ALL AGENCIES, DEPARTMENTS, AND DISTRICTS GOVERNED
BY THE BOARD OF SUPERVISORS
EFFECTIVE: 12/01
_________________________________
David E. Sundstrom, Auditor-Controller
1.
POLICY
All transfers of appropriations between expenditure
object accounts within a fund/agency must be submitted
to the Auditor-Controller on an Expense Budget Transfer
form. (See
Exhibit I.) All transfers of appropriations
from the salary and benefit expenditure object accounts
must also receive County Executive Office (CEO)
approval. All transfers of estimated revenues between
revenue source accounts within a fund/agency must
be submitted to the Auditor-Controller on a Revenue
Budget Transfer form. (See
Exhibit II.)
Transfers of appropriations or estimated revenues
between fund/agencies and transfers of appropriations
from the appropriation for contingencies are not
covered by this County Accounting Procedure (CAP),
and cannot be made on Budget Transfer forms. These
types of transfers require approval of the Board
of Supervisors. Refer to CAP No.
A.2., Changes to Appropriations, Estimated Revenues,
and Reserves, for these types of transfers.
1.1
Purpose
To provide forms and procedures for making
budget transfers between expenditure object
accounts and revenue source accounts within
a County fund/agency, in accordance with applicable
statutes and Board of Supervisors (Board)
resolutions.
1.2
Authority
To provide forms and procedures for making
budget transfers between expenditure object
accounts and revenue source accounts within
a County fund/agency, in accordance with applicable
statutes and Board of Supervisors (Board)
resolutions.
1.2.1
State of California Government Code
Sections
29120 and 29121
Section 29120 limits obligations
to appropriated amounts. Section
29121 states that "…the
official authorizing the obligation
in an amount known by him to be
in excess of the unencumbered balance
of the appropriation against which
it is drawn is liable therefore
personally and upon his official
bond."
Section
29125
Section 29125 provides that the
Board may make transfers and revisions
with respect to the appropriations
as specified in the resolution of
adoption of the budget, except with
respect to transfers from the appropriation
for contingencies (which are covered
by Section 29130), by a majority
action formally adopted by the Board.
Section 29125 also allows the Board
to designate a County official to
approve transfers and revisions
of appropriations within a budget
unit, which is defined as a fund/agency
in the County Budget. (See Section
1.2.2 of this procedure for the
Board’s delegation of this
authority to the Auditor-Controller.)
1.2.2
Board of Supervisors’ Resolution
No. 97-415
Adopted pursuant to Government Code
Section 29125, Board Resolution No.
97-415 dated September 16, 1997, delegates
to the Auditor-Controller the power
and authority to make transfers and
revisions of appropriations within a
budget unit, with the exception of transfers
of appropriations from salary and benefit
account codes, which must receive CEO
approval. A budget unit is a discrete
fund/agency in the County Budget.
1.3
Definitions
1.3.1
Appropriations
A legal authorization granted by the
Board to make expenditures and to incur
obligations for specific purposes, as
provided for in the Board’s annual
adoption of the County Budget, and as
changed thereafter by budget transfers
and by changes to the Budget made by
the Board. An appropriation is limited
in amount and in the time it may be
expended. Appropriations in the County
Budget are controlled at the major object
of expenditure, also called "category"
of expenditure, which are:
Salaries and Employee Benefits
(Object Codes 0100-0490)
Services and Supplies (Object
Codes 0500-2890)
Other Charges (Object Codes 3000-3900)
Equipment (Object Code 4000)
Land, by Project (Object Code
4100, Controlled by Organization
Code)
Buildings and Improvements, by
Project (Object Code 4200, Controlled
by Organization Code)
In addition, Operating Transfers Out
(Object Codes 4800-4809) and Residual
Equity Transfers Out (Object Codes 5000-5009)
are controlled at the Object level
1.3.2
Estimated Revenues
The budgeted financing sources, exclusive
of fund balance available and reserve
cancellations, expected to be received
or accrued during the fiscal year to
finance the budgeted appropriations.
