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Statewide cost allocation explained to JFAC: how central service billing affects agency budgets
Summary
Budget staff told JFAC how the statewide cost allocation plan (SWICAP) redistributes costs for central services and direct billings, which produces recurring appropriation adjustments tied to prior years’ agency usage of attorney general, controller and treasurer services.
Jared Tetrault of the Legislative Services Office briefed the Joint Finance and Appropriation Committee on Jan. 7 on the statewide cost allocation plan (SWICAP), explaining how central service agency costs are recovered and how those allocations appear in agency budgets.
Tetrault said SWICAP is both a written plan that the Division of Financial Management submits to the federal cognizant agency (for Idaho, Health and Human Services) and a process that produces budget adjustments. “We need a state controller, and we need accurate payroll and accurate accounting… it’s a partnership to say we’re gonna share those costs and we’re gonna make sure they’re shared equitably and fairly,” he said.
Under the plan, costs for central service agencies such as the Office of the Attorney General, the Office of the State Controller and the Office…
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