Year-End Planning and Year-End Planning and ChecklistChecklist

CSU Year-End Training CSU Year-End Training WorkshopWorkshop

LAX, May 21-22, 2007LAX, May 21-22, 2007

AGENDAAGENDA

• BackgroundBackground

• Preparing and Planning Preparing and Planning

• Year-End Checklist and TimelineYear-End Checklist and Timeline– Includes RMP issues and guidelines Includes RMP issues and guidelines

• Discussion and Q & ADiscussion and Q & A

Background: Why Is This Background: Why Is This Needed?Needed?• Frequently asked questions:Frequently asked questions:

– Why isn’t this written down anywhere?Why isn’t this written down anywhere?– Do you have a year-end checklist we Do you have a year-end checklist we

can look at?can look at?

• What is new about this year?What is new about this year?• Condensed close and reporting Condensed close and reporting

timelines in recent years timelines in recent years • Importance of preparation and Importance of preparation and

planning to year-end close successplanning to year-end close success• New campus staffNew campus staff

Background: What are we Background: What are we trying to Change?trying to Change?• Overtime and StressOvertime and Stress• Lack of communicationLack of communication• Lack of time for Management ReviewLack of time for Management Review• More Standardization & consistency More Standardization & consistency

in reportingin reporting• Success in meeting deadlinesSuccess in meeting deadlines

Background: Where did this Background: Where did this information come from? information come from?

• Compilation of different Year-End Compilation of different Year-End presentations and/or checklists.presentations and/or checklists.

• Year-End closing schedules for several Year-End closing schedules for several campuses reviewedcampuses reviewed

• Similarities in approach, if not in detailSimilarities in approach, if not in detail

• RMP Interim Operating Guidelines RMP Interim Operating Guidelines

• Yr-End Checklist prepared by COYr-End Checklist prepared by CO

Background: What has Background: What has Changed?Changed?

• SCO DeadlinesSCO Deadlines

• CO DeadlinesCO Deadlines

• Focus on timeliness and importance Focus on timeliness and importance of GAAP Reportsof GAAP Reports

• Revenue Management ProgramRevenue Management Program

• CSU Interim Operating GuidelinesCSU Interim Operating Guidelines

Background: Issues We Background: Issues We Can’t Solve HereCan’t Solve Here• Lack of standardization Lack of standardization

– Campus policies varyCampus policies vary– Campus procedures for implementing CSU Campus procedures for implementing CSU

policies varypolicies vary

• This represents a frameworkThis represents a framework– Some Items ARE requiredSome Items ARE required– Others suggested to assist in meeting deadlinesOthers suggested to assist in meeting deadlines– One size may not fit all so plan ahead and One size may not fit all so plan ahead and

customizecustomize

Preparation and PlanningPreparation and Planning

• Monthly recons – Keep ‘em current Monthly recons – Keep ‘em current and resolve factorsand resolve factors

• Preparation begins in January and Preparation begins in January and FebruaryFebruary

• Consider changes on YOUR campus - Consider changes on YOUR campus - (PS Student Finance, GL issues, PS (PS Student Finance, GL issues, PS AR/BI, Asset Mgt)AR/BI, Asset Mgt)

• Look at last year, how did you do?Look at last year, how did you do?

Preparation and PlanningPreparation and Planning

• Key DeadlinesKey Deadlines– Work backwards from these dates when Work backwards from these dates when

planningplanning– June 15 - SCO Cut-off for Claims\PFA’s\June 15 - SCO Cut-off for Claims\PFA’s\

Transfer RequestsTransfer Requests– July 16 – FIRMS Submission COMPLETED July 16 – FIRMS Submission COMPLETED

(24 hour review backs this up a few (24 hour review backs this up a few days due to weekend)days due to weekend)

– All SCO required reports per legal All SCO required reports per legal manualmanual

Considerations for first RMP Considerations for first RMP CloseClose• Two Bank Recons – STO and WFTwo Bank Recons – STO and WF• CO Pullback of $5K prior year payroll “subsidy”CO Pullback of $5K prior year payroll “subsidy”• Close GF without accruals or current year BBAClose GF without accruals or current year BBA• No GF Revolving Fund closureNo GF Revolving Fund closure• Entries for Investments, Cash, unpaid Claims, Entries for Investments, Cash, unpaid Claims,

