Budget Revision Training - Background Presented by: Planning & Analysis

Planning & Analysis Website: www.utrgv.edu/Planning-and-Analysis

Planning & Analysis Contacts ▪ Juan C. Gonzalez, Associate VP  ▪ Maria Aten, Sr Financial Analyst juan.gonzalez@utrgv.edu maria.aten@utrgv.edu  956-665-2121 956-882-6592 ▪ Richard Wilson, Director ▪ Magda Rangel, Sr Financial Analyst richard.wilson@utrgv.edu magda.rangel@utrgv.edu 956-665-8702 956-665-2924 ▪ Frances Rivera, Associate Director ▪ Jacob Gracia, Accountant II frances.rivera@utrgv.edu jacob.gracia@utrgv.edu 956-665-2195 956-665-2962

Topics to be covered Background Information Budget revisions in general GL Accounting String GL Funds Inquiry Funds Checking Fiscal vs. Rollover Accounts How to read account balances How to Drill Down in Oracle

What is a Budget Revision? A budget revision (BR) is a temporary or permanent modification to the base budget. Who can submit a budget revision? Any employee who has been granted the required responsibilities in Oracle. Required responsibilities: Budget Revision User GL Inquiry (technically not needed to submit a BR but needed to review project)

When is a budget revision needed? To set up the initial budget for a project Planning & Analysis will do initial set up if on non-sponsored project request form To move budget within a project (from one object code to another) To align budget with actuals or anticipated revenues To address or avoid funds checking failures (non-labor 60000 line) To fund position changes To fund benefits and longevity E&G accounts done by Planning & Analysis Non-E&G accounts done by departments To transfer budget between projects (from one project to another)

Which types of transfers are not allowed? You should NOT do a transfer across funds (there are very few exceptions and these should only be done by the Planning & Analysis office. Please contact us for assistance) E&G Fund 11 Designated Fund 21

Transfers not allowed (continued) DO NOT transfer funds in or out of the following subgroups: DO NOT transfer funds to be used for something that would violate the purpose of the funds. Examples: ▪ Endowment income restricted to payment of scholarships may not pay travel. ▪ Fee revenue may not be used for purposes outside of the fee justification. Prefix SUBGROUP 120 Lab Fees 140 Transfers from other agencies 130 Special Lines/state transfers 24 Indirect Cost Recoveries

Example: Planning & Analysis operating expense line GL Accounting String 11.G0000.73160.110000042.53001.000060 Example: Planning & Analysis operating expense line

Fund 11.G0000.73160.110000042.53001.000060 First Two Digits Ranges: 11 – Educational & General (E&G) 21 – Designated (DES) 31 – Auxiliary (AUX) 41 – Restricted (RES) 51 – Loans 61 – Endowment 71 – Plant 81 – Agency

Funding Source Five Characters – A letter and 4 numbers 11.G0000.73160.110000042.53001.000060 Examples: G0000 – E&G Unspecified (G1xxx is “Fund 1”; G2xxx is “Fund 2”) *(For E&G always use G0000 for budget revisions regardless of actual funding Source) D1000 – Designated D2000 – Service Departments D4000 – Indirect Cost Recovery A1000 – AES Student Services P0100 – Investment in Plant R1000 – Federal Grant R5000 – Private Grant Z2000 – Agency Scholarship (This list is NOT all inclusive)

Organization 11.G0000.73160.110000042.53001.000060 Five digits Ranges: 72xxx – President 73xxx – Finance & Administration 74xxx - Research 75xxx & 76xxx – Academic Affairs/Colleges/School of Medicine 77xxx – Operations & Chief of Staff 78xxx – Institutional Advancement 79xxx – Govt & Community Relations

First digit of project will correspond to the fund it belongs to. Project Value Nine digits 11.G0000.73160.110000042.53001.000060 First digit of project will correspond to the fund it belongs to.

Object Code 11.G0000.73160.110000042.53001.000060 Five digits Examples: 40001 – Revenue Budget 52001 – Employee Benefits 44600 – Transfer In Intrafund 53001 – Operating Budget 51001 – Single Incumbent Salaries 53425 – Transfer Out Intrafund 51002 – Faculty Salaries 54001 – Books 51003 – Longevity 55001 – Scholarships 51010 – Pooled Salaries 57001 – Travel 51101 – Wages 58001 – Capital Outlay

NACUBO Function Six digit code used to classify expenses by function 11.G0000.73160.110000042.53001.000060 NACUBO codes to be used by UTRGV 000010 – Instruction 000020 – Research 000030 – Public Service 000040 – Academic Support 000050 – Student Services 000060 – Institutional Support 000070 – Operation & Maintenance of Plant 000080 – Scholarship 000090 – Auxiliary 000100 – Depreciation & Amortization 000110 – Agency 000120 – Hospitals & Clinics 000000 – Unassigned (Used only for Revenue & Transfers) (What it stands for: National Association of College and University Business Officers)

GL Funds Inquiry Screen Budget – Encumbrance – Actual = Funds Available Selection Criteria: Budget should be REVISED. To choose period type in first 3 letters and hit tab for list. Hint: Start with summary level and then drill down to detail. Account Balance is the 99999 Total. A negative amount is a deficit.

