1. Methods for a Successful Year-End Close
YEAR-END LEGAL TRAINING
APRIL 2017
Methods for a Successful Year-End Close
Rhina Badia-Barrientos, Senior Accountant
Nikki Anderson, Senior Accountant
Sonoma State University

2. YEAR-END LEGAL TRAINING
APRIL 2017
YEAR-END LEGAL TRAINING
APRIL 2016
About Sonoma State:
Graduates 2,000 students per year
46 bachelor's degree programs; 15 master's degree programs
Mid-size campus (9,408 students, 91% undergraduates)
Home of the Green Music Center Performance Venue

3. About Sonoma State’s Structure:
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR-END LEGAL TRAINING
APRIL 2016
About Sonoma State’s Structure:
Centralized Organizational Structure
Auxiliary and Campus Teams Work Closely Together
Share Common Departments for Efficiency

4. YEAR-END LEGAL TRAINING
APRIL 2017
YEAR-END LEGAL TRAINING
APRIL 2017
Learning Objectives:
Campus Close
Keep Data Current
Keep Campus Books in Sync with the CO
Keep Accounting Department Notified
FIRMS/Legal Close
Capital Assets Roll-forwards
Abnormal Balance Review
FIRMS and Other Tests

5. Campus Close: Always Be Closing
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR-END LEGAL TRAINING
APRIL 2017
Campus Close: Always Be Closing
Keep XXCMP in Sync with the CO
Keep Accounting Notified
Keep Data Current
Sonoma First Campus to Complete Legal Close Last Year

6. Month End MJE Benchmark:
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR-END LEGAL TRAINING
APRIL 2016
Month End MJE Benchmark:

7. Campus Close – Keep Data Current
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR-END LEGAL TRAINING
APRIL 2017
Campus Close – Keep Data Current
Monthly Recons – Keep them timely and current
Examine Month-End unresolved issues that impact Year-End closely
Review chartfields for accuracy and usage – data scrubbing!
Keep Subsystems Clean: AP, AM, BI, AR
Agree to G/L with Recons & Queries

8. Campus Close – Keep Data in Sync
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR-END LEGAL TRAINING
APRIL 2016
Campus Close – Keep Data in Sync
Be in sync with Chancellor’s Office throughout the year:
Proactive Approach to FIRMS Updates
Disseminate Information Timely
Financial Services Website Platform
Financial Transparency and Education

9. Campus Close – Keep Accounting Notified
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR-END LEGAL TRAINING
APRIL 2017
Campus Close – Keep Accounting Notified
Seek Accounting Approval on the front end
Procedures include Accounting
Build Working Relationships with Campus
Data is accurate the first time around

10. Campus Close – Continued Best Practices
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR-END LEGAL TRAINING
APRIL 2017
Campus Close – Continued Best Practices
Communicate Year-End Schedule in Advance to address upcoming Deadlines (Early April)
Purchasing
Payroll
Accounts Payable
Accounts Receivable
Budget
Cashiering
Begin preliminary data accuracy review
Meet with departments or contact third-party providers to develop YE timeline
Update passwords now

11. Campus Close – Continued Best Practices
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR-END LEGAL TRAINING
APRIL 2017
Campus Close – Continued Best Practices
Review and clear reconciliation issues (SAM99,FIRMS Errors) mid-month
Review Closing Rules & Trees – Test in Non-Production
Work Closely with Budget Office
Zero out Cost Recovery
LCD Posted by 6/30/XX
Reserve Designation Workbook Pre-Calculated/JE Ready
Know your deadlines – Clear Expectations & Constant Communication with Campus Departments

12. Campus Close – Continued Best Practices
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR-END LEGAL TRAINING
APRIL 2017
Campus Close – Continued Best Practices
Goal: Year End close, just another close!

