MAR 19 1965 FROM THE OFFICE OF CHESTER W. GOBLE, AUDITOR OF STATE Chief Inspector of the Bureau of Inspection and Supervision of Public Offices TO: Circular No. 1488 All Ohio School District Clerk - Treasurers; Executive Heads; City and County Superintendents; and School Examiners. FROM: SUBJECT: Mr. Rex E. Haecker, Deputy Auditor. Public Law 88-210, Vocational Education Act of 1963. Public Law 88-210, dated December 18, 1963, passed by the 88th Congress to strengthen and improve the quality of vocational education and to expand the vocational education opportunities in the nation, provides for federal funds to be made available to the several States for such purposes. Ohio will receive a portion of the funds with the Treasurer of State designated as custodian as provided in Section 3303.06, Revised Code. The State Department of Education will, in turn, authorize payments to the several school districts which make application for the funds. Section 117.01, Revised Code, provides for the creation of the Bureau of Inspection and Supervision of Public Offices in the Office of the Auditor of State. The Bureau shall inspect and supervise the accounts and reports of all state offices as provided in Sections 117.01 to 117.19, inclusive, Revised Code. Section 117.05, Revised Code, provides that the Chief Inspector and Supervisor of Public Offices shall prescribe and require the installation of a Uniform System of Accounting and Reporting for the public offices named in Section 117.01, Revised Code. In compliance with said State Code Sections, the Bureau of Inspection and Supervision has determined that the following procedures are authorized to properly account for such funds, as are received from the State Department of Education under the provisions of Public Law 88-210, dated December 18, 1963. Application for funds shall be made as provided in the Ohio State Plan for Vocational Education, revised 1964, prepared by the State Superintendent of Public Instruction, State Department of Education and the instructional letter from Dr. B. R. Shoemaker, Director of Vocational Education, State Department of Education. All obligations incurred by the several school districts shall be General Fund obligations of the district and payment shall be requested as provided in the Ohio State Plan for Vocational Education, revised 1964. The exception to this procedure would be funds authorized under the provisions of Section ↳ (a-5), construction of area vocational education school facilities, Public Law 88-210, dated December 18, 1963. When the approved application for construction of vocational education school facilities, authorized under Section ↳ (a-5) of Public Law 88-210 dated December 18, 1963, is received from the State Department of Education, Division of Vocational Education, the following procedure will be used. The board of Page 2 transfer the board's share from the proper fund, by resolution, to a separate Special Building Account to be established on the Cash Journal of the district, It should be noted that when the project includes construction that is nonvocational and cost of same is to be paid from board funds, the total nonVocational and vocational share must be transferred, by resolution, to a separate Special Building Account established on the Cash Journal of the district. Following proper authorization, the clerk shall advertise for bids and the board of education award contracts, as provided in Section 3313.46, Revised Code. Immediately following the awarding of said contracts, a notarized copy of the resolution awarding the contracts to the various bidders and a copy of the signed contracts between the board of education and the accepted bidder, shall be submitted to the State Department of Education, Division of Vocational Education. A review shall be made by said department and, upon approval, seventy-five per cent (75%) of the approved matching funds shall be released to the district. The clerk, upon receipt of the funds, shall enter the amount in the Special Building Account set forth on the Cash Journal of the district. Payments pertaining to the project shall be paid from the fund. No attempt shall be made to determine costs applicable to the Vocational Education portion of the project if non-vocational construction is involved. When work on the project is seventy-five per cent (75%) complete, the clerk shall file with the State Department of Education, Division of Vocational Education, exact copies (either carbon or copying-machine reproduced) of all payments made and charged against the account, plus notarized copies of resolutions covering change orders for the project. After the department has reviewed and approved the payments, the twenty-five per cent (25%) balance of matching funds shall be released to the district. Upon receipt of the funds, the clerk shall enter the amount in the Special Building Account, as described above. Irmediately following the final payment of all contracts and/or invoices pertaining to the project, the clerk shall file with the State Department of Education, Division of Vocational Education, exact copies of all payments made which have not been previously presented; notarized copies of resolutions covering change orders not previously filed; and a complete financial statement showing receipts by source, fund disbursements, and balance. No matching funds for additional costs to a project, because of change orders, will be paid by the State Department of Education, Division of Vocational Education; such costs must be paid entirely from funds of the district. The State Department of Education, Division of Vocational Education, shall review the total costs of the project, and shall invoice the district for the return of any matching funds, if their determination indicates that such funds are due. Said department shall furnish the district an analysis show Page 3 Upon proper authorization from the board of education, the clerk shall draft a warrant covering the billing, and shall transfer any balance in said fund to the account from which funds originated; thus closing the account. Expenditures under this program which are not in accordance with the approved application issued by the State Department of Education, Division of Vocational Education, shall be set forth by the Bureau Examiner as a memorandum statement to be submitted with the audit report of the school district at the time it is forwarded to the Bureau Office, prior to distribution. Upon approval of such memorandum, a copy shall be forwarded by the Bureau to the Vocational Education Division of the State Department of Education, 220 South Parsons Avenue, Room 302, Columbus 15, Ohio, for determination, clearance or other necessary handling. BUREAU OF INSPECTION AND SUPERVISION OF PUBLIC OFFICES - STATE OF OHIO of E. Haucher Re E. Haecker REH: |