1 Budg e ta ry Proc e ss T he b udg e ta ry pro c e ss is pre sc - - PDF document

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Pre se nte d b y: Christo phe r S. Mc K e e L GS Assista nt Pro je c t Ma na g e r Justin W. Slo a n L GS Pro je c t Ma na g e r

Ba sic Ac c ounting for T

• wnships

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Course Ca ta log

• Pa rt o f a thre e -c o urse se ssio n
• 1. F

und Ac c o unting fo r T

• wnships
• 2. Cha rt o f Ac c o unts fo r T
• wnships
• 3. Ba sic Ac c ounting for T
• wnships

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Course Obje c tive

• T
• g ive a n o ve rvie w o f the diffe re nt tra nsa c tio ns,

pro c e sse s, fo rms, a nd re q uire me nts re la ting to yo ur jo b a s fisc a l o ffic e r

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Budg e ta ry Proc e ss

• T

he b udg e ta ry pro c e ss is pre sc rib e d b y pro visio ns

• f the Ohio Re vise d Co de
• T

he b udg e ta ry pro c e ss invo lve s pla nning the g o a ls

• f the T
• wnship a nd the a c tio ns tha t ne e d to b e

ta ke n to a c hie ve the g o a ls

• T

he fisc a l o ffic e r mo nito rs c o mplia nc e with Ohio b udg e ta ry la w

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Compone nts of the Budg e ta r y Pr

• c e ss
• T

a x Budg e t o r Alte rna tive Me tho d

• Offic ia l Ce rtific a te o f E

stima te d Re so urc e s

• Ce rtific a te o f T
• ta l Amo unt F

ro m All So urc e s Ava ila b le fo r E xpe nditure s, a nd Ba la nc e s

• Ame nde d Offic ia l Ce rtific a te o f E

stima te d Re so urc e s

• Appro pria tio n Re so lutio n

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T he T a x Budg e t

Ove rvie w

• Purpo se o f the ta x b udg e t
• T

he ta x b udg e t se ts limita tio ns

• T

he ta x b udg e t is a pla nning to o l

• F

ina nc ia l ne e ds a re inc lude d in the ta x b udg e t

• Ava ila b le re so urc e s/ re ve nue s a re inc lude d
• Ohio Re vise d Co de § 5705.29 lists spe c ific

info rma tio n to b e inc lude d in the ta x b udg e t

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T he T a x Budg e t

Ove rvie w (c o ntinue d)

• T

he ta x b udg e t pro vide s de ta ile d info rma tio n o n re ve nue s a nd e xpe nditure s fo r the g e ne ra l fund

• T

he ta x b udg e t pro vide s summa ry info rma tio n o n re ve nue s a nd e xpe nditure s fo r a ll o the r funds re c e iving pro pe rty ta xe s

• F

unds no t re c e iving pro pe rty ta xe s a re re po rte d in a summa ry fo rma t with re ve nue s, e xpe nditure s, a nd e stima te d b e g inning b a la nc e s

• Sc he dule s a re pre se nte d fo r pe rma ne nt

impro ve me nts, judg me nts a nd ta x le vie s/ de b t

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T he T a x Budg e t

Alte rna tive Me tho d

• Ohio Re vise d Co de § 5705.281 a llo ws the

Co unty Budg e t Co mmissio n to wa ive filing a ta x b udg e t

• T

he Co unty Budg e t Co mmissio n must a do pt a n a lte rna tive me tho d o r fo rmula b a sis

• All info rma tio n re q uire d b y the Co unty

Budg e t Co mmissio n must b e pro vide d b y the da te spe c ifie d

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T he T a x Budg e t

E stima te d T a x Ra te s

• Afte r sub missio n, the ta x b udg e t o r a lte rna tive is

re vie we d b y the Co unty Budg e t Co mmissio n

• On o r b e fo re Se pte mb e r 1st, the Co unty Budg e t

Co mmissio n re turns a n Offic ia l Ce rtific a te o f e stima te d Re so urc e s a nd e stima te d ta x ra te s

• I

f dissa tisfie d, the fisc a l o ffic e r, o n b e ha lf o f the truste e s, c a n a ppe a l to the b o a rd o f ta x a ppe a ls within 30 da ys

• I

f sa tisfie d, a re so lutio n a utho rizing the ta x le vie s sho uld b e c e rtifie d to the c o unty a udito r b y Oc to b e r 1st.

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T he T a x Budg e t

I mpo rta nt Da te s

• T

he ta x b udg e t sho uld b e a do pte d b y July 15th.

• A he a ring must b e g ive n with a 10 da y no tic e
• Afte r b e ing a do pte d, the ta x b udg e t must b e

sub mitte d to the Co unty Audito r b y July 20th

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Offic ia l Ce r tific a te of E stima te d Re sour c e s

• Pre pa re d b y the Co unty Budg e t Co mmissio n
• Ba se d o n the info rma tio n pre se nte d in the ta x

b udg e t.