Refer to the County’s Chart of
Accounts Manual for the individual revenue
source codes and the type of revenue
to be recorded in each one.
1.3.3
Fund
A separate fiscal and accounting entity
with a self-balancing set of accounts
in which cash and other financial resources,
all related liabilities and equities
or fund balances, and changes to those
accounts, are recorded and segregated
to carry on specific activities. Separate
funds are normally only established
when required by the State Constitution,
State statute, Federal law, court order,
other applicable laws, Federal or State
regulations, or Board policy. For example,
the County General Fund, Fund 100, is
a fund comprising a number of subsidiary
agencies, or departments. Other examples
of separate County funds are the Road
Fund No. 115, the Orange County Library
Fund No. 120, and the Orange County
Flood Control District Fund No. 400.
1.3.4
Agency
A separate budget unit within a fund
that classifies a grouping of expenditure
requirements into accounting or organizational
units that are deemed necessary or desirable
for financial and administrative control
purposes. For example, the separate
County departments within the County
General Fund, Fund No. 100, are each
budgeted in a separate agency code:
Agency 003 for the Auditor-Controller,
Agency 042 for the Health Care Agency,
Agency 060 for the Sheriff-Coroner,
etc. The fund/agency combination defines
a unique budgetary unit within a fund.
For example, Fund/Agency 100/003 is
the Auditor-Controller within the General
Fund.
This procedure only applies to transfers
of appropriations or estimated revenues
within a single individual fund/agency.
For transfers of appropriations or estimated
revenues between agencies in the same
fund, refer to CAP
No. A.2., Changes to Appropriations,
Estimated Revenues, and Reserves.
2.
PROCEDURE
2.1
Expense Budget Transfers
Transfers of appropriations between expenditure
objects within a fund/agency are submitted
on the Expense Budget Transfer form (See Exhibit
I). The following information is required
and must be completed on the form:
FUND and AGCY: Enter the Fund and Agency
code from the Chart of Accounts Manual
for each line item being decreased or
increased.
ORG and ACTV: Enter the Organization
and Activity code for each line item being
decreased or increased.
ORG and ACTV codes should be verified
using the Organization Index table (ORGN)
or Organization table (ORG2) in the Advantage
Financial System (AFNS). Organization
codes beginning with "L" are
always required for Land (Object Code
4100) and beginning with "P"
are always required for Buildings and
Improvements (Object Code 4200) to identify
the particular capital project.
OBJ: Enter the Expenditure Object account
code from the Chart of Accounts Manual
for each line item being decreased or
increased.
DECREASE and INCREASE: Enter the dollar
amounts of decreases and increases in
whole dollars only (no cents, not even
".00") for each line item being
decreased or increased.
For all decreases, line item coding
and budget amounts should be verified
using the Expense Budget Summary Inquiry
table (EESM) in AFNS. If any line item
coding or budget amount on a budget transfer
form is submitted which creates a deficit,
none of the line items on the budget transfer
form will be processed.
DESCRIPTION: Enter the description of
the accounts for each line item being
decreased or increased. Account descriptions
are available from the County Chart of
Accounts Manual. Descriptions for land
or building projects or acquisitions should
also include the name of the specific
project or acquisition.
TOTALS: Enter the total for the "Decrease"
and "Increase" column in whole
dollars only (no cents, not even ".00").
Totals for the "Decrease" and
"Increase" columns must equal
each other.
EXPLANATION: State the reason for the
budget transfer.
NAME OF ORIGINATING DEPARTMENT/AGENCY
and AGENCY CODE: Enter the department/agency
name and fund/agency code of the department
that is submitting the budget transfer
form.
NAME OF CONTACT PERSON, PHONE NUMBER,
and EMAIL ADDRESS: Enter the name, phone
number, and email address of a contact
person in the budget section at the department/agency
submitting the budget transfer form.
