May 19, 2008 1

Year End Obligations

Legal Basis Reporting Workshop

May 19, 2008

May 19, 2008 2

Summary

Overview of LedgersData Review of Actuals & EncumbrancesObligation Accruals

Business Rules Automated Process – GL-15 Manual Process

Actual/Encumbrance Journals

May 19, 2008 3

Summary

Review Helpful Queries & Allocations Abnormal Balances Negative Expenditures Rolling Forward Budget

May 19, 2008 4

CSU Data Structure

May 19, 2008 5

Obligations Accruals

Business Rules for year end required reporting State–GL Account 3010 – Accounts Payable

for ALL funds will include Posted Vouchers, Obligations AND Encumbrances

FIRMS record type 10 for object code 201001 will include Posted Vouchers and Obligations…NOT Encumbrances

FIRMS record type 15 for object code 201001 will be Year to date encumbrances (Accounting Period 1-12)

FIRMS record type 16 for object code 201001 will be Project to date encumbrances (Accounting Period 0)

May 19, 2008 6

Accounts Payable to the State includes Encumbrances for Governmental Funds

May 19, 2008 7

Year end Obligations

Goods and services received but not yet invoiced (no voucher posted) must still be “obligated”

For activity received within the Finance 8.4 application an automated process will create the journals to liquidate the encumbrance portion and record the AP Accrual

Manual journals will need to be done for items that cannot be identified by the automated process

• Utilities

• Retention

• etc

May 19, 2008 8

CSUGL015 – Year End Obligations

Automated process within PeopleSoft Can be run in report mode only until ready to actually

process journals Journals are created for Items received on Purchase

Orders not yet Invoiced Liquidates Encumbrance as of June 30

• Creates a July 1 Encumbrance Journal to re-establish encumbrance

Creates Actuals journal as of June 30• Reverses July 1

May 19, 2008 9

CSUGL15 CSU Year End Obligations – Run Control

May 19, 2008 10

CSUGL015 – Year End Obligations – Output (Report)

May 19, 2008 11

CSUGL15 Overview

Journal ID: YEOBL####Journal Date: 06/30/YYY1

Report ID:CSUGL015Batch ID: ENCOBL2001

Report of PO amount to be liquidated for obligations

FSPGJGEN

Journal GeneratorCOBOL SQL Process

CSU_YEC_ACT_LN

Template:YECACTOBL

CSU_YEC_ENC_LN

Template:YECENCOBL

Year-End Encumbrance SQR Process

CSUGL015

Journal ID: YAOBL####

Reporting Journal Generation

PO Business Unit Document ID Document Line Number Document Sched Nuumbrer Document Distrib Line NumGL Chartfield ValuesSum by Monetary Amount

CSU_KK_PO_AC_VW

PO Business Unit PO Number PO Line Number PO Sched Number PO Distrib Line NumReceived Quantity

RECV_LN_DISTRIB VCHR_ACCTG_LINE

PO Business Unit PO Number PO Line Number PO Sched Number PO Distrib Line NumVouchered Quantity

PO_LINE_DISTRIB

PO Business Unit PO Number PO Line Number PO Sched Number PO Distrib Line NumPO Quantity

PO Buisness Unit PO NumberPO Type

PO_HDR

Report ID:CSUGL015Batch ID: ENCREM2001*

Report of PO amount to be liquidated for completed PO

Report ID:CSUGL015Batch ID: ACTOBL2001

Report of PO amount to be accrued for obligations

* CSUGL015.SQR will generate report for batch ID ENCREMYYYY if there are remaining encumbrances . If campus runs this process without cleaning up the remaining encumbrances , in final mode (Report Only Mode option unchecked), the system will generate the ENCREM transactions and insert into the CSU _YEC_ENC_LN table. However, these transactions are NOT to be process through Journal Generator .

Journal ID: YEOBL####Journal Date: 07/01/YYY2

May 19, 2008 12

CSUGL15 Configuration

Accounting Entry Definitions Define the new records

CSU_YEC_ACT_LN CSU_YEC_ENC_LN

Journal Template YECACTOBL YECENCOBL

Journal Source OBL

Journal Mask YEOBL YAOBL

May 19, 2008 13

Manual Obligations of Encumbered Amounts Liquidate obligation portion of encumbrance

Effective June 30, 2008 Encumbrance Journal to Ledger KK_DTL_ENC

Record the amount as an accounts payable accrual – obligation Effective June 30, 2008

Actuals Journal to Ledger ACTUALS Re-encumber the obligation

Effective July 1, 2008 Encumbrance Journal to Ledger KK_DTL_ENC

Reverse the Accounts Payable Accrual Effective July 1, 2008

Actuals Journal to Ledger Actuals

May 19, 2008 14

Manual Obligations of Encumbered Amounts

Manual Obligation of Encumbered Amounts require THREE journals Journals to the Actuals ledger can be set up as

reversing journals This journal will record the Accounts Payable accrual

AND reverse itJournals to the Actuals Ledger can be set up as reversing Journals.

May 19, 2008 15

Manual Obligations of Encumbered Amounts

Encumbrance Journals are required to liquidate the encumbrance June 30 and to re-encumber it July 1

Encumbrance Journals are processed with the Ledger Group ACTUALS so that they will be edited by Combo Edits and controlled by open and closed periods

May 19, 2008 16

Manual Obligations of Encumbered Amounts Journals to Liquidate the encumbrance can NOT be set up as

reversing. However, the software will let you do it.

May 19, 2008 17

Manual Obligations of Encumbered Amounts Summary

Three journals are required 1 reversing journals for the accounts payable accrual

(June 30, 2008) and the reversing accrual (July 1, 2008) 2 encumbrance journals

• One dated June 30 to liquidate the obligation portion of the encumbrance

• One dated July 1 to re-encumber the obligation portion of the encumbrance

For the Encumbrance journal dated July 1, use the copy journal with reversing sign functionality

May 19, 2008 18

Reimbursed Activity

Another “Encumbrance” Journal In order to zero out Reimbursed Activity at year

end, for amounts related to encumbrances, an encumbrance journal needs to be processed eliminating all encumbrance amounts from Reimbursed Activity

May 19, 2008 19

Query to Identify Reimbursed Activity Encumbrances

May 19, 2008 20

FIELDS

May 19, 2008 21

Criteria

May 19, 2008 22

Having Criteria

May 19, 2008 23

Output

Download to excel to prepare encumbrance journals (6-30-2008) and reversing journal (7-1-2008)

May 19, 2008 24

Don’t forget

There is no such thing as a REVERSING ENCUMBRANCE journal You need to do two – One dated June 30 and one dated July 1

Use the Commitment Control hyperlink on the journal to do encumbrance journals to the ACTUALS ledger Do NOT do journals to the KK_DTL_ENC ledger

The offset to encumbrances MUST BE accounts payable – FIRMS Object Code 201001 Can set up a unique campus value

May 19, 2008 25

CSU Data Structure