Presentation on theme: "COA/Budget Structure Workshop Agenda"— Presentation transcript:
1COA/Budget Structure Workshop Agenda Chart of Accounts OverviewChartfield MaintenanceCommitment Control OverviewBudget ControlBudget RulesCore-CT Proposed Budget StructuresOverviewCentral/Agency ResponsibilitiesRevenue BudgetsExpenditure BudgetsComprehensive Financial Status Report (CFSR)2004 Budgets PreparationBudget Journal SpreadsheetNext Steps
2Chartfield 1 Fund Department Account Program SID Project/Grant Core-CT ChartfieldsChartfield 1FundDepartmentAccountProgramSIDProject/GrantChartfield 2Business UnitChartfields=Chart of AccountsYou’ll be happy to know that we’ve retired most of our COA slidesYou’ll also be happy to know that this is the final list of ChartfieldsCF 1 will be called CF1 and not Activity. Avoid confusion with current Activity coding block. CF1 values will move to Projects module in phase 2 and CF1 will be available for another possible use.CF2 will be called CF2 and not Agency Defined CF.Budget Reference is a Chartfield and is here to stay. Not the same as Budget Period, which is always defined as the July to June State FY.Budget Reference
3Core-CT Chartfields CAS/ SAAAS Field Length Usage Core-CT Core-CT Field LengthAgency4RequiredFund5Department8SID3ObjectProgramFunctionAgency UseAccountActivity9Project/Grant15Extension7Chartfield 16Proj ActivitiesChartfield 2Agency UseBudget RefThese are actual field lengths in Core-CT, not the PeopleSoft maximum field lengths.Project/Grant is now a required Chartfield. It is being used to enable many new Core-CT Budget Structures. Project/Grant is a required CF. Every agency has a “Non-Project” default value to use when an actual project is not being coded.Budget Reference is also a required CF.At this point, there shouldn’t be any more questions about what a CF is and how it’s to be used. Agencies should be finalizing their COA’s to make sure that the things that you want to Budget, Expend, and Report are captured properly.Realignment of COA? Hopefully, not trading in the old COA for a new one.
4Budget Reference Budget Reference Used to differentiate year of appropriation, where budgets and expenditures otherwise share the same combination of Chartfield values, e.g. recurring grantsValues are defined as the State fiscal year in which the budget is receivedIt is a required Chartfield.More budgets means more budget maintenanceCloseout of old or inactive values needs to be communicated to OSCBudget ReferenceBudget Reference values will be Years……not From -To Periods, Weeks, Months, etc.
5Budget Reference Carryforward Scenario 1 For budgeted funds and specific non-budgeted funds that are non-lapsing:OSC will bring forward fundsBudget Reference changed to match the new year budget periodSingle budget line will be created combining new and old year
6Budget Reference Carryforward Scenario 2 For all other non-lapsing funds:OSC will bring forward fundsBudget Reference stays the sameMultiple budget lines created for each year of appropriation
7Core-CT Chartfields COA Recap COA/BudgetStructureFrameworkCOA RecapBudget Reference - a required Chartfield. It differentiates budgets and expenditures which share the same Chartfield combinations, but have more than one year of funding open in the same Budget Period.Projects/Grants – now a required Chartfield. It is being used to enable many new Core-CT Budget Structures. Every agency has a “Non-Project” default value to use when an actual project is not being coded.Agency COA Validation - changes submitted by May 2 will be reviewed by the COA Team. Later changes will be handled by the OSC in accordance with the new Chartfield Maintenance procedure.
8Chartfield Maintenance Goal:To Ensure Chart of Accounts Data Integrity and System IntegrationMaintenance is the addition, inactivation, & modificationof Chartfield valuesNew values will be Agency & Centrally DefinedAll values will be Centrally MaintainedEach modification to COA values affects various trees(Commitment Control, Reporting, Combination Edits, etc)Soon, there won’t be a COA team.Once in the system, values are not “deleted”…..”inactivated”.