• I

nc lude s e stima te d re ve nue s fo r e a c h fund

• I

nc lude s e stima te d une nc umb e re d fund b a la nc e s

• T

he Se pte mb e r 1st da te ma y b e e xte nde d b y the ta x c o mmissio ne r fo r a g o o d c a use

• Prio r to De c e mb e r 31st, the T
• wnship must re vise

the ta x b udg e t so tha t e xpe nditure s do no t e xc e e d e stima te d re ve nue

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Ce rtific a te of T

• ta l Amount F

rom All Sourc e s Ava ila ble for E xpe nditure s, a nd Ba la nc e s

• T

he c e rtific a te o f to ta l a mo unt fro m a ll so urc e s a va ila b le fo r e xpe nditure s, a nd b a la nc e s must b e file d with the c o unty a udito r o n o r a b o ut Ja nua ry 1st

• I

t c e rtifie s the a c tua l une nc umb e re d fund b a la nc e s a nd e stima te d re ve nue s fo r e a c h fund (no t inc luding a ny re se rve a c c o unts)

• T

he first pa g e is a summa ry o f a ll funds b y fund type a nd the re ma ining pa g e s ide ntify the individua l funds

• T

he fo rm sho ws c a sh b a la nc e s a t De c e mb e r 31st, e nc umb ra nc e s, a dva nc e s no t re pa id, c a rryo ve r b a la nc e s a va ila b le fo r a ppro pria tio ns, to tal e stima te d re ve nue s fro m a ll so urc e s a nd to ta l c a rryo ve r b a lanc e s plus e stima te d re ve nue s

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Ame nde d Offic ia l Ce rtific a te of E stima te d Re sour c e s

• T

he a me nde d o ffic ia l c e rtific a te o f e stima te d re so urc e s will b e re turne d a fte r filing the c e rtific a te

• f to ta l a mo unt fro m a ll so urc e s a va ila b le fo r

e xpe nditure s, a nd b a la nc e s

• Re me mb e r to po st e stima te d re ve nue s to the

syste m (o r to yo ur re c e ipt le dg e r, if ma nua l)

• Ohio Re vise d Co de § 5705.36 re q uire s tha t this

fo rm will b e re vise d to inc lude a c tua l fund b a la nc e s a t De c e mb e r 31st a nd a ny re visio ns to e stima te d re ve nue s

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Ame nde d Offic ia l Ce rtific a te of E stima te d Re sour c e s

3 Prima ry Re a so ns to Re q ue st a n Ame nde d Ce rtific a te

• It is de te rmine d tha t re ve nue s to b e c o lle c te d will b e

g re a te r o r le ss tha n the a mo unt inc lude d in the pre vio us a me nde d c e rtific a te o f e stimate d re so urc e s

• It is de te rmine d tha t re ve nue s to b e c o lle c te d will b e

g re a te r tha n pre vio usly e stima te d a nd it is inte nde d to a ppro priate a nd e xpe nd the e xc e ss re ve nue

• It is de te rmine d tha t re ve nue s to b e c o lle c te d will b e

le ss tha n pre vio usly e stima te d a nd this de fic ie nc y will re duc e a vaila b le re so urc e s b e lo w the c urre nt le ve l o f a ppro priatio ns

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Appropria tion Re solution

• Ohio Re vise d Co de § 5705.38 sta te s tha t the

T

• wnship must a do pt a n a ppro pria tio n me a sure
• n o r a b o ut the first da y o f the ye a r
• A te mpo ra ry a ppro pria tio n me a sure ma y b e

pa sse d fo r the pe rio d o f Ja nua ry 1st thro ug h Ma rc h 31st

• T

he pe rma ne nt a nnua l a ppro pria tio n me a sure must b e pa sse d b y April 1st fo r the pe rio d Ja nua ry 1st thro ug h De c e mb e r 31st.

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Appropria tion Re solution

T he a ppro pria tio n pro c e ss is a func tio n o f the le g isla tive a utho rity o f the lo c a l g o ve rnme nt a nd c a nno t b e de le g a te d

• T

he T

• wnship must ha ve a ppro pria tio ns a do pte d

to le g a lly spe nd mo ne y

• T

he a ppro pria tio ns a re no t le g a l until the re so urc e s a re c e rtifie d b y the Co unty Audito r

• T

he a ppro pria tio n re so lutio n ma y b e a me nde d during the ye a r o nly b y a re so lutio n a ppro ve d b y the T ruste e s

• Re me mb e r to po st a ppro pria tio ns to the syste m

(o r to the a ppro pria tio ns le dg e r, if ma nua l)

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L e g a l L e ve l of Control

• Sta tuto ry a ppro pria tio n le ve l
• Ohio Re vise d Co de § 5705.38(C)
• T

his implie s “pe rso na l se rvic e s” a nd “o the r” a s the minimum le ve l to b e a ppro pria te d fo r e a c h o ffic e , de pa rtme nt, a nd divisio n

