporting Act of 2004 (6-20-2201) • Budget report (6-20-2202) • Submitted to ADE through APSCN with cycle 1 due September 30th. • To be approved by board in a legally held meeting and signed by president and ex- officio financial secretary. • If budget not submitted by September 30th: • Warrants and checks issued after September 30 not valid • Ex officio financial secretary or surety liable for checks/warrants issued after September 30th • State funding suspended until budget submitted

  11. Educational Financial Accounting and Reporting Act of 2004 (6-20-2201) • Annual financial report (6-20-2202) • Submitted to ADE through APSCN with cycle 9 due August 31st. • Information required: • Daily expenditures and receipts • Fund balances • Reasons for maintaining rather than spending fund balances • Transfers between funds

  12. Educational Financial Accounting and Reporting Act of 2004 (6-20-2201) • Final Close of General Ledger • Required by September 15th for year ended the previous June 30th. • No changes can be made to the prior year financial data after September 15th. • If changes are made after submitting cycle 9, cycle 9 must be re-submitted by September 15th. • If a change is needed after final close but before September 15th, APSCN can assist.

  13. Educational Financial Accounting and Reporting Act of 2004 (6-20-2201) • Uniform budget and accounting system • Arkansas Educational Financial Accounting and Reporting System • Establish and implement process and procedures for financial reporting. • Uniform chart of accounts-Arkansas Financial Accounting Handbook (Arkansas Handbook). • To comply with federal reporting requirements • Provide valid comparisons of expenditures of schools, school districts, charter schools and cooperatives.

  14. Educational Financial Accounting and Reporting Act of 2004 (6-20-2201) • Arkansas Handbook shall include, but not be limited to: • Categories to allow for the gathering of data on separate functions and programs; • Categories and descriptions of expenditures to be reported on the annual school performance report; and • Categories and descriptions of expenditures that allow for the gathering of data required by law.

  15. Educational Financial Accounting and Reporting Act of 2004 (6-20-2201) • Examples of categories of expenditures required to be reported: • Annual School Performance Report: • Total expenditures • Instructional expenditures • Administrative expenditures • Extracurricular expenditures • Capital expenditures • Debt Service expenditures

  16. Educational Financial Accounting and Reporting Act of 2004 (6-20-2201) • Examples of categories of expenditures required to be reported-Continued: • Functions and programs provided by law: • Athletic expenditures • Student transportation expenditures • School district level administrative costs • School level administrative costs • Instructional facilitators • Supervisory aides

  17. Educational Financial Accounting and Reporting Act of 2004 (6-20-2201) • Functions and programs provided by law-Continued: • Substitutes • Property Insurance

  18. Educational Financial Accounting and Reporting Act of 2004 (6-20-2201) • Examples of categories of expenditures required to be reported-Continued: • From following sources of revenue: • Student growth • Declining enrollment • Special education catastrophic occurrences • Special education services • Technology grants • Debt service funding supplement

  19. Educational Financial Accounting and Reporting Act of 2004 (6-20-2201) • From following sources of revenue-Continued: • General facilities funding • Distance learning • Gifted and talented

  20. Educational Financial Accounting and Reporting Act of 2004 (6-20-2201) • Examples of categories of expenditures required to be reported-Continued: • Categories and descriptions of restricted fund balances. • Categories and descriptions of expenditures that each education service cooperative shall report on its annual report authorized by law.

  21. Educational Financial Accounting and Reporting Act of 2004 (6-20-2201) • Arkansas Financial Accounting Handbook and APSCN • Web site location of Handbook is http://www.apscn.org/ • FMS>Financial Management System-Training Documentation • Arkansas Financial Accounting Handbook 2009/2010 • Commissioner’s Memos on Coding • Frequently asked questions

  22. Educational Financial Accounting and Reporting Act of 2004 (6-20-2201) • Arkansas Handbook modeled after the Financial Accounting for Local and State School Systems, 2003 Edition (National Center for Education Statistics, U.S. Department of Education-Institute of Education Sciences, NCES-2004-318) • A new NCES edition was published June, 2009. Online version can be found at:http://nces.ed.gov/pubsearch/pubsinfo.asp?pubid=2009325

  23. Arkansas Financial Accounting Handbook • ADE’s Arkansas Public School Computer Network (APSCN) is responsible for maintaining the Arkansas Handbook and implementing revisions necessary to gather and report financial data required by state and federal law.

