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Purpose of the capital projects fund, the debt service fund

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What is the purpose of the capital projects fund? What is the purpose of the debt service fund? What is inter-period equity? How does inter-period equity affect capital project and debt services funds?

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Solution Summary

The purpose of the capital projects funds and the debt service funds are examined.

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According to CIP PLANNER (2010) Project planner's solutions are scalable to address planning and execution of capital programs and projects ranging from large complex ongoing programs to straight forward implementation of a tightly defined set of projects; regardless of the size of an organization capital project funding enables you to manage information flows through every phase of a program or project - from planning and design, through procurement, project execution, and into operations and maintenance all supported by powerful dashboards and reporting tools; a Web-based solution makes it easy for everyone on project teams to access and share information.

According to CIP PLANNER (2010) Capital Project and Program Management solutions provide schedule tools for both the entire project and contract milestones; allow easy access to project lifetime financials; allow easy roll up of programs, departments and funding sources; build on information housed in existing enterprise systems; leverage data for multiple compliance reporting needs such as ARRA, IRS and state reporting requirements; and provide risk and issue exposure. A Capital Projects Fund includes comprehensive capital planning; funding and grant management; cost control; schedule control; document management and collaboration; bid management; contract management; resource management; cash flow and earned value management; highly configurable business process automation; flexible easy-to-use reporting capabilities; and comprehensive role-based ...

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