Budget, Spending & Transfer Authority

The School Committee and Administration manages spending composed of the following areas:

1. School Operating Budget – This is the one-line annual appropriation voted by Town Meeting. The operating budget consists of both salary and non-salary line items.

2. School Accommodated Budget – This consists of operating expenses that are difficult to manage and/or predict – such as; out-of-district tuitions and specialized transportation. These are voted by a town meeting appropriation separate from the operating budget.

3. Capital Warrant Articles – These are funds appropriated through separate warrant articles, for specific purposes and projects. These funds can only be used for the specific purpose for which they were appropriated. At the conclusion of the project, the funds are closed out in accordance with their funding source, per MGL.

4. Revolving Funds – Revolving funds separately account for specific revenues and earmarks them for expenditure by the School Committee without appropriation, for particular purposes, to support the activity, program of service that generated the revenues. Fund balances in these accounts carry forward to the following year. An example of this would be the Athletic Revolving Fund.

5. Grant & Gift Accounts – These funds consist of accepted grants or gifts from the federal government and from a charitable foundation, a private corporation, or an individual, or from the commonwealth, a county or municipality or an agency thereof. Such grants or gifts given for educational purposes may be expended for the purposes of such grant or gift with the approval of the School Committee.

Approval Hierarchy

Approvals for fiscal activities are performed at several levels as listed below:
• BUILDING PRINCIPAL and DIRECTOR/DEPARTMENT HEAD
• BUSINESS MANAGER
• SUPERINTENDENT
• SCHOOL COMMITTEE

The first approvers of requests to spend are the cost centers; typically, the building principal, or in the event that a cost center is not tied to a specific building, such as Special Education, the approval falls under the Director or Department Head of the cost center.

The requisition system within the school’s financial software, MUNIS, is mapped with the hierarchy of each budget line to ensure that all expenses follow the proper chain of command. The final approver of requisitions in MUNIS is the Business Manager. The Business Manager reviews all requisitions, and upon his/her approval converts them into Purchase Orders, at which time the goods or services can be requested by the vendor. In the absence of the Business Manager (i.e. vacation), a temporary designee will be assigned in the system to be the final authorizer of purchases during that period; this individual will be assigned by the Business Manager before the absence, or in the event of an unplanned absence, the final authorizer will be the financial analyst or the Superintendent.

Transfer Approval Requirements
Transfers between salary and non-salary accounts within the school’s operating budget of any amount require a formal vote of the School Committee. The School Committee will act on the request at its next scheduled meeting. If a delay in the responding to the request will have a significant negative impact on the system, or cause noncompliance with other financial rules or regulations, the Chair of the School Committee can tentatively approve such transfers at the request of the Superintendent, subject to the confirmation by the School Committee at its next scheduled meeting.

Transfers between salary and non-salary accounts within the school’s accommodated account budget of any amount require a formal vote of the School Committee.

In the event that the Accommodated budget is anticipated to be spent in excess of appropriations, this can only be funded via one of the following methods:

1. An omnibus article
2. A Ways & Means Reserve Fund Transfer
3. Funded from other available sources, as voted by town meeting

In the event that the Operating budget is anticipated to be spend in excess of appropriation, this can only be funded via one of the following methods:

1. An omnibus article
2. A Ways & Means Reserve Fund Transfer
3. Funded from other available sources, as voted by town meeting

Spending
All spending within the school district will adhere to all Federal and State Laws and regulations governing municipal and school finance. The Purchasing Procedures Manual contains specific guidance on purchase orders, spending and procurement processed within the district. After initial approval of the Purchasing Procedures Manual, changes will only be made upon the approval of the School Committee.

First Reading: 1/22/19
Adopted Burlington School Committee: 2/13/19