  24. Arkansas Financial Accounting Handbook • Financial coding structure (chart of accounts) within Arkansas Handbook • Fund • Source of Fund • Function • Location • Program • Subject Area • Object

  25. Arkansas Financial Accounting Handbook • Fund • Teacher Salary Fund (Fund 1) • Operating Fund (Fund 2) • Building Fund (Fund 3) • Debt Service Fund (Fund 4) • Dedicated M & O/Capital Outlay (Fund 5) • Federal Fund (Fund 6) • Activity Fund (Fund 7) • Food Service Fund (Fund 8)

  26. Arkansas Financial Accounting Handbook • Source of Fund • Examples: • Student Growth Funding (217) • Declining Enrollment (218) • Professional Development (223) • Alternative Learning Environment (275) • English Language Learners (276) • National School Lunch Act-State (281)

  27. Arkansas Financial Accounting Handbook • Function • Instruction (1000-1999) • Support Services (2000-2999) • Operation of Non-Instructional Services(3000-3999) • Facilities Acquisition and Construction (4000-4999) • Other Uses (5000-5999)

  28. Arkansas Financial Accounting Handbook • Instruction Function-direct interaction between teachers and students • Regular Programs (1100-1199) • Special Education (1200-1299) • Workforce Education (1300-1399) • Adult/Continuing Education (1400-1499) • Compensatory Education (1500-1599) • Other Instructional Programs (1900-1999)

  29. Arkansas Financial Accounting Handbook • Support Services Function-provide administrative, technical and logistical support to facilitate and enhance instruction. • Includes: • Student Support (2100-2199) • Instructional Staff Support (2200-2299) • General Administration (2300-2399) • School Administration (2400-2499)

  30. Arkansas Financial AccountingHandbook • Support Services Function-provide administrative, technical and logistical support to facilitate and enhance instruction-Continued: • Includes: • Central Services (2500-2599) • Operation & Maintenance of Plant (2600-2699) • Student Transportation (2700-2799)

  31. Arkansas Financial Accounting Handbook • Operation of Non-instructional Services Function • Food Service Operations • Other Enterprise Operations • Community Services Operations

  32. Arkansas Financial Accounting Handbook • Facilities Acquisition and Construction Services Function • Land Acquisition • Land Improvement • Architectural & Engineering Services • Building Acquisition and Construction • Site Improvement • Building Improvements

  33. Arkansas Financial Accounting Handbook • Other Uses Function • Debt payments (principal & interest) • Transfers to other district funds • Indirect costs • Payments to state for prior year overpayment • 98% URT collection rate exceeded per 6-20-2305

  34. Arkansas Financial Accounting Handbook • Location Code – The three-digit ADE assigned LEA number for schools that identifies the campus where funds are expended.

  35. Arkansas Financial Accounting Handbook • Program Code – a program is a plan of activities and procedures designed to accomplish a predetermined objective or set of objectives. This code will enable all expenditures pertaining to a particular program to be tracked across funds, sources of funds, functions and locations.

  36. Arkansas Financial Accounting Handbook • Program Code Examples: • NSLA Supplementing Salaries of Teachers (015) • State Academic Facilities Funded (070-099) • Athletics (115) • Non-athletic extracurricular activities (116) • Special Education (200) • Gifted & Talented (270) • Alternative Education (438)

  37. Arkansas Financial Accounting Handbook • Subject Area – Use of this code is not currently required by ADE. School districts use this code for a variety of purposes pertaining to their own needs. State or federal reporting requirements could require designated subject area codes at some point in the future.

  38. Arkansas Financial Accounting Handbook • Expenditure Budget Unit – The sixteen-digit number entered for all expenditures that includes the fund, source of fund, function, location, program, and subject area codes. • Revenue Budget Unit – The four-digit number entered for all revenue that includes the fund and source of fund codes.

