Okaloosa County BOCC — January 19, 2016 — Financial Accounting Practices attachment

Financial Accounting Practices 1. Will all funds awarded under this program be maintained in a manner that they will be accounted for separately and distinctly from other sources of revenue/funding? Please provide a brief description of the organization’s policies and procedures that ensure funds will be tracked appropriately. Yes. Upon receipt of the fully executed grant agreement, the Contracts and Grants Finance Department ensures that the grant is established in the financial system; funds are budgeted according to the granting agency approval. A grant department is created specifically for the grant where revenue and expenditures are tracked separately. 2. Does the applicant have written accounting policies and procedures? How often are these policies and procedures updated? Please provide a brief list of the topics covered in the organization’s policies and procedures. OVW may request a copy for review during the application/award process or as part of the grant monitoring process. Yes. The policies and procedures are reviewed annually and changes are made as needed. Administration, Accounts payable, Financial reporting, General accounting, Payroll, Year end. 3. Is the applicants financial management system able to track actual expenditures and outlays with budgeted amounts for each grant or subgrant? Please provide a brief summary of the organization’s process for tracking expenditures. Yes. The Program Manager codes expenditures to the appropriate accounts according to the granting agency’s approved budget for only those costs eligible under the award and submits to the Contracts and Grants Finance Department invoices to be paid from the grant funds. If expenditures are paid from a credit card, Contracts and Grants Finance Department reviews expenditures on a monthly basis. Once paid, the expenditures are posted to the grant department. 4. Does the applicant have procedures in place for minimizing the time between transfer of funds from the United States Treasury and disbursement for project activities? Please provide a short summary of the organization’s policy for requesting payments for grant awards. Yes. The Program Manager submits grant reimbursement requests to the Contracts and Grants Finance Department on a cost reimbursement basis; either quarterly or monthly. The Contracts and Grants Finance Department then reviews the reimbursement request to ensure accurate posting to the general ledger. If revisions are needed, Contracts and Grants Finance Department works with the Program Manager to resolve. The Contracts and Grants Manager then submits the reimbursement request to the applicable granting agency. 5. Does the applicant have effective internal controls in place to adequately safeguard grant assets and to ensure that they are used solely for authorized purposes? Please provide a brief description. Yes, the County has tangible personal property inventory and accountability processes in place within the accounting system and does perform annual inventory. 6. Does the applicant have a documented records retention policy? If so, briefly describe the policy. The County uses the General Records Schedule GS1-SL for State and Local Government Agencies to determine the retention period for documents, unless the grant document references a different retention period. 7. Is the individual primarily responsible for fiscal and administrative oversight of grant awards familiar with the applicable grants management rules, principles, and regulations including the Uniform Administrative Requirements, Cost Principles, a