{"data":{"id":"us-ky/krs-164a.565","jurisdiction":"us-ky","citation":"KRS 164A.565","heading":"Accrual basis accounting system -- Other records -- Annual report --","body":"Budgets, financial statements, and meetings information to be publicly\navailable on Web site.\n(1) The governing board of each postsecondary educational institution making the\nelection authorized in KRS 164A.560 shall as a condition of such election install an\naccrual basis accounting system conforming with generally accepted accounting\nprinciples and procedures established for colleges and universities by the National\nAssociation of College and University Business Officers and the American Institute\nof Certified Public Accountants. The accounting system shall include but not be\nlimited to the following fund structure:\n(a) An operating fund group (unrestricted current funds), consisting of all moneys\nnot otherwise restricted, available for general operations, including state\nappropriations, federal funds, and unrestricted institutional receipts. Separate\naccounting fund groups may be established for auxiliary enterprises, athletics,\nhospitals, and other similar operations;\n(b) A restricted fund group consisting of appropriations and other receipts\nrestricted as to purpose which shall not be included in the operating fund;\n(c) A loan fund group consisting of gifts, grants, and other funds  provided and\navailable for loans to students;\n(d) An endowment fund group consisting of funds, the principal of which is not\ncurrently expendable;\n(e) An agency fund group consisting of resources held by the institutions as\ncustodian or fiscal agent for i ndividual students, faculty, staff members, and\norganizations;\n(f) A plant fund group consisting of:\n1. Unexpended plant funds to be used for the acquisition of long -lived\nassets for institutional purposes (capital construction funds);\n2. Funds for renewal , maintenance, and replacement of institutional\nbuildings, equipment, and other properties; and\n3. Funds set aside for debt service charges and retirement of indebtedness\non institutional plant.\n(2) A record of each general fund appropriation shall be maintained so as to identify the\ninstitutional budgets to which such funds are allotted. Any uncommitted state\ngeneral funds remaining after the close of business on the last day of the fiscal year\nshall lapse and be returned to the Treasury of the Commonwealt h. Each\nappropriation shall be used for the intended purpose and where questions of intent\narise subject to the provisions of KRS 45.750 and 45.800 in the case of capital\nconstruction projects and major items of equipment as defined by these sections, the\ndecision of the secretary of finance and administration, based upon budget work\npapers, shall be final.\n(3) A separate account showing sources of revenue and all expenditures shall be\nmaintained for each capital construction project. At the end of each fis cal year, a\nreport containing a listing of all capital construction projects, with sources of funds,\nexpenditures, and current status for each, shall be submitted to the Capital Projects\nand Bond Oversight Committee.\n(4) Within thirty (30) days after July 15, 1982, the secretary of the Finance and\nAdministration Cabinet shall submit to the Capital Projects and Bond Oversight\nCommittee a complete record of all funds and project records transferred to\ninstitutions under the provisions of KRS 164A.555 to 164A.630.\n(5) Within thirty (30) days after July 15, 1982, the governing boards shall submit to the\nCapital Projects and Bond Oversight Committee a report containing a complete list\nof capital construction projects and unexpended plant funds in existence on July 15,\n1982. The source of funds, expenditures, and current status of each project shall be\nshown.\n(6) State general funds appropriated by the General Assembly for capital construction\nprojects and equipment purchases as d efined in KRS 45.750 through 45.800 shall\nnot lapse at the end of a fiscal year. They shall be carried forward until the project is\ncompleted. Any such unexpended funds remaining after acceptance of the project as\ncomplete shall be returned to a surplus ac count of the capital construction fund for\ninvestment until appropriated and allotted as provided in KRS 45.750 through\n45.800.\n(7) Long lived assets of the institution, including land, buildings, and capital equipment\nshall be accounted for in the plant fund group.\n(8) The governing boards of each institution shall make an annual report of the\nfinancial activity to the Council on Postsecondary Education. The report shall meet\nthe requirements of the council's system of uniform financial reporting for\ninstitutions of higher education.\n(9) By January 1, 2012, the governing boards of each institution shall make available\non the institution's Web site:\n(a) The board -approved operating and capital budgets for the current and prior\ntwo (2) fiscal years;\n(b) The institution's audited financial statements for the previous three (3) fiscal\nyears; and\n(c) The agendas and actions of all meetings of the governing board for the\nprevious three (3) years.","path":["KRS Chapter 164A"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=39927","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:51:19Z","sha256":"973dc7594fb3bf7ce022f175f992c0087da4e61eb9b1d9e32ed8c519bf92f366","source_id":"us-ky","stale":false,"prev":"us-ky/krs-164a.560","next":"us-ky/krs-164a.570"},"notice":"GroundRules: Original legal text. Not legal advice."}