Who is the treasurer's report for? The PTO or the IRS? If it's just for the PTO, then do something that will be easy for the next treasurer to understand. For the IRS, there's a line for "other liabilities" or something, which I use for surplus funds we voted on for the last meeting or budgeted items that didn't get receipts in on time, and even checks that haven't cleared (since the IRS wants to reconcile the start and end of year bank balances).

A signed agreement is definitely a good idea, but be aware it doesn't have to be a complicated document.

Such an agreement is often called "Memorandum of Understanding" which is a bit less formal than a contract and typically used in an agreement between two closely related parties. You don't have to call it anything special, but I find adding a bit of formality to the process emphasizes the commitment being made.

The MOU itself can be be very straightforward. Depending on what you need to document, it might only be one page long. Or it could be a few pages. It would have signatures from both sides at the bottom affirming the agreement.

It's certainly fine to carry over the funds. There's no accounting rule that carried-over funds must be earmarked.

Tim

If the equipment is going to be purchased through the District, I would have the district setup an account to put the funds into with the understanding that the funds would be returned if the equipment is not purchased, or if there is remaining funds left over.

I'd have the principal sign it and PTA/PTO president sign it, and someone at the district.

We do this with certain things and it is working out fine.

Our parent organization agreed to pay for a phone system equipment for the school. The equipment has not been purchased yet nor has a finalized quote been given by the vendor. If we issue a check before the equipment has been purchase, the money might be used for something other than what was intended.

If we promised the school a certain amount can we carryover that amount into our next fiscal year and wait for the bill when the equipment is finally installed? If so, how should it appear on our treasure report - as a deferred grant? Or incorporate it in the retained earnings and make sure phone equipment is listed in our budget as an expense? Please Help!