Transcript Year-End Closing of the Books

Year-End Closing of the Books
2010-2011
Overview of Closing:
- Why?
• GAAP – Generally Accepted Accounting Principles.
• End of the business cycle:
– State sessions ends in June.
– UO activity begins with summer school (excluding law).
• Federal (GASB) & State (OUS) requirements.
– OUS has a number of mandated deadlines.
• Snapshot in time.
– YTD Activity is used to monitor, project, budget, compare
and contrast with other funds, institutions, etc…
– YTD balances are used for performance evaluations, system
audits, anomalies, etc…
Overview of Closing:
- Why?
• Annual reporting – Internal & external.
– Rolled into OUS and State financial statements.
– Used by DHHS and other Federal agencies, State Board of
Higher Education, Bonding Services, etc…
• Auditors –
– Test for accuracy, consistency & reliability of systems,
including our policies & procedures. Help us establish best
practices.
– Includes: DHHS, Naval Research, NCAA, Moss Adams
(financial statement & A-133), Secretary of State, etc…
• OUS Financial Statements:
http://www.ous.edu/dept/cont-div/accounting-reporting/annualfinreport
Overview of Closing
- When?
July 1, 2010 through June 30, 2011
• Including accruals thru July 26, 2011.
• Recorded in the fiscal year that a majority of the event
takes place, not when the transaction is processed.
• All funds types are treated the same.
Overview of Closing
- What?
• Close fiscal period 12.
– Our goal should be to have our June transactions in FP-12.
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Open accrual period 14.
Departments have one week for adjustments.
BAO/BRP/ORM have one week for adjustments.
OUS extracts our data & populates the HFM System.
UO reports any FY-11 transactions to OUS through
the date financial statements are released.
FY-12 Balances
• FY-12 balances will only include FY-12
transactions until fiscal period 14 is
opened.
• When fiscal period 14 is opened, beginning
balances in FY-12 (FP-00) are populated
with FY-11 FP-12 ending balances.
• Each entry posted to FY-11 during FP-14
has a mirror entry in FY-12 (FP-00).
Balance Sheet Account Codes
A = Assets
B = Liabilities
C = Income Statement Totals
D = Fund Balance
E = Fund Additions
F = Fund Deletions
Income/Expense Accounts are rolled up to Fund
Balance at Fiscal Year-End.
Balance Sheet/Income Stmt.
FGITBAL
Balance Sheet
C0010
C2010
C1010
C5010
FWIBUDG
Income Stmt
0XXXX
1XXXX
2XXXX8XXXX
9XXXX
Revenue
Labor
General
Expense
Transfers
Subsidiary Ledgers
• The FIS general ledger is the official source of
financial information for the UO.
• Provide a greater amount of detailed information.
• FIS – Operating ledger, Student A/R, Grants,
Fixed Assets, Accounts Payable, etc…
• Departmental shadow systems may not be
subsidiary ledgers. They can be useful in
providing information for accounting and
reporting to department staff. But it needs to be
reconciled to Banner FIS.
Dates to Remember:
• June 7 June Regular Payroll Deadline
• June 23 Contact BAO for help accruing department
non-student accounts receivable
• June 30 Last day to submit Student Receivables
• June 30 Last day to Deposit Cash by 3:00 p.m.
• June 30 Item(s) must be received by this
day to pay with 10-11 funds
• July 5
Last day to submit Service Dept.
“interface/AppWorx” JVs for Period 12
Dates to Remember:
• July 6 Last day to Submit Payroll Form (PAA)
for 10-11.
