cfo roundtable

CFO Roundtable

December 11, 2012

Welcome & Introductions

Mike McKee Assistant Vice President and University Controller

Stuart Hoskins, Sr. Associate Controller

University Bursar & Treasury Management

In June –

A committee was created to “recommend enterprise wide payment card policies, standards, and priorities that ensure privacy and security”.

This committee’s findings would be reported to the Information Security and Compliance Advisory Committee .

I was appointed Chair the Committee. Members included

representatives from:• UF Chief Information Security Officer• Privacy Officer• University of Florida Physicians • UF&Shands Jacksonville• Continued Education• Office of the General Counsel • Office of Internal Audit Control• IFAS Extension Bookstore• University Athletic Association• University of Florida Foundation

Credit Card Governance


UF Area Dollars (millions) Transactions (thousands)

UF Core Offices $65.6 466UF Athletic Association $50.6 66UF Foundation $5.0 33UF Physicians - Gainesville $7.8 114UF Physicians - Jacksonville $4.7 97

Total FY12 $133.7 776

Committee Findings and Recommendations to the ISCAC included: Payment card environment at UF is growing and becoming increasingly complex as electronic payment systems grow. Currently there are no enterprise wide policies and standards at UF for the payment card environment. Additionally, each of the areas establishes their own business relationships with third party vendors. The Committee recommended the creation of an enterprise wide Payment Card Acceptance Committee. Responsible for providing recommendations and information to the University Chief Fiscal Officer (CFO) for establishing and maintaining payment card policies and standards. The scope of this committee should be the entire UF enterprise as it is defined in the UF Annual Report.


Policies and standards to be developed should include:Oversight and AuthorityTerms of Use Agreement for MerchantsCredit Card Number Storage/RetentionProcessing MethodsE-CommerceContracts with Third PartiesPayment Card Industry Data Security Standards (PCI DSS)

• The Payment Card Governance committee will be the official body to

discuss UF’s payment card requirements and to create enterprise wide payment card policies and standards.


The Committee should include permanent representatives from:• Treasury Management • The Privacy Office• The Office of Information Security and Compliance• The Office of Audit and Compliance Review (ex-officio)• The Office of the VP and General Counsel (ex-officio)

The Committee should include rotating representatives from:

• Three large UF merchants (e.g. UAA, UFF, Shands)• Two smaller UF merchants (e.g. Stephen C. O’Connell Center,

Performing Arts Center, J. Wayne Reitz Union, Harn Museum Store) Currently we are waiting on the ISCAC to finalize our recommendations.


Linda Orfield, Associate Controller

Payroll & Tax Services

HR/PR Upgrade StatusPrior Year Refunds/Retro’s

University Payroll and Tax Services

Brian J. Kuhl, Assistant Controller

• Provide your consent to retrieve your W-2 electronically in myUFL• My Self Service > Payroll and Compensation > W-

2/W-2c Consent

• Receive your electronic W-2 earlier in January• Access previous W-2s dating back to 2005• View and print your W-2 from any computer with

myUFL access• Support UF’s sustainability efforts

Electronic W-2 Consent

• Keep your Local and Permanent Home Addresses in myUFL current• My Account>Update My Directory Profile

• Inactive employees will be mailed their W-2s, since they no longer have security to consent or to retrieve them electronically.

Electronic W-2 Consent

Per mile Move Occurring• 23.0 cents Jan. 1, 2012-Dec. 31, 2012• 24.0 cents Jan. 1, 2013-Dec. 31, 2013

Standard Mileage Rate forMoving Expenses

• The 2013 Social Security (FICA) wage base will increase to $113,700

• Represents a $3,600 increase over the 2012 wage base of $110,100.

• The maximum Social Security tax employees and employers will each pay in 2013 is $7,049.40

($113,700 x 6.2%).

Social Security Taxable Wage Base for 2013

• For 2013, wages paid in excess of $200,000 will be subject to an extra 0.9% Medicare payroll tax that will be withheld only from the employee’s wages.

• The employer portion of the Medicare tax will remain unchanged at 1.45%.

