LEgal Close - Tips & Lessons Learned YEAR-END LEGAL TRAINING APRIL 2017 LEgal Close - Tips & Lessons Learned Michelle Korte Director, Financial Accounting & Reporting, CSU Chico

Chico Legal Close – What’s important APRIL 2017 YEAR-END LEGAL TRAINING Chico Legal Close – What’s important Communication, Communication, Communication Lessons Learned Timeline Understand Key Dependencies Front-load Work Prior to June Most Valuable Asset: Staff Lessons of Legal/GAAP Efficiencies

YEAR-END LEGAL TRAINING APRIL 2017 YEAR-END LEGAL TRAINING APRIL 2017 Communication Yearend planning session within Financial Services at the manager level begins in February-Early March Yearend Fiscal Close Schedule sent to Departments in March (includes calendar format or filterable excel) Yearend touchpoint meetings with key stakeholders begin in April (Capital Planning, Facilities Management, Housing, Primary Service Centers)

YEAR-END LEGAL TRAINING APRIL 2017 YEAR-END LEGAL TRAINING APRIL 2017 Communication (cont.) In late May a compilation of Auxiliary Organization (component unit) deadlines is coordinated with the component unit GAAP coordinators. This includes cutoff dates applicable between entities GAAP deadlines FIRMS deadlines

YEAR-END LEGAL TRAINING APRIL 2017 YEAR-END LEGAL TRAINING APRIL 2017 Communication (cont.) In mid-June we have planning session for all relevant Financial Svcs staff/managers in A/P, Procurement, Accounting, Budget, and Student Financials. This is an opportunity to discuss the overall timeline to close, known issues and concerns and to clarify touchpoints, handoffs and cutoffs. Last week of June, this becomes a brief daily status meeting through the day that we close. Participants drop off as their involvement concludes.

Lessons Learned - Timeline YEAR-END LEGAL TRAINING APRIL 2017 YEAR-END LEGAL TRAINING APRIL 2017 Lessons Learned - Timeline The deadline to submit is not really July 15th. Set the campus timelines to submit two weekdays prior to the deadline. This allows for submission approvals. Build one day of reviews/validations/corrections into the schedule. (In other words, you should really be done with journals three workdays before the due date.)

Lessons Learned – Understand Key Dependencies YEAR-END LEGAL TRAINING APRIL 2017 YEAR-END LEGAL TRAINING APRIL 2017 Lessons Learned – Understand Key Dependencies Posting of Payroll/LCD Recording Obligations– both GL015 and Manual Obligations (Accruals) Deferred Revenue for Fall and Summer

Lessons Learned – Front-load Work Prior to June YEAR-END LEGAL TRAINING APRIL 2017 YEAR-END LEGAL TRAINING APRIL 2017 Lessons Learned – Front-load Work Prior to June Capitalize completed projects in Asset Management in April/May/Early June Test CFS Closing Rules in Non-prod by early June Address and resolve FIRMS errors before June 30 Monitor and resolve abnormal balances by CSU fund and FOC throughout the year; if an abnormal balance will still exist at 6/30 prepare the explanation in advance Set up new year chartfields in April/May effective date 7/1

Lessons Learned – Most Valuable Asset: Staff YEAR-END LEGAL TRAINING APRIL 2017 YEAR-END LEGAL TRAINING APRIL 2017 Lessons Learned – Most Valuable Asset: Staff Chico has Accounting staff who participate heavily in both legal and GAAP. We now plan “will not work weekends” into the schedule. Staff expressed they wanted a weekday night during busy season when they KNEW they would not work. That is now part of the schedule– for example, on Tuesdays everyone leaves on time. We just plan around it. That is a day they know they can make plans with family and friends no matter what. Hear what is important to staff and adjust the schedule accordingly. We want our experienced staff to stay for the long-run.

Lessons Learned – Most valuable Asset: Staff YEAR-END LEGAL TRAINING APRIL 2017 YEAR-END LEGAL TRAINING APRIL 2017 Lessons Learned – Most valuable Asset: Staff In recent years Chico has used alternative work schedules for most Accounting staff for the week of June 30. For example, rather than working Monday-Friday, they could be provided notice that their schedule for week of June 30 will be Tuesday-Saturday. This is popular with staff as it gives them a long weekend just before peak work time.

Lessons of Legal/GAAP Efficiencies YEAR-END LEGAL TRAINING APRIL 2017 YEAR-END LEGAL TRAINING APRIL 2017 Lessons of Legal/GAAP Efficiencies Record Prepaids in legal– we log them all year in Excel, then upload JE to CFS on June 30. Summer revenue split is based on a query utilizing the number of days the course is in each Fiscal year. We post this in legal as of June 30.

Lessons of Legal/GAAP Efficiencies (cont.) YEAR-END LEGAL TRAINING APRIL 2017 YEAR-END LEGAL TRAINING APRIL 2017 Lessons of Legal/GAAP Efficiencies (cont.) A detail of AP by voucher-vendor, accrual JE, or GL015 detail is compiled in Excel. Using queries and Vlookup formulas we populate the GAAP chartfields into spreadsheet. It is worth the few hours to build as it saves time throughout GAAP, agrees to the GAAP AP balance and is used in many different ways for GAAP – including FN 14, FN 17, subsequent disbursement review.

YEAR-END LEGAL TRAINING APRIL 2017 YEAR-END LEGAL TRAINING APRIL 2016 Questions and Answers Michelle Korte Director, Financial Accounting & Reporting mkorte@csuchico.edu Melissa Taylor Manager, Accounts Payable & Acctg. Applications mltaylor@csuchico.edu Jeni Kitchell Director, University Budget Office jkitchell@csuchico.edu