Louisiana Administrative Code › Title 28 - EDUCATION › Part XLI - Bulletin 1929-Louisiana Accounting and Uniform Governmental Handbook › Chapter 11 - Classification of Balance Sheet Accounts › Section XLI-1105 - Fund Balance Codes

Current through Register Vol. 50, No. 6, June 20, 2024
A. These accounts
				identify the excess of a fund over its liabilities. Portions of that balance
				may be reserved for future use. (Per GASB 54, fund balance codes 790 through
				798 are required for financial statements for periods beginning after June 15,
				2010; codes used prior to fiscal year 2010-11 will be maintained for historical
				purposes.)
1. 711 Investment in Capital
				Assets, Net of Related Debt-this account is used to record the net asset
				component invested in capital assets, net of related debt, which represents
				total capital less accumulated depreciation less directly related to capital
				assets. This account is to be used in proprietary funds only.
2. 730 Reserved-Retained Earnings-The
				accumulated earnings of the proprietary funds that have been retained in the
				fund and that are reserved for a specific purpose. One example would be funds
				reserved for the future purchase of equipment.
3. 740 Unreserved-Retained Earnings-The
				accumulated earnings of the proprietary funds that have been retained in the
				fund and that are not reserved for any specific purpose.
4. 751 Reserve for Inventories-a reserve
				representing that portion of a fund balance segregated to indicate that assets
				equal to the amount of the reserve are tied up in inventories and are,
				therefore, not available for appropriation. The use of this account is optional
				unless the purchase method of accounting for inventory is used.
5. 752 Reserve for Prepaid Items-a reserve
				representing that portion of a fund balance segregated to indicate that assets
				equal to the amount of the reserve are tied up on prepaid expenses and are,
				therefore, not available for appropriation. The use of this account is
				optional.
6. 753 Reserve for
				Encumbrances-a reserve representing that portion of a fund balance segregated
				to provide for unliquidated encumbrances, including those automatically carried
				over from prior years by law. Separate accounts may be maintained for current
				and prior-year encumbrances.
7. 760
				Reserved-Fund Balance-a reserve representing that portion of a fund balance
				segregated to indicate that assets equal to the amount of the reserve are
				obligated and are, therefore, not available for appropriation. This would
				include funds that have met the availability criteria, as well as any other
				provider provisions that may be required, but have not yet been expended. It is
				recommended that a separate reserve be established for each special purpose.
				One example of a special purpose would be restricted Federal
				programs.
8. 770 Unreserved -
				Undesignated Fund Balance-the excess of the assets of a fund over its
				liabilities and fund reserves.
9.
				780 Unreserved-Designated Fund Balance-a designation representing that portion
				of the fund balance segregated to indicate that assets equal to the amount of
				the designation have been earmarked by the governing board or senior management
				for a bona fide purpose in the future, such as general contingencies or for
				equipment replacement.
10. 790
				Nonspendable Fund Balance-amounts that are not in a spendable form (such as
				inventories and prepaid items) and other amounts that are legally or
				contractually required to be maintained intact (such as principal of a
				permanent fund).
11. 795 Restricted
				Fund Balance-amounts constrained to specific purposes by their providers such
				as grantors, bondholders, and higher levels of government, through
				constitutional provisions, or by enabling legislation.
12. 796 Committed Fund Balance-amounts
				constrained to specific purposes by a government itself, using its highest
				level of decision-making authority; to be reported as committed, amounts cannot
				be used for any other purpose unless the government takes the same
				highest-level actions to remove or change the constraint.
13. 797 Assigned Fund Balance-amounts a
				government intends to use for a specific purpose; intent can be expressed by
				the governing body or by an official or body to which the governing body
				delegates the authority.
14. 798
				Unassigned Fund Balance-amounts that are available for any purpose; these
				amounts are reported only in the general fund.