SACS Minutes, November 2012, Attachment D

DISCUSSION DRAFT: PROPROSED SACS2013 SOFTWARE MODIFICATIONS

Revise Fund Forms

Expenditures by Object worksheet:

• Forms 01/01I, 09/09I, 11/11I, 62/62I—Federal Revenue section.  NCLB/IASA (Resources 3000–3009, 3011–3024, 3026–3299, 4000–4034, 4036–4139, 4202, 4204–4215,5510) detail line, Object 8290:
  • Rename the line from “NCLB/IASA” to “Other No Child Left Behind”
  • Remove the following obsolete resources and add to the All Other Federal Revenue line, Object 8290:  Resources 3000–3009, 3021–3024, 3206–3299, 4000–4034, 4127–4139, 4202, 4204 (district, JPA, charters only), 4205–4215
• Forms 09/09I, 62/62I—Other State Revenue section. Shade the Budget column for Resource 6200, Class Size Reduction Facilities, detail line, Object 8590.
• Form 16/16I—Add new Interfund Transfers In section. Within new section, add line for Object 8919, Other Authorized Interfund Transfers In.

Expenditures by Object worksheet and
Expenditures by Function worksheet:

• Forms 61–73 —Revise fund forms due to the implementation of GASB Statement63 (GASB63):

  • Sections E, F, and I:  Replace all “Net Assets/Position” descriptions with “Net Position”
  • Components of Ending Fund Balance section:  Replace Object 9796 description of “Capital Assets, Net of Related Debt / Net Investment in Capital Assets” with “Net Investment in Capital Assets”

Restricted Detail worksheet:

• Forms 61–73 —Revise fund forms due to the implementation of GASB63:
  Total line: Replace “Total, Restricted Balance” description with “Total, Restricted Net Position”.
  
  
• Form 09—Charter Schools Special Revenue Fund (modified accrual basis of accounting)
  Beginning in the SACS2012 software, inactivated Fund 09 for separately reporting charter schools only, effective 2012–13, because a separately reporting charter school should report a general fund and not a special revenue fund. These changes do not apply to County Offices of Education (COEs) or districts that use Fund09 to report their charter schools within their own financial statements.
  • In the SACS2012 software, for separately reporting charter schools only: Added new fatal import technical review check CHK-FUND09-ACTIVITY to flag activity in Fund 09 except objects 9791, 9793, and 9795, effective 2012–13 for budget and interim data types. For 2012–13, the California Department of Education (CDE) expects to see a Fund 09 beginning fund balance and a restatement to zero out the beginning balance, by resource.
  • In the SACS2013 software, for separately reporting charter schools only:
    • Fund 09 ending fund balances reported in 2011–12 unaudited actuals will be preloaded as Fund 09 in SACS2013 for use with technical review checks, PY‑EFB=CY-BFB and CY-EFB=CY-BFB-RES.
    • CHK-FUND09-ACTIVITY will be modified to also run for actual data.
  • In the SACS2014 software, for separately reporting charter schools only:
    • Form 09 will be discontinued for all separately reporting charter schools.
    • CHK-FUND09-ACTIVITY will be modified to flag Fund 09 data for all objects.
      

Revise Supplemental Forms

Form CASH—Cashflow Worksheet

Budget Year (1) worksheet only.  Budget column, Sections B. Receipts and C. Disbursements:  Modify to no longer allow key entry and to instead extract general ledger data from Fund 01, General Fund/County School Service Fund.  If Fund 01 general ledger data does not exist, then Fund 62, Charter Schools Enterprise Fund, general ledger data will extract

Form CEFB—Components of Ending Fund Balance
Funds 61–73—Revise object descriptions due to the implementation of GASB63:

• Revise Object 979Z description from “Ending Net Assets/Position” to “Ending Net Position”
• Revise Object 9796 description from “Capital Assets, Net of Related Debt / Net Investment in Capital Assets” to “Net Investment in Capital Assets”
• Revise Object 9797 description from “Restricted Net Assets/Position” to “Restricted Net Position”
• Revise Object 9790 description from “Unrestricted Net Assets/Position” to “Unrestricted Net Position”

Form GANN—Appropriations Limit Calculations.

• Update inflation adjustments on Line D2.
• Section B, Current Year Gann Average Daily Attendance (ADA)
  District only. Line 1, Total K–12 ADA:  Modify extraction to also include Form A Line 28 for Basic Aid “Choice”/Court Ordered Voluntary Pupil Transfer ADA (SB937)
• Section C, Local Proceeds of Taxes/State Aid Received
  Other Local Revenues
  COE only. Shade and block Line 18, To General Fund from Bond Interest and Redemption Fund (Excess debt service taxes) (Object 8914)

Forms MYP/MYPI—Multiyear Projections

• Adjust the dollar amounts used in the Unrestricted/Restricted worksheet, Reserve Standard Percentage Level (Line F3d for county only) and Reserve Standard – By Amount (Line F3f for county and district, and Line F7 for JPA), based on the COLA adjustment made to the Criteria and Standards Review form

Form NCMOE—No Child Left Behind Maintenance of Effort

• Section I, Expenditures
  Line B, Less all federal expenditures not allowed for MOE—Remove resources 3330, 3340, 3360, 3370, 3375, and 3405 from exception list, effective 2012–13.  Special Education funding originally assigned these federal resource codes have since been reassigned state resource codes
• Section IV, ARRA State Fiscal Stabilization Fund (SFSF) Expenditures and/or Education Jobs Fund Expenditures to Meet MOE Requirement
  • Budget and unaudited actuals periods only
  • Remove Resource 3200, ARRA: State Fiscal Stabilization Fund (SFSF), from all extracts and line references, effective 2012–13

Form RL/RLI—Revenue Limit Summary

Update revenue limit deficit factors and modify related TRCs accordingly.

