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Statewide cost allocation (SWICAP) explained: two-year lag, central service billings recouped from agencies
Summary
Budget staff explained SWICAP mechanics to JFAC: central service costs for the attorney general, state controller and treasurer are recovered from all eligible state funds on a two-year lag, and direct billings cover risk management, building services, IT and audit billing.
Jared Tetrault, a budget analyst with the Legislative Services Office, briefed the Joint Finance and Appropriations Committee on Jan. 7 about the statewide cost allocation plan (SWICAP), the mechanism states use to recover central service costs and to bill agencies for shared services.
"There's always a 2 year lag," Tetrault said, describing the sequence by which central service agencies receive appropriations and later have their costs allocated back to all eligible funds and agencies.
How SWICAP works
Tetrault told members the SWICAP is a written plan prepared by the Division of Financial Management and reviewed by the federal cognizant agency (for Idaho, Health and Human Services). It sets the method for allocating costs for…
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