Student Health Services feesStudent Health Services fees• Do not accrue Payroll, CSURMA, SUGDo not accrue Payroll, CSURMA, SUG• Prepare for designated Fund Balance entries for Prepare for designated Fund Balance entries for

Fund 0948.485Fund 0948.485

Year-end Closing Checklist – Year-end Closing Checklist – March and AprilMarch and April• Year end cut-off schedule to campus usersYear end cut-off schedule to campus users• Reconcile 101001-Cash in State Treasury and Reconcile 101001-Cash in State Treasury and

101006/108090 Accounts101006/108090 Accounts• Run preliminary data quality review Run preliminary data quality review • Begin to move accruals out of GFBegin to move accruals out of GF• If needed, develop a plan to migrate Student If needed, develop a plan to migrate Student

Health Service fee activity from Fund 948.451 to Health Service fee activity from Fund 948.451 to Fund 948.485 for year end Fund 948.485 for year end

Year-end Closing Checklist - Year-end Closing Checklist - MayMay• Finalize year-end schedule and distribute to Finalize year-end schedule and distribute to

staffstaff

• Load SAM99 Accrual Reversal TapeLoad SAM99 Accrual Reversal Tape– SAM99 should be run with Accrual Reversal checkbox SAM99 should be run with Accrual Reversal checkbox

marked from this point forwardmarked from this point forward

• Analyze data dependencies for month and year-Analyze data dependencies for month and year-end entriesend entries– Meet with departments or contact third-party Meet with departments or contact third-party

providers to determine dates information will be providers to determine dates information will be ready or potential cut-off of activity to meet ready or potential cut-off of activity to meet deadlinesdeadlines

Year-end Closing Checklist - Year-end Closing Checklist - MayMay• Develop strategy for reclassification of Develop strategy for reclassification of

investment income to 499investment income to 499– 101006 balances will be re-mapped to 108090 – 101006 balances will be re-mapped to 108090 –

investmentsinvestments– Campus can use 101006 or 108090 – both Campus can use 101006 or 108090 – both

mapped to Object Code 108090 mapped to Object Code 108090 – All investment income posted to Fund 499All investment income posted to Fund 499

• Collect data and analyze capital leases, Collect data and analyze capital leases, capital projects & other potential complex capital projects & other potential complex transactionstransactions– Develop strategy for booking to ledgerDevelop strategy for booking to ledger

Year-end Closing Checklist - Year-end Closing Checklist - MayMay• Chancellor’s Office pull back of $5,000 in Chancellor’s Office pull back of $5,000 in

reverting General Fund year (in 2007, pull back reverting General Fund year (in 2007, pull back 2003)2003)

• Review reverting fundsReview reverting funds– Clear any remaining assets and liabilitiesClear any remaining assets and liabilities– CY revenues and expenses will close to fund CY revenues and expenses will close to fund

balance clearingbalance clearing• Review closing rules and treesReview closing rules and trees

– Update for reverting/reverted fundsUpdate for reverting/reverted funds– Confirm all of 0948 fund closes to 305002 (485, Confirm all of 0948 fund closes to 305002 (485,

499, etc.)499, etc.)

Year-end Closing Checklist - Year-end Closing Checklist - MayMay

• Ensure budget and actuals equal (BBA=0) Ensure budget and actuals equal (BBA=0) in the following CSU Operating Fund (485) in the following CSU Operating Fund (485) accounts:accounts:506100 – SWAT Transfers In506100 – SWAT Transfers In

680100 – SWAT Transfer Out680100 – SWAT Transfer Out

690003 – General Fund Transfer In690003 – General Fund Transfer In

• Review Revenue in CSU Operating FundReview Revenue in CSU Operating Fund– Make sure appropriate revenues are recordedMake sure appropriate revenues are recorded– No investment earnings No investment earnings

Year-end Closing Checklist - Year-end Closing Checklist - MayMay• Review General Fund (SCO fund 0001) for Review General Fund (SCO fund 0001) for

the following:the following:– FY 2006, BBA = zeroFY 2006, BBA = zero– FY 2005, BBA = $5,000FY 2005, BBA = $5,000– FY 2004, BBA = $5,000FY 2004, BBA = $5,000– FY 2003, BBA = zero (reverting)FY 2003, BBA = zero (reverting)

