FILE:  DCBB

Cf:  DCBA

 

RESERVE POLICIES IN OTHER FUNDS

 

 

While the General Fund reserve is the most prominent reserve for the DeSoto Parish School Board, reserves in other funds are just as important.  For that reason, the funds listed below shall have reserves that are restricted or committed for the purposes specified herein.

 

Special Revenue Funds – Monies within these funds are derived from specific revenue sources that are restricted or committed for specific purposes.  Reserve policy components for these fund types shall include the following:

 

 

 

 

Debt Service Funds – Monies in these funds are used to pay the principal and interest payments on long-term debt.  Long-term debt includes:  (a) General Obligation Bonds, (b) Certificates of Indebtedness, (c) Sales and Use Tax Bonds, (d) Tax Anticipation Notes, (e) Limited Tax Bonds, and (f) any other instrument allowed by Louisiana law.  A separate Debt Service Fund is set up each time one of these long-term liabilities is approved by the School Board.  Reserve policy components for these fund types shall include the following:

 

 

 

 

Capital Projects Funds – Monies in these funds are used for capital expenditures.  Capital expenditures are defined as charges for the acquisition at the delivered price, including the cost of transportation, equipment, land and land improvements, buildings and building improvements, and fixtures and other permanent improvements.  Expenditures for capital projects must exceed $1,000 and have a useful life that exceeds one (1) year.  Reserve policy components for this fund type shall include the following:

 

 

 

 

 

 

 

 

Internal Service Funds – Monies within these funds provide:  (a) medical insurance coverage for active and retired employees, (b) dental insurance coverage for active and retired employees, and (c) workmen’s compensation services for employees who are injured on the job.  The objective of each Internal Service Fund is not to make a profit, but rather, to recover over a period of time the total cost of providing the goods or services stated above.  Reserve policy components for this fund type shall include the following:

 

 

 

 

 

 

Other Post Employment Benefits (OPEB) Trust Fund – Monies in this fund are used for resources that are:  (a) held in an irrevocable trust, (b) dedicated solely to provide benefits to retirees and their beneficiaries for medical insurance, life insurance, dental insurance, and vision insurance, and (c) protected from creditors.  Reserve policy components for this fund type shall include the following:

 

 

New policy:  March 6, 2014 Revised:  May 3, 2018
Revised:  March 8, 2018 Revised:  October 4, 2018

 

 

Ref:    La. Rev. Stat. Ann. §17:100.12

Board minutes, 3-6-14, 3-8-18, 5-3-18, 10-4-18

 

DeSoto Parish School Board