State Pass-Through Activities Tutorial
Lesson 2: Accounting Treatments
State Pass-Through for Funds Held Outside the State Treasury
Agencies must use RTI Table 11 
to record pass-throughs to funds held outside the state treasury with liquidation. The RTI transaction posts an accrued pass-through expenditure and a due to other agency with liquidation for disbursing agency. In contrast, the RTI transaction posts an accrued pass-through revenue to local funds and a due from other agency with liquidation for receiving agency. This section introduces the accounting requirements and entries for both receiving and disbursing agencies for pass-through grants to funds held outside the state treasury.
Receiving Agency
The receiving agency must set up an RTI profile on the USAS 55 screen and provide the RTI number to the disbursing agency for entry on the initiating transaction. For more information on establishing an RTI, see 55 (550) Recurring Transaction Profile in the USAS Coding Instructions .
The following table illustrates the RTI Table 11 for the receiving agency:
| T-code Entered on Entry screen | System-Generated T-codes | General Ledger Impact |
|---|---|---|
| 279 | 0284 Due from Other Agencies** 5100 GAAP Revenue Offset ** |
|
| 775 Generated to Reverse Due From, Liquidate Accrued Pass-Through Revenue to Local Funds, and Increase Cash |
5100 GAAP Revenue Offset 0284 Due from Other Agencies** 0040 Cash in Bank 5100 GAAP Revenue Offset** |
|
| ** AGL post on this transaction | ||
Disbursing Agency
The disbursing agency must use Doc Type T, PDT W (warrant) or D (direct deposit) and Batch Type 4 (expenditures/disbursements) on the initiating transaction, using the RTI number provided by the receiving agency.
The following table illustrates the RTI Table 11 for the disbursing agency:
| T-code Entered on Entry screen | System-Generated T-codes | General Ledger Impact |
|---|---|---|
| 268 | 5501 Expenditure Control – Accrued* 1050 Due to Other Agencies* |
|
| 768 | 1050 Due to Other Agencies* 5501 Expenditure Control – Accrued* 5501 Expenditure Control – Accrued** 1050 Due to Other Agencies** |
|
| 770 Generated to Reverse Due To, Liquidate Accrued Pass-Through Expenditure and Reduce Cash |
1050 Due to Other Agencies** 5501 Expenditure Control – Accrued** 5500 Expenditure Control – Cash** 0045 Cash in State Treasury |
|
| * No AGL post on this transaction ** AGL post on this transaction |
||
Note: T-codes 770 and 775 are system-generated to liquidate the accruals and issue a warrant or direct deposit for cash to the receiving agency. If the T-code 268 entry is backdated into a previous period (month or fiscal year), the liquidating 770 and 775 T-codes generate in the current period. An entry backdated into 20CY with an effective date of 08/31/CY generates a liquidating entry in the following fiscal year.
Next: Fiscal Year-End Review