Supplemental information to the NDUS Accounting Manual, page 48, revenue section, the complete manual is available
at ndus.edu/uploads/resources/2111/accounting-manual-all-sections-rev-11-18-11-2011-update-.pdf .
Sharon Loiland, UND Controller 11/7/2011
The revenue accounts codes used in the G&C module are “picked” by the project type which is assigned to a G&C by the
G&C officer. The account code passes to the general ledger from the G&C module.
EXCHANGE VS. NON-TRANSACTIONS (OPERATING VS. NON-OPERATING)
Grant and Contract is defined as all amounts received or made available by grants, contracts, and cooperative
agreements from state, federal, and private entities. GASB statement No 33 requires we use professional judgment to
understand the nature of the work performed to decide if the grant or contract is a non-exchange transaction. Exchange
transactions are reporting as operating revenue, non-exchange transactions are reported as non-operating revenue.
Exchange Transaction
UND receives something of value while the grantor also receives something of value. Each party receives and sacrifices
something of approximate the same value. These transactions are reporting on the UND financial statements as
operating revenue.
Non-exchange transaction
UND receives something of value while the grantor (sponsor) does not receive something of value. In other words, the
grantor (sponsor) does not benefit. These transactions are reported on the UND financial statements as non-operating
revenue.
Exchange transactions (operating revenue) examples
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Technical and Financial reports are required
University receives funding to perform described work in an agreement
Sponsor shares in the research or sponsor receives benefits from the results of the research
Non-exchange transactions (operating revenue) examples
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Gifts and donations
Construction projects where UND receives ownership
The sponsor receives no intellectual property rights (similar to gift or donation)
Tax revenues
The Sponsored funding is to be used only to fund student scholarships (examples are Pell and SEOG awards).
The students are not required to work in order to receive the scholarships.
The Sponsored funding is to be used only to procure equipment, instrumentation, or to fund renovation
projects. In most cases, equipment, instrumentation or renovation will be capitalized, if the items do not meet
the guidelines for capitalization, see the Contoller for assistance in determining if exchange or non-exchange.
UND ACCOUNT CODES
EXCHANGE/NON-EXCHANGE
450005 – Federal Capital Pass thru G&C
450010 – Federal Grants & Contracts
450015 – Federal Pass thru Grants *
450020 – Federal G&C Non Operating
450025 – Federal Grant/Contract Stimulus
451005 – State Capital Grants & Contracts
451010 – State Grants & Contracts
452005 – Private Capital G&C
452010 – Private Grants & Contracts
Non-exchange (non-operating)
Exchange (operating)
Exchange (operating)
Non-exchange (non-operating)
Exchange (operating)
Non-exchange (non-operating)
Exchange (operating)
Non-exchange (non-operating)
Exchange (operating)
These account codes can be used to post transactions directly to the general ledger for non-4xxxx funds at UND or
financial statement re-classes.
The “*” account code is not used by the G&C module, the other account codes are assigned a project type in the G&C
module which assigns the account code to post to the general ledger.
Source:
NDUS Accounting Manual, section Grants and Contracts (not yet published 11/8/11)
FARM (Financial and Accounting Reporting Manual)
GASB Statement No. 33
sharon.loiland/grants & contracts/exchange vs non exchange 11 8 11