RUNNING MULTIPLE CONTRACTS– Susan White, ACKCO, Inc –

WORKSHOP OBJECTIVES: How To Build Sustainability Into Your Program How To Prepare for Change How States Can Monitor the Contracts

HOW TO BUILD SUSTAINABILITY

KEY ELEMENTS:

• Strategic Planning• Agency Systems

HOW TO BUILD SUSTAINABILITY

PROGRAM STABILITY STRATEGIC PLANNING

• Where are we now?• How did we get here?• Where are we going?• Where should we be going?• How will we get there?

HOW TO BUILD SUSTAINABILITY

OPTIONS:• No Change• Social Entrepreneurship• Leveraged Resources• Alternative Funding Sources

• Federal• State• Private

PREPARE FOR CHANGE

ASSET MAPPINGMobilizing of individuals, agencies, businesses, and

organizations to make connections and build capacity

• Community Asset Mapping• Agency Asset Mapping

PREPARE FOR CHANGE

COMMUNITY ASSETS

Define Your Communities:

• Business Community• Non Profit Community• Government Community• Geographic Community• Service Community

PREPARE FOR CHANGE

COMMUNITY ASSETS (con’t)

• Starts with what is present in the community• Concentrates on the agenda-building and problem-solving

capacity of the different communities• Stresses local determination, investment, creativity, and

control

PREPARE FOR CHANGECOMMUNITY ASSETS (con’t)

ListOf

Assets

StrongWorking

Relationship

Intermittent

WorkingRelationsh

ip

WeakWorking

Relationship

ShouldWork With

No Working Relationsh

ip

Comments

PEPARE FOR CHANGEAGENCY ASSETS

1. Cash

2. Equipment

3. Human

4. Other

PREPARE FOR CHANGEACTION PLAN

Objective:Activities Begin

DateEnd Date Individual

Responsible

PREPARE FOR CHANGE

SystemsRules and RegulationsFederal Financial Management Standards• Records that identify adequately the source and application of

funds for federally sponsored activities• Written procedures for determining the reasonableness,

allocability and allowability of costs in accordance with the cost principles

• Accounting records supported by source documentation

PREPARE FOR CHANGE

Systems (con’t)System Requirements• Must be able to record financial activities by type of expenditure

(account).• Must be able to record financial activities by program or

department.• Agency’s Chart of Accounts must support the tracking of financial

activities by program or department, account and job.

PREPARE FOR CHANGE

Systems (con’t)Allocation of Costs by Funding Source• Identify the service/goods and costs of each to be allocated to

multiple funding sources,• Determine the method (unit) for costing of each service/goods to

individual funding sources,• Identify the source documentation to support the cost, and• Allocate costs mathematically.

PREPARE FOR CHANGESystems (con’t)EXPENDITURES

Expense Method of Allocation Source DocumentationPayrollFringe BenefitsContractual, if applicableMaterialsVehicles and OperationTelephoneInsuranceOffice Space and Utilities

STATE MONITORING

INTERNAL AND EXTERNAL REVIEW

Step 1: Print out a list of expenditures for a specified time period

Step 2: Pull the source documentation of each expenditure and verify

Step 3: Conduct a cash analysis for each program/department

STATE MONITORINGINTERNAL AND EXTERNAL REVIEW (con’t)

REVIEW OF EXPENDITURESPayee Total

AmountSource Doc

Expense Account

Program or

Department

Program Amount

Comments

ExampleT. Wauneka

2,500.00 Timesheet PayrollDOEUtility

1,000.001,500.00

Actual hours per program document on timesheet

STATE MONITORINGINTERNAL AND EXTERNAL REVIEW (con’t)

1. Revenue and expenditures are cumulative

DOE LIHEAP UTILITY

a. Revenue

Advances

Invoice Payments

b. Total Revenue

c. Expenditures

Expenditures

Unliquidated Obligations

d. Cash Outlays (Expenditures less unliquidated obligations)

Cash Balance (b-d)