13. Secrets of a Successful Year-End Close
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR_END LEGAL TRAINING
APRIL 2017
Secrets of a Successful Year-End Close
Legal Close
Capital Assets Roll-forwards
FIRMS and Other Tests
Abnormal Balance Reviews
Sonoma State University – Financial Services - Rhina Badia-Barrientos
Sonoma State University - Financial Services - Rhina Badia-Barrientos

14. Secrets of a Successful Year-End Close
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR_END LEGAL TRAINING
APRIL 2017
Secrets of a Successful Year-End Close
Capital Assets Roll-forwards
In preparation for footnote number 5 of the GAAP financial reporting package and to ensure legal closes are accurate, capital assets roll-forwards and reconciliations to the general ledger are performed on a monthly basis for all assets (equipment, software, art, etc.), except capital projects.
This is a very time consuming task to perform at the end of the year. By maintaining the roll-forward and reconciliations on a monthly basis, it allows us to have accurate legal data at year-end and to just concentrate on GAAP adjustments during the GAAP close.
Sonoma State University - Financial Services - Rhina Badia-Barrientos

15. Secrets of a Successful Year-End Close
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR_END LEGAL TRAINING
APRIL 2017
Secrets of a Successful Year-End Close
Capital Assets Roll-forwards (cont.)
It also allows us to identify any errors in the campus books prior to finalizing the Legal close.
In addition, the data is maintained monthly with SCO and CSU funds as required for the capital assets new template for SCO reporting, allowing us to prepare this new template in a timely manner.
Sonoma State University - Financial Services - Rhina Badia-Barrientos

16. Secrets of a Successful Year-End Close
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR_END LEGAL TRAINING
APRIL 2017
Secrets of a Successful Year-End Close
Capital Assets Roll-forwards (cont.)
Additions and Disposals and Monthly Tie-Out to the G/L
Sonoma State University - Financial Services - Rhina Badia-Barrientos

17. Secrets of a Successful Year-End Close
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR_END LEGAL TRAINING
APRIL 2017
Secrets of a Successful Year-End Close
Capital Assets Roll-forwards (cont.)
Depreciation by Asset ID and Monthly Tie-Out to the G/L
Sonoma State University - Financial Services - Rhina Badia-Barrientos

18. Secrets of a Successful Year-End Close
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR_END LEGAL TRAINING
APRIL 2016
Secrets of a Successful Year-End Close
Capital Assets Roll-forwards (cont.)
Depreciation details by SCO and CSU Fund
Sonoma State University - Financial Services - Rhina Badia-Barrientos

19. Secrets of a Successful Year-End Close
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR_END LEGAL TRAINING
APRIL 2017
Secrets of a Successful Year-End Close
Sonoma State University - Financial Services - Rhina Badia-Barrientos

20. Secrets of a Successful Year-End Close
APRIL 2017
YEAR_END LEGAL TRAINING
Secrets of a Successful Year-End Close
FIRMS Tests
FIRMS tests and edits are performed monthly in non-production PeopleSoft environment before the campus books are closed to identify errors and correct them prior to closing both sets of books.
Among the most common errors found are:
Legal edits chartfields/data combination errors
Transactions with non-active chart-fields
Transfers in/out not in balance (use of incorrect transfer accounts)
Interagency and FBC transactions not in synch with the CO
(CPOs not booked or in error)
Abnormal account balances
Campus chart-fields not in synch with FIRMS legal edits

21. Secrets of a Successful Year-End Close
APRIL 2017
YEAR_END LEGAL TRAINING
Secrets of a Successful Year-End Close
FIRMS Tests (cont.)
Key items to keep in mind when performing the tests in a non-production environment:
Re-Edit and Post
Unlock Journal (releases Budget status I)
Budget Check Journal
Re-Edit and Post Journal
FIRMS Extract
File Name: /CSU/ftphome/softpfdv/FIRMS_1612-A.DAT
FTP
Name of File to Download: FIRMS_1612-A.DAT