9Chartfield: Chartfield Value: Chartfield Maintenance Request Form Tree:Reporting, Budget, ETCLevel to be addedAttribute:CFDA NumberAttribute Value:12345Urgency:EmergencyFuture Effective DateAction Required:New ValueModification to Existing ValueInactivate Existing ValueChartfield:DepartmentAccountSIDETCChartfield Value:Meet Char Length RequirementsABC12345Form may be Electronic or Hardcopy or Both.
10Chartfield Maintenance Flow Combination Edits will be agency responsibility….Not on Chartfield Request Form.
11Commitment Control Overview Two Aspects of Commitment ControlCommitment AccountingProcurement liabilities are recognized throughout the procurement lifecycleRequisitions Pre-encumbrancesPurchase Orders EncumbrancesVouchers ExpendituresBudget ControlEnsures that commitments and expenditures do not exceed budgetsCommitment Control = Commitment Accounting + Budget ControlCan’t pay a voucher for more than the PO…..can’t write a PO for more than the approved Requisition (within allowable tolerances).
12Distribution Lines from Transactions Commitment Control Overview – Budget ControlBudgetary control is enforced on financial transactions through the use of budget ledgers and control options.Budget CheckingProcessJournal Posting ProcessBudgetLedgersDistribution Lines from TransactionsJournals – GLRequisitions – POPurchase Orders – POVouchers – APActuals LedgerBudget Checking of Requisitions…..Requisition Budget Approver? After Chartfield Approval?
13Commitment Control Overview – Budget Rules Budget Structures are configured using the following budget rules:Budget LedgersBudget Control ChartFieldBudget KeyBudget TranslationsControl OptionsThese are the building blocks of Budget Structures.Budget Structures will be configured by the Core-CT COA Team
14Commitment Control Overview – Budget Rules Budget LedgersDefinition:Ledgers which store budget, pre-encumbrance, encumbrance and expenditure balances at the budgeted ChartField level. All budget rules are defined for a budget ledger.Example:Appropriation budget ledgerResult:All budgets and transactions posted against the Appropriation budget ledger are controlled by the budget rules defined for the Appropriation.
15Commitment Control Overview – Budget Rules Budget Control ChartFieldDefinition:The ChartField used to determine whether or not the budget structure applies to a transaction. A Budget Structure can only have only one Budget Control ChartField. Detailed ChartField values are selected from the designated Budget Control ChartField.Example:Budget Control ChartField Fund (GF)12001 – (Spec Rev)Result:All transactions recorded against these Funds will be subject to this Budget Structure.
16Commitment Control Overview – Budget Rules Budget KeyDefinition:Budget Keys are the ChartFields which are required for all budget journals and all transactions for a given Budget Structure.Example:Budget Keys Fund Program DeptID Account SID Budget ReferenceResult:All budget journals and transactions for this Budget Structure must have values in these ChartFields.
17Commitment Control Overview – Budget Rules Budget TranslationDefinition:Budget Translations are used to relate transactions to their proper budget. The translation is accomplished through the use of trees. These trees are needed only when the budget is established at a higher level in the ChartField than the transaction level.Example:Budget Translations Fund Budget and transact at same level DeptID Budget at DOL 40000 Transact at DOL40010Result:Budget Translation trees required for Department Chartfield to allow the system to “find” the proper budget.
18Commitment Control Overview – Budget Rules Commitment Control Overview – Budget RulesControl OptionsControl:Transactions that exceed the budget will error out during the budget checking process. No further processing can be performed until the transaction error is corrected by an authorized agency user or the budget is overridden by an authorized user.Track:Transactions that exceed the budget will pass the budget checking process and be tracked without exception warnings or error messages. Transactions pass even if budget is for a zero amount.No control budgets at the detailed account level.No exception warning or message on Track Budget
19Core-CT Proposed Budget Structures - Overview Central ResponsibilityCreate and maintain Legal Level BudgetsAppropriation Bond Authorization Revenue EstimateAllotment Bond Allocation Assoc Revenue EstimateBond AllotmentAgency ResponsibilityCreate and maintain Agency Level BudgetsAgency 1 Project 1Agency 2 Project 2Project 3
21Core-CT Proposed Budget Structures - Expenditure Budgets (Central) ExplanationRequired for legislative appropriations, i.e. theGeneral FundHighest level of budget in Core-CTCreated and maintained centrally by OSCAlways established as a control budgetBudget Reference will capture the State’s fiscalyearAppropriationGregg took out “and most other non-bond funds” from the 1st bullet. Not sure why.
