H1643B2669A04329       JAM:SRA 11/19/07    #90             A04329
                       AMENDMENTS TO HOUSE BILL NO. 1643
                                    Sponsor:  REPRESENTATIVE BARRAR
                                           Printer's No. 2669

     1       Amend Title, page 1, line 5, by inserting after "for"
     2               reports to Department of Education, for financial
     3               reports and for

     4       Amend Bill, page 1, lines 9 through 12, by striking out all
     5    of said lines and inserting
     6       Section 1.  Section 218 of the act of March 10, 1949 (P.L.30,
     7    No.14), known as the Public School Code of 1949, added May 10,
     8    2000 (P.L.44, No.16), is amended to read:
     9       Section 218.  Reports to Department of Education.--All
    10    financial accounting and reporting by school districts to the
    11    Department of Education shall be in accordance with generally
    12    accepted accounting and reporting standards[.], except for the
    13    annual financial report. The Department of Education shall
    14    establish a reporting standard for the annual financial report.
    15    The standard shall conform to fund level reporting criteria
    16    only, and will be an allowed other comprehensive basis of
    17    accounting. For purposes of this section, an "other
    18    comprehensive basis of accounting" shall mean a basis of
    19    accounting, other than generally accepted accounting principles,
    20    that an entity uses to report its assets, liabilities, equity,
    21    revenues and expenses.
    22       Section 2.  Section 921-A of the act, amended July 11, 2006
    23    (P.L.1092, No.114), is amended to read:
    24       Section 921-A.  Financial Reports.--An annual financial
    25    report shall be submitted to the Secretary of Education by each
    26    intermediate unit not later than the 31st day of October,
    27    together with an auditor's report prepared by an independent
    28    auditor who shall be a certified public accountant or other
    29    competent public accountant. All financial accounting and
    30    reporting by intermediate units to the Department of Education
    31    shall be in accordance with generally accepted accounting and
    32    reporting standards[.], except for the annual financial report.
    33    The Department of Education shall establish a reporting standard
    34    for the annual financial report. The standard shall conform to
    35    fund level reporting criteria only, and will be an allowed other
    36    comprehensive basis of accounting. For purposes of this section,
    37    an "other comprehensive basis of accounting" shall mean a basis
    38    of accounting, other than generally accepted accounting
    39    principles, that an entity uses to report its assets,
    40    liabilities, equity, revenues and expenses.


     1       Section 3.  Section 1302(a) of the act, amended December 23,
     2    2003 (P.L.304, No.48), is amended and the section is amended by
     3    adding a subsection to read:

     4       Amend Sec. 2, page 3, line 10, by striking out "2" and
     5    inserting
     6               4

















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