Reporting Requirements for Annual Financial Reports of State Agencies and Universities

Interfund Activity

Transfers
Legislative Transfers In/Out within Fund 0001

Report budget transfers (T-codes 012 and 018) between agencies within fund 0001 as legislative transfers in/out — except payroll-related allocations from agency 902 (these are reported as additional appropriations).

Legislative transfers within fund 0001 occur when generated transactions from T-codes 012 and 018 post to any one of the following budgetary comptroller object codes (COBJs):

• 9410 – Appropriation Transfer-In – Committed
• 9515 – Appropriation Transfer-Out – Committed
• 9476 or 9576 – HEAF Transfer Into/Out to Debt Service Appropriation – Committed
• 9541 – BRP Transfer Out to Strategies – Committed
• 9546 – Salary Increase Transfer-Out to Strategy – Committed
• 9548 – Salary Increase Transfer-Out to Strategy – Collected
• 9591 – Longevity Pay Increase Transfer-Out to Strategy – Committed

Deficiency grants are one example of a legislative transfer. Deficiency grants are budget increases resulting from an emergency or transfer of responsibility by the Legislature. The additional grant amount is reported as a budget transfer from or to the agency that sent or received the grant.

Report these transfers as legislative transfers in/out on the:

• Statement of Revenues, Expenses and Changes in Net Position
• Statement of Revenues, Expenditures and Changes in Fund Balances
• Statement of Activities
• Statement of Changes in Fiduciary Net Position

For AFR purposes, report budget transfers between GAAP fund types or between different agencies. Eliminate budget transfers within your agency so legislative transfers in/out are not overstated. This includes budget transfers posted to the same D23 fund but to different appropriation numbers. Eliminations must be entered at the D23 fund level, with an AGL entry.

Agencies must analyze legislative amounts to determine the appropriate budget amount and prepare AFR eliminating entries.

Budget transfers in USAS must match those displayed in the GR Reconciliation web application. Budget transfer balances in the GR Reconciliation web application are the result of the generated transactions from T-codes 012, 015, 018 and 021. These transactions are uploaded to the GR Reconciliation web application in lines 500300 and 500400. Budget transfer balances in USAS are the result of the generated transactions from T-codes 012, 015, 018 and 021. These transactions are reported as legislative transfers in USAS for the COBJs listed above.

Use T-code 459 to eliminate legislative transfers in and T-code 457 to eliminate legislative transfers out made within your agency within the same GAAP fund. The D23 fund must be entered in the AGL field even if the GAAP fund is the same. Use the working paper titled General Revenue, Eliminate Operating Statement Legislative Transfers within Agency located in Working Papers to prepare eliminating entries.

The AGL field must be entered for all eliminations, even for T-codes that display a “WOH” warning message when the AGL field is entered. Otherwise, a “no post” (NP) is created in legislative transfers and must be corrected.

For example, when processing an elimination entry using T-code 459, USAS displays a “WOH” warning message when the AGL field is entered. This is because the AGL field is not a required field for that T-code. T-code 459 is also a generated T-code from other T-codes that do not use the AGL field (such as T-codes 001, 006 and 009). However, an AGL must be entered when it is used to eliminate legislative transfers. The system-generated “WOH” message is only a warning message — not an error — and the entry will process.

Use the Interagency/Interfund Activity report (located in the FMQuery–SIRS USAS Research Tools menu) to verify the D23 fund with AGL transactions that need to be eliminated.

All elimination entries must be processed in USAS by Sept. 26 (interfund activities deadline).