Are there other methods available instead of adding locally-defined dimensions?
Yes. The district or AEA may choose to export the chart of accounts from its financial system and import that file into a database program. The district or AEA could then define various accounts or dimension to be allocated for some local reporting purpose. For example, matching expenditures with the district's local student achievement goals to determine which expenditures or activities "add value" to those goals and which do not. This is particularly helpful when districts must reduce expenditures but want to maintain the activities that support their goals. Each time that the chart of accounts is imported into the database, that report or query could be run to refresh the reports created for local purposes. The advantage of using an external database to create locally-defined reports over adding dimensions within the chart of account is that added dimensions may slow the accounting for all financial transactions. By using the minimum required dimensions in the chart of account and then allocating in a database, less time is used on a day-to-day basis. Also, in governmental accounting, districts and AEAs shall not allocate any function, program, or object into one or more other function,. programs, or objects except by using the object code group called "indirect cost allocations." This requirement would limit the use of the official chart of accounts for special, locally-defined reports or purposes.