Kansas Department of Administration

01-a-017 - Establishment of Additional and Revision of Revenue Subobject for Grants (April 5, 2001)

Posted on 10/21/2021 at 12:49 PM by Kansas Department of Administration

INFORMATIONAL CIRCULAR NO. 01-A-017
DATE: April 5, 2001
SUBJECT: Establishment of Additional and Revision of Revenue Subobject for Grants
EFFECTIVE DATE: Immediately
A & R CONTACT: Financial Integrity Team
Pam Karns
Mike Lovich

(785) 296-2660
(785) 296-2131

(pam.karns@da.state.ks.us)
(mike.lovich@da.state.ks.us)
APPROVAL: Approved by Dale Brunton
SUMMARY: According to Governmental Accounting Standard Board (GASB) Statement 34, revenues from grants should be classified as operating or capital.


These changes are based on a survey sent to agencies who receive large amounts of grant money. This survey revealed that most of the revenues received for grants were for operating grants. In those situations where grant revenues are received for capital projects, additional revenue subobject codes are being established to report these capital grant revenues. The reporting of operating and capital grants is necessary to comply with Generally Accepted Accounting Principles (GAAP) and GASB Statement 34.

The following revenue subobject codes for grants have been revised to report operating grants. Operating grants are defined as grants used for the operation of a specific program. The following changes in descriptions for operating grants are effective immediately:

4010 Highways and Bridges (Operating Grants): Federal grants and matching funds for building highways and bridges, including grants for primary, urban and secondary roads. (Agency 276 only)
4020 Public Health (Operating Grants): Federal grants for hospital survey and planning, tuberculosis control, cancer control, heart disease control, children's bureau and grants under U.S. Public Health Service, the Social Security Act, and grants to the University of Kansas Medical Center.
4031 SRS Federal Formula Operating Grants-Emergency Assistance
4032 SRS Federal Formula Operating Grants-Aid to Dependent Children-Assistance
4033 SRS Federal Formula Operating Grants-Title IV-E Foster Care
4035 SRS Federal Formula Operating Grants-Child Welfare Services
4036 SRS Federal Formula Operating Grants-Aid for Medical Assistance-Assistance
4038 SRS Federal Formula Operating Grants-Title IV-D Child Support Enforcement
4039 SRS Federal Formula Operating Grants-Vietnamese Refugee
4040 Employment Security Administration (Operating Grants): Federal grants received for employment security administration, gathering of labor statistics, and administration of payments to veterans. (Agency 296 only)
4050 Education and Research (Operating Grants): Federal grants received for educational and research programs including, but not limited to, vocational rehabilitation, on-farm training for veterans, instructor salaries, education, educational research, and agricultural research grants.
4062 SRS Federal Formula Operating Grants-Refugee Targeted Assistance-Sedgwick County
4064 SRS Federal Formula Operating Grants-Aid to Dependent Children-Administration
4065 SRS Federal Formula Operating Grants-Medical Assistance-Administration
4066 SRS Federal Formula Operating Grants-Food Stamp Program
4069 SRS Other Federal Formula Operating Grants
4071 SRS Federal Block Operating Grants-Social Service Assistance Programs
4073 SRS Federal Block Operating Grants-Alcohol and Drug Assistance Programs
4074 SRS Federal Block Operating Grants-Energy Assistance
4090 Other Federal Grants(Operating Grants): Federal grants for aid in wildlife restoration, work-study programs, and other grants to aid in the support of specific functions of government not classified elsewhere.
4100 All Other Operating Grants, Gifts, Donations and Contributions: Amounts received from private and public sources, other than the federal government, for use in support of specific functions of government or for use in other governmental activities.

The following federal grants revenue subobject codes are being established to report capital grants revenues. Paragraph 50 of GASB Statement 34 states that a capital grant is used to purchase, construct or renovate a capital asset associated with a specific program. The following additions for capital grants are effective immediately:

4014 Highways and Bridges (Capital Grants): Federal Grants and matching funds for building highways and bridges, including grants for primary, urban and secondary roads.
4054 Education and Research(Capital Grants): Federal grants received for educational and research programs including, but not limited to, vocational rehabilitation, on-farm training for veterans, instructor salaries, education, educational research, and agricultural research grants.
4094 Other Federal Grants(Capital Grants): Federal grants for aid in wildlife restoration, work-study programs, and other grants to aid in the support of specific functions of government not classified elsewhere.
4104 All Other Capital Grants, Gifts, Donations and Contributions: Amounts received from private and public sources, other than the federal government, for use in support of specific functions of government or for use in other governmental activities.

These revisions will be reflected in the Uniform Receipt Classification Revenue Sub-object Codes filing (PPM Filing Number 6,002) on the Division of Accounts and Reports web site http://www.da.ks.gov/ar/ppm/ppm01001.htm.

DB:PK:lmm 

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