• Do no t c ha ng e a ppro pria tio ns in the syste m (a t o r

a b o ve yo ur le g a l le ve l o f c o ntro l) unle ss a ppro ve d b y T ruste e s

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L e g a l L e ve l of Control

• Annua l Appro pria tio n Re so lutio n

E xa mple T

• wnship

Ge ne ra l F und Ge ne ra l Go ve rnme nt Administra tive Pe rso na l Se rvic e s $25,000 Othe r $15,000 Pub lic Sa fe ty Po lic e Pro te c tio n Pe rso na l Se rvic e s $50,000 Othe r $150,000 Ca pita l Outla y Pe rso na l Se rvic e s $0 Othe r $60,000 T

• ta l Ge ne ra l F

und $300,000

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L a psing of Appropria tions

• T

he une nc umb e re d b a la nc e o f e a c h a ppro pria tio n re ve rts to its re spe c tive fund a nd is a va ila b le fo r future a ppro pria tio ns

• T

he e nc umb e re d a ppro pria tio n b a la nc e (c a rry

• ve r purc ha se o rde rs) is c a rrie d fo rwa rd a nd is no t

re a ppro pria te d

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Appropria tion L e dg e r

• Additio na l info rma tio n o n the Appro pria tio n

L e dg e r, a nd e xa mple s, c a n b e fo und in the Ohio T

• wnship Ha ndb o o k

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E nc umbra nc e s

• Co mmitme nts fo r the e xpe nditure o f mo nie s a re

re c o rde d a s the e q uiva le nt o f e xpe nditure s o n the b udg e ta ry b a sis

• T

his re se rve s the po rtio n o f the a pplic a b le a ppro pria tio n a nd ma inta ins le g a l c o mplia nc e

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Othe r Budg e ta ry Issue s

• Whe n sho rt-te rm no te s ma ture , a ne w no te is
• fte n use d to pa y o ff the o ld no te
• Whe n this o c c urs, the pa yme nt o f the princ ipa l o n

the o ld no te a nd the pro c e e ds o f the ne w no te is re q uire d to b e b udg e te d

• T

he tra nsa c tio n sho uld no t b e re c o rde d “ne t”

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Othe r Budg e ta ry Issue s

• Pro pe rty ta xe s sho uld b e po ste d g ro ss….no t ne t
• T

he pro pe rty ta x re ve nue (b e fo re the c o unty a udito r de duc tio ns) sho uld b e re c o rde d in to ta l

• T

he c o unty a udito r de duc tio ns sho uld b e po ste d se pa ra te ly a s e xpe nditure s

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Othe r Budg e ta ry Issue s

I n te rm pa y inc re a se s I n te rm pa y inc re a se s a re pro hib ite d b y Ohio la w.

Se na te Bill 296 (132nd Ge ne ra l Asse mb ly) pro vide d fo r a n inc re a se in F isc a l Offic e r a nd T ruste e pa y.

T his inc re a se is o nly a pplic a b le to tho se e le c te d o r a ppo inte d o n o r a fte r Ja nua ry 1, 2019

Re fe r to the Ohio T

• wnship Ha ndb o o k fo r mo re g uida nc e

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T ruste e s Compe nsa tion, Amount Pe r Da y

T

• wnship Budg e t

2018 2019 2020 2021 2022 $250,000 or le ss $40.41 $41.12 $41.84 $42.57 $43.31 $250,000.01 – 500,000 $46.80 $47.62 $48.45 $49.30 $50.16 $500,000.01 – 750,000 $49.63 $50.50 $51.38 $52.28 $53.19 $750,000.01 – 1,500,000 $56.71 $57.70 $58.71 $59.74 $60.79 $1,500,000.01 – 3,500,000 $62.39 $63.48 $64.59 $65.72 $66.87 $3,500,000.01 – 6,000,000 $68.06 $69.25 $70.46 $71.69 $72.94 $6,000,000.01 – 10,000,000 $88.19 $89.73 $91.30 $92.90 $94.53 Gr e a te r tha n $10,000,000 $113.38 $115.36 $117.38 $119.43 $121.52

Ohio Re vise d Co de §505.24

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F isc a l Offic e r Compe nsa tion Annua l Sa la ry

T

• wnship Budg e t

2018 2019 2020 2021 2022 $250,000 or le ss $10,918 $11,109 $11,303 $11,501 $11,702 $250,000.01 – 500,000 $14,039 $14,285 $14,535 $14,789 $15,048 $500,000.01 – 750,000 $15,597 $15,870 $16,148 $16,431 $16,719 $750,000.01 – 1,500,000 $18,717 $19,045 $19,378 $19,717 $20,062 $1,500,000.01 – 3,500,000 $21,836 $22,218 $22,607 $23,003 $23,406 $3,500,000.01 – 6,000,000 $23,396 $23,805 $24,222 $24,646 $25,077 $6,000,000.01 – 10,000,000 $26,852 $27,322 $27,800 $28,287 $28,782 Gr e a te r tha n $10,000,000 $31,064 $31,608 $32,161 $32,724 $33,297

Ohio Re vise d Co de §507.09

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Budg e ts a nd Appropria tions

Que stio ns a nd Answe rs T he Ohio T

• wnship Ha ndb o o k c o nta ins g uide line s

fo r pre pa ring b udg e ts a nd sa mple do c ume nts.

