Reporting Requirements for Annual Financial Reports of State Agencies and Universities
Pass-Through Activity
Special Conditions
Reporting of the Robert C. Byrd Scholarship Program
The Robert C. Byrd Scholarship program (Byrd Scholarship) is administered by the Texas Higher Education Coordinating Board (THECB). The funds are initially awarded to the Texas Education Agency before being passed through to THECB. Similar to the LEAP/SLEAP programs, THECB is the only agency that reports federal pass-through revenue related to this program as it is responsible for the federal grant award management, reporting and cash management.
Note: The Robert C. Byrd Scholarship program, ALN 84.185, is no longer a valid program effective 2012. Contact your financial reporting analyst for assistance.
Participating universities do not have direct financial involvement with the Byrd Scholarship program. However, this program does require basic administrative functions to be performed by the participating universities. These administrative functions prevent participating universities from being considered cash conduits under the definition in GASB 24. Since the participating universities are not cash conduits, they cannot account for the Byrd Scholarship program moneys in agency funds. Refer to GASB 24 for information pertaining to pass-through grants.
THECB records federal pass-through revenue and federal expense for the total of all Byrd Scholarship program funding in its SEFA. This amount is not meant to be allocated to the various universities participating in the program. THECB records the expenditure in USAS as “Grants to College Vocational Students” using COBJ 7679.
Reporting by THECB
USAS Entry Summary:
| Debit | Credit | |
|---|---|---|
| 5500 Expenditure Control – Cash | $XX.XX | |
| Other Grants & Contracts Expense (COBJ 7679) | ||
| 5000 Revenue Control – Cash | $XX.XX | |
| Federal Pass-Through Revenue (COBJ 3971) |
SEFA Impact:
Records federal pass-through revenue. Does not record pass-through expenditures.
Reporting by State Universities
USAS Entry Summary:
| Debit | Credit | |
|---|---|---|
| 5500 Expenditure Control – Cash | $XX.XX | |
| Expense (for example, scholarships) (COBJ 7583) | ||
| 5000 Revenue Control – Cash | $XX.XX | |
| Other Grants & Contracts Revenues (COBJ 3738) |
SEFA Impact:
There is no entry for Byrd Scholarship transactions in SEFA for universities because these transactions are not considered direct federal revenue or federal pass-through revenue.
Moneys received by the participating universities through the Byrd Scholarship program on behalf of needy students are reported as other grants and contracts rather than as federal pass-throughs. The Byrd Scholarship program is not reported in the university’s SEFA.