Revise Criteria and Standards

Forms 01CS/01CSI—Criteria and Standards Review—Budget and Interim

• Adjust deficit spending and fund balance levels for counties and reserve levels for all LEAs based on prior year's revenue limit COLA
• Deficit Spending Criterion 6/8, County/District/JPA—Budget period only
  Section 6A/8A, Calculating the Deficit Spending Standard Percentage Level—Modify Section 1, Available Reserve Amounts, due to GASB54:
  • Line 1a, Designated for Economic Uncertainties (Funds 01 and 17, Object9770)—Shade and block the Second Prior Year (2011–12) column
  • Line 1b, Undesignated Amounts (Funds 01 and 17, Object 9790)—Shade and block the Second Prior Year (2011–12) column
  • Line 1c, Reserve for Economic Uncertainties (Funds 01and 17, Object 9789)—Unshade and allow extract in the Second Prior Year (2011–12) column
  • Line 1d, Unassigned/Unappropriated (Funds 01 and 17, Object 9790)—Unshade and allow extract in the Second Prior Year (2011–12) column
• Deficit Spending Criterion 6/8, County/District—Budget period only
  Section 6A/8A, Calculating the Deficit Spending Standard Percentage Level—Modify Section 2, Expenditures and Other Financing Uses:
  • Line 2b, Less Special Education Pass-Through Funds (Fund01, Resources 3300–3499 and 6500–6540, Objects 7211–7213 and7221–7223)—Shade and block the Second Prior Year (2011–12) column
  • Line 2c, Plus Special Education Pass-Through Funds (Fund10, Resources 3300–3499 and 6500–6540, Objects 7211–7213 and7221–7223)—Unshade and allow extract in the Second Prior Year (2011–12) column, for LEAs that elected not to exclude the special education pass-through
• Supplemental Information S5, Contributions—Budget and Interim periods
  Section S5A, Identification of Projected Contribution, Transfers and Capital Projects that may Impact the General Fund/County School Service Fund 
  • Line 1a, Contributions, Unrestricted General Fund/County School Service Fund — Projection / Projected Year Totals column
    Modify 1st Subsequent Year and 2nd Subsequent Year lines to no longer allow key entry and to instead extract from Form MYP/MYPI, Unrestricted worksheet, Line 5c.  Applies to COE and district only
  • Line 1b, Transfers In, General Fund/County School Service Fund — Projection / Projected Year Totals column
    Modify Budget/Current Year, 1st Subsequent Year and 2nd Subsequent Year lines to no longer allow key entry and to instead extract from Form MYP/MYPI, Unrestricted/Restricted worksheet, Line 5a
  • Line 1c, Transfers Out, General Fund/County School Service Fund — Projection / Projected Year Totals column
    Modify Budget/Current Year, 1st Subsequent Year and 2nd Subsequent Year lines to no longer allow key entry and to instead extract from Form MYP/MYPI, Unrestricted/Restricted worksheet, Line 9a

Technical Review Checks—New

RES-NET-POSITION-ZERO

• New fatal general ledger TRC, due to the implementation of GASB Statement54
• Applies to all periods
• Applies to all data types except Interim actuals to date
• Applies to all LEAs
• Object 9797 (Restricted Net Position) in unrestricted resources, must be zero, by resource, in funds 61 through 73.
• No rounding allowance

Technical Review Checks—Revise

ASSET-IMPORT

Modify check severity from warning to fatal.  For funds 61–73 only, modify check to look for imported/keyed asset amounts only in objects 94XX, Capital Assets. This check was added to the SACS2012 software to verify if capital assets amounts are imported and/or keyed, then capital asset supplemental data (Form ASSET) should be provided.

CHK-FUND09-ACTIVITY

Modify check to also run for actual type data. This fatal check was added to the SACS2012 software to flag Fund 09 activity in any object except objects 9791, 9793, and 9795 for separately reporting charter schools, effective 2012–13. Applies to separately reporting charter schools only. In the SACS2014 software, this check will be modified to flag fund 09 data for all objects.

UNR-NET-POSITION-NEG

Modify check severity from warning to fatal. This check was added to the SACS2012 software to verify Object 9790 (Unrestricted Net Position) in restricted resources is zero or negative, by resource, in funds 61 through 73.

CEFB=FD-EQUITY

Modify check description to replace “Components of Ending Fund Balance/Net Assets” with “Components of Ending Fund Balance / Net Position,” due to the GASB63:

Revise Reports

Reports CNVRT/ENTRY/GSA/GSNA—Government-wide Reports
Revise due to the implementation of GASB63:

• Revise “Net Assets” line descriptions/references to “Net Position”
• For Report GSNA only—Revise report name from “Government-wide Statement of Net Assets” to “Government-wide Statement of Net Position,” and revise “Invested in capital assets, net of related debt” line description to “Net investment in capital assets”