Compare and Contrast AFIN FMS Budget Overview screen is customizable by value ranges and levels. It also provides drill down capability to the original transactions. APP2 screen shows one appropriation at a time. Can leap to another summary by account code screen (ASUM). All transactions stored in the KK ledgers. Budget transactions stored in the budget ledger. Accounting transactions are stored in the General Ledger. Budget and Actuals tracked by pre-defined account codes. Budget and Actuals tracked by pre-defined object codes. Spending controlled at the parent level, e.g. 025100 OPERATING Spending controlled at the Appropriation Level, e.g., 0250330O.
The Budget Definition, Rule sets, and Translation tables provide a flexible framework to establish different variations of budgeting.
Three basic configurations: 3-Way, 2-Way, and 1-Way.
Setup based on account and department cost center trees.
2401860F Full Time A/O Expense Budget ------------ 1010 2012 3010
AFIN FMS 2551907F Centralized Fringes 2401860O Operating DCC Exp Line Budget ------------ 51010 52012 53100 Budget Definition Rulesets
Account Rollup DCC Rollup
Compare and Contrast AFIN FMS The type of budget is pre-determined and thereby eliminates errors. Setup errors occur, especially on the HR side, when the type of budget is not known. Predefined rules decide the structure of the parental controls – 1,2, or 3 spending control appropriations for a DCC. Each Agency/Org/Object combination can point to any appropriation. Department Cost Center and account are setup. Predefined rules establish the correct parent appropriation. Appropriation setup first. Then Expense budget setup by individual object code mapped to the correct appropriation.
3-WAY used for approved budgets with centralized fringe funding.
2-WAY used for Auxiliary budgets with fringes in the personnel appropriation.
1-WAY used for all other budgets. All expense accounts pooled into one appropriation.
Revenue Budgets with Associated Expense Budgets
As in our current system, FMS allows revenue to optionally increase the spending authority of the appropriation.
Although the end-result is similar, the mechanics and reporting in FMS are different.
AFIN Process at Month-end: Revenue deposited and recognized System automatically Updates APP2 Spending authority Month-end Batch Program updates EXP2 and REV2 for Recognized Rev Receipts = 8190 = Current Budgeted Rev APP2 Opt=Y REV2 Map to APP2 EXP2 8190 Month-end Reports
FMS Process Daily/Monthly Revenue deposited and recognized System automatically Updates Spending authority Year-end Allocation updates Expense Budget for Recognized Rev Month-end Reports Year-end Close Carries forward Unobligated Budget FMS Process Year-end Budget Overview Rev Budget Exp Budget Rev Budget Exp Budget 2007 Exp Budget 2008
Compare and Contrast AFIN FMS Year-end budget allocation process updates the budget for associated revenue recognized. Year-end carry-over based on APP2 unobligated amount which includes revenue rotary. FMS month-end reports combine revenue and expense budgets to show available funding available. AFIN month-end batch process copies recognized revenue budget to expense object 8190 budget. Associated revenue automatically updates Budget Overview screen and spending authority. Revenue Rotary automatically updates APP2 screen and associated spending authority.
The Budget transfer process is used to redistribute budget dollars within a Department Cost Center to other accounts in the same appropriation.
It can also be used to transfer budget dollars to other Department Cost Centers.
Defaults to Adjustment type so the change does not affect the next year’s Original budget amount.
Signed Paper Request EB Reduce Donor AFIN Process: Grant Related ? Personnel ? No No Yes, forward form to VP Fin & Admin Yes, forward form to Grants Office Budget Admin initiates and signs Budget transfer EB Increase Recipient Same APPR ? Yes No Approved ? No Yes, return to Bus Office EB Reduce Donor EB Increase Recipient APP2 APP2
FMS Process: Grant Related ? Personnel ? No Yes, notify VP Fin & Admin Within Security ? Yes No Approved ? No Budget Transfer Update Transfer Email notification to transferee Budget Transfer Security Error Review Transfer With Security Errors Update Transfer Yes Email notification to transferor Update Transfer Email notification to transferor/ee Email BO Email Grants Off Budget Activity Budget Activity Budget Activity
Compare and Contrast AFIN FMS Security error prevents update if outside security list; Business Office will update if properly documented. Business Office inputs and updates two EB documents with a prefix of CVAT# (where CV is the inputers initials). The first document reduces the donor’s budget and the second increases the receiver’s budget E-mail notification to receiving department cost center administrator if different. Transferring Bud Admin emails Business Office. Pink form mailed to the Business Office Department inputs Budget Transfer. Department updates if within security list Pink form completed and signed by Bud Admin relinquishing budget dollars
White form sent to the Business Office by the majority of users
Business Office inputs from form and updates
IX document input and updated by selected power users
Signed Paper Request Intra-Instit Cross Chrg IX Journal Voucher JV Intra-Instit Voucher II General Ledger AFIN Process: FMS Process: Enter Exp Trans Journal Inter-DCC ? Bus Off Review IX Source & Post Other DCC Review Approve ? No No Yes, email notification General Ledger Yes, email notification
