No. 36772 (Amendment): Section R277-424-1. Definitions

(Amendment)

DAR File No.: 36772
Filed: 09/14/2012 10:36:40 AM

RULE ANALYSIS

Purpose of the rule or reason for the change:

This rule is amended to provide updated language to make the definition consistent with definitions in other Utah State Board of Education (Board) rules.

Summary of the rule or change:

Provides additional language to "LEA" to make the definition in the rule consistent with the definition in other Board rules.

State statutory or constitutional authorization for this rule:

• Subsection 53A-1-402(1)(e)
• Subsection 53A-1-401(3)

Anticipated cost or savings to:

the state budget:

There is no anticipated cost or savings to the state budget. The amendment adds language to make the definition consistent with definitions in other Board rules which does not result in a cost or savings.

local governments:

There is no anticipated cost or savings to local government. The amendment adds language to make the definition consistent with definitions in other Board rules which does not result in a cost or savings.

small businesses:

There is no anticipated cost or savings to small businesses. This rule and the amendment apply to public education and do not affect businesses.

persons other than small businesses, businesses, or local governmental entities:

There is no anticipated cost or savings to persons other than small businesses, businesses, or local government entities. The amendment adds language to make the definition consistent with definitions in other Board rules which does not result in a cost or savings.

Compliance costs for affected persons:

There are no compliance costs for affected persons. The amendment adds language to make the definition consistent with definitions in other Board rules which does not result in compliance costs.

Comments by the department head on the fiscal impact the rule may have on businesses:

I have reviewed this rule and I see no fiscal impact on businesses.

Larry K. Shumway, State Superintendent

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

Education
Administration
250 E 500 S
SALT LAKE CITY, UT 84111-3272

Direct questions regarding this rule to:

• Carol Lear at the above address, by phone at 801-538-7835, by FAX at 801-538-7768, or by Internet E-mail at [e-mail]

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

10/31/2012

This rule may become effective on:

11/07/2012

Authorized by:

Carol Lear, Director, School Law and Legislation

RULE TEXT

R277. Education, Administration.

R277-424. Indirect Costs for State Programs.

R277-424-1. Definitions.

A. "Board" means the Utah State Board of Education.

B. "Direct costs" means costs which can be easily, obviously, and conveniently identified by the Utah State Office of Education with a specific program.

C. "Indirect costs" means the costs of providing indirect services. Restricted and non-restricted indirect costs are defined in R277-425, "Budgeting, Accounting and Auditing Handbook for Utah School Districts."

D. "Indirect Services" means services which cannot be identified with a specific program.

E. "LEA" means a local education agency[ which], includ[es]ing local school boards/public school districts and charter schools.

F. "Non-restricted indirect cost rate" means a rate assigned to each LEA annually, based on the ratio of non-restricted indirect costs to direct costs as reported in the annual financial report for the specific LEA.

G. "Restricted indirect cost rate" means a rate assigned to each LEA annually based on the ratio of restricted indirect costs to direct costs as reported in the annual financial report for the specific LEA.

H. "Unallowable costs" means expenditures directly attributable to governance. Governance includes salaries and expenditures of the office of the superintendent, the governing board, election expenses, and expenditures for fringe benefits which are associated with unallowable salary expenditures.

 

KEY: education finance

Date of Enactment or Last Substantive Amendment: [December 8, 2011]2012

Notice of Continuation: September 14, 2012

Authorizing, and Implemented or Interpreted Law: Art X Sec 3; 53A-1-402(1)(f); 53A-1-401(3)

 

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