Lesson 5: Notes to the SEFA Web Application

Note 2 – Reconciliation

Each agency must use Note 2 to reconcile its direct and pass-through revenues to its total expenditures reported in the agency’s SEFA Schedule 1A. The agency must:

• Categorize its revenue
• Identify any reconciling items
• Compare that reconciled total to the expenditure total of the agency’s Schedule 1A.

Note: The reconciled difference must equal $0.00 in order for the agency to complete the final certification of its SEFA.

Each agency must identify its direct revenue (which includes NSE pass-through revenue for purposes of this note) and pass-through revenue. Within direct and pass-through revenue, the agency must further identify:

• Government funds
• Propriety funds, categorized as either:
  • non-operating
  • capital contributions
• Fiduciary funds

The amounts calculated for each revenue category in USAS are listed as reference. While the USAS amount is not required to match the Note 2 amount in order for an agency to complete its Note 2, any differences between these amounts may require additional information submitted to the Financial Reporting section after fiscal year-end close and may require additional USAS adjusting entries.

Each agency must also identify any reconciling items. Enter the applicable dollar amount for each reconciliation item listed. You may leave the amount blank or enter $0.00 if the reconciliation item is not applicable to your agency. If your agency needs to add an item to Other, contact your financial reporting analyst.

To complete Note 2, the total revenue reported plus the reconciling items must equal the total expenditures reported in Schedule 1A, resulting in a $0.00 difference. Click Save after each update to Note 2. If the difference is not $0.00, Note 2 is not complete and the agency is not able to certify the SEFA web application.

See Note 2: Reconciliation for additional information.

Next: Note 3a – Student Loans Processed and Administrative Cost Recovered