Transcript Time and Effort Reporting - Northwest Educational Service

Time and Effort
Reporting
Where is the Requirement?
Time and effort reporting is required under
the Federal Office of Management and
Budget’s Circular A-87, Cost Principles for
State, Local, and Indian Tribal
Governments (Codified as 2 CFR 225)
1.
2.
Attachment A, General Requirements must
first be met, then look to
Attachment B, Selected Items of Cost, Item
11, Compensation for personnel services
Where is the Requirement?

OMB Circular A-87, Attachment A
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To be allowable a cost must
Be necessary and reasonable to proper and
efficient performance and administration of the
federal program
 Be allocable to the program
 Be consistent with other federal and non-federal
charges
 Be authorized and conform to any limitations of
exclusions
 Be adequately documented

When is Time and Effort
Required?
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Time and effort reporting is required when
any part of an individual’s salary is
charged to a federal program
Charge may be “direct” or “indirect”
What type of reporting is
needed?
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Single cost objective →Semi annual
certification
Multiple cost objectives →Monthly time
reports or Personnel Activity Reports
(PARs)
What is a cost objective?
Work activities allowable under the
terms and conditions of a funding
source
What are some examples of a
single cost objective?

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100% charged to a single federal program
activity
Exceptions
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Federal Special Education and State Special
Education
Schoolwide programs
Multiple activities in a single federal program
What are some examples of
multiple cost objectives?
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Salary charged to more than one activity
in a single federal program
Salary charged partially to federal program
and partially to state and/or local sources
Salary charged partially to sources
combined into a schoolwide program and
partially to those not included
What is a semi annual
certification?
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
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Statement individual(s) worked solely on
activities related to single cost objective
Completed at least every six months
Signed by employee or supervisor with
first-hand knowledge of work performed
What is a monthly time report?
(PAR)
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Accounts for total activity
Prepared at least monthly
Signed by employee
Reflects actual work performed (not
budget)
Agrees to supporting documentation
When are adjustments to actual
made?

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If payroll is initially based on budgeted or
estimated time/amounts, payroll and time
and effort reports must be compared at
least quarterly
If the difference is 10% or more
and any needed adjustments made

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Payroll records must be adjusted to actual
Following quarter’s estimates must be
adjusted
What time and effort is reported?

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Report time actually worked in a specific
activity not time budgeted
Budgets are reconciled to actual at least
quarterly
Who should sign the reports?
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Monthly reports (PARs) should be
signed by the employee
Semi annual certifications should be
signed by employee or supervisor having
first-hand knowledge of work performed
For internal control purposes, districts may
require both the employee and supervisor
to sign
What type of supporting
documentation is needed?

Documentation is VERY important

Examples include, but are not limited to:

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Class schedules
Number of students
Number of minutes
Remember
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DOCUMENT! DOCUMENT! DOCUMENT!
Supplemental Contracts,
Stipends, Extra Hours

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Primary contract and additional contracts
may be considered separately
Based upon whether or not charged to
federal program
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Time and effort may be required for primary
contract but not supplemental (or vice versa)
Administrators

Superintendent, assistant superintendent,
principal, assistant principal usually not
allowable charge to federal program
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Requires good documentation to support
Could be a supplant issue
What is a substitute system?
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Other method for determining time and
effort report based on sample of work
performed
Must be approved by OSPI prior to use
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JoLynn Berge is responsible for approval
Must be statistically sound
Should be periodically reviewed to
determine if still appropriate
Schoolwide Programs
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Schoolwide plan must specify programs to be
included (not all programs may be included)
A schoolwide program is a single cost objective
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If employee works 100% on programs combined →
Semi annual certification
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If employee works partially on programs combined
and partly on those not combined, → Monthly time
report (PAR)
For Additional Information

OSPI Bulletin 048-08 (Time and Effort
Reporting)
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Examples
Sample forms
OSPI Bulletin 055-09 (Combining Funds in
Schoolwide Programs)
OMB Circular A-87, Cost Principles for State,
Local, and Tribal Governments