Financial Management - Reimbursable Accounts

Reimbursable accounts are established when another federal, state, or private party is contributing funds to the NRCS for a specific project, and they are to be billed for the actual cost of the project.  The key point is that we must enter into an agreement with the funding organization before the service/work is performed.  Contact Lorna Lincoln at (602) 280-8804 for assistance with establishing a reimbursable agreement. 

Agreements must contain a financial plan that details the items and costs that each party is providing.  The agreement should also address the billing frequency and percentage and amount for indirect/overhead costs that the cooperator will be paying.  This is important because if indirect/overhead costs are not addressed in the agreement, they will be charged at the current indirect/overhead rate and there may not be sufficient funds to accomplish the project.  In FY-07 this indirect/overhead rate is 21.37%.

Upon receipt of a signed and dated agreement from Lorna Lincoln, Erica Lechner, Budget Analyst, will establish an accounting code for the agreement and a WebTCAS project code.  Note that when an agreement spans two or more fiscal years the accounting code will change each fiscal year because the fiscal year is a part of the accounting code.

The responsible Program Manager will provide the reimbursable accounting code(s), WebTCAS project code(s) and parameters to the ASTC for Field Operations (ASTC FO) and/or supervisors of SHQ employees who are authorized to make expenditures for the execution of the agreement.  It is the responsibility of the ASTC FO’s and supervisors to ensure that the projects are completed according to the work plan; the responsible Program Manager is notified if problems are encountered, and all expenditures are properly recorded.

This accounting code should be used on all spending documents (travel vouchers, purchase orders, PCMS purchases, etc.) covered by the agreement.  Time should be recorded in WebTCAS using the appropriate WebTCAS project code.  The employee working on a  reimbursable agreement should also make a note to the timekeeper in the Remarks block with the number of hours spent working on the agreement and if an employee is working on more than one agreement, identify the agreement(s) and hours associated with each one.

Cooperators are billed quarterly or monthly depending on the requirements outlined in the reimbursable agreement.  Upon completion of the project, Erica should be notified so she can finalize the last bill to the cooperator for the costs incurred.  It is imperative that expenditures are correctly recorded in the accounting system to ensure that all costs are billed to the cooperator and an audit trail is established.

If you have questions about reimbursable agreements, please call Curt Clark at (602) 280-8804.  If you have any questions about reimbursable accounting codes or WebTCAS project codes, please call Sabrina Adkisson at (602) 280-8775.  If you have questions about a specific agreement, please contact the responsible Program Manager through your supervisor and ASTC FO.