financial management information system - National Food Service ...

S ECTION 3SUPPLEMENTAL S CHEDULESExpenditures - Property Operation, Maintenance & EnergySchedule E-4For the period of _______________Property Operation, Maintenance & Energy - Schedule E-4Property Repair/Maintenance$______________Electricity$______________Fuel$______________Water$______________Security Services$______________Grounds and Landscaping$______________Total Property Operations$______________Before determining expenditures for this schedule, school foodservice administrators should refer to OMB CircularA-87 (Cost Principles for State, Local and Indian Tribal Governments). The circular makes the following statementunder Maintenance, operations, and repairs on page 32.Unless prohibited by law, the cost of utilities, insurance, security, upkeep of grounds, necessarymaintenance, normal repairs and alterations, and the like are allowable to the extent that they (1)keep property in an efficient operating condition, (2) do not add to the permanent value of propertyor appreciably prolong its intended life, and (3) are not otherwise included in rental or other charges.DefinitionsProperty Operation, Maintenance, & EnergyMany of the costs in this schedule are considered indirect costs. Indirect costs are costs that cannot be easily assessedas a direct cost because the amount must be prorated across supportive services and incidental supplies that arenot easily identifiable with a specific program; i.e., utility costs. In such cases, the amount that can be treated asindirect costs is identified by an allocation method approved by the state agency or by an indirect cost rateresulting from an approved cost allocation plan.N ATIONAL F OOD S ERVICE M ANAGEMENT I NSTITUTE 50