NSLA PROGRAM CODING FOR FY06-SPECIAL EDUCATION:
Commissioner’s Memo IA-05-123 dated June 30, 2005, specified required program codes to be used for all NSLA (National School Lunch Act) expenditures. These new requirements are effective with fiscal year 2006 expenditures. In the event a special education related expenditure is being charged to NSLA, program code 200 will not be available, instead use the appropriate program code per Commissioner’s Memo IA-05-123. If the function code relates to special education, APSCN will still pull that expenditure as special education.
EXPENDITURE ALLOCATION-ATHLETICS:
There was a spreadsheet attached to Commissioner’s Memo FIN-06-001 titled “Allocation Percentage for Athletic M&O Exp.” This percentage was calculated by dividing total certified athletic salaries and benefits by total certified salaries and benefits. If a school district opts to use this allocation method, the following 3 steps should occur:
STEP 1-ALLOCATION OF PROPERTY INSURANCE:
Total District Cost of Property Insurance x Allocation Percentage = Property Insurance to Charge to Athletics
AT THIS TIME DISTRICTS ARE NOT REQUIRED TO CHARGE THIS TO THE CAMPUS LEVEL.
Example Journal Entry:
DR 2000 2699 000 000 00 65210 $ ?.?? (Property Insurance)
OR 2000 2620 000 115 00
CR 2000 2699 000 000 00 65210 $ ?.?? (Property Insurance)
STEP 2-ALLOCATION OF UTILITIES:
Total District Cost of Utilities x Allocation Percentage =Utilities to Charge to Athletics
AT THIS TIME DISTRICTS ARE NOT REQUIRED TO CHARGE THIS TO THE CAMPUS LEVEL.
Example Journal Entry:
DR 2000 2699 000 000 00 64110 $ ?.??(Water & Sewer)
OR 2000 2620 000 115 00
DR 2000 2699 000 000 00 66210 $ ?.?? (Natural Gas)
DR 2000 2699 000 000 00 66220 $ ?.?? (Electricity)
CR 2000 2620 000 000 00 64110 $ ?.?? (Water & Sewer)
CR 2000 2620 000 000 00 66210 $ ?.?? (Natural Gas)
CR 2000 2620 000 000 00 66220 $ ?.?? (Electricity)
STEP 3-ALLOCATION OF ALL OTHER MAINTENANCE EXPENDITURES:
Total District Charges to Operating Fund Function 26* Less Property Insurance and Utilities x Allocation Percentage = Maintenance to Charge to Athletics
AT THIS TIME DISTRICTS ARE NOT REQUIRED TO CHARGE THIS TO THE CAMPUS LEVEL.
Example Journal Entry:
DR 2000 2699 000 000 00 68400 $ ?.?? (Indirect Cost)
OR 2000 2620 000 115 00
CR 2000 2620 000 000 00 68400 $ ?.?? (Indirect Cost)
The account number 68400 for “Indirect Cost” is recommended. The other option would be to debit and credit each separate account in function 26*. CAUTION: THIS CALCULATION SHOULD RESULT IN THE TOTAL ATHLETIC PORTION OF MAINTENANCE EXPENDITURES (OTHER THAN PROPERTY INSURANCE AND UTILITIES). IF OTHER MAINTENANCE EXPENDITURES HAVE BEEN CHARGED DIRECTLY TO ATHLETICS, SUBTRACT THOSE AMOUNTS BEFORE ENTERING THIS JOURNAL ENTRY.
This percentage allocation method is optional for the fiscal year ended June 30, 2005. A district may use its own method to allocate Property Insurance, Utilities and Other Maintenance Expenditures. Act 52 of the 2nd Extraordinary Session of 2003 specifically lists these three types of expenditures and it is imperative that each district show how much of these expenditures relate to athletics. If another allocation method is used, be sure it is reasonable and well documented.