End of financial year acquittal information for community service organisations
This information sheet has been developed to inform community service organisations about the end of financial year funding acquittal process applicable to targeted care packages (TCPs).
1. About targeted care packages
TCPs provide flexible and tailored supports and enable children and young people to transition from residential care into alternative living arrangements that better meet their care needs, or prevent placement into residential care. TCPs are allocated to community service organisations and may be used to fund a range of supports and services to help children and young people achieve their goals.
2. What is the end of financial year funding acquittal?
Undertaking an end of financial year acquittal of TCP funding will enable the department to know how much of a package allocation has been spent during the financial year. The end of financial year acquittal applies to all packages which were active at any point of time during the financial year being acquitted and is a compulsory process.
In some instances, unspent TCP funds may accrue for a range of reasons, including a child or young person’s needs being met through alternative means. There is no capacity for a community service organisation to carry forward the unspent funds identified during an end of financial year acquittal. As per policy guidelines, the unspent funds must be identified and returned to the department to provide support for other children.
The end of financial year acquittal applies to the components processed via Regional Individual Support System (RIS), which is the principal IT system used by the department to manage client attached funding. The end of financial year acquittal does not apply to the care allowance component of a package. For information regarding the care allowance processes, visit the website Support for home based carers in Victoria http://www.dhs.vic.gov.au/for-individuals/children,-families-and-young-people/kinship-foster-and-other-care/support-for-carers-in-victoria>.
NB: To prevent over-commitments, community service organisations need to inform the department if supports needs of a child or young change and if a package requires a variation. In instances where an over-commitment is identified during the end of financial year acquittal, it is at the discretion of the department to reimburse the community service organisation for the additional costs incurred.3. What is the difference between a package review / closure and end of financial year acquittal?
A review is a separate process to the end of financial year acquittal. Active packages are subject to a review process at a minimum on an annual basis. The review process is usually conducted by 31 May each financial year to ensure TCP continues to meet the child or young person’s support needs; to determine if the package will continue next financial year and if any package components need to be varied.
For further details on the review process please refer to the following TCP documents available: Guide for submission types and stages and Guide to activity templates.
While package closure is a compulsory process which includes reporting on achievements of the package against the agreed goals and outcomes for a child or young person, undertaking funding reconciliation when the package closes is an optional step. Funding reconciliation can be undertaken in agreement with community service organisation and is dependent on availability of expenditure information.
NB: End of financial year acquittal applies to all packages, including packages for which a funding reconciliation was performed at the point of closure. /4. What are the timelines for end of financial year acquittal?
All invoices that relate to supports received during the financial year need to be paid before the department can process the acquittal. To allow time for all invoices to be paid, the acquittal process will commence in August.
During July to August, community service organisations need to make sure that they have their financial records up to date so they can complete their part of the acquittal process when contacted by the department.
In August, the department generates templates listing individuals and allocations and sends to community service organisations to complete expenditure information and return to the department. The department works with community service organisation to understand expenditure anomalies and address them as required.
The unspent funding is managed via the Prior Year Adjustment (PYA) process which means that the payment schedule in SAMS2, where applicable, will automatically be adjusted commensurate with the value of unspent funding. Alternatively, the department will issue an invoice to community service organisation for return of unspent funds.
The broad timeline that applies to end of financial year acquittal for TCPs is as follows:
Month / Step / Actioned by /July – August / Receive invoices and process payments for services received during previous financial year / Community service organisations
By end July / Advise community service organisations of upcoming acquittal requirements and timeframes / Department
By end August / Provide acquittal template to all community service organisations involved in the provision of TCPs / Department
By end September / Provide expenditure information to the department / Community service organisations
By end October / Complete acquittal calculation and advice community service organisations of the outcome / Department
Need more information?
If you require further information, the following are the departmental contacts for the end of financial year acquittal:
Division / Name / Contact details /North Division / Dr Heather Pearce /
South Division / Natasha Abeysekera /
East Division / Gillian Dingli /
West Division / Kathleen Brilliant /
End of financial year acquittal information for community service organisations 2