APPROPRIATIONS - An object of expenditure within a program, also known as an account, which is established in the budget development/approval process and can be transferred only by administrative or Board of Education authorization.
VOUCHER - The vendor's certification of an obligation by the purchaser (District) for materials or services rendered, also known as the “pink” copy of the purchase order. Statutes require vendors' certifications of purchases exceeding $6,000.00.
ENCUMBRANCE - An obligation of money against an appropriation (account). Payments cannot be made unless an encumbrance has been established.
EXPENDITURE - The expense recorded when an invoice is processed against a purchase order and payment is made to the vendor. This process relieves the encumbrance on the budgetary account. Final payments will release any unused encumbered moneys to the free appropriation balance (available balance); partial payments will reduce the encumbered amount for the amount of that payment and the balance not paid will remain encumbered for the purchase order.
G.A.A.P. - Generally Accepted Accounting Principles - A system of double entry bookkeeping used to account for all revenues and expenditures of the district which was established by the Government Accounting Standards Board (G.A.S.B.) for use in all school districts.C.A.F.R. - Comprehensive Annual Financial Report - A comprehensive annual report of the financial position of the school district which includes various financial statements, notes, supporting schedules, and statistical information as required by G.A.A.P. This report is prepared by the school district and is audited by independent auditors on an annual basis.