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Re c e ipts

• Re c e iving mo ne y

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Re c e ipts

• All mo ne y re c e ive d b y the lo c a l e ntity is to

b e re c e ipte d in b y the use o f a re c e ipt o r a “pa y-in”

• Mo ne y fro m a no the r de pa rtme nt is g ive n

to the fisc a l o ffic e r with a re c e ipt

• T

he fisc a l o ffic e r po sts the re c e ipt to the syste m whic h g e ne ra te s a syste m re c e ipt

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Re c e ipts

• T

he re c e ipt o r pa y-in sho uld inc lude :

• Re c e ipt numb e r
• T
• ta l a mo unt re c e ive d
• Da te mo ne y wa s re c e ive d
• Pa ye r
• Re a so n fo r re c e ipt
• F

und to whic h re ve nue is to b e c re dite d

• Re c e ipt c o de
• F

isc a l Offic e r’ s sig na ture

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Re c e ipts

• T

he o rig ina l re c e ipt sho uld b e g ive n to the pe rso n ma king the pa yme nt (if in pe rso n)

• Any so urc e do c ume nts sho uld b e ke pt with the

syste m re c e ipts o n file

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Re c e ipts

• De po siting re c e ipts
• Re c e ipts sho uld b e de po site d da ily
• T

ruste e s ma y a ppro ve a po lic y to a llo w up to thre e da ys b e twe e n re c e ipt o f mo ne y to de po sit (se e Ohio Re vise d Co de § 9.38)

• De po sit tic ke ts sho uld inc lude the re c e ipt

numb e rs inc lude d in the de po sit

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Re c e ipts

• E

nte r re c e ipt info rma tio n into the syste m

• Da te o f the pa y-in
• So urc e o f funds
• Purpo se
• Amo unt re c e ive d fo r this spe c ific c o de
• Upda te a mo unt ye t to b e re c e ive d fo r this c o de
• Print re c e ipt re po rt a t the e nd o f e a c h mo nth

fro m the syste m

Additio na l info rma tio n, a nd e xa mple s, o f re c e ipts a nd the re c e ipt jo urna l c a n b e fo und in the Ohio T

• wnship

Ha ndb o o k

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How doe s the township buy some thing ???

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Birth of a Purc ha se Orde r

• An e mplo ye e who ne e ds to ma ke a

purc ha se fills o ut a re q uisitio n

• T

he re q uisitio n sho uld b e a ppro ve d b y the de pa rtme nt he a d b e fo re b e ing g ive n to the fisc a l o ffic e r

• I

f fisc a l o ffic e r de e ms the funds a nd a ppro pria tio ns a re a va ila ble , the purc ha se o rde r is c re a te d

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Purc ha se Orde rs

• Ce rtific a tio n o f a va ila b ility o f funds prio r to the
• b lig a tio n o f funds
• Purc ha se o rde rs
• E

xc e ptio ns

• Pa yme nt o f invo ic e s a fte r re c e ipt o f g o o ds o r

se rvic e s

• Re q uire d b y Administra tive Rule 117

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Purc ha se Orde rs

• Purc ha se Orde rs
• Re g ula r
• Bla nke t
• Supe r Bla nke t
• E

xc e ptio ns

• T

he n a nd No w Ce rtific a te

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Purc ha se Orde rs

• Re g ula r Purc ha se Orde r
• Must spe c ify a t le a st o ne ite m, pric e , o r ve ndo r
• Also must spe c ify a t le a st o ne a ppro pria tio n

a c c o unt.

• No limit o n a mo unt
• Do e s no t e xpire a nd c a n the re fo re c a rry-o ve r

into sub se q ue nt ye a r.

• Sig ne d b y fisc a l o ffic e r

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Purc ha se Orde rs

• Bla nke t Purc ha se Orde r
• T

ruste e s must, b y re so lutio n, se t a do lla r a mo unt a b o ve whic h b la nke t POs ma y no t e xc e e d

• Use whe n the ve ndo r, pric e , o r q ua ntity is o pe n

e nde d o r no t kno wn

• An a mo unt, no t e xc e e ding the a mo unt limiting

b la nke t POs vo te d o n b y the T ruste e s, must b e inc lude d o n the purc ha se o rde r

• Only o ne b la nke t PO c a n b e o pe n a g a inst a

pa rtic ular line -ite m a ppro pria tio n a c c o unt

• Do e s no t e xte nd pa st the e nd o f the ye a r
• Sig ne d b y the fisc a l o ffic e r