  39. Arkansas Financial Accounting Handbook • Revenue Object /Account – A five digit number that describes the revenue. • Expenditure Object – A five digit number that describes the type of expenditure: • Salary (61000-61999) • Employee Benefit (62000-62999) • Purchased Services (63000-65999) • Supplies and Materials (66000-66999) • Capital Outlay (67000-67999) • Other (68000-68999)

  40. Coding Changes for 2009-2010 • Expenditures from Foundation & Enhanced Funding (FIN-09-047, 1/29/09) • Fund/Source of Fund Codes Required for all expenditures paid with Foundation and Enhanced Educational Funding: • Fund 1-Teacher Salary Fund • Fund 2-Operating Fund • Source of Fund 000 • Source of Fund 100-199 See Appendix A-1 for Adequacy Funding Matrix

  41. Coding Changes for 2009-2010 • Revenue included in foundation funding • State foundation funding (31101) • 25 mills Uniform Rate of Tax (URT) • Property Taxes (11110-11140) • Excess Commission (11150) • Land Redemption (11160) • Penalties & Interest (11400) • Interest on Unapportioned Property Taxes (11500) • Miscellaneous Funds (per formula found in ACA 6-20-2303(11)

  42. Coding Changes for 2009-2010 • Miscellaneous Funds-ACA 6-20-2303(11) • Federal Forest Reserves (42100) • Federal Grazing Rights (42400) • Federal Mineral Rights (42300) • Federal Impact Aid (42500) • Federal Flood Control (42200) • Wildlife Refuge Funds (41200) • Severance Taxes (21200) • Revenue in Lieu of Taxes (12800) • Local Sales & Use Tax for Education (11200)

  43. Coding Changes for 2009-2010 • Enhanced Educational Funding-Revenue Code 31102 • ACA 6-20-2305(a)(2)(C) (iii) “The General Assembly has determined that the funding provided by the subdivision (a)(2)(C), which is known as “Enhanced Educational Funding”, is in addition to, and in excess of, the amount of funds necessary to provide an adequate education as required by the Arkansas Constitution.”

  44. Coding Changes for 2009-2010 • Enhanced Educational Funding-Revenue Code 31102-Continued • ACA 6-20-2305(a)(2)(C) (iv) “Enhanced Educational Funding is available from a combination of fortunate economic factors, conservative budgeting of all state government, and the favorable forecast of state revenues. As a result, the enhanced component of Enhanced Educational Funding cannot be ensured and may not be relied on beyond the 2009-2010 school year.”

  45. Athletic Expenditures Coding • Tracking and accounting for the amount of state funds that are used to support interschool athletic programs in public schools. (ACA 6-20-2001 – 6-20-2004) • State funds-All money derived from state revenues, specifically including, but not limited to, distributions from the Department of Education Public School Fund Account and ad valorem property taxes distributed to a public school or school district. • Athletic expenditures-All direct and indirect expenses related to interschool athletic programs, prorated if necessary.

  46. Athletic Expenditures Coding • Interschool athletic program: • Any athletic program that is organized primarily for the purpose of competing with other schools, public or private; or • Any athletic program that is subject to regulation by the Arkansas Activities Association.

  47. Athletic Expenditures Coding • Athletic expenditures to include but not be limited to: • Salaries and fringe benefits related to athletic programs. • Travel, including bus-related operation and maintenance, to and from any interschool athletic program event for students, faculty, spirit groups, band, or patrons of the school district.

  48. Athletic Expenditures Coding • Athletic expenditures to include but not be limited to: Continued • Equipment • Meals • Supplies • Property and medical insurance • Medical expenses • Utilities • Maintenance of facilities

  49. Athletic Expenditures Coding • Rules Governing Athletic Expenditures for Public School Districts-September 2007 (See Appendix B-1) • Commissioner’s Memo COM-08-156, 6/06/2008-Athletic Expenditures and Allocations (See Appendix B-2) • Commissioner’s Memo FIN-10-049, 12/30/2009 – Athletic Expenditure Audits (See Appendix B-3) • Commissioner’s Memo FIN-10-051, 1/14/2010 – FY10 Transportation Rates (See Appendix B-4)

  50. Athletic Expenditures Coding • Problems reported by Arkansas Division of Legislative Audit in Special Report on Athletic Expenditures. • For 2008-2009 (48 SE Arkansas districts reviewed) • Review adjustments totaled $3.4M (14.7%) • Athletic expenditures for 23 districts adjusted in excess of 10%, ranging from $7,759 to $2.0M. • 27 districts improperly allocated coaches’ salaries • 9 districts improperly allocated construction costs

More Related