• Budget and Accounting develop a plan for Budget and Accounting develop a plan for year-end reserve entriesyear-end reserve entries– Create campus accounts as needed for reservesCreate campus accounts as needed for reserves

Year-end Closing Checklist - Year-end Closing Checklist - Early JuneEarly June• Close and reconcile May dataClose and reconcile May data• Notify Auxiliaries of Year-End DeadlinesNotify Auxiliaries of Year-End Deadlines

– FIRMS 7/31/07FIRMS 7/31/07– GAAP 9/28/07GAAP 9/28/07– IPEDS 10/31/07IPEDS 10/31/07

• Request Contingent Liabilities listRequest Contingent Liabilities list• June 15June 15thth SCO MUST have final 2006/07 SCO MUST have final 2006/07

Claims/PFA/Transfer Requests in Hand for Claims/PFA/Transfer Requests in Hand for guaranteed processingguaranteed processing– Consider if enough 0948 balance available to meet June Consider if enough 0948 balance available to meet June

30 payroll30 payroll

Year-end Closing Checklist - No Year-end Closing Checklist - No later than June 22ndlater than June 22nd

• Final Escheat ChecksFinal Escheat Checks

• Review and Adjust A/R ReservesReview and Adjust A/R Reserves

• Clear all SAM99 reconciliation issues Clear all SAM99 reconciliation issues identified in May month-end or June identified in May month-end or June mid-month reviewmid-month review

• Clear all known FIRMS error Clear all known FIRMS error messagesmessages

Year-end Closing Checklist - No Year-end Closing Checklist - No later than June 29thlater than June 29th

• Record all chargebacksRecord all chargebacks

• All Requisitions must be sourced to a All Requisitions must be sourced to a Purchase Order or cancelledPurchase Order or cancelled

• Final Student System feeds to A/P Final Student System feeds to A/P completed, prep for final fiscal year completed, prep for final fiscal year check runcheck run

Year-end Closing Checklist - Year-end Closing Checklist - June 29-30June 29-30• Post/Reconcile PayrollPost/Reconcile Payroll

• Post Final ProCard from June statementPost Final ProCard from June statement

• Receiving CompletedReceiving Completed

• Close PurchasingClose Purchasing

• Final recording of Cash ReceiptsFinal recording of Cash Receipts

• Close Cash ReceiptsClose Cash Receipts

• Final Check Run/ClaimsFinal Check Run/Claims

• Close Accounts PayableClose Accounts Payable

Year-end Closing Checklist – Year-end Closing Checklist – July Week 1July Week 1• CO Data will be communicated to campuses via CO Data will be communicated to campuses via

AD NOAT no later than July 6AD NOAT no later than July 6– Includes Non-Delegated CWIP, FBC, Risk Pool Claims Includes Non-Delegated CWIP, FBC, Risk Pool Claims

Deductibles, and Interagency AR/AP Fixed Assets and Deductibles, and Interagency AR/AP Fixed Assets and Retention Entries CompleteRetention Entries Complete

• Run and Post GL 15 processRun and Post GL 15 process• Manually liquidate Reimbursed Activities Manually liquidate Reimbursed Activities

remaining Encumbrance Balanceremaining Encumbrance Balance• Complete Manual Obligations Complete Manual Obligations

Year-end Closing Checklist – Year-end Closing Checklist – July, Week 1,July, Week 1, ContinuedContinued

• Final Reimbursed Activities Billing Final Reimbursed Activities Billing Completed/Confirm RA in Balance by CSU Completed/Confirm RA in Balance by CSU FundFund

• Reconciliation of all subsystems to ledger Reconciliation of all subsystems to ledger complete: ARBI, Student, etc.complete: ARBI, Student, etc.

• Complete routine month-end journal Complete routine month-end journal entriesentries

• Load Bank Recon/Paid Claims Load Bank Recon/Paid Claims (CD102)/SAM99 Files(CD102)/SAM99 Files

Year-end Closing Checklist – Year-end Closing Checklist – July, Week 1,July, Week 1, ContinuedContinued

• Bank Reconciliation Completed – Negative Bank Reconciliation Completed – Negative Cash Balances Resolved through Cash Balances Resolved through reclass/remap of 101006 to 108090 reclass/remap of 101006 to 108090 investment accountinvestment account

• All investment income reclassified/posted to All investment income reclassified/posted to 499 only499 only

