1 Fiscal Year-End Close Review FY16

Documents for Year End August 2016 Close Memo Year-End Calendar FY16 Allowable Funding Transfers Funds Management and Overdrafts 2

Link for Detailed YE Instructions A detailed calendar of close dates is available on the Financial Management Services website at: 3

Year-End Close – Basic Process Funds: What is my year-end position? What funds do I need to analyze? Do I have overdrafts that must be corrected? Operating Budget: What is my funding? What are my expenses? 4

Fund Overdrafts Outside Operating Budget Designated, Expendable, Endowed & University Research funds should end the year with a balance ≥ zero These funds may be closed with a deficit if it does not exceed $1,000 (but the deficit must ultimately be funded) Sponsored Project award balances (awards beginning with P-V) are not reviewed as part of this year-end balance analysis 5

Fund Balance Review First, do a high-level review of all your fund balances. This will give you an idea of whether or not you have balance problems and where they are In ReportMart3, run Oracle report FIN FUND 154 YTD Fund Bal List 6

154 Fund Statement Summary 7

Possible causes Too much funding transferred to support Operating Budget Dean’s Office or President’s Office funding transfers have not yet been made Incorrect expenses or too many expenditures charged to a faculty-controlled fund 8

Corrective Actions Move incorrect or excess expenditures using LDA by 3pm or iJournals by 5pm Tuesday, September 6 Pull back Operating Budget support – send request to Finance liaison as soon as possible Transfer funding from a “like” fund to the fund in overdraft 9

Allowable Fund Transfers 10

Commitments and Fund Overdrafts By 5pm, Wednesday August 24 th Annotate your Commitments Report and return to your liaison for year-end transfers. By 5pm, Tuesday August 30 th Complete the first pass to cover fund overdrafts by annotating the 154 report. 11

Overdraft Coverage – 154a 12

Reconciling Operating Budgets 13 09/01 Funding From Budget Planning System – Budget Summary Page and Fund Statement + Mid-Year Commitments you’ve already received From August fund statements + Mid-Year Commitments you haven’t received yet + Other transfers in or (out) From August commitments reports From August fund statements = Total OB Funding for the year

Year End Close Report 14

Operating Budget Funding The Fin Fund 153 Fund Statement Report is the best source for detailed funding entries During fiscal year-end close we are matching funding by project to expense by project. We no longer are concerned with expense control (budget) figures. 15

Other Sources for OB Funding Information FY 15/16 Budget Planning System (BPS) – Budget Summary/Funding Dean’s Office allocation Departmental Controlled funding External Transfers In FY16 Salary or Non Salary OB reports (Repository) FY16 Commitments Report Mid-year commitments to the operating budget 16

Operating Budget Funding Reconcile 9/1 Budget to Fund Statement FY 15/16 BPS – Budget Summary/Funding This should equal the OCT-2015 GF transfer on your fund statement by project (use data download to get source PTA data) There are separate OCT-2015 lines for department controlled funding transfers Dean’s Office reconciles Faculty Salary project Reconcile mid-year transfers on Fund Statement Additional fund transfers during the year for mid-year funding commitments or transfers to/from other PTAs 17

Year-End Report for OB Actions you should be taking: Review Year End Report for your OB Award to check funding and expense Use the Fin Exp 279 Transaction Detail or OBI Consolidated Expenditure Reporting to check any questions about expenditure details Add any outstanding FY16 commitments from your commitments report to project year-end funding 18

Help with Reconciliation If you’re having trouble reconciling your expenditures, take a look at the Financial Management Services website: 19

Complete YE Close Instructions By 5pm, Tuesday August 30 Complete preliminary instructions on your 154 report for covering overdrafts By 5pm, Friday September 2 Complete preliminary instructions on the Year End Operating Budget Report and return to your liaison Provide instructions for pulling back unused restricted funding, moving general funds allocations, or adding funding as needed You can keep it simple, or make it complex, add rows and columns as needed to make it clear (Since reports are updated daily, you should be able to project your year-end balances closely) 20

Complete Revised Instructions By 5pm, Wednesday September 7th Complete and return to your liaison any revised instructions on the Year End Operating Budget Report and 154 report if there are material differences from your original instructions 21

Budget Savings Surpluses in graduate aid will be moved to the Grad Aid Savings account Surpluses in non-base budgets should be cleared by pulling back funds to the original source Budget savings decisions are made by Jim Henry and Steve Olson based on the YE close information and department/program reserves 22

Cost Sharing Entries in August Please review your cost share funding with your liaison Provide cost share funding instructions to your liaison by 5pm, Friday August 19 Cost sharing for faculty salaries and benefits during the academic year should be covered before August Month-End (Soft) Close Tuesday, September 6 Other cost sharing expenses should be covered from an appropriate departmental source 23

Finance Web Site and Repository The H&S Finance web site has reports, policies, procedures, training, and calendar information for year-end close Instructions for using the Repository to access and upload reports and other documents is available on the H&S Finance web site 24

Finance Web Site and Repository 25

OBI Consolidated Expenditure Reporting 26

Operating Budget Orientation 27 Questions or Suggestions?