January 18, 2011

 General Ledger Update  Month-End Process  Other Updates  Project Costing Cleanup  PEN Products Process  Document Approvals  SDO Process  Q&A 2

 Recent change  AOS GL Audit Procedures  Journal Entries  Approve/Recycle – Notifications  Payroll Allocation 4

 GL journal must have valid values entered on for core chartfields: Fund, Program, Account, Department and Budget Reference.  At least one line must have BU that matches BU on journal header.  Done so that Journals can’t post with blank core chartfields 5

 Journal Entries  AOS approves Journal Entries from Worklist  Document Retention  Hardcopy of journal entries/backup not required for approvals.  Documentation is required in response to audit questions.  Document corrections must be done within 3 months of the original document date 6

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 Journal Entries – Journal Header  Required Fields  Long Description – Detailed explanation of entry purpose  Ledger Group – ACTUALS  Source – Any valid value except IDB, PAY and subsystem sources (AR, AP, AM, …)  Optional Fields  Reference Number  Journal Class 8

 Journal Entries – Journal Header  Long Description  If you are doing allocation or correction in G/L:  - List original document and BU (if different than yours) for corrections  - List time period when expenses/revenue were originally recorded for allocations  - List which chart fields you are correcting/ allocating  - If only moving portion of original amount, include either original amount or line number from original entry. 9

 Journal Entries – Journal Header  Long Description  List any MOU or Indiana Code (I.C.) citation that authorizes you to do entry  List person’s name if someone has given you permission to do unusual entry (does not preclude requirements on prior slide) 10

 Journal Entries  Journal Status and Budget Status – must be Valid to submit  Lines should be entered in debit/credit order if possible  Required ChartFields  Account – only use these in special cases:  Cash (11xxxx), Liabilities (2xxxxx), Internal Service Funds (64xxxx & 65xxxx), Transfers (74xxxx & 75xxxx), Fund Balance (3xxxxx), Fixed Assets (55xxxx)  Fund  Department  Program  Budget Ref 11

 Journal Entries  Approvers – please review chartfields for correctness, especially Budget Reference and Account  Budget Reference should be 2011  Account should start with 4, 5, 64 or 65 in all cases  74 and 75 accounts are for Budget Agency use only 12

 Journal Entries – continued...  All Agency approvals must be complete before AOS will approve. 13

 Approve - No notification  Monitor queries or online approval pages  SOIGL024 –  Journals not posted provides approval status  Approved/posted journals will not appear in the query results  Recycle  Notify initiator via  AP corrections must be done via GL Journal Entries  Long description - details of transaction being corrected  Journals not approved by month-end should be copied to new month or deleted by agency.  AOS will delete them after 3 business days 14

 AOS creates the GEAC payroll entries  Agencies provided ENCOMPASS with default ChartField string by Level 3/4/5 (old fund center) – updated every Friday on ENCOMPASS website  To change default payroll mapping, submit GMIS issue  Agency responsible for allocation from defaults to actual payroll distributions  AOS reviews allocation entries to verify Payroll Expense Accounts are not over-allocated 15

 GL Deadlines for Remainder of Fiscal Year  Submit to AOS by 4:30 PMClosing Date  JanFeb 3Feb 7  FebMar 3Mar 7  MarApr 4Apr 6  AprMay 4May 6  MayJun 3Jun 7  JunJul 1Jul 6  GL entries not approved/posted before month is closed must be copied forward or re-entered in the next month.  Entries will be deleted after 3 business days 17

 Closes on the Last Day of the Month  Transactions are posted to AP after edited and budget checked whether or not they are approved  Posted in AP and then GL in nightly batch process  Please do not submit AP items to AOS if they have edit errors or budget checking errors 18

 Per State law, agencies are required to deposit cash received no later than 1 business day following receipt of funds.  Accounting Date = date Treasurer approves deposit  Deposits approved by Treasurer and completed by Agency Approver in AR will budget check and post to GL in nightly batch process  Must enter and approve accounting entries by 7 PM on last day of month for revenue to count  Accounting entries should be entered and approved the same day as the deposit is made 19

 Monthly GMIS workshops to help agencies with processing items will resume in March  Pagelets / queries should be used to monitor outstanding items from the previous slides  See the ENCOMPASS website calendar for the complete schedule and for the training schedule 20

 Like last year, we need your help in getting documents processed in preparation for year-end  Clean Up queries posted monthly at ENCOMPASS Documents  2011 Document Cleanup  Each of us is accountable for the success of our agencies with respect to year-end  Accountable for accuracy of accounting transactions  Periodic review of Alchemy reports should be done  Please do not submit AP items to AOS if they have edit errors or budget checking errors

 All Funds with Negative Appropriation Balances must be addressed before the books are closed  State Budget Agency has pre-loaded FY12 budgets  PO Rollover will be run again in June  More information to follow  Periodic review of Fund Trial Balance in Alchemy should be done to identify errors

 New public queries have been developed to monitor Reqs and Purchase Orders without recent activity  SOIPO_NO_RECENT_ACTIVITY_AMTS – Shows POs by BU entered before and with no payments after a prompted date. Includes dollar amounts.  SOIPO_NO_RECENT_ACTIVITY_PYMNT – Shows POs by BU entered before and with no payments after a prompted date. Includes last payment date.  SOIEP_NO_ACTIVE_PO_DETAIL – Shows reqs entered before a prompted date that are not tied to any open POs. Includes dollar amounts.

