Coronavirus Relief Federal Funding Accounting Policy for the State of Texas

Reimbursement of State Expenditures With Coronavirus Relief Funds

Reimbursements to Be Made on an Exception Basis Only

As stated earlier, agencies must make every effort to make payments directly from Appropriated Fund 0325. Limited exceptions may exist only if state law or other processes prohibit the initial use of Appropriated Fund 0325. Reimbursements of state expenditures with coronavirus relief funds should be on an exception basis only.

Note: This section applies to all expenditures of coronavirus relief funds when the expenditure of the funds occurs before the coronavirus relief funds are received in the state treasury.

Expenditure Transfer Voucher Requirements

Agencies should make every effort to make payments directly from Appropriated Fund 0325 when possible. However, if agencies have already made expenditures from state funds that will be reimbursed with coronavirus relief funds, agencies must process expenditure transfer vouchers (ETVs) to initiate the reimbursement of state funds with coronavirus relief funds:

1. Each ETV must be processed within three business days of the coronavirus relief reimbursement being deposited in Appropriated Fund 0325.
   –and–
2. Each ETV must itemize each actual comptroller object and each payee who received a payment.

Note: If the payee is confidential, the confidential indicator must be correctly entered in USAS. If the original payment was marked as confidential, any ETV transaction moving the expense must be marked as confidential to maintain the confidential designation. To process an ETV, the Pre-Enc/Enc/Expend Transaction Entry (505) screen or the USAS detail transaction input record via electronic batch input file may be used with the confidential indicator marked appropriately. The Balanced JV Transaction Entry (509) screen is not available for this activity. See USAS and CAPPS Financials Confidentiality Indicator (FPP E.045) for more information.

Summary Expenditure Transfer Voucher Requirements

The Comptroller’s office will allow certain entitlement programs, programs with statutory restrictions or any other federal programs with confidentiality requirements to process the original payment from non-coronavirus relief funding sources. To transfer these expenses to Appropriated Fund 0325, the expenditure transfer process may be done at a summary vendor level while using each specific comptroller object. Summary vendor number 31001035695 must be used, or a federal program specific summary vendor number (if established) may be used. The summary transfer should be done as soon as administratively possible, but may occur not later than 10 days after month end. Refer to the transfer steps below for the processing sequence.

The Comptroller’s office will allow administrative costs (such as time and labor), when allowed by federal program, to process the original payment from non-coronavirus relief funding sources. To transfer these expenses to Appropriated Fund 0325, a cost allocation of the administrative cost may be done at a summary level while using each specific comptroller object. Summary vendor number 31001035695 must be used. The summary transfer should be done as soon as administratively possible, but may occur not later than 10 days after month end. Refer to the transfer steps below for the processing sequence.

The agency must receive approval from the Comptroller’s office before performing the summary level expenditure transfer vouchers. Any exemption request submitted must include:

• Identification of the affected coronavirus relief federal program.
• Acknowledgment of the transparency and accountability requirements at the state and federal level.
• Full description of the program or technical limitation preventing the recording of expenditure activity in Appropriated Fund 0325.
• Estimate of resource time and cost required to comply with the stated policy.
• Acknowledgment that the agency or institution is prepared to provide coronavirus relief related expenditure detail on request to comply with all state and federal reporting and auditing requirements.
• A detailed sample report demonstrating how coronavirus relief expenditures are uniquely identified at the agency or institution level.
  –and–
• The agency or institution head’s signature on the exemption request.

Example of Expenditure Transfer From Non-Coronavirus Relief Fund Into Appropriated Fund 0325

Transfer of Original Expenditure

Transfer Expenditure Into Appropriated Fund 0325

*The PCA should infer the disaster PCA group 20201.

CAPPS agencies will initiate expenditure transfers with an accounts payable voucher and the appropriate accounting entry template for ETV.

Cash Transfer Requirements

Note: This section is not applicable to all agencies. Contact your appropriation control officer before attempting these transactions.

Agencies may process cash transfers to other appropriated funds only if state law or existing processes do not permit payments to be directly made from Appropriated Fund 0325 or if an exemption request, as described earlier, has been approved. Agencies may not transfer coronavirus relief funds to non-coronavirus relief funds more than three business days before distribution is expected.

For agencies temporarily processing coronavirus relief expenses outside of Appropriated Fund 0325:

1. Agencies must establish one or more new agency funds through the D23 profile in USAS that maintain the cash separately from non-coronavirus relief cash.
   –and–
2. Agencies must process ETVs to record the expenditures under Appropriated Fund 0325:
   • Each ETV must be processed within three business days of the expenditure being made unless summary expenditure transfers are allowed as described above.
     –and–
   • Each ETV must itemize each actual comptroller object and each payee who received a payment unless summary expenditure transfers are allowed as described above. Remember, if the payee is confidential, then the confidential indicator must be correctly entered in USAS.

Example for Transfer of Cash to Non-Coronavirus Relief Fund When Original Payment of Expenditures Occurs, Then Reverse Cash Transfer and Move Expenditure via ETV to Appropriated Fund 0325

Transfer Cash to Other Non-Coronavirus Relief Fund

*The PCA should infer the disaster PCA group 20201.

Establish Budget Authority in a Non-Coronavirus Relief Fund

Pay Expenditures From Other Non-Coronavirus Relief Fund

Reverse Transfer From Non-Coronavirus Relief Fund to Appropriated Fund 0325

*The PCA should infer the disaster PCA group 20201.

Transfer of Original Expenditure

Transfer Expenditure Into Appropriated Fund 0325

Note: Agencies must ensure the confidential indicator is set appropriately to flag confidential activity. Batch Type 8 is not available if the CONF field requires input. See USAS and CAPPS Financials Confidentiality Indicator (FPP E.045) for additional information.

*The PCA should infer the disaster PCA group 20201.

Reverse Budget Authority in a Non-Coronavirus Relief Fund

Example for Transfer of Cash to Non-Coronavirus Relief Fund When Original Payment of Expenditures Occurs and Approved Exemption Request Allows Coronavirus Relief Expenditures to Remain Outside of Appropriated Fund 0325

Transfer Cash to Other Non-Coronavirus Relief Fund

*The PCA should infer the disaster PCA group 20201.

Note: Agencies experiencing cash flow issues related to these entries should contact their appropriation control officer.

Authorized level 1 users should contact the CAPPS help desk to assist with cash transfer entries.