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Purc ha se Orde rs

• Supe r Bla nke t Purc ha se Orde r
• Any a mo unt (no t to e xc e e d a va ila b le a ppro pria tio ns)
• Ca n o nly b e fo r the fo llo wing spe c ific use s
• Pro fe ssio na l Se rvic e s
• Go o ds
• Utilitie s
• Any o the r spe c ific e xpe nditure tha t is a re c urring a nd

re a so na b ly pre dic ta b le o pe ra ting e xpe nse

• Any purc ha se s e xe mpt fro m c o mpe titive b idding unde r

Ohio Re vise d Co de §125.04

• Multiple Supe r Bla nke t PO c a n b e o pe n a g a inst a pa rtic ula r

line -ite m a ppro pria tio n a c c o unt

• Do e s no t e xte nd pa st the e nd o f the ye a r
• Sig ne d b y the fisc a l o ffic e r

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Purc ha se Orde rs

• T

he n a nd No w Ce rtific a te

• I

f the re we re une nc umb e re d a ppro pria tio ns a t the time o f purc ha se (the n) a nd the re a re c urre ntly (no w) une nc umb e re d a ppro pria tio ns

• I

f the a mo unt is le ss tha n $3,000, the fisc a l o ffic e r ma y a utho rize the e xpe nditure

• I

f the a mo unt is g re a te r tha n $3,000, the T ruste e s must pa ss a re so lutio n a utho rizing the e xpe nditure

• Re so lutio n must b e pa sse d within 30 da ys o f

re c e ipt o f the fisc a l o ffic e r’ s c e rtific a tio n

• Sho uld b e the e xc e ptio n, ra the r tha n the rule

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Purc ha se Orde rs

• I

f funds we re no t o r a re no t a va ila ble a t the time o f purc ha se , a the n a nd no w c a nno t b e issue d

• I

f funds we re a nd a re a va ila ble , issuing a the n a nd no w purc ha se o rde r is a t the disc re tio n o f the fisc a l o ffic e r

• Witho ut a purc ha se o rde r the purc ha se r is

re spo nsib le fo r the c o st o f the ite m – the y just ma de a do na tio n to the to wnship!

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Purc ha se Orde rs

• Othe r E

xc e ptio n

• T

ruste e s ma y pa ss a re so lutio n a utho rizing o ffic e rs a nd e mplo ye e s to inc ur o b lig a tio ns o f no mo re tha n $2,500, whic h sub se q ue ntly ha s to b e a ppro ve d b y a fo rma l re so lutio n o f the T ruste e s

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Purc ha se Orde rs

• T

hre e c o pie s o f Purc ha se Orde rs

• One c o py to the individua l initia ting the

purc ha se o rde r

• One c o py ke pt in purc ha se numb e r o rde r
• T
• b e use d to po st to the a ppro pria tio n

le dg e r

• One c o py a tta c he d to the vo uc he r a nd

ve ndo r invo ic e

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Purc ha se Orde rs

• Additio na l info rma tio n a nd e xa mple s o n Purc ha se

Orde rs c a n b e fo und in the Ohio T

• wnship

Ha ndb o o k.

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E xpe nditure s

• Pa yme nt o f I

nvo ic e s

• Whe n g o o ds a re re c e ive d, wha t wa s re c e ive d

sho uld b e c o mpa re d with the purc ha se o rde r a nd the pa c king slip

• Whe n a n invo ic e is re c e ive d it sho uld b e

c o mpa re d to wha t wa s re c e ive d

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E xpe nditure s

• A vo uc he r is pre pa re d a nd file d
• A vo uc he r is a writte n o rde r to dra w a c he c k

in pa yme nt o f a la wful o b lig a tio n whic h inc lude s a re q uisitio n, purc ha se o rde r, a nd invo ic e

• A c he c k is dra wn a nd se nt to ve ndo r
• Must b e sig ne d b y two truste e s a nd the fisc a l
• ffic e r

Additio na l info rma tio n a nd e xa mple s o f the vo uc he r syste m a nd c he c ks c a n b e fo und in the Ohio T

• wnship Ha ndb o o k

48

E xpe nditure s

• Appro pria tio ns in the Syste m
• Po sting Appro pria tio ns
• Po ste d a s a dditio ns to Une nc umb e re d Ba la nc e
• Po sting Purc ha se Orde rs
• Re duc e s Une nc umb e re d Ba la nc e

17

49

E xpe nditure s

• Appro pria tio ns in the Syste m
• Po sting E

xpe nditure s

• Adjustme nts c a n b e ma de to Une nc umb e re d

Ba la nc e if a mo unt o f e xpe nditure e xc e e ds c e rtific a tio n a mo unt b y issuing a n a dditio na l purc ha se o rde r fo r the diffe re nc e (T he n a nd No w)

• Clo sing Purc ha se Orde rs
• Adjustme nt c a n b e ma de to Une nc umb e re d

Ba la nc e if a mo unt o f e xpe nditure is le ss tha t c e rtific a tio n a mo unt a nd the T

