Sponsored Links
This presentation is the property of its rightful owner.
1 / 31

Redbook PowerPoint PPT Presentation

  • Uploaded on
  • Presentation posted in: General

Redbook. Frequently Asked Questions. Susan Barkley Division of District Support 502-564-3930 extension 4437. Presenter. KDE website – same page as the Redbook

Download Presentation


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.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.

- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


Frequently Asked Questions

Susan Barkley

Division of District Support

502-564-3930 extension 4437


  • KDE website – same page as the Redbook


  • Will continue to be updated periodically

  • New information is in red type

  • Publishing date on website and document


  • Protect funds raised by students

  • Protect students against funding responsibility

Purpose of the Redbook

  • Item #1 on page 7 – “contributions and collections derived from school-sponsored fundraising activities shall be deposited in the school’s activity fund bank account”

  • Item #5 on page 7 – “fundraising activities are to benefit students, so fundraisers to cover staff payroll and other operating costs are not permitted”

Key Provisions

  • Item #1 on page 20 – “school activity funds are raised for a specific function or purpose during a specific fiscal year and must be used for that specific function during that period”

  • Item #2 on page 20 – “due to timing…a school may have to carry forward funds from year to year”

Key Provisions

Student Activity Funds - Contributions and collections derived from school-sponsored fundraising activities

  • Fundraising by student clubs and student organizations

  • To support student clubs and organizations

  • Expended with input from student clubs and organizations

Required at School Level

  • Grants

  • Day care fees

  • Adult education fees

  • Tuition fees

  • Donations (unless board policy allows donations at the school level)

  • Any funding source restricted to an expenditure disallowed by Redbook (except student fundraising)

Required at District Level

Aside from those requirements….

…there are OPTIONS

School Activity Funds

Student Activity

District Activity

Can be deposited at the school or the district

Raised by school/district or staff

Expended with input from staff

  • Must be deposited at the school level

  • Raised by student fundraising

  • Expended with input from student groups

  • Funds raised by students

  • Expended by student groups

  • Chorus Club

  • Debate Team

  • Class of 2016

  • Beta Club

  • Cheerleading Club

  • Band

  • FFA

Potential Student Activity Funds

  • Support co-curricular and extra-curricular activities

  • Not raised and expended by student groups

  • Gate receipts

  • Book fair

  • Locker fees

  • Parking fees

  • School plays

  • Field trips

  • Picture sales

  • Other commission sales

Potential District Activity Funds

School Bank Account

District Bank Account

District Funds

Not subject to Redbook

Any expenditure that meets “educational purpose”

  • School Activity Funds

  • Subject to Redbook

  • No operational expenditures

Narrow Allowability

Increased Flexibility

  • Reported as Agency Fund on district financial statements

  • Cannot be used for district’s own programs

  • Not included in per pupil expenditures

School Bank Account

  • Use special revenue fund if use is restricted, otherwise use general fund

  • Project codes 7XXX available to track funds separately

  • Guidance forthcoming regarding Fund 21

District Activity Funds Deposited in District Bank Account

  • How are you handling district activity funds deposited in the district bank account?

  • Submit your best practice on KDE website at

Best Practice?

  • School activity funds shall not be expended for operating costs (in old Redbook, too)

  • Must benefit student clubs or organizations

  • Cannot be used to support the district’s own programs (GAAP)

  • Go back to the purpose of the Redbook

How Can School Activity Funds be Spent?

  • Redbook test: Is the expenditure operational in nature? If so, can’t use school funds

  • District test: Does the expenditure have an “educational purpose”? If so, you can use district funds


  • Operating transactions are incurred in the course of the operating activities of the institution

  • “It’s what we’re here to do”

  • Anything supporting regular operations

Operating Expenditures

Even if there is direct student benefit, you cannot use school activity funds to pay for expenditures which are operational in nature

Operational vs. Direct Student Benefit

Is the cost incurred solely because of the student group and does the purchase benefit only that group?

Expenditures for instruction are likely to be operational because that’s what the school is in the business to do: instruction

Operating Costs

  • If paid with school activity funds, driver salary/benefits and fuel only

  • Cannot pay for maintenance or depreciation of school bus unless used only by the student group

    • Example: a charter bus rental

Transporting Student Groups

“All student fees and charges shall be adopted by the board. The fee shall remain in place until modified or removed by board resolution. All student fees adopted by the board shall be used for the purposes set forth in the motion and shall not be spent for any other purpose.”

Student Fees and Charges



A “fee” that is not adopted by the board

Cannot be tracked by individual student

Cannot be refunded

Not subject to fee waiver because it is not a fee

  • Adopted by the board

  • Tracked by individual student

  • May be refunded

  • May be subject to fee waiver requirements

What is a Fee?

  • 702 KAR 3:220

  • Activities meeting that definition require a fee waiver process

    • Trips intersecting with any part of the school day

    • Fees to participate in school-sponsored courses, activities, or programs

      • Use of school property

      • Intramural sports, music, or fine arts

      • Others

  • Fee waiver for students qualifying for free or reduced meals

Fee Waiver

  • Cannot be done through the school accounts

  • “Donations” can be made directly to parents/students

  • Will not be tax-deductible to donor

  • Donations may be made for fee waivers in general

Donating to Specific Students

Additional Questions

  • Login