FMS LEDGER PROCESSES Budget Check, Edit, Post Decentralized IX Online Journals CC_PROJ CC_APPROP ACTUAL JOURNAL GENERATOR HCM GRANTS AR ASSET MGMT AP PURCHASING P-CARD TELECOMM SIS PARKING DINING BOOKSTORE JOURNAL HEADER/ LINES SPREADHEETS SPREADSHEET IMPORT
Compare and Contrast AFIN FMS Business Office will post the journal if it is properly documented. Business Office inputs and updates a journal voucher with a prefix of CVIX# (where CV is the inputers initials). This document reduces the expense for the charging department and increases the receiver’s expense. E-mail notification to receiving department cost center administrator if different. Transferring Bud Admin emails Business Office. White form mailed to the Business Office Department inputs Expense Transfer using Journal with an IX source. White form completed and signed by Bud Admin relinquishing budget dollars
With very few exceptions, every grant has its own fund and therefore its own balance sheet
Three funds dedicated to federal letters of credit (4401=NIH, 4402=ED, 4403=NSF)
Some fund ranges designate type of funding while others designate type of activity
AGCY+ORGN provide the unique number for each Appropriation with ORGN=FUND except in the case of the letters of credit RESULT: Unique numbering combinations become limited making “recycling” of old numbers necessary, thereby making tracking difficult
The management, monitoring, and reporting of financial, operational, and construction projects including personal and/or real property.
What are Capital Assets?
Defined as acquisitions having a cost equal to or greater than $3,500 and a useful life or more than one year. The amount of $3,500 is limited to an individual piece of equipment or the composite thereof.
Are recorded at their original cost (historical cost) during acquisition, or fair value at the date of donation in the case of gifts. “Acquisition” is no longer strictly regarded as a “purchase” but may include “leasing” in specific instances.
Include renovations that exceed 5% of cumulative building cost
“… and Section 125.16 of the Ohio Revised Code, the Department of Administrative Services has defined “Property” as assets that are owned (purchased or donated), subject to ownership (e.g., leased asset), acquired under a grant or sub-grant, or held on behalf of the State of Ohio. Property has an initial estimated useful life of two years or more and is neither consumed nor expended during its useful life.”
Obligations: “As required by Section 125.16 of the Ohio Revised Code (ORC) and DAS Directive No. 04-27, all state agencies, boards and commissions have stewardship responsibilities with maintaining and reporting an inventory representing the activities of their state owned assets..”
No employee of Bowling Green State University shall utilize the Purchasing Department, the name of the University, or University funds, to secure merchandise or to obtain a savings on the purchase of items for personal use or consumption. (Obsolete and in need of updating as we now have opportunity to take advantage of employee discounts based upon negotiated contracts by the Purchasing Department.)
**This includes the purchase of clothing with departmental/university logos, and the purchase of University event tickets. (Does not apply to required departmental uniforms which by IRS definition cannot be used as clothing outside the workplace.)
Abstracted from the Business Office Policy Manual (pg.9)
Asset Management Responsibilities within the Business Office:
Coordinate, collect and review annual physical inventories
and maintain records.
Assist other departments on campus in their preparation of
inventory report an annual basis.
Process all major equipment transfers, disposed, replaced and
surplus property in order to make changes to assets in the
Assist other departments on campus in establishing procedures
for maintaining and controlling their major assets.
Affix BGSU Tags to the capital assets and provide information essential for maintaining records for the asset management system when requested by the Business Office.
Complete the “Equipment Disposal” form (dispensation): http://www. bgsu . edu/offices/services/purchasing .html and report to AM any changes that occur related to transfers, retired, replaced, surplus, sold or stolen assets.
If fabricating an item, discuss with the Business Office because a tag can be issued for an overall project as an accumulated value meeting the specifications of a capital asset.
Perform annual inventories upon request from the Business Office and report results with validation.
Surplus Property Policy SURPLUS PROPERTY REQUEST FORM >> The materials handling department has been designated as the responsible agency for the processing and disposal of items which are no longer needed or usable by bowling green state university. This centralization is important to insure compliance with applicable state statutes, and also to match the surplus property of one university department with the needs of another. Our goal is to redistribute university property to other university departments where feasible. Departments should notify materials handling at 372-2121 whenever items become surplus for possible placement in other areas. If your department is seeking a surplus item, we hold periodic viewings of the surplus property in the reed street warehouse. Please call 372-2121 to find out when the next viewing is scheduled. Abstracted from: http://www.bgsu.edu/offices/materials/page22565.html