Section Ii: Project Approach and Workplan

Cost Allocation Plans for Human Services Agencies Training Curriculum

Training Overview The goal of this session is to provide each participant with the basic concepts related to public assistance cost allocation plans, including both uses for plans and the plan development process, and to have more detailed discussions about how to use a cost allocation plan as a revenue maximization tool. We will pay specific attention to the federal regulations (e.g., OMB A-87 and ASMB C-10) that guide states in submitting plans for approval and will discuss approaches to comply with these requirements. In addition we will discuss some of the “hot issues” that are affecting states and their cost allocation plans in this current climate of budget shortfalls and constant reorganizations.

Training Prerequisites The only prerequisite is the desire to expand your knowledge of cost allocation plans!

Training Goals The primary goal of this training session is to provide state human services fiscal representatives with the critical components involved in “operating” a plan, as well as insight into opportunities to customize plans to their individual agencies. Also, training participants will be able to identify the resources and guidelines available for support when developing and amending plans.

Training Materials Each participant has been given training materials, including the following:

 Training Curriculum (outlined in the following pages); and  Training Binder: Cost Allocation Plans for Human Service Agencies.

Certain materials referenced on the curriculum will be handed out during the session.

Training Dates and Hours Trainings days will be May 19 – 21, 2007 in Baton Rouge, Louisiana from 9am – 4pm (local time) the first two days and 9am – 12:30pm, the final day.

Sign-In We have sign-in sheets for each morning and afternoon session (a total of 5 in all). If you are not requiring CPE credit, we will require that you sign in on the first day, in the morning only. If you do require CPE, you must sign in for each session, a total of 5 times. We cannot grant credit without confirming that you were present for all sessions.

Training Instructors The sessions will be conducted by Amy Ferraro, Bob Baldacci, and Kevin Coyle from Public Consulting Group, Inc. Please see the Attachments Section of your Training Binder for information on our presenters’ expertise in preparing and reviewing cost allocation plans for human services agencies.

______1 Training Outline – Day 1 (Monday, May 19th) Topic Time Presenter(s) Welcome and Introductions 9:00 – 9:30 Amy Ferraro

** Conversation: What Do You Want to Get Out of This Training?** What is a Cost Allocation Plan? 9:30 – 10:45 Amy Ferraro  What is a Public Assistance Cost Allocation Plan?  What are Central Services Plans?  What are Indirect Cost Rates?  What are Benefiting Objectives?  Effective Dates  Public Assistance Review Guide  Definitions  Regulatory Documents

**What is a PA CAP Quiz** 15 Minute Break

Basic Cost Allocation Plan Structure 11:00 – 12:00 Bob Baldacci  Overview of Structural Requirements  Organizational Chart  Certifications  Plan Narrative  Financial Reports  Backup & Audit Trails 1 Hour and 15 Minute Lunch Break

Differences in Types of Plans 1:15 – 2:30 Kevin Coyle  Overview of Cost Allocation Plan Objectives  Plan Types  Examples of Issues Surrounding Plan Types

**Case Study – What Kind of Agency Am I?** 15 Minute Break

Overview of the Cost Determination Process 2:45 – 4:00 Amy Ferraro  Direct Costs  Indirect Costs  Direct Costs vs. Indirect in PA CAP  Indirect Cost Pools  How to Use OMB A-87 in This Process

**Cost Determination Quiz**

______2 Training Outline – Day 2 (Tuesday, May 20th) Topic Time Presenter(s) Allocation Methodologies 9:00 – 10:15 Bob Baldacci  Direct Allocations  Full Time Equivalent (FTE) and Staff Counts  Client and Case Counts  Systems Allocations

**Case Study – What Allocation Method is Best? ** 15 Minute Break

Time Studies 10:30 - 11:45 Amy Ferraro  Time Studies – the Basics  Methods of Administration  Implementing a Time Study  “All Other”  Training Participants  Visual Examples 1 Hour and 15 Minute Lunch Break

Amending Cost Allocation Plans 1:00 – 2:00 Kevin Coyle  Amending a Cost Allocation Plan  What to Submit  Ability to Submit “Prospective Amendments” **When to Amend Your Plan Quiz** 15 Minute Break

The Negotiation Process 2:15 – 3:00 Amy Ferraro  The Negotiation Process  Working with Federal Agencies

**CAP Development Exercise** 3:00 - 4:00  Determining How to Allocate Costs  Setting Up an RMTS

(Please note that PCG will develop two exercises; one for more experienced CAP preparers and one for newer staff and/or higher level oversight staff. We will divide the class into two groups accordingly).

______3 Training Outline – Day 3 (Wednesday, May 21st) Topic Time Presenter(s) Using a Cost Allocation Plan as a Revenue 9:00 – 10:15 Amy Ferraro Maximization Tool  Creating a Funding Hierarchy  Ensuring Proper Identification of Costs  Addressing Functions Supported by Multiple Funding Sources  Common Pitfalls

**Group Exercise – How to Fund Costs That Can Be Funded by Multiple Programs** 15 Minute Break

Hot Topics! 10:30 – 11:45 All  Agency Reorganizations  Ability to Submit “Prospective Amendments”  Title IV-E for Unlicensed Placements (Deficit Reduction Act)  Reasonable Candidates (Deficit Reduction Act)  Random Moment Time Study (RMTS) Automation  TCM Regulations  Others?

Final Quiz 11:45 – 12:15

Evaluations 12:15 – 12:30

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