The CORe form is the method agencies must use to request cash and report their accrual activity. The US Department of Labor requires the Department of Workforce Development and its sub-grantees to report on an accrual accounting basis. The CORe form can be used up to weekly or as needed to request cash and used monthly to report on the accrued basis on the non-cash line codes. The monthly accrual report (aka “FSR”, an acronym for Financial Status Report) is due within 30 days after the end of the reporting month. For agencies that only request cash on a monthly basis, after calculating their cash needs they may also report their monthly accruals on the same report.
The non-cash line codes and a brief definition on the CORe form are listed below. It is important to remember that each month is independent of the other months and that subsequent reports for a particular month overwrite all amounts (cash and non-cash) previously reported for that particular month. Therefore on the accrual monthly report, the cash amounts from the last cash request of that month must also be included to prevent any adjustments to current or future cash payments.
To assist in reporting the correct amounts, calculation columns have been added to the right hand side of the CORe form. If multiple cash requests occur in one month, the cumulative amount of cash for the month should be reported each time. CORe payments are calculated by taking the amount reported minus any prior payments for that month. For the non-cash lines the calculation columns determine the net change for the month. The net change, whether it is a net increase or decrease, should be reported on the accrual report.
2XXX Accrued Expenditures – charges incurred during the given period regardless of when the related cash receipts and disbursements take place. The net change in the total amount of accrued expenditures from the prior month to the current month is reported.
4XXX Unliquidated Obligations – amount of obligations incurred for which an expenditure has not been recorded. This includes the unexpended portion of awards to sub-grantees and contractors. The net increase or decrease of unliquidated obligations for the reporting month is reported. Note that when a subcontract is issued, the total amount must be reported for the month that it is put into place. As expenditures occur against the obligation(s), the unliquidated obligation(s) amounts should decrease accordingly.
6XXX Program Income Revenue – income received by the grantee or sub-grantee directly generated by a grant-supported activity, or earned only as a result of the grant agreement during the grant period. Examples include fee for services, user or rental fees, or sale of products. Program income is to be expended in conformance with the terms and conditions of the grant.
8XXX Program Income Expenses – expenses funded by program income revenue received.
When closing out the contract, any additional reports must be submitted on a revised report on the final month of the contract. At closeout, unliquidated obligations should be zero, and any program income revenue should equal program income expenses.
For more information, please contact the CORe Team.