1. Presented By Ashley Andersen, University Controller September 13, 2017
Financial services 101
Presented By Ashley Andersen, University Controller
September 13, 2017

2. Who Are We? Procurement and Contract Services
Financial Reporting & Accounting Operations
Student Financial Services
Lorrie Dineen-Thackeray, Director of Procurement and Contract Services
Travis Fong, Buyer
Jane Zacchia, Manager of Accounting Operations
Sasha Bordokoff, Financial Analyst
Jelayn Sansone, Accountant
John Bang, Accountant
Paige Johnson, Accounts Payable
Gay Kvilhaug, Student Services Lead
Michelle Carolan , Student Services
La Tonya Edington, Cashier

3. View from Above Procure goods & services Pay for goods & services
Procurement and Contract Services
Pay for goods & services
Accounts Payable
Financial Statement Reporting
Financial Reporting & Accounting Operations

4. Financial Statement Reporting
Financial Reporting & Accounting Operations
Accounting Overview
State/Government Flow of Authority
EO Delegation of Fiscal Authority to Campus
Funding Sources
Chart of Accounts

5. State/Government Flow of Authority
CSU is not for profit – we are a public entity

6. Authorities are very specific
We are granted authority as to...
what we can charge
for what services
where we deposit funds
how to use these funds

7. Instructionally Related Activities – EC 89230 ASI Fee – EC 89301
Sample Authorities
Instructionally Related Activities – EC 89230
ASI Fee – EC 89301
Parking – EC 89701
Health Centers – EC 89702
Student Housing – EC 89703
Continuing Education – EC 89704
Gifts – EC 89721
Lottery – GC 8880

8. Our Authority for how we use funds
Sample Authority – Parking Fines and Forfeitures
Education Code
Gives us authority to give citations
Authorizes the Use of
Alternate Modes of Transportation
Ex: Bus to BART
Ex: Zip Cars
Administration of Citations
Tells us we can give the citation and what we can do the money
Also tells us where we can deposit the funds
This is a sample of the Education Code that was enacted for Parking Fines and Forfeitures. Note that it authorizes the collection of funds, the state fund it has to be deposited in AND the appropriate uses.

9. State University Trust Fund
CSU has been authorized to deposit various activities into State University Trust Fund over the years
Donations
Housing
Parking
Continuing Ed
And most recently
Student Fees (FY 2006)
All this activity is accounted for in unique CSU Funds within the State Controller’s Fund (SCO) 0948
All funds within SCO Fund 0948 are managed by the CSU Bank (Wells Fargo) as opposed to the State Treasurer

10. Meet the PeopleSoft Fund Chartfield
Funding Hierarchy
Meet the PeopleSoft Fund Chartfield
He knows the State Controller’s Fund value
He knows the CSU Fund Value
He knows the Education Code or Budget Act that enabled the funds he is spending
He knows how he will be reported to the CSU in FIRMS
He knows how he will be reported in GAAP
He ALWAYS knows these things
He knows all this–the challenge is teaching
it to you
I’m really SMART!!!
You need me!

11. Transaction Flow
I’m on every transaction – along with some other Chart Fields – They need me!

12. EO 1000 – Delegation of Fiscal Authority to Campus

13. Executive Order 1000 – Delegation for Fiscal Authority Summary
President shall ensure:
Compliance
Expenditures do not exceed available resources
Internal controls
Appropriate accounting processes
Sufficient reserves for contingencies
Timely year-end close
GAAP
Propriety of all expense & integrity of Auxiliary Org
Cost incurred by the CSU Operating Fund are appropriately recovered
This is a summary of all the delegations included in EO The following slides contain the actual language in EO 1000

14. Executive Order 1000 Delegation
Authority delegated by this Executive Order may be revoked in whole or in part if in the judgment of the Chancellor the campus President has not complied substantially with provisions of this Executive Order.

15. EO 1000 – Table A
Table A of EO 1000 defines funds established and regulated by the CSU (on deposit within SCO Fund 0948)
These funds are managed by the CSU Bank
These funds are accounted for by CSU Funds
These CSU Funds are categorized by EO 1000
Proprietary -Enterprise
Proprietary - Internal Service Fund
Fiduciary - Investment Trust Fund
Fiduciary - Private Purpose Fund
Fiduciary - Agency Fund
I know this stuff too!!!

16. EO 1000 – Table B
Table B of EO 1000 defines categories for funds established and regulated by the State (on deposit with the State Treasurer)
These funds also have CSU Fund values but they are maintained at the State Controller by the SCO Fund value
These funds are categorized by EO 1000
Governmental – General Fund
Governmental – Special Revenue Funds
Governmental – State Capital Outlay Funds
Proprietary – Enterprise Funds
Fiduciary – Trust and Agency Funds

17. State University Trust – Split Personality
The State of California classifies 0948 – State University Trust as a Fiduciary Trust and Other Agency Fund
The CSU categorizes the activity within this fund by CSU Fund which are defined in Table A of EO 1000

18. Sample of how PeopleSoft Keeps Track of all this…..
Remember, I know the SCO Fund, CSU Fund and GAAP NAC
TO help us keep up with all of these codes, rules, funds etc, each fund within the PeopleSoft Finance application has many attributes assigned to it. In this sample – EB001 – you can see the Ed Code that enacted it and defines its purpose, the State Fund that it operates in and the CSU Fund that defines it. These attributes help us communicate with the State of California and the Chancellor’s office – and many times electronically. That’s a good thing.

