Date: February 3, 1998 Code: AD 98-03

To: Vice Presidents for Administration

From: George A. Pardon

Accounting Director

Business and Finance

Subject: Reporting Requirements for Delegated Capital Outlay Projects

Due to the restructured capital outlay process and policies, campuses are now responsible for the management and reporting of delegated capital outlay projects as outlined in Pat Drohan's September 3, 1997 memo (Attachment A). The timing and format of the information to be reported to the Chancellor's Office Accounting Department are described below.

Cash Flow Analysis Report

The Cash Flow Analysis Report provides a rolling twelve month picture of projected expenditures as well as total actual expenditures against the capital outlay accounts. The report format and specific instructions are included as Attachment B. Campuses should submit an initial report for a given project the latter of March 10, 1998 or when expenditures are projected to occur within the next twelve months. Subsequent reports should arrive at the Chancellor's Office by the tenth day of each month.

Transfer of Cash Letter

Cash to cover campus capital expenditures comes from loan and bond proceeds accounts maintained on the Chancellor's Office books. A Transfer of Cash letter is used to move cash into a project specific account on the State Controller's books. Whenever a claim schedule or plan of financial adjustment for capital outlay is submitted to the State Controller, it must be accompanied by a Transfer of Cash letter. A copy of the letter should also be faxed to the Chancellor's Office.

A Transfer of Cash letter and instructions are included as Attachment C. The current loan and bond proceeds accounts and corresponding campus expenditure accounts are provided on Attachment D. Your campus will be notified of any changes in these accounts as they occur. A sample Cash Flow Analysis Report and Transfer of Cash are included as Attachment E.

Distribution: Accounting Officers

Mr. Pat Drohan

Mr. Raymond Juanico

Mr. William Musselman

Vice Presidents for Administration

AD 98-03

Page 2

Campus Contact List

Campuses should submit the Campus Contact form (Attachment F) to the Chancellor's Office by March 10, 1998, with revisions submitted as appropriate.

If you have any questions about the reporting requirements described above, please contact Raymond Juanico at (562) 985-2998 or via e-mail at raymond_juanico@calstate.edu.

GAP:RJ:mc AD 98-03

Attachments A-F-Reporting Requirements for Delegated Capital Outlay Projects