ISU Extension County Staff Fiscal Responsibility Training

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ISU ExtensionCounty StaffFiscal Responsibility
Training
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ISU Extension County Staff Fiscal Responsibility
Training

• Goals
• To help staff understand the ISUE financial
  network and partnerships
• To help staff understand the District role as a
  government subdivision
• To prepare staff to keep the District records and
  prepare reports

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Iowa State University Extension
Federal USDA
Iowa State University
Memorandum of Understanding
County Extension District
State of Iowa
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County Procedures
County Fiscal Policies
GAAP
Memorandum of Understanding
Extension Law Chapter 176A
Code of Iowa Chapters 20, 21, 24 176A
County Extension Legal Pyramid
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What do you know?

• Can you name the three governmental funding
  sources for Extension?
• Federal, State and County
• What is the document that explains the
  relationship of ISUE to a local Extension
  district?
• Memorandum of Understanding

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Fiscal Calendar

• The fiscal year for Extension is July 1-June 30.
  
• FY means fiscal year and is usually accompanied
  by the year.
• FY09 is fiscal year 2009 (July 1, 2008
  June 30, 2009)
• FY12 is fiscal year 2012 (July 1, 2011
  June 30, 2012)

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County Agricultural Extension District Single
Fiscal Year Cycle Fiscal Year July 1 June 30
Amend as needed July through May
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24-month Financial Cycle Fiscal
Year July 1 to June 30
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Your interpretation?

• You are trying to get your council budget
  committee together to start work on the county
  budget for the next fiscal year. When should you
  try to schedule the meeting?
• Sometime between November and January

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CASH SUPPORTFOR THECOUNTY AGRICULTURAL
EXTENSION DISTRICT
Income Sources

• TAXES
• Property
• Other
• - - - - - - - - - - - -
• Tort Liability
• Unemployment
• Compensation

OTHER
INTEREST
FEES Program Resale
GRANTS
NON-CASH SUPPORT FOR COUNTY AGRICULTURAL EXTENSION
DISTRICTS
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County Extension LawCode of IowaChapter
176.ACounty Agricultural Extension Law

• 176A.5 County agricultural extension council.
  There shall be elected in each extension district
  an extension council consisting of nine members.
  Each member of the extension council shall be a
  resident registered voter of the extension
  district.
• 176A.5.2. Each extension council shall meet at
  least two times during a calendar year and at
  other times during the year as the council
  determines. The date, time, and place of each
  meeting shall be fixed by the council.

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• 176A.8 Powers and duties of county agricultural
  extension council. The extension councils of each
  extension district of the state shall have,
  exercise, and perform the following powers and
  duties
• 176A.8.6 To prepare annually before March 15 a
  budget for the fiscal year beginning July 1 and
  ending the following June 30, in accordance with
  the provisions of chapter 24 and certify the same
  to the board of supervisors of the county of
  their extension district as required by law.

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• 176A.13 To carry over unexpended county
  agricultural extension education funds into the
  next year so that funds will be available to
  carry on the program until such time as moneys
  received from taxes are collected by the county
  treasurer. However, the unencumbered funds in the
  county agricultural extension education fund in
  excess of one-half the amount expended from the
  fund in the previous year shall be paid over to
  the county treasurer.
• 176A.14 To file with the county auditor and to
  publish in two newspapers of general circulation
  in the district before August 1 full and detailed
  reports

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Know your Iowa Code?

• What section of the Iowa Code would help you with
  the question about going into closed session?
• - Iowa Code Chapter 21
• What is your public notification policy for
  council meetings?
• - Posting agenda 24 hours in advance in public
• Council meeting does not have a quorum.

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County Fiscal Policy
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• Section II, 2.3 Public Funds2
• Public Funds are those funds owned by a public
  entity such an extension district. This includes
  both tax and non-tax monies. All monies raised
  by users of the district entity are owned by the
  district, not the user, and are under the control
  of the local council.
• All public funds are the legal responsibility of
  the council. Legal responsibility assigned by
  law cannot be transferred by council action.
• All public funds have the same legal requirements
  for accounting, reporting, auditing and allowing,
  proper signatures, segregation of duties,
  publishing, bonding, investing and uniform
  financial accounting procedures.

