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Correcting Bookkeeping and Cost Allocation Entries (APS 021)

FPP A.013



Agencies are allowed to make bookkeeping adjustments and corrections to their accounting records.

Agencies are also allowed to temporarily charge salary and operating costs to an interim appropriation. Once information is available to specifically identify the correct appropriation to charge, the agencies must allocate the costs to the correct appropriation.


General Appropriations Act (GAA), Article IX, Sections 6.14, 6.15, 6.19, 88th Legislature, Regular Session

Example 1

Supplies are sometimes purchased in advance of their distribution to various divisions or departments within an agency.

Example 2

Payrolls must be submitted to the Comptroller’s office several days before the end of the month. An agency charging an employee’s time to the various programs where the employee actually works has not processed the timekeeping reports at the time the payroll is submitted to the Comptroller’s office. Thus, an estimated amount is charged against each appropriation and adjustments are made later.


The Fiscal Management Division of the Comptroller’s office may audit expenditure transfer transactions.

The Fiscal Management Division responsibilities include reviewing agency cost allocation transactions. The review includes:

  • Proper accounting detail (descriptive legal text, comptroller objects).
  • Timeliness of allocation (within 30 days following the end of a fiscal quarter, and 60 days following the end of the fiscal year).

Timely and Accurate Reporting

Timely and accurate coding of correcting and cost allocation entries is important. Agencies, the Legislature, and others rely on USAS transaction details for Automated Budget and Evaluation System for Texas (ABEST) reporting, annual financial reports, the State of Texas Annual Comprehensive Financial Report, and the State of Texas Annual Cash Report. USAS data is also used for Historically Underutilized Business reporting. Each agency is responsible for ensuring that USAS transaction detail, including vendor numbers, object codes and other details are current and accurate. Special attention should be paid to correcting entries made in the final quarter of the fiscal year to make sure they post in the correct fiscal period.