Exhibit I - Permanent Fund

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NOTE: Beginning with School Year 2007-08, the Expendable Trust Fund and the Non-Expendable Trust Fund have been replaced by the Permanent Fund, the Special Revenue Fund and the Private Purpose Trust Fund. See OSC June 2008 Accounting Release at the OSC website


(ENTRY 13) PNT049

Total Assets is the sum of PNT021, PNT023 and PNT048. This figure must agree with Total Liabilities and Fund Balance PNT099.


(ENTRY 17) PN807 New Fund Balance Codes per GASB 54

General Summary for ENTRY 17 through ENTRY 26 (SEE ALSO OSC BULLETIN APRIL 2011)


GASB Statement No. 54, Fund Balance Reporting and Governmental Fund Type Definitions, is significantly changing the component classifications of fund balance for the governmental funds.  The fund balance/net asset codes will need to be revised to incorporate the five new components of fund balance (i.e., nonspendable, restricted, committed, assigned, and unassigned).  In addition, many of the previous classifications will no longer apply and should be removed (i.e., reserve for inventories, reserve for prepaid items, reserve for encumbrances, other reserved fund balance, designated fund balance, and unreserved fund balance).  Finally, while the net asset codes (i.e., invested in capital assets - net of related debt, restricted net assets, and unrestricted net assets) are not being changed, there will need to be a shift in the numerical coding structure to incorporate all of the aforementioned changes.


Historically, fund balance for governmental funds has used two main categorizations - reserved and unreserved.  Furthermore, unreserved fund balance could optionally be further sub-classified as designated or undesignated.  All of these classifications focused on fund balance from the perspective of its availability for appropriation.  In other words, fund balance classifications represented the appropriable or non-appropriable nature of the fund’s financial equity.


Under GASB Statement No. 54, the classification of fund balance will now be from the perspective of the underlying resources within fund balance.  Simply put, these new components of fund balance will identify constraints on how resources can be spent and the sources of those constraints.  The new components of fund balance will be nonspendable, restricted, committed, assigned, and unassigned.  Each of these components has very specific definitions and there is little, if any, direct link between the "old" components of fund balance and the new ones.


(ENTRY 18) PNT080

Total Nonspendable Fund Balance - The nonspendable fund balance classification includes amounts that cannot be spent because they are either (a) not in spendable form or (b) legally or contractually required to be maintained intact.  This would include items not expected to be converted to cash including inventories and prepaid amounts.  It may also include the long-term amount of loans and receivables, as well as property acquired for resale and the corpus (principal) of a permanent fund.


(ENTRY 20) PNT092

Total Restricted Fund Balance - The restricted fund balance classification should be reported when constraints placed on the use of resources are either (a) externally imposed by creditors, grantors, contributors, or laws or regulations of other governments or (b) imposed by law through constitutional provisions or enabling legislation.


(ENTRY 23) PNT094

Total Assigned Fund Balance - The assigned fund balance classification reflects amounts that are constrained by the government’s intent to be used for specific purposes, but meet neither the restricted nor committed forms of constraint.  Also, the assigned fund balance classification is the residual classification for the special revenue, debt service, capital projects, and/or permanent funds (unless that amount is negative, which would require presentation as unassigned fund balance).


(ENTRY 24) PN917

This entry must be NEGATIVE or 0.


(ENTRY 25) PNT096

Total Unassigned Fund Balance - The unassigned fund balance classification is the residual classification for the general fund only.  It is also where negative residual amounts for all other governmental funds would be reported.


(ENTRY 26) PNT095

The Total Fund Balance recorded here should agree with the value for the ending Fund Balance, June 30, 2011 on Statement I1 Analysis of Fund Balance.


(ENTRY 27) PNT099

Total Liabilities and Fund Balance is the sum of PNT065 and PNT095. This figure must agree with Total Assets PNT049.