19. General Fund/Student Fee Revenue
Main Operating Fund
General Fund/Student Fee Revenue
CSU Operating Fund
The primary purpose of the CSU Operating Fund is to record revenues and expenditures for state- supported instruction.
Used to record state tax revenue and student fees.  The state tax revenue portion, which is annually allocated by the California Legislature to the CSU, is the main source of funds for the University operating budget.  A secondary source of funds is student fees such as the CSU Tuition, Non-Resident Tuition, Application Fee, Health Services fee, and other fees. 
CSU Fund 485
This is our main operating fund. All activities related to instruction of matriculated students are captured in this fund along with all the support activities such as IT, custodial, finance, counseling, financial aid, admissions, electricity, etc

20. IRA (Instructionally Related Activities)
Funding source are fees collected for the mandatory IRA Fee and or revenue generated by the IRA program itself
CSU Fund 463
Students pay a separate and distinct fee for IRA. It is restricted to its uses by Education Code – which are outlined here. At East Bay theses funds start with the letters “PM”
I know this is CSU Fund I know ALL the CSU funds

21. Lottery Education Fund
Funding source
Cash generated from the sale of California State Lottery tickets, a portion of which is allocated to CSU campuses
Departments are allocated Lottery Funds by an annual budget allocation
CSU Fund 481
East Bay Fund values begin with “PU” for lottery funds

22. Lottery Guidelines
CSU Systemwide Lottery Guidelines:
The Lottery was enacted via Government Code It also has defined restrictions. Note a. Must supplement – not supplant – state funding of instruction

23. Funding Source CSU Fund 531
Housing Operations
Funding Source
Revenues are generated from fees paid by dormitory residents and must be used exclusively for the self-supporting housing program
CSU Fund 531

24. Parking Fines and Forfeitures – CSU Fund 471
Parking Operations
Funding Source
Parking revenue is generated from the sale of parking permits and fines paid for citations issued. 
Parking Fines and Forfeitures – CSU Fund 471
Parking Fees – CSU Fund 472

25. Continuing Education Revenue Fund (CERF)
Funding Source
These sources are generated by student fees for enrollment in Continuing Education courses. 
Funds must be used for self-supporting instruction in the Continuing Education program.
CSU Fund 441
CSU Fund 444
Campus Option – denotes funds under the management of Academic Colleges. Purpose funds can be used for does not change.

26. Campus Union Operations
Funding Source
Revenues are generated from the mandatory University Union fee.
Exclusively for the self-supporting Campus University Union facilities and related programs.
CSU Fund 534

27. Associated Student Fee ASI is a separate legal entity
Established by EC
CSU Fund 461

28. Capital Outlay
Funding Source
There are two sources of funds for CSU capital outlay programs
state tax revenues appropriated by the state legislature
the proceeds from the sale of bonds.
The funding must be used for the construction projects specified.

29. Fund – Tied to a specific purpose (Trial Balance)
ChartField Overview
Fund – Tied to a specific purpose (Trial Balance)
DeptID – Campus Organization (Same in HR)
Account – Assets, Liabilities, Equity, Revenue & Expense
Project – Time specific Activity
Class – Department level information (Minor)
CSU uses 6 PeopleSoft Chartfields. This is a summary of each one

30. Fund identifies funding that has a specific defined purpose
This is how all the funding sources and legislation are tracked
Hi again!

31. Identifies Assets, Liabilities, Equity, Expense and Revenue
Account
Identifies Assets, Liabilities, Equity, Expense and Revenue
Assets 1XXXXX
Liabilities 2XXXXX
Equity 3XXXXX
Revenue 5XXXXX
Expense 6XXXXX

32. Defines activity with a start and end date
Project
Defines activity with a start and end date
Capital Outlay projects
Continuing Education
Faculty Support Grants

33. Defines minor on-going activity
Class
Defines minor on-going activity
This activity is often related to a specific department – not a major activity

34. How the CSU uses PeopleSoft for Finance

35. PeopleSoft modules implemented in the campus business unit
Business Unit MACMP
CMA does all of it’s operational activity in the MACMP PeopleSoft Business Unit
All transaction source documents originate in the “Campus” Business Unit
PeopleSoft modules implemented in the campus business unit
General Ledger
Accounts payable
AR/Billing
Asset Management
Purchasing

36. Business Unit MACSU
At month end the summary data for the months activities is “derived” to a second business unit - MACSU
The program chart field is replaced with the NACUBO program code
The PeopleSoft modules implemented in the CSU Business Unit
General Ledger

37. The Fund Chart Field is replaced with the Net Asset Category
Business unit MAGAP
At year end the MACSU summary data is copied to the a third business unit – MAGAP
The Fund Chart Field is replaced with the Net Asset Category
The Account Chart Field is replaced with the Natural Classification
The NACUBO Program code is replaced with the Program Group
The PeopleSoft Modules implemented in the GAP Business Unit:
General Ledger

38. People Soft Transactions Types MACMP Business Unit MACSU Business Unit
Actuals, Budgets and Encumbrances
MACMP Business Unit
Actuals, Budgets, & Encumbrances
MACSU Business Unit
Actuals, Budgets & Encumbrances
MAGAP Business Unit
Actuals only

39. Each Business Unit contains different levels of information

40. CSU Uses THREE Business Units to process Financial Information
MACMP
MACSU
MAGAP
I have a different purpose in each Business Unit

41. Transaction Types recorded in each Business Unit
You have to choose the correct chart fields on the original transaction or LOTS of things can go wrong…I don’t like it.

42. PeopleSoft Chartfield Values used in each Business Unit
My value stays the same in the CSU Business Unit but it changes to Net Asset Category in the GAAP Business Unit

43. Reporting Generated from each Business Unit
I use the State Controller’s fund value and the CSU fund value and the Net Asset Category for all this reporting – I know a lot!

44. ICSUAM – CSU Administrative Manual
Helpful Web Resorces
ICSUAM – CSU Administrative Manual ml
California Law Reference

45. Questions