Number: 3.10
Title: Fiscal Definitions
Effective date: June 2014
Approved date: June 2014
Supersedes: 3.10
Dated: May 2009
Purpose
To define the terminology used in Section 3 of the Policy Manual.
Definitions
1. Fiscal Year: The calendar period from July 1 to June 30 of the following year.
2. Capital Fund: Monies specifically identified and set aside for any of the following purposes:
a) construction or reconstruction of school facilities
b) acquisition of real estate for school facilities
c) acquisition of furniture and/or equipment
d) retirement of debt including interest on mortgage incurred for above items
3. Operating Fund: The accumulation of operating surpluses and deficits over the years.
4. Registration Fee: Monies charged to parents at the time of application to cover processing costs of the school.
5. Re-enrollment fee: Monies charged to assure a student’s place for the subsequent school year.
6. Tuition Fee: Monies charged to parents each school year to cover operating costs of the school.
7. Upfront Payments: Monies charged to parents with the enrollment and re-enrollment fees as an upfront payment towards tuition which are credited towards the total bill and are not refundable.
8. Capital Assessment: Monies charged to parents each school year for the first two years of each student's attendance at school for Grades Pre-Primary and above, and allocated entirely to the Capital Fund.
9. Transportation Fee: Monies charged each school year for daily transportation of the student between the student’s home and school.
10. Late Fee: Interest charged to parents for fees not received by the school within 30 days of the due date of such fees.
11. Capital Expenditures: Expenditures on facilities, furniture and equipment which meet the following criteria:
a) an expenditure exceeding the criteria for low-value assets under German law
b) a useful life of two or more years
c) extends the useful life of the facility, furniture or equipment, and/or increases the value of the facility, furniture or equipment
12. Operating Expenditures: Expenditures that cover the cost of operating the school including an equivalent to depreciation (capital allocation) and are included in the operating budget.
13. Operating Budget: The annual financial plan of detailed revenues and expenses for the operation of the school, exclusive of capital expenditures, mortgage costs and principal repayment and inclusive of an equivalent for depreciation.
14. Capital allocation: A reserve in the Operating Budget for funding the Capital Fund.
15. Transportation Budget: The annual financial plan of detailed revenues and expenses for providing Transportation and Late Transportation for students between the school and their home. This transportation budget is incorporated in the Operating Budget.
16. Capital Budget: The annual financial plan, identifying capital expenditures by item or by project, that are expected to be committed during the financial year and are funded via the Capital Fund.