 FY11 Clean Up continues  Monthly Close / Depreciation entries on horizon  AM Town Hall Meeting  Jan 25, 11 10:00 AM – 12:00 PM, Conf Rm B

 This query should be run and reviewed for pre-auditing vouchers (prior to agency approval)  Especially when using control groups  Should also be used as resource to verify outstanding AP transactions and for month end clean up  Please do not submit AP items to AOS if they have edit errors or budget checking errors

 All agencies using projects attended GMIS workshop  Phase B Query clean up should be complete by now  Ongoing monitoring of pagelet/queries is crucial to success  Next sub-phase: Run Project Costing Reports for 2010 A-133 data  With agencies’ permission, FND rows will be re-generated  Next phase: Reconciliation of Projects and Funding Sources to Appropriations in Federal Fund  All phases need to be complete by April 1 st

 Prior to Sept 2010, payroll journals were not generated to PROJ_RESOURCE.  This problem was corrected going forward.  Pre-Sept 2010 payroll journals will be pulled into PROJ_RESOURCE by defaulting the GLE analysis type and resetting the distribution status for Project Cost Collection.

 Agencies should be using the Checklist in Appendix A of the Project Costing Job Aids to insure compliance with the model and to prevent future cleanup  Don’t forget to enter budget journals to increase APPROP, ALLOT_CTRL, ALLOT budgets for Federal Funds when a new funding source is set up for a grant award

31 AND MANY THANKS TO THESE BUSINESS UNITS WHO HAVE SUCCESSFULLY “CLEANED UP” THEIR PROJECTS AND ARE IN COMPLIANCE WITH ENCOMPASS PROJECT COSTING PROCESSES. THIS PROJECT, WHEN COMPLETED, WILL ENABLE ALL TO RUN CUSTOM REPORTS FOR FEDERAL REPORTING AND BE CONFIDENT THAT THE CONTENT OF THESE REPORTS IS ACCURATE. BYE, BYE, SPREADSHEETS!!!

 BU00022 – Supreme Court  BU00035 – Gov Council for People w/Disabilities  BU00038 – Lt. Governor  BU00044 – Protection Advocacy Services  BU State Budget Agency  BU Tobacco Prevention & Cessation  BU Dept. of Administration  BU Election Board  BU Dept. of Revenue  BU Utility Regulatory Commission  BU Dept. of Labor  BU00250 – Professional Licensing Agency  BU Civil Rights Commission  BU Economic Development Corp  BU Housing and Comm. Dev.  BU Public Safety Training Inst.  BU00286 –Integrated Public Safety Comm  BU Kankakee River Basin Comm  BU Dept of Homeland Security  BU00400 – Dept of Health  BU Family & Social Services Admin.  BU Division of Mental Health  BU Evansville Psych Children Ctr 32 BU Logansport State Hospital BU00550 – School for the Blind BU School for the Deaf BU IN Veteran's Home BU Soldiers/Sailors Children's Home BU Henryville Corr. Facility BU Public Defender Council BU Dept. of Correction BU North Central Juv Corr Facility BU Pendleton Corr Facility BU Corr Industrial Facility BU Putnamville Corr Facility BU Pendleton Juv Corr Facility BU Madison Corr Facility BU Branchville Corr Facility BU Rockville Corr Facility BU South Bend Juv Facility BU Plainfield Corr Facility BU Dept. of Education BU IN Arts Commission BU State Student Assistance BU School Lunch Div – DOE BU00719 – Comm for Higher Education BU Faith Based & Community Initiatives BU State Library

 Effective February 1, 2011 the PEN Products Interagency Billing process will be going away!  Moving forward, payments to PEN Products will be treated like paying any other vendor  PEN will no longer build vouchers on the agencies’ behalf

 The payment process will be more streamlined and consistent with all other vendor payments  PEN will issue an invoice and the purchasing agency will create an AP voucher copied from the appropriate PO Receipt  There are no changes to the process for placing orders with PEN Products  Internal Service Accounts Must Still be Selected on the PO

 There is a updated document posted to the ENCOMPASS website outlining this process  The document is located under ENCOMPASS Documents>Training Documents>Accounts Payable>PEN Products Information>PEN Ordering and Payment Process