• July 6 Last day to direct input Inter-Institutional JVs
(Charts B-K) for Period 12
• July 8 Last day to submit Budget changes for Period 12
• July 8 Last day to input an invoice for Fiscal Period 12
• July 8 Last day to input JVs for Period 12
• July 8 Period 12 Close
***(Above items must have a June transaction date)
Dates to Remember:
• July 9 Availability of Fiscal Period 12 Reports
• July 11 Last day to direct input Inter-Institutional
JVs (Charts B-K) for Period 14
• July 18 Last day to input JVs for Period 14
• July 18 Last day to input Budget Changes for
Period 14
• July 18 Last day to pay an invoice for
10-11, Fiscal Period 14
Dates to Remember:
• July 21 Last day to Submit IIJVs to BAO for
Period 14
• July 26 Detail and aging reports due for all
non-SIS accounts receivable.
• July 26 Last day to Submit AP Reports.
• July 26 Period 14 Close (FY11)
• July 27 Availability of Fiscal Period 14
Reports
Year End Accruals
Prepaid Expense - A5901
Expenditures must be charged to the fiscal year in which goods are received
or the majority of the services are performed.
Example JV’s as follows:
To record expenditure as a prepaid expense in FY11:
Debit
Department Fund
A5901 - Prepaid Expense
Credit Department Index
Expense Account Code - ex.
24505 Performance Fees
To record the reversal in FY11:
Debit
Department Index
Expense Account Code - ex. 24505
Performance Fees
Credit Department Fund
A5901 - Prepaid Expense
Year End Accruals
Prepaid Revenue - B5901
Revenue must be credited to the fiscal year that the goods or majority of the services
are provided.
Example JV’s as follows:
To record revenue as a prepaid revenue in FY11:
Debit
Department Index
Credit
Department Fund
Prepaid Revenue
To record the reversal in FY11:
Debit
Department Fund
Credit
Department Index
Revenue Account Code - ex. 01102 Nonresident
Undergrad Tuition
B5901 - Accrued Undistr Income
B5901 - Accrued Undistr Income
Revenue Account Code - ex. 01102 Nonresident
Undergrad Tuition
Non-SIS Accounts Receivable
• Each department must submit a detail and aging
report of their non-SIS accounts.
• These reports must be reconciled to banner as of
period 14. (FGITBAL)
• Includes service departments, auxiliaries, and
designated operations accounts receivables from
entities that are external to OUS and the member
institutions.
• Same process applies for internal transactions.
Dating FIS Documents
• Documents entered
between July 1 and
July 18 for fiscal
year - 11, you will
need to change the
Transaction Date to
June 30.
This includes:
• Budget Changes
• Invoices
• JVs
• Travel
Reimbursements
Encumbrances
• In prior fiscal years the BAO only rolled
restricted fund related encumbrances.
Beginning fiscal year 11 all encumbrances
will be rolled into the fiscal year 12
accounting records.
Expenditure Cut-Off Guidelines
• Expenditures must be charged to the fiscal year
in which goods are received or services are
performed.
• For goods and services received by June 30 for
which vendor invoices have not been received as
of July 26, fill out an A/P Report.
• http://ba.uoregon.edu/sites/ba/files/forms/yearend
ap.pdf
Service Centers
• Service Center Compliance
• 5 yr. Plan (CAMP).
• See BAO Website for Detailed Instructions.
http://ba.uoregon.edu/staff/service-centers
Reporting Property Not Owned
by UO
• Leased Asset Schedule for Year-End
Reporting.
• Leased Property (LE/LP).
• Loaned Property (LN).
• Adequate Insurance Coverage.
• FWIFLST – Banner Form to Check for
Completeness of Inventory Records.
Real Property
• Capitalization of CIP Expenses.
• Conversion of Completed Projects into
Real Property Records.
• Componentization of Specified Buildings
used for Research.
BAO Help
• Accounting and Financial Management Contacts
http://ba.uoregon.edu/staff/actg-and-finl-mgmt-contacts
• Accounts Payable 6-3143
http://ba.uoregon.edu/staff/ap-invoice-payment
• Travel 6-3158
http://ba.uoregon.edu/staff/travel
Year End COB Deadlines 2010-2011
• http://ba.uoregon.edu/staff/year-end-deadlines-11
Closing Remarks