10519 ENTRY NO. 19 [A PROJECT IS COMPLETED BY A CONSTRUCTION AGENCY]
(Revised 5/87)
Nature of Transaction:
The Office of the State Architect, Department of Transportation, or the Department of Water Resources reports a project completed, and the State Controller's Office returns by transfer the unexpended portion of prepayments to the agency's appropriation. (This entry is made as a transaction of the month indicated by the date of the Controller's Transfer.)
Journal Entry for General Ledger Accounts:
Debit:
1140 Cash in State Treasury a/
2331 Improvements Other than Buildings b/
2341 Equipment c/
5330 Reserve for Prepaid Items d/
Credit:
1730 Prepayments to Other Funds or Appropriation d/
2350 Construction Work in Progress e/
5200 Investment in General Fixed Assets f/
9000 Appropriation Expenditures g/
9891 Refunds to Reverted Appropriations h/
9893 Prior-Year Appropriation Adjustments i/
a/ amount of prepayments unexpended and now returned.
b/ total cost of improvements other than buildings now being capitalized, including preliminary planning costs as reported by the Office of the State Architect whether or not paid from an appropriation made to the agency.
c/ total cost of any equipment included in the project now being capitalized.
d/ amount of prepayments still outstanding on the agency's books for the particular project now completed.
e/ amount previously accounted in this account and as a reduction of prepayments for the particular project now completed.
f/ amount of the difference between the amount previously accounted as Construction Work in Progress and the amount capitalized (b+c-e).
g/ amount of "a" that is applicable to an appropriation still available for encumbrance.
h/ amount of "a" that is applicable to an appropriation that has reverted.
i/ amount of "a" that is applicable to an appropriation no longer available for encumbrance but not yet reverted.
Source:
Document:
Controller's Transfer supported by a project completion report.
Explanation:
After a project is completed a report is issued by the construction agency and any unexpended balance in the project prepayment is returned to the client agency's appropriation. Concurrently the cost of the project now completed, including preliminary planning costs, if a capital improvement as distinguished from a maintenance or repair project, is entered in the fixed asset accounts. The project completion report relating to such projects will be analyzed as to the amounts of (1) equipment and (2) improvements other than buildings included in the project. (See SAM Section 8613.)
