Included in CFR Manual Only - New York State Office of Mental Health

New York State
Consolidated
Budget and Claiming
Manual
Subject: Appendix I – Agency
Administration
For the Periods:
January 1, 2010 to December 31, 2010
July 1, 2010 to June 30, 2011
Section/Page: 33.3
Issued: February 15, 2010
Example: Program A and Agency Administrative Offices occupy the same building. Utility
expenses of $5,000 must be allocated to Program A and to the Agency Administrative Offices
as follows:
Step 1
Step 2
- Exclusive square feet - Program A = 500 sq. ft.
Exclusive square feet - Agency Administrative Offices = 300 sq. ft.
- Common Square Feet - 1,000 sq. ft.
Total Square Feet - 1,800 sq. ft.
Step 3 - Program A = 500/(1,800-1,000) = .625
Agency Administrative Offices = 300/(1,800-1,000) = .375
Step 4 - Utility Expenses for this particular building total $5,000
Utility expenses allocated to Program A = $5,000 X .625 = $3,125
Utility expenses allocated to Agency Admin. Offices = $5,000 X .375 = $1,875
Property related expenses and revenues that do NOT pertain to your agency’s DMH programs,
SED programs and agency administration must be reported in the “Other Programs” column
(column 7) of Schedule CFR-2.
Allocation of Total Agency Administration Costs to Program/sites:
To ensure equity of distribution and to provide uniformity in allocation of agency administration,
OASAS, OMH, OPWDD, and SED require the ratio value (R/V) method of allocation to be used
on the core CFR schedules (CFR-1 through CFR-6). The ratio value method uses operating
costs as the basis for allocating agency administration expenses. Agency administration
expenses must be allocated to programs operated by OASAS, OMH, OPWDD and SED as well
as shared programs and "Other Programs" (includes fundraising, special events, management
services contracts provided to other entities, all programs funded by non-CFRS participating
State agencies, etc.) based upon the ratio of agency administration costs to the service
provider's total operating costs. Please refer to Section 9.0 for further information.
The calculation of operating costs and the allocation of agency administration to program/sites
is determined on page 2 of Schedule CFR-3. The operating costs used to allocate agency
administration operating costs are calculated first on an agency-wide basis and then within each
state agency. Operating costs include personal services, leave accruals, fringe benefits and
OTPS. Operating costs do not include equipment, property and raw materials.
The agency-wide operating costs (CFR-3, lines 43 through 49) do not include the expenses of
programs 0190 and 0890. In determining the operating costs within a state agency, the
expenses for certain additional programs are deducted from the agency-wide operating costs.
The resulting adjusted operating cost totals are entered on CFR-3, lines 60 through 64.