• wnship no lo ng e r

ne e ds tho se funds c e rtifie d

50

E xpe nditure s

• Po sting E

xpe nditure s – sho uld b e do ne fro m the vo uc he r

• Da te
• Pa ye e
• Purc ha se o rde r numb e r
• Ac c o unt numb e r
• Amo unt
• Che c k numb e r (UAN a ssig ns this)

51

Corre c tions a nd Adjustme nts

• Vo iding a c he c k a fte r po sting
• Co rre c ting a n e xpe nditure po sting e rro r
• Co rre c ting a re c e ipt po sting e rro r
• Co rre c ting a prio r ye a r e rro r
• Re fund o f Re c e ipts
• Re fund o f E

xpe nditure s

18

52

T ra nsfe rs

• A tra nsfe r is a pe rma ne nt re a llo c a tio n o f

c a sh fro m o ne fund to a no the r

• T

ra nsfe rs must b e inc lude d o n yo ur c e rtific a te o f e stima te d re so urc e s a nd a ppro pria tio n re so lutio n

• Ohio Re vise d Co de §§ 5705.14 thro ug h

5705.16 de sc rib e a llo wa b le tra nsfe rs

53

T ra nsfe rs

• Othe r tha n c e rta in e xc e ptio ns, o nly the g e ne ra l

fund ma y tra nsfe r mo nie s to a no the r fund

• E

xc e ptio ns re la te to funds no lo ng e r ne e de d fo r the purpo se the y we re c re a te d

• So me e xc e ptio ns re q uire pe rmissio n fro m the

Ohio T a x Co mmissio ne r

• Ohio Re vise d Co de § 5705.13(c ) a llo ws fo r

e sta b lishme nt o f a c a pita l pro je c ts fund fo r the purpo se o f a c c umula ting re so urc e s fo r a c q uiring fixe d a sse ts fo r the to wnship.

54

T ra nsfe rs

• F

unds no t a llo we d to b e tra nsfe rre d

• Pro c e e ds o f lo a ns
• Pro c e e ds o f b o nd issue s, b a rring a n e xc e ptio n
• utline d in Ohio Re vise d Co de §§ 5705.14-

5705.16

• Pro c e e ds o f e xc ise ta xe s le vie d fo r a spe c ific

purpo se

• Pro c e e ds o f lic e nse fe e s le vie d fo r a pa rtic ula r

purpo se

19

55

T ra nsfe rs

• T

ruste e s must pa ss a re so lutio n a utho rizing the tra nsfe r

• Po st to the re c e ipt jo urna l a nd c a sh b o o k

the a mo unt o f the tra nsfe r fo r the fund re c e iving the tra nsfe r

• Po st to the a ppro pria tio n le dg e r a nd c a sh

b o o k the a mo unt o f the tra nsfe r fo r the fund ma king the tra nsfe r

56

Adva nc e s

• Adva nc e s a re te mpo ra ry re a llo c a tio ns o f c a sh

fro m o ne fund to a no the r

• Sta tuto ry a utho rity
• L

e ss re stric te d fund to a mo re re stric te d fund

• Re imb urse me nt re stric tio ns
• T

he re imb urse me nt must no t vio la te a ny re stric tio ns o n the mo ne y b e ing use d to ma ke the re imb urse me nt

• Adva nc e s must b e a ppro ve d b y a fo rma l

re so lutio n pa sse d b y the T ruste e s

57

Adva nc e s

• Re so lutio n fo r a n a dva nc e
• Must inc lude a CL

E AR sta te me nt tha t the tra nsa c tio n is a n a dva nc e o f c a sh, a nd

• An indic a tio n o f the mo ne y tha t is to b e use d

to re pa y the a dva nc e

• Sho uld inc lude
• T

he a mo unt o f the a dva nc e

• T

he na me o f the fund a dva nc ing the mo ne y

• T

he na me o f the fund re c e iving the mo ne y

• An e stima te d re pa yme nt da te

20

58

Adva nc e s

• Ac c o unting Pro c e dure s
• Po st a c a sh inc re a se in the fund re c e iving the

a dva nc e in the re c e ipt jo urna l a nd the c a sh b o o k

• Po st a c a sh re duc tio n in the fund ma king the

a dva nc e in the a ppro pria tio ns le dg e r a nd the c a sh b o o k

• I

f the re pa yme nt is ma de in the sa me ye a r, re ve rse the se e ntrie s whe n suc h re pa yme nt is ma de

59

Adva nc e s

• I

f the re pa yme nt do e s no t o c c ur within the sa me ye a r:

• I

nc re a se une nc umb e re d c a sh in the fund ma king the a dva nc e

• De c re a se une nc umb e re d c a sh in the fund

re c e iving the a dva nc e

• Must inc lude in b udg e t

60

Adva nc e s

• Co nve rsio n to a tra nsfe r in the sa me ye a r

a s the initia l a dva nc e

• I

f the fund initia lly re c e iving the a dva nc e will no t b e a b le to re pa y the a dva nc e

