Bond Fund Accounting provides financial accounting for the district's ongoing construction projects. Contracts from Construction and Facilities Services (CFS) that are authorized by the Board of Education are appropriated and encumbered. Progress payment request are submitted to Bond Fund Accounting for payment to contractors, architects, engineers, program administrators and other construction-related vendors within five days. Projects are reconciled to ensure that accounts and project funding are balanced at all times. Project trends and cash flow are also analyzed throughout the life of capital-projects funds. Monthly financial reports are prepared for the 2007 Facilities Capital Program, and other capital project fund initiatives.
Primary sources of funding for capital projects are bond issue, pay-as-you go funds, tax increment reinvestment zone (TIRZ) funds, and miscellaneous funding provide by proceeds from the sale of capital assets, capital leases, and miscellaneous revenue sources.
- The $1.045 billion 2007 Facilities Capital Program is funded from the $805 million bond issue approved by voters in November 2007, $145 million "Pay-As-You-Go" Program, and $95 million from real estate and capital project reserve funds. The program consists of construction of 24 brand-new schools, two new facilities for early college high school in the north and south, a third ECHS in a renovated facility in central Houston, and six new schools to replace outdated facilities with low enrollment. Also included were renovations and repairs at 134 schools, expansion of two schools to relieve overcrowding, renovations and expansion of two existing schools to replace older schools, major safety and security upgrades at every school, improved infrastructure and accessibility at the athletics stadium, and updated and improved science labs at every middle and high schools in the district.
- In 2006, the district implemented a new "Pay-As-You Go" Program to maintain both schools and non-schools facilities. The program will generate approximately $232 million from 2006 through 2012. projects utilizing these funds must be approved by the Board of Education.
- Tax increments reinvestment zones (TIRZ) were created by the City of Houston to redevelop blighted areas. The district's participation is required in order for the zones to succeed. Fund are generated from the property value increase to the property within the zones. Projects utilizing these funds must approved by the Board of Education.
- Miscellaneous funding is generated from sales of capital assets, capital leases, and miscellaneous revenue sources. major improvement projects must be approved by the Board of Education.
Bond fund Accounting also provides information to bonding companies, contractors, subcontractors, taxpayers, and government agencies. Current construction project files are maintained by the department, as well as the district's permanent construction and real-estate files.