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Categories of Public Funds

• County Tax Fund
• Grants/Contracts Fund
• Fee Program Fund
• Donor Restricted Fund
• Donor Unrestricted Fund
• Tort Fund
• Unemployment Fund

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What type of fund is it?

• Ag field specialist conducts ProAg Workshop
• Fee Program Fund
• 4-H family contributes to the XYZ Memorial
  Scholarship Fund
• Donor Restricted Fund
• Retail business donates to the 4-H program
• Donor Unrestricted Fund

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• Section III, 3.2 Appropriate Expenses
• A. Expenses paid with money collected and
  disbursed by the county extension council should
  be used to deliver quality, research-based
  information for the benefit of all Iowans.
• - The public purpose is determined by the
  extension council based on local expectations and
  standards for the spending of public funds.
• - Council establish policies within approved
  budget

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Agency Fund

• A County Agricultural Extension District may
  allow an Agency Fund to be established to hold
  funds in custody for an entity cooperating with
  Extension programs. These funds are owned and
  managed by the entity, not by the County
  Extension Council.
• The Agency Fund allows only non-Extension
  money to be deposited, or held, in it. Agency
  funds typically involve only the receipt,
  temporary investment, and remittance of assets to
  their rightful owners.

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Agency Fund (cont.)

• Extension must not have the ultimate
  decision-making authority about the use of the
  funds, consider these criteria
• A. Is the non-Extension entity legally
  separate? If so, the legal entity has sole
  decision-making authority for the money held in
  the fund.
• B. If any of the following apply, the Extension
  Council probably has the ultimate
  decision-making authority
• (1) Is the entity appointed by the
  Council?
• (2) Does the entity carry out any part of
  the Extension program?
• (3) Is the Council able to, if so desired,
  impart its will on the entity?
• (4) Does the Council support the entity
  with other funding through the
  Education Operating Fund?

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County Agricultural Extension District Extension
Council
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Examples of Public Good Expenditures

• A volunteer policy determines that screening and
  recognition are components of the countys
  volunteer management system.
• A program policy determines that recognition is a
  component of the youth and 4-H program.
• A policy to allow food purchases in support of
  educational programs/meetings

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County Fiscal Management and Council
Organizational Forms

• Budget Materials and Proof of Publication
• Entry Form
• Form 678 Adopted Budget Certificate of Taxes
• CB-1 County Budget Worksheet
• CB-2 Approved Budget Summary
• Form 674 Notice of Public Hearing
• Form 674-A Attachment 1 Supplemental Detail
  General Levy
• Form 674-A Attachment 2 Supplemental Detail
  Tort and Unemployment Levies
• Affidavit of Publication

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• Reorganization Materials Certificate
• ECO-1 Notice of Organizational Meeting
• ECO-2 Minutes of Organizational Meeting
• ECO-3 Certificate of Organization
• Certificate of Bond
• ECO-4 Notice of Treasurer Bonding
• Certificate of Bond

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• Reports
• Bank Statement with deposit slips or
  electronic imaging attached
• Monthly Bank Reconciliation
• Balance Sheet Report
• Council Revenue and Expense Statement
• Directors Revenue and Expense Statement
• Voucher Report for Council from council
  meeting to council meeting
• Bank Register Report from first day of
  month to last day of month
• Transactions Reports

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• Year End Reports Proof of Publication
• Balance Sheet Report as of June 30th
• Council Revenue and Expense Statement July 1
  to June 30
• Directors Revenue and Expense Statement July 1
  to June 30
• Transactions Reports July 1 to June 30
• Published Report as of June 30th
• Proof of Publication
• Send two copies to AEED at year-end

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Thank you

• Thank you for your participation in the county
  fiscal self-study.
• If you have questions, please contact your Area
  Director.

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Study course prepared by

• Area Extension Education Directors
• Sherry Glenn, Central
• Lois Hunt, Southeast
• Alan Ladd, Southwest
• Don Nitchie, Northwest
• Mary Schrandt-Prouty, Northeast
• Laurie Gustafson, Director of ISU Extension
  Budget Finance
• Editing by Jolene McCoy
• External Relations Specialist, Central Area.
• September 2008