Additional 0.9% MedicarePayroll Tax

• Under current law, the 2012 Social Security (FICA) tax rate is 4.2% for employees and 6.2% for employers.

• Unless the federal government acts to extend or change the rate, it is scheduled to return to 6.2% for both employees and employers for 2013.

FICA Tax RateTo Be Determined

33 Tigert HallPO Box 113201

Phone: (352)392-1231Fax: (352)846-0166

Thank you!

University Payroll and Tax Services

Brad Staats, Assistant Vice President,

Contracts and Grants

myInvestigator, Financial Reporting Tool

CAS

Brenda Harrell,Assistant Controller

Cost Analysis & Construction Accounting

Developed Reports for the effort system

Reports Developed There have been many helpful reports developed

for your convenience. From the myUFL menu, navigate to:

Enterprise Reporting > Access Reporting A pop up window will appear. Then navigate to:

Human Resources Information > Workforce Information > Effort Reporting

Reports Developed There are three folders with reports:

Reports Developed In the Faculty Assignment Report Folder Contains:

Reports Developed In the Effort Commitments Folder Contains:

Reports Developed In the Effort Certification Folder Contains:

Reports Developed Reports to Point Out

The Max Effort Percentage Reports These reports will give you how much effort is the max

amount that is expected or would be reported to the state. However, always report actual effort!


Certified Audit Report by UFID Need a report for your tenure packages, or response to

audits? This report was designed to give the effort allocated

without doing a screen shot, who certified the report, and when it was certified.


Outstanding Certifications Want to know what is outstanding for your department

and who still needs to certify? When there is more than one certifier, report only lists

those who have not completed the process.

Summer 2012 Term Deadlines

Friday, December 14th All effort errors corrected and submitted to Employees for Certification.

Friday, January 11th

Effort Certified by Employees

Open Lab Date

Thursday, December 13th – at HR Room 119, From 1:30 – 4:30

Training Courses Available

RSH200 – Effort Reporting (Required to Have Access)

RSH220 – Effort Fundamentals for RAs

RSH230 – Effort Management for RAs

Contracts and Grants• Commitment Entry and Adjustments• Your Research Administrator for C&G• Or, Email: [email protected]

Office of Institutional Planning and Research• Instruction/Course Related Questions• Email: [email protected] and [email protected]

Cost Analysis• All Other Effort Questions• Email: [email protected]

Who To Contact?

mailto:[email protected]




Questions and Feedback

Karen Frank, Assistant Director

Purchasing Services

Managed Print

Randy Staples, Associate Controller

Disbursement Services

AP Automation

Cheryl Bell, Associate Controller

Treasury Management

Research Participant Project Update

Sheela Moudgil,Associate Controller

General Accounting & Financial Reporting

Account Code descriptions and definitions have been updated to reflect the $5,000 capitalization threshold

Additional Account Codes added to CAS tree

Updated Account Code definitions can be found at: http://www.fa.ufl.edu/departments/general-accounting/chartfields/