DEPARTMENT/AGENCY AUTHORIZED SIGNATURE
and DATE: A person authorized to sign
for budget transfers for the department/agency
submitting the request must sign and date
the budget transfer form.
CEO APPROVAL: If the Expense Budget
Transfer includes a transfer from any
Salaries and Benefits account (Object
Codes 0100 through 0490), the form must
be submitted to the CEO for approval.
If approved by the CEO, the CEO then submits
the form to the Auditor-Controller. If
no transfer from Salaries and Benefits
is included, submit the form directly
to the Auditor-Controller General Ledger
Unit.
The Expense Budget Transfer form (Exhibit
I) cannot be used for transfers between
different agencies in the same fund or for
transfers from the Appropriation for Contingencies.
These require Board approval. See
CAP No. A.2., Changes to Appropriations,
Estimated Revenues, and Reserves, for procedures
for these types of transfers.
2.2
Revenue Budget Transfers
Transfers of estimated revenues between
revenue source accounts within a fund/agency
are submitted on the Revenue Budget Transfer
form (See
Exhibit II). The following information
is required and must be completed on the form:
FUND and AGCY: Enter the Fund and Agency
code from the Chart of Accounts Manual
for each line item being decreased or
increased.
ORG and ACTV: Enter the Organization
and Activity code for each line item being
decreased or increased.
ORG and ACTV codes should be verified
using the Organization Index table (ORGN)
or Organization table (ORG2) in AFNS.
REV SRCE and SUB REV: Enter the Revenue
Source account code from the Chart of
Accounts Manual and Sub-Revenue code for
each line item being decreased or increased.
The Sub-Revenue code should be verified
using the Sub-Revenue Source table (SREV)
in AFNS.
REVISED BUDGET: Use the Revenue Budget
Summary Inquiry table (RSUM) in AFNS,
"Current Amount" column for
the revenue source code being decreased
or increased. Enter the calculated amount
after taking into account the decrease
or increase being made, in whole dollars
only (no cents, not even ".00")
for each line item being decreased or
increased.
DECREASE and INCREASE: Enter the dollar
amounts of decreases and increases in
whole dollars only (no cents, not even
".00") for each line item being
decreased or increased.
For all decreases, line item coding and
budget amounts should be verified using
the Revenue Budget Summary Inquiry table
(RSUM) in AFNS. If any line item coding
or budget amount on a budget transfer
form is submitted which creates a negative
revenue budget amount, none of the line
items on the budget transfer form will
be processed.
DESCRIPTION: Enter the description of
the accounts for each line item being
decreased or increased. Account descriptions
are available from the County Chart of
Accounts Manual.
TOTALS: Enter the total for the "Revised
Budget," "Decrease," and
"Increase" column in whole dollars
only (no cents, not even ".00").
Totals for the "Decrease" and
"Increase" columns must equal
each other.
EXPLANATION: State the reason for the
budget transfer.
NAME OF ORIGINATING DEPARTMENT/AGENCY
and AGENCY CODE: Enter the department/agency
name and fund/agency code of the department
that is submitting the budget transfer
form.
NAME OF CONTACT PERSON, PHONE NUMBER,
and EMAIL ADDRESS: Enter the name, phone
number, and email address of a contact
person in the budget section at the department/agency
submitting the budget transfer form.
DEPARTMENT/AGENCY AUTHORIZED SIGNATURE
and DATE: A person authorized to sign
for budget transfers for the department/agency
submitting the request must sign and date
the budget transfer form.
Submit the completed and signed form to
the Auditor-Controller General Ledger Unit.
The Revenue Budget Transfer form (Exhibit
II) cannot be used for transfers between
different agencies in the same fund. These
require Board approval. See CAP
No. A.2., Changes to Appropriations, Estimated
Revenues, and Reserves, for procedures for
these types of transfers.
Legal