 If errors are made by entry staff in Fund, Department, Program or Account, it is the responsibility of the agency approver to deny the transaction and send back to the entry staff to correct.  This is important in ALL ENCOMPASS modules; transactions should be error-free when moved to AOS and should have NO edit or budget checking errors. 38

 ePro – Encumbrances might be to the wrong fund or account, affecting budget decisions.  AP – Expenditures and related payments in wrong chartfield (fund, department, account, project, etc.) will result in errors in financial information.  AR – Deposits made to wrong chartfields result in money in incorrect fund or revenue account. Also, all entries must be made and approved by last day of month to be included as revenue for the month. 39

 GL -- Expenditures and subsequent payments in wrong chartfields will result in errors in financial information and financial statements.  AM – Assets in wrong category result in incorrect asset depreciation; also possible non-asset items entered as assets.  Garbage In, Garbage Out -- When incorrect entries are approved and posted, output from the system will be incorrect. Many management decisions, both at the agency and State level, are made based on this output. This could also result in audit findings. 40

 DO NOT DEPEND ON AOS TO CORRECT THESE ERRORS; IN MANY CASES, ONLY THE AGENCY KNOWS THE CORRECT CHARTFIELDS.  We strongly encourage agency approvers to attend the entry classes in order to fully understand this process.

 The entire SDO process, including some system processes, has recently been revised and is in the State Accounting Manual, chapter 6, section A flowchart showing these processes is in (Appendices).  Remember, the SDO checking account is to be used mainly for non-repetitive purchase that must be paid immediately. Most purchases can be paid through the AOS, as they now process these quickly and also process special requests when needed.

 A section for closing SDO accounts has been added in and in the flowchart.  If manual check entries, to verify accuracy of entries, prior to Record and Save, run query SOIAP008.  If system check entries, run this query to verify accuracy prior to agency approval of payment.  If bank fees are charged to SDO account, enter one voucher for total fees for month (see for detail).

 Apply for AOS reimbursement ONLY after your checks clear the bank.  How to know whether checks have cleared bank? Run SOI_SDO_PAYMENT_DETAIL public query. Use of this query can help you avoid requesting reimbursements prematurely and possibly requesting reimbursements more than once for the same payment. It can also help to avoid duplicate check entries.

SDOPayment CancelSDO PmtSDO SDO Vchr LPN numberFundPayment #Status ActionDateVoucherAccountAmount PaidRECNo Cancel5/17/ PaidRECNo Cancel5/17/ PaidRECNo Cancel5/17/ PaidRECNo Cancel5/17/ PaidRECNo Cancel5/19/ PaidRECNo Cancel5/19/ PaidRECNo Cancel5/19/ PaidUNRNo Cancel9/20/ PaidRECNo Cancel4/7/ PaidRECNo Cancel4/7/ APaidRECNo Cancel1/21/ APaidRECNo Cancel1/21/ A5988PaidRECNo Cancel4/6/ A5988PaidRECNo Cancel4/6/ SC12010PaidRECNo Cancel4/7/ SC12010PaidRECNo Cancel4/7/ SC12010PaidRECNo Cancel4/7/ SC12010PaidRECNo Cancel4/7/ SDO Payment # = Check number Payment Status = Paid indicates cleared bank Status = Whether reconciled or not (UNR)

SDO SDO VchrReimb Pay Reimb PmtReimb VoucherAccountAmountStatusPmt #Status ActionDateVoucherPmt Amt Paid RECPN5/28/ Paid RECPN5/28/ Paid RECPN5/28/ Paid RECPN5/28/ Paid RECPN5/28/ Paid RECPN5/28/ Paid RECPN5/28/ Paid RECPN9/24/ Paid RECPN4/29/ Paid RECPN4/29/ Submitted Submitted Paid RECPN4/29/ Paid RECPN4/29/ Paid RECPN4/29/ Paid RECPN4/29/ Paid RECPN4/29/ Paid RECPN4/29/ Reimb Status = Whether Submitted to or Paid by AOS Reimb Date = Date reimbursed by AOS Reimb Voucher = AOS AP voucher number

 Voided checks? All checks must be accounted for in ENCOMPASS. See for details.  Return of excess SDO balance – issue SDO check to AOS, charging expenditure account , Return of Excess SDO Balance; this account is not subject to budget checking. Do not include this in future reimbursement requests.  Watch for info in the near future about system reconciliations and what to do with outstanding checks over 2 years.

 Make sure GL staff receives slides  Please continue efforts on Project Costing cleanup  Importance of Approvals  Now is the time to prepare for year-end  AM Town Hall next week 50

 ENCOMPASS Website   If you are having technical issues, submit them to GMIS  P/c/SOI_CUSTOM_APPS.SOI_GMIS_ISSUE.GBL 51 We Welcome Your Feedback / Questions / Comments

 Steve Daniels, Auditor of State’s Office  phone: (317)  Ryan Downham, Auditor of State’s Office  phone (317)  Joe Fistrovich, State Budget Agency  phone (317)  Paul Jasheway, GMIS   Kim Logan, Treasurer of State’s Office  phone (317)  Marilyn Rudolph, State Board of Accounts  phone: (317)