Page 24 - School Finance Manual 2025-26

How Budgets are Categorized cont. 24

Building Renewal Grant - Fund 691 Employee Insurance Withholding -
The School Facilities Division distributes the Building Fund 855
Renewal Grant Fund. This fund consists of monies Employee Insurance Program Withholdings- Accounts
requested by school districts from the School Facilities for monies received from employees, monies contrib-
Oversight Board to maintain the adequacy of existing uted by a district, and monies received from former
school facilities. employees, current and former board members, and
board members’ surviving spouse and dependents, to
New School Facilities - Fund 695 be used for the payment of insurance premiums.
This fund is administered by the School Facilities Division
and has been established for the purpose of constructing Proprietary Funds
new schools to meet the minimum adequacy guidelines.
The criteria to determine district eligibility for monies from Internal Services - Funds 950 - 989
the new school facilities fund is based on annual evalua- These funds are used to account for
tion and approval of district enrollment projections, and revenues and expenditures relating to providing
the additional square footage that will be needed to main- services to other school functions, other school
tain adequacy standards in a district. The School Facili- districts, or governmental units. The revenues from
ties Division distributes new school facilities monies to the operation of a district services program shall be
school districts based on the following formula: (number transmitted to the county treasurer for deposit in the
of students) x (square footage) x (cost per square foot) = district Internal Services Fund. Districts may employ
allocation. Land costs are funded in addition to formula personnel, purchase supplies and equipment and incur
funding for new construction. other necessary expenses related to the operation of a
district services program. Monies in these funds are not
Debt Service - Fund 700 subject to reversion at the end of the fiscal year.
This fund accounts for the accumulation of property tax
revenues for the purpose of making payments on long- Intergovernmental Agreements - Fund 955
term debt principal, interest, and related costs. Monies This fund is used by a fiscal agent to account for monies
in the fund are generated through local property tax of an intergovernmental agreement (IGA). Revenues
levies in amounts to satisfy the expected debt service include amounts received from participants.
payments due.
The USFR Identifies Other Funds that can be established
Impact Aid Revenue Bond Building Debt by school districts (Not an inclusive list; refer to USFR for
others)
Service - Fund 720 1. Career and Technical Education and Vocational
Accounts for the accumulation of impact aid monies for Education Projects - Fund 535
the payment of long-term debt, principal, interest and 2. Fingerprinting - Fund 540
related costs. See Impact Aid Revenue Bond Building 3. Litigation Recovery Fund - Fund 565
– Fund 639 4. Teacherage - Fund 580
5. Insurance Refund - Fund 585
Other Miscellaneous Funds 6. School Plant Fund Special Construction - Fund
640
Student Activities - Fund 850 7. Gifts and Donations (for capital purposes) - Fund
Pursuant to A.R.S. §15-1121, §15-1122, §15-1123, and 650
§15-1124 a school district is the custodian for monies 8. Condemnation - Fund 660
raised by the efforts of students in connection with 9. Trust Funds - Funds 801-849
activities of student organizations and clubs. 10. Enterprise Funds - Funds 901-949

Arizona Association of School Business Officials | School Finance Summary Manual