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The Ohio Association of School Business Officials (OASBO) first published the whitepaper titled General Revenue Fund Cash Balances in 2018. The 2018 publication was drafted by members of the OASBO Education Finance/ODE Advisory Committee to address questions related to school district cash balances. Likewise, members of the OASBO Education Finance/ODE Advisory Committee drafted and contributed to the updated 2022 version recently discussed at the OASBO Regional Fall Finance Workshops around the state.

The whitepaper provides guidance for school business officials as they navigate the budgeting, cash flow management, and end‐of‐year cash balance reserve process. It is intended to assist in establishing a common vocabulary and understanding of cash balances across the state.

Since the fiscal circumstances vary widely among districts in Ohio, the cash balance reserve policy and practices will also vary from district to district. The whitepaper is intended to provide information for consideration when evaluating the fiscal responsibilities and obligations of a district as it relates to a district’s cash balance practices. At the very least, we hope the information provided will spark conversation and dialogue among practitioners and stakeholders. This includes:

• Overview of the cause and necessity of cash balances
• Guidance in navigating the budgeting, cash flow management, and end-of-year cash balance reserve process
• Best Practices & Guiding Principles - Cash Management
• Budget Reserve Policy
• Establishment of Special Funds – Ohio Revised Code Section 5705.13

• Resources and Tools
• Appendix A - School District Budget Process Terminology & Sample Calendar
• Appendix B - Sample School Board Cash Balance Policies
• Appendix C - Fund Balance Guidelines for the General Fund – GFOA 
• Appendix D - Ohio Revised Code Section 5705.13
• Appendix E - Rating Agencies Analysis and General Fund Cash Balance