• Pe rfo rm the ne c e ssa ry pro c e dure s fo r a ppro va l o f a

tra nsfe r

• Re c o rd the tra nsfe r in the c a sh jo urna l, re c e ipts

jo urna l a nd a ppro pria tio ns le dg e r

• Re ve rse the a dva nc e
• Upda te the Ame nde d Ce rtific a te o f E

stima te d Re so urc e s

• Ame nd the Appro pria tio ns Re so lutio n

21

61

Adva nc e s

• Co nve rsio n to a tra nsfe r in a sub se q ue nt

ye a r a s the initia l a dva nc e

• I

f the fund initia lly re c e iving the a dva nc e will no t b e a b le to re pa y the a dva nc e

• Pe rfo rm the ne c e ssa ry pro c e dure s fo r a ppro va l o f a

tra nsfe r

• Upda te the Ce rtific a te o f Ava ila ble Ba la nc e s

62

Adva nc e s

• Re imb ursa b le F

E MA Gra nts

• Whe n re c e iving a g ra nt fro m F

E MA tha t will b e o n a re imb urse me nt b a sis, yo u sho uld c re a te the F E MA fund, a nd ma ke a dva nc e s into the fund fo r pa yme nt to c o ntra c to rs/ ve ndo rs. Whe n the g ra nt is re c e ive d, re c e ipt the mo ne y into the F E MA fund, a nd re turn the a dva nc e . Only a dva nc e the po rtio n tha t will b e re imb urse d.

63

T ra nsfe rs a nd Adva nc e s

• Additio na l info rma tio n o n T

ra nsfe rs a nd Adva nc e s c a n b e fo und in the Ohio T

• wnship Ha ndb o o k

22

64

De bt Se rvic e F und

• Use d to re c o rd a ll de b t pa yme nts
• I

nc lude s a ny ta x o r o the r re ve nue a ntic ipa tio n no te s issue d unde r Ohio Re vise d Co de §133.10.

• No tify the Co unty Audito r whe n de b t is

inc urre d

• T

he Co unty Audito r will distrib ute the po rtio n o f ta xe s o r re ve nue c o lle c te d tha t a re to b e use d to pa y the de b t. T he se mo nie s a re to b e re c e ipte d into the de b t se rvic e fund.

65

Inve stme nt L e dg e r

• T

he re is no spe c ific fo rma t tha t is re q uire d, b ut c e rta in pie c e s o f info rma tio n a re re q uire d to b e ke pt o n re c o rd

• An inve stme nt le dg e r sho uld inc lude the

fo llo wing :

• Da te o f T

ra nsa c tio n

• De sc riptio n o f I

nve stme nt

• T

ype o f Inve stme nt

• Amo unt Inve ste d
• Ma turity Da te
• Inte re st Ra te
• Ide ntifying Numb e r

66

Inve stme nt L e dg e r

• Re c e ipt Numb e r – T

he re c e ipt numb e r use d whe n inte re st is re c e ive d a nd po ste d. T his will pro vide a c le a r pic ture o f whe n inte re st is b e ing re c e ive d a nd tha t po sting s a re o c c urring a t tha t time

• Se pa ra te Co lumns fo r:
• Princ ipa l inve ste d
• Princ ipa l re de e me d
• T
• ta l a mo unt o f inve stme nt
• Do no t po st the purc ha se o f a n inve stme nt a s a

disb urse me nt, o r po st the re de mptio n o f a n inve stme nt a s a re c e ipt

23

67

Inve stme nt L e dg e r

• Additio na l info rma tio n re g a rding the I

nve stme nt L e dg e r a nd a n e xa mple c a n b e fo und in the Ohio T

• wnship Ha ndb o o k

68

Ba nk Re c onc ilia tions

• I

t is e sse ntia l tha t yo u re c o nc ile yo ur c a sh jo urna l to the b a nk sta te me nts e ve ry mo nth

• I

t is E SSE NT I AL tha t yo u re c o nc ile yo ur c a sh jo urna l to the b a nk sta te me nts e ve ry mo nth

• I

t is e sse ntia l tha t yo u RE CONCI L E yo ur c a sh jo urna l to the b a nk sta te me nts e ve ry mo nth

• I

t is e sse ntia l tha t yo u re c o nc ile yo ur c a sh jo urna l to the b a nk sta te me nts E VE RY mo nth

• I

f no t re c o nc ile d the to wnship c a n b e de c la re d una udita b le

69

Ba nk Re c onc ilia tions

• Re vie w yo ur b a nk sta te me nt
• I

f the re is inte re st, po st it

• I

f the re is a se rvic e c ha rg e , po st it

• Co mpa re de po sits o n the b a nk sta te me nts

to yo ur de po sits

• Yo u ma y ha ve to po st a dire c t de po sit tha t yo u

we re no t a wa re o f

• http:/ / re mitlo o kup.o b m.o hio .g o v/
• No te a ny de po sits yo u ma de tha t do n’ t

a ppe a r o n the b a nk sta te me nt

24

70

Ba nk Re c onc ilia tions

• Co mpa re the c he c ks tha t c le a re d the b a nk to

tho se in yo ur c a sh b o o k

• Ma ke a no te o f a ny c he c ks in yo ur c a sh b o o k

tha t ha ve no t c le a re d the b a nk

71

Ba nk Re c onc ilia tions

• Ba la nc e pe r Ba nk (a ll a c c o unts)
• Add De po sits in T

ra nsit

• Sub tra c t Outsta nding Che c ks
• Yo ur to ta l sho uld a g re e with yo ur c a sh b o o k to ta l