• SAM99 Reconciliation Completed – All SAM99 Reconciliation Completed – All SAM99 Reconciling Items ClearedSAM99 Reconciling Items Cleared– Reclassify FBC for claims filed to Due To Trust for Reclassify FBC for claims filed to Due To Trust for

DVPDVP– SCP goes to claims filedSCP goes to claims filed– If needed, accrue FBC entries created by LCDIf needed, accrue FBC entries created by LCD

Year-end Checklist – Year-end Checklist – July, Week 2July, Week 2• All entries now under the supervision of Campus All entries now under the supervision of Campus

Budget OfficeBudget Office• Ensure budget and actuals equal (BBA=0) in the Ensure budget and actuals equal (BBA=0) in the

following CSU Operating Fund (485) accounts:following CSU Operating Fund (485) accounts:506100 – SWAT Transfers In506100 – SWAT Transfers In680100 – SWAT Transfer Out680100 – SWAT Transfer Out690003 – General Fund Transfer In690003 – General Fund Transfer In

• Review Revenue in CSU Operating FundReview Revenue in CSU Operating Fund– Make sure appropriate revenues are recordedMake sure appropriate revenues are recorded– No investment earnings No investment earnings

• Any investment earnings required to cover CY Any investment earnings required to cover CY expenditures in Fund 485 must be recorded in 506051 expenditures in Fund 485 must be recorded in 506051 – Transfer-in investment earnings from fund 499– Transfer-in investment earnings from fund 499

Year-end Checklist – Year-end Checklist – July, Week 2July, Week 2• Review General Fund (SCO fund 0001) for Review General Fund (SCO fund 0001) for

the following:the following:– FY 2006, BBA = zeroFY 2006, BBA = zero– FY 2005, BBA = $5,000FY 2005, BBA = $5,000– FY 2004, BBA = $5,000FY 2004, BBA = $5,000– FY 2003, BBA = zero (reverting)FY 2003, BBA = zero (reverting)

• Clear any remaining FIRMS errorsClear any remaining FIRMS errors• Final review of program/ledger balancesFinal review of program/ledger balances

– Clear any remaining deficitsClear any remaining deficits

Year-end Checklist – Year-end Checklist – July, Week 2July, Week 2• Final preliminary Data Quality ReviewFinal preliminary Data Quality Review• Reserve entries to CSU Fund 485 Reserve entries to CSU Fund 485 • 304015 Reserve for Operations304015 Reserve for Operations• 304016 Reserve for Campus 304016 Reserve for Campus

Dept/ObligationsDept/Obligations• 304018 Reserve for Encumbrances304018 Reserve for Encumbrances

– Use campus accounts as needed, mapped Use campus accounts as needed, mapped to above FIRMS Object codes, to to above FIRMS Object codes, to accommodate campus plans for accommodate campus plans for contingency, roll forward and reservescontingency, roll forward and reserves

Year-end Checklist – Year-end Checklist – July, Week 2July, Week 2

• Close xxCMP Business Unit to Close xxCMP Business Unit to prevent further entriesprevent further entries

• Generate Final SAM 99 FileGenerate Final SAM 99 File

• Final FIRMS derivationFinal FIRMS derivation

• Prepare Manual Reporting Package Prepare Manual Reporting Package for Mgt Reviewfor Mgt Review

Year-end Checklist – Year-end Checklist – July 12 and 13July 12 and 13• July 12 - Management Review/ApprovalJuly 12 - Management Review/Approval

• July 13 – Latest date for FIRMS submission July 13 – Latest date for FIRMS submission to CO’s SFSR group since 24 hour review to CO’s SFSR group since 24 hour review may still be in effectmay still be in effect

• July 16 – FIRMS Submission completed, pre July 16 – FIRMS Submission completed, pre and post closeand post close

• Transmit Final SAM99 file to SCOTransmit Final SAM99 file to SCO

Year-end Checklist – July Year-end Checklist – July and Augustand August• Submit all required SCO reports per Submit all required SCO reports per

instructions in year-end legal manualinstructions in year-end legal manual• Submit all CO required reportsSubmit all CO required reports• Additional reporting dates in Additional reporting dates in

September and October for GAAP September and October for GAAP and IPEDs.and IPEDs.

– Reference Reference http://www.calstate.edu/sfsr/http://www.calstate.edu/sfsr/

Discussion and CloseDiscussion and Close

Questions?Questions?