GL Funds Check Budgeted Object Codes Summary Objects ▼ 40001 Revenue   40000 49999 99999 44600 Transfer In (Intrafund) 446xx Transfer In (Interfund) 51001 Single Incumbent Salaries 50000 51000 52999 90000 51002 Faculty Salaries 51003 Longevity Pay 51010 Pooled Salaries 50001 51101 Wages 51100 52001 Benefits 52000 53001 Operating Expense 53999 60000 53425 Transfer Out (Intrafund) 534xx Transfer Out (Interfund) 54001 Books 54999 55001 Scholarship 55999 57001 Travel 57999 58001 Capital Outlay 58999 59001 Merchandise for Resale 59999 The Project should not go into a deficit (negative amount) at the overall 99999 level To pass funds check, budget changes between non-labor expense object codes are not required. Oracle checks funds at the non-labor expense subtotal 60000 object code.

Two Types of Accounts Fiscal Rollover Funds do not lapse Funds lapse at yearend Ending balances DO NOT carryforward to the following year E&G (11) Auxiliary (31) Funds do not lapse Ending balances DO carryforward to the following year Designated (21) Restricted (41) Plant (71) Agency (81)

Fiscal Accounts E&G (11) & Auxiliary (31) Funded by Expense Budget Unencumbered balance lapses at fiscal yearend Simply move budget to transfer funds between accounts within same fund Budget revision transfer only requires a minimum of two lines Budget – Encumbrance – Actual = Funds Available Account Budget Encumbrance Actual Funds Available Operating (53999) 800.00 100.00 300.00 400.00 Travel (57999) 200.00 0.00 Non-Labor Total (60000) 1,000.00 500.00 Account Total (99999) Add Down

Rollover Accounts Designated (21), Restricted (41), Plant (71), and Agency (81) Funded by revenues (self-funded), transfers-in, and/or carryover balances Balance before encumbrances carries forward to next year (non-lapsing) Account is fully funded when revenue summary (49999) is non-negative Transfer between accounts by actual funds transfer, not by simply moving budget Budget revision transfer requires a minimum of four lines Budget – Encumbrance – Actual = Funds Available Account Budget Encumbrance Actual Funds Available Revenue (49999) (1,000.00) 0.00 (1000.00) Operating (53999) 800.00 100.00 300.00 400.00 Travel (57999) 200.00 Non-Labor Total (60000) 1,000.00 500.00 Account Total (99999) (500.00) Add Down

Rollover Accounts (continued) Budget Encumbrance Actual Funds Available Revenue (49999) (1,000.00) 0.00 (800.00) (200.00) Operating (53999) 800.00 50.00 150.00 600.00 Travel (57999) 200.00 100.00 Non-Labor Total (60000) 1,000.00 250.00 700.00 Account Total (99999) (550.00) 500.00 ◄ $200 revenue shortage (after $800 received) Account Budget Encumbrance Actual Funds Available Revenue (49999) (1,000.00) 0.00 (1,200.00) 200.00 Operating (53999) 800.00 50.00 150.00 600.00 Travel (57999) 100.00 Non-Labor Total (60000) 1,000.00 250.00 700.00 Account Total (99999) (950.00) 900.00 ◄ $200 revenue surplus (after $1,200 received) Budget column total always equals cumulative carryover from prior years.

First way to Drill Down 1. Go into account at the summary level. 2. Place cursor on line you wish to drill down into. 3. Go to Tools on menu bar and select Detail Accounts from drop down menu. 4. Place cursor on the detail account line you wish to drill down into. 5. Go to Tools and select Period Balances 6. Place cursor on month you want to drill down into. 7. Go to Tools and select either Budget Lines, Actual Lines, or Encumbrance Lines based on type of inquiry.

Second way to Drill Down #1 Go into account at the Summary level #2 click on square #3 Click on Period Balances button

Drill Down Procedure (continued) #4 Place cursor on month you want to drill down into. #5 Click on Tools to get drop down menu #6 You can choose between seeing the Budget lines, Actual lines or Encumbrance lines.

Drill Down Procedure (continued) #9 The journal is displayed #7 The list of journals which make up the amount will be listed. #8 Click on Journal button

Question Time UTRGV