72

Ba nk Re c onc ilia tions

• Ba la nc e pe r Bo o ks is the to ta l o f a ll fund b a la nc e s

(le ft side o f c a sh b o o k)

• Ba la nc e pe r Ba nk is the to ta l o f a ll b a nk a c c o unts

(inc luding inve stme nts)

25

73

Ba nk Re c onc ilia tions

• Wha t if yo u do n’ t re c o nc ile ?
• Do ub le c he c k yo ur wo rk
• Na rro w do wn whe re the e rro r c a n b e
• De po sits pe r the b a nk sta te me nts plus this mo nth’ s

de po sits in tra nsit minus la st mo nth’ s de po sits in tra nsit sho uld e q ua l de po sits pe r b o o ks

• Cle a re d c he c ks pe r the b a nk sta te me nts plus this mo nth’ s
• utsta nding c he c ks minus la st mo nth’ s o utsta nding

c he c ks sho uld e q ua l disb urse me nts pe r b o o ks

• Re me mb e r tha t the b a nk isn’ t a lwa ys rig ht

e ithe r

74

Ba nk Re c onc ilia tions

• Additio na l info rma tio n a nd e xa mple s o f Ba nk

Re c o nc ilia tio ns c a n b e fo und in the Ohio T

• wnship Ha ndb o o k

75

Annua l F ina nc ia l Re port

F iling Re q uire me nts:

• All T
• wnship fisc a l o ffic e rs must pre pa re a n Annual F

ina nc ia l Re po rt (AF R) a t ye a r e nd

• T

he re po rt must b e file d within 60 da ys o f ye a r e nd

• F

iling is a c c o mplishe d e ithe r thro ug h the Unifo rm Ac c o unting Ne two rk (UAN) a nd/ o r thro ug h Hinkle Annua l F ina nc ia l Da ta Re po rting Syste m (Hinkle Syste m)

26

76

Annua l F ina nc ia l Re port

F iling Re q uire me nts (Co ntinue d):

• UAN use rs will fo llo w the a ppro pria te pro c e dure s o utline d in

the “Unifo rm Ac c o unting Ne two rk Ac c o unting Ma nua l fo r T

• wnships” in sub mitting the a nnua l fina nc ia l re po rt
• T
• wnships using a ma nua l syste m will re c e ive a n e ma il fro m

the Hinkle Syste m with a n e ntity spe c ific link whe re the re po rt must b e file d

• T

his link ma y a lso b e o b ta ine d fro m the T

• wnship’ s e Se rvic e s

a c c o unt

• http:/ / www.o hio a udito r.g o v/ re so urc e s/ e se rvic e s/ de fa ult.html

77

Annua l F ina nc ia l Re port

F iling Re q uire me nts (Co ntinue d):

• K

e e p o ne c o py o f yo ur sub mitte d re po rt fo r yo ur re c o rds

• At the time the a nnua l fina nc ia l re po rt is file d with the Audito r o f

Sta te , the fisc a l o ffic e r must pub lish in the ne wspa pe r no tic e o f the c o mple tio n o f the re po rt a nd the fa c t tha t the re po rt is a va ila b le a t the o ffic e o f the fisc a l o ffic e r

• T
• a c c e ss the Hinkle Syste m’ s F

AQ se c tio n, visit:

• http:/ / www.o hio a udito r.g o v/ fina nc ia lre po rting / Hinkle %20Annua l%20F

ina nc ia l%20D a ta %20Re po rting %20Syste m%20F re que ntly%20Aske d%20Que stio ns_- %20re vise d%20Ja nua ry%202019.pdf

• A we b ina r fo r No te s to the fina nc ia l sta te me nts c a n b e fo und a t:
• https:/ / www.yo utub e .c o m/ wa tc h? v=a VL

IgI b E VJ0 78

Annua l F ina nc ia l Re port

• Additio na l info rma tio n o n the Annual

F ina nc ia l Re po rt c a n b e fo und in the Ohio T

• wnship Ha ndb o o k

27

Local Government Services 88 E. Broad St. Columbus, Ohio 43215 Christopher S. McKee csmckee@ohioauditor.gov Justin W. Sloan jwsloan@ohioauditor.gov Presenter(s) phone: (800) 345-2519

88 E. Broad St. Columbus, Ohio 43215 Phone: (800) 282-0370 www.OhioAuditor.gov