22. Secrets of a Successful Year-End Close
APRIL 2017
YEAR_END LEGAL TRAINING
Secrets of a Successful Year-End Close

23. Secrets of a Successful Year-End Close
APRIL 2017
YEAR_END LEGAL TRAINING
Secrets of a Successful Year-End Close

24. Secrets of a Successful Year-End Close
APRIL 2017
YEAR_END LEGAL TRAINING
Secrets of a Successful Year-End Close

25. Secrets of a Successful Year-End Close
APRIL 2017
YEAR_END LEGAL TRAINING
Secrets of a Successful Year-End Close

26. Secrets of a Successful Year-End Close
APRIL 2017
YEAR_END LEGAL TRAINING
Secrets of a Successful Year-End Close

27. Secrets of a Successful Year-End Close
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR_END LEGAL TRAINING
APRIL 2017
Secrets of a Successful Year-End Close
Other Tests - GAAP Derivations
GAAP derivation tests are performed quarterly in a non-production PeopleSoft environment to identify errors and make the necessary corrections in the campus books prior to the actual GAAP closes.
CMP/CSU/GAP ledger comparison reports are also run quarterly to ensure all the entities are in synch. Any discrepancies are resolved/corrected in the campus books prior to the Legal and GAAP actual closes.
Sonoma State University - Financial Services - Rhina Badia-Barrientos

28. Secrets of a Successful Year-End Close
YEAR-END LEGAL TRAINING
APRIL 2017
YEAR_END LEGAL TRAINING
APRIL 2017
Secrets of a Successful Year-End Close
Other Tests - GAAP Derivations (cont.)
Performing these tests allow us to:
Derive actual GAAP and start the GAAP close timely and within a day after the year-end FIRMS/legal submissions are accepted by the Chancellor’s Office.
Sonoma State University - Financial Services - Rhina Badia-Barrientos

29. Secrets of a Successful Year-End Close
APRIL 2017
YEAR_END LEGAL TRAINING
Secrets of a Successful Year-End Close
Other Tests - GAAP Derivations (cont.)
Among some of the most common errors are:
New funds not tied to a FNAT value or
not derived properly where there is a FNAT key
Incorrect program codes
GAAP overrides to a different NAC not derived properly
Combo edit errors among fund/account/program/class

30. Secrets of a Successful Year-End Close
APRIL 2017
YEAR_END LEGAL TRAINING
Secrets of a Successful Year-End Close

31. Secrets of a Successful Year-End Close
APRIL 2017
YEAR_END LEGAL TRAINING
Secrets of a Successful Year-End Close
Abnormal Balance Reviews
General ledger balances are reviewed for any abnormal balances.
Business Unit = SOCMP - Sonoma State University, Fiscal Year = 2015, Period = 12
Time run: 6/30/2016 7:19:07 AM
FIRMS Obj Cd Fdescr
CSU Fund Fdescr
Actuals
Abnormal Balance
Cash-Short Term Investments (SWIFT)
465 - TF-Contracts and Grant Trust
(1,277,199.37)
Abnormal
Radar
486 - TF-Academic Maintenance and Repair Fund
(39,104.75)
499 - TF-Revolving Fund
(376.83)
Accts Payable
1,000.00
See Below
Extended Education - Certificate Program
441 - TF-Extended Education Operations
105.00
VCH - AP Voucher Accounting
Accounts Payable
QB049 - PRIORITY 1 TRNG 14_16 YR2 OF 2
Doc Src Fdescr
Doc Ln Descr
Amount
Account Fdescr
Fund Fdescr
Dept Fdescr
SFJ - Student Financial Journals
Student Financials Interface
225.00
Continuing Edu_Certificate Prg
RM001 - Trust_Cont Ed
Conflict Resolution
(570.00)
Attorney Assistant _Ext
450.00

32. Secrets of a Successful Year-End Close
APRIL 2017
YEAR_END LEGAL TRAINING
Secrets of a Successful Year-End Close
Abnormal Balance Reviews (cont.)

33. Secrets of a Successful Year-End Close
APRIL 2017
YEAR_END LEGAL TRAINING
Secrets of a Successful Year-End Close

34. Secrets of a Successful Year-End Close
APRIL 2017
YEAR_END LEGAL TRAINING
Secrets of a Successful Year-End Close
Always Be
Closing

35. Secrets of a Successful Year-End Close
APRIL 2017
YEAR_END LEGAL TRAINING
Secrets of a Successful Year-End Close