Non-Payroll Operating Expense Account Code Changes

http://www.fa.ufl.edu/departments/general-accounting/chartfields/



Account Old Description New Description Added to CAS Tree

722200CELLULAR CELLULAR PHONES & SERVICE PLAN

722300PAGERS PAGERS Yes

722400FAX MACHINES INACTIVATED IN myUF MARKET

729900ATTRACT - COMM FAX/PHONE<1,000 FAX/PHONE EQUIPMENT <5000 Yes

Summary of Updated Account Code Changes

Utilities and Communications

Account Old Description New Description Added to CAS Tree731200 ANIMAL FOR RESEARCH ANIMAL FOR RESEARCH <5000731300 AUDIO/VISUAL EQUIPMENT AUDIO/VISUAL SUPPLIES Yes731700 MEDICAL EQUIPMENT <1000 MEDICAL EQUIPMENT <5000731800 ATTRACT - AUD/VIS EQUIP <1 000 AUDIO/VISUAL EQUIPMENT <5000 Yes731900 ATTRACT - LAB EQUIP <1 000 LAB EQUIPMENT <5000732900 ATTRACT-OFFICE EQUIP (NOT CAP) OFFICE EQUIPMENT <5000 Yes734200 COMPUTER SOFTWARE COMP SOFTWARE GENERAL734250 COMPUTER SOFTWARE TECH COMP SOFTWARE SPECIALIZED734800 ATTRACT-COMP EQUIP (NOT CAP) COMPUTER EQUIPMENT <5000 Yes734900 ATTRACT - COMP PERIPHERAL<1000 COMPUTER PERIPHERALS <5000 Yes739400 EQUIPMENT > 1000 & < 5000 INACTIVATED IN myUF MARKET739700 ATTRACT - SMALL HANDTOOLS<1000 SMALL HANDTOOLS <5000739800 ATTRACT - MUSICAL EQUIP <1 000 MUSICAL EQUIPMENT <5000739900 ATTRACT - FIREARMS <1 000 FIREARMS <5000


Materials and Supplies

Account Old Description New Description Added to CAS Tree781100 EQUIPMENT – GENERAL FURNITURE & EQUIPMENT >4999782400 COMPUTER SOFTWARE – GENERAL COMPUTER SOFTWARE =>4,000,000784000 VEHICLES AND TRANSPORTATION VEHICL & TRANSP >4999789100 ARTWORK AND MUSEUM ARTIFACTS ART & MUSEUM ARTIFACTS >4999789400 LIVESTOCK LIVESTOCK >4999


Capital Asset Purchases

Kim SimpsonSr. Associate Controller Operational Controls and

Efficiencies

Office of Internal Audit Control Environment Review

Audit conducted by Office of Internal Audit (formerly OACR)

Self assessment sent out to campus departments in March, 2012 (94% response rate)

Follow-up site visits with 40 departments to validate survey responses


Areas of review: Control Environment Budgeting, Accounting and Financial Reporting Asset Management Payroll HR Management Purchasing and Disbursements Research Management and Support (covered

elsewhere) Information Technology (covered elsewhere)


Control Environment establishes the foundation for the internal control system by providing fundamental discipline and structure. Documentation of operating procedures was lacking in

45% of units Mission statements/goals were not documented in 20% of

units Benchmarking not conducted in 30% of units Formal risk assessments not conducted in 73% of units Business continuity plans were not documented in 78% of

units


Budgeting, Accounting and Financial Reporting Timely and appropriate reconciliation of ledgers was

not in place in 28% of the units. Sometimes ledgers were reviewed for unusual entries but not compared to supporting documentation for accuracy

In 48% of units the employee who had the ability to enter vouchers also reconciled the ledgers

In 55% of the units, Management did not review the reconciled ledgers or, when reviewed, didn’t document the review.


Collections, Deposits and Cash Funds In 15% of the units, employees who collected

moneys or prepared deposits also performed the reconciliation functions

Checks were not always restrictively endorsed upon receipt in 20% of the units

Collections were not reconciled to the general ledger or supporting documents in 18% of the units

Deposits were not deposited in the timeframe required by University directives in 20% of the units.


Payroll 28% of the units did not review the final

paylists 25% of the units did not have procedures to

document advanced approval of overtime or compensatory time

18% of the units did not have procedures in place to ensure that leave taken was properly approved and recorded against time records


Purchasing and Disbursements When purchases are made through

unencumbered vouchers or pre-approved myUF Market vendors, 25% of units didn’t have compensating controls in place.

68% of units did not periodically review purchasing card limits and document such review.


Summary It is difficult to accomplish all the “ideal” internal

controls in the real world given limited staff sizes, budget cuts, etc.

Just try to do your best and consider the control issues mentioned here and in general

Controller’s Office will be working with the OIA to give some general guidance on risk assessment and business continuity plans.

Contact Kim Simpson in the Controller’s Office is you have any questions – [email protected], 294-7237.


Kathleen Tillett, Sr. Associate Controller

Payroll & Tax Services, General Accounting & Financial Reporting

Financial Audit Update

Mike McKeeAssistant Vice President and University Controller

Finance & Accounting

Florida Polytechnic University GBAS Update Shared Service Center Update

Questions?Contact

Dannielle Godwin

[email protected]


cfo roundtable

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