head start fiscal training april 2009 trainer: phuongy nguyen

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Head Start Fiscal Training April 2009 Trainer: PhuongY Nguyen

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Page 1: Head Start Fiscal Training April 2009 Trainer: PhuongY Nguyen

Head Start Fiscal TrainingApril 2009

Trainer: PhuongY Nguyen

Page 2: Head Start Fiscal Training April 2009 Trainer: PhuongY Nguyen

Cost Matching

1. Also known as In-Kind Contributions or Non-Federal Share

2. Criteria• Verifiable from recipient’s records• Not included in another Federally-assisted project• Allocable, necessary and reasonable• Allowable under cost principles• Not paid by Federal Government• Included in approved budget• Conform to other provisions

Page 3: Head Start Fiscal Training April 2009 Trainer: PhuongY Nguyen

Cost Matching

2. Value in accordance with cost principles3. Volunteer services

•Integral and necessary•Rates for similar work in the organization or labor market•Fringe benefits

4. Employer provided services – rate of pay plus paid fringe benefits5. Donated supplies – reasonable, FMV6. Equipment & buildings – independent appraisal

Page 4: Head Start Fiscal Training April 2009 Trainer: PhuongY Nguyen

Cost Matching

DFSS’ agencies are required to match at least:one fourth of the total program costs

or one third of the Head Start costs.

Example:Total program costs $1,200,000Required Match $300,000Reimbursed by Head Start Funds $900,000

Page 5: Head Start Fiscal Training April 2009 Trainer: PhuongY Nguyen

Administrative Cost Limitation

DFSS’ agencies are allowed to have a maximum of ten percent of combined total program and matched costs for administrative expenses.

Example:Head Start Funds $900,000Required Matching Funds $300,000Total Program Costs $1,200,000

x 10%Administrative Costs $120,000

Page 6: Head Start Fiscal Training April 2009 Trainer: PhuongY Nguyen

Compensation Limitation

No funds may be charged to the Head Start grant or to any other Federal program either as a direct cost or any pro-ration as an indirect cost for an employee whose compensation exceeds $177,000 @ January 2009.

The same limitation applies to in-kind.

Page 7: Head Start Fiscal Training April 2009 Trainer: PhuongY Nguyen

Common Allowable Costs

Advertising for recruitment or procurementAuditsBondingCommunicationsCompensation for personal services – Severance PayDepreciation or use allowance Employee morale, health and welfareEquipment (with prior approval from FSS)Insurance, including self-insuranceLabor relationsMaintenance and repairsOrganization memberships in professional and civic organizationsMaterials and suppliesProfessional service costsPublication and printing costsRental costs of building and equipment Training - Travel

Page 8: Head Start Fiscal Training April 2009 Trainer: PhuongY Nguyen

Factors affecting allowability of costs

• Reasonableness (including necessity)

• Allocability

• Consistency

• Conformance

Page 9: Head Start Fiscal Training April 2009 Trainer: PhuongY Nguyen

Common Unallowable Costs

•Alcoholic beverages•Bad Debts•Lobbying•Entertainment costs•Gift•Fines and penalties•Fundraising•Contingency funds•Losses on other awards or contracts

Page 10: Head Start Fiscal Training April 2009 Trainer: PhuongY Nguyen

Parent Activity Funds Narrative

The Parent Activity Fund is money set aside in the program budget to provide parents the opportunity and experience in planning, developing and implementing their own projects. The Parent Activity Fund amount varies from program to program. While there is no standard formula, programs have allocated from $3 to $10 per child for this fund. Generally, each Parent Committee is allocated a specific amount from the Parent Activity Fund based on the number of children the Parent Committee represents. For example, with a $5 per child parent activity fund allotment, the Parent Activity Fund would be $200 in a center with 40 children. The Parent Committee would decide how they want to spend the funds, and would then make a request to the Policy Council for approval. Specific examples of the kinds of activities supported by the Parent Activity Fund include:• Identifying a special speaker to present at a Parent Committee meeting and paying his or her fee.• Entrance fee for parents on a field trip to the zoo as chaperones.• Paying the registration fee and expenses for a Parent of the Year to attend a state Head Start Association conference.• Purchasing ingredients for a cooking class for parents on low-budget nutritious meals or Chinese cooking or some other special food interest.

The Parent Activity Fund should be spent on the basis of project relatedness. The Parent Activity Fund must not be used for activities that are solely for entertainment. Entertainment can be defined as cost of amusement, social activities, ceremonials and incidental cost relating thereto, such as meals, lodging, transportation and gratuities.

Page 11: Head Start Fiscal Training April 2009 Trainer: PhuongY Nguyen

PhuongY Nguyen - Manager of Finance

Telephone: 312/743-1053 Fax: 312/743-2095

[email protected]

Marshall Petegorsky – Accountant

Telephone: 312/743-2078

[email protected]

Salina Ruan – Accountant

Telephone: 312/743-2079

[email protected]

Head Start – DFSSFiscal Contact