22State Appropriation Act Core-CT Proposed Budget Structures - Expenditure Budgets (Central)State Appropriation ActLegislature will continue to appropriate at the traditional Fund/Agency/SID levelNew slide – sample of Approp Act
23Core-CT Proposed Budget Structures - Expenditure Budgets (Central) AppropriationBudget KeysBudget TranslationControl ChartFieldControl CF ValueFundXGF and other Legal Approp FundsDeptIDAgencySIDProgramAll ProgramsAccountAll ExpendituresBudget ReferenceDiscuss Budget Key fields: the Fund Control Chart Field defines the Budget Key fields – fund/deptID/class(SID); these must be non-null and unique combinations
24Core-CT Proposed Budget Structures - Expenditure Budgets (Central) ExplanationAllotmentRequired for all appropriated Funds, and for most non-appropriated Funds; companion Federal Funds process continuesCreated quarterly and maintained centrally byOSC based on OPM approved B-1; B-107s created for transfers/FACs, releases/advances to adjust available funding within SIDsAlways established as a control budget“Child” to Appropriation budgets, meaning thatbudget amounts could differ but not exceedAppropriationRevised 1st bullet; added new bullet (ABS on-line allotment functionality under review)
25Traditional B1 process to formulate allotment control: Core-CT Proposed Budget Structures - Expenditure Budgets (Central)Traditional B1 process to formulate allotment control:Fund/Agency/SID control levelalternate views showing legacy and new codesfront-loaded allotments for selected SID’sdata uploaded from ABS to CORE upon submittalView CORE CodesView CAS CodesNew slide: sample of B1/Spending Plan and discussion of changes – CLICK to reveal screen with new CORE codes
27Core-CT Proposed Budget Structures - Expenditure Budgets (Central) The following is an example of an Appropriation and Allotment budget in Core-CT
28Core-CT Proposed Budget Structures - Expenditure Budgets (Central) In the event FY2004 begins without an Appropriation Act, temporary allotments will be processed$10,000New slide – covers “no budget” temp allotmentsContingency Plan if Legal Budgets are not approved before July 1:Agencies will create 0 dollar budget journalsAll budgets will be Track budgets until approved budgets are enteredBudget Journals will be adjusted with approved budgetsAgencies with Control budgets will be changed from Track$10,000
29Core-CT Proposed Budget Structures - Expenditure Budgets (Central) ExplanationRequired for all legislative bond authorizationsCreated and maintained centrally by OSCAlways established as a control budgetBond Authorization
31Core-CT Proposed Budget Structures - Expenditure Budgets (Central) ExplanationRequired for all Bond Commission AllocationsCreated and maintained centrally by OSCAlways established as a control budget“Child” to Bond Authorization budget, meaningthat budget amounts could differ but notexceed Bond AuthorizationBond Allocation
32Traditional Bond Commission Allocation process continues: Core-CT Proposed Budget Structures - Expenditure Budgets (Central)Traditional Bond Commission Allocation process continues:agencies submit allocation requests based on approved projectsapproved agenda items lead to allotmentsNew slide – sample Bond Agenda item
34Core-CT Proposed Budget Structures - Expenditure Budgets (Central) ExplanationRequired to allot Bond FundsAlways established as a control budget“Child” to Bond Allocation budgets, meaning thatbudget amounts could differ but not exceedBond AllocationBond Allotment
36Core-CT Proposed Budget Structures - Expenditure Budgets (Central) The following is an example of Bond Authorization, Bond Allocation, and Bond Allotment budgets in Core-CT
37Core-CT Proposed Budget Structures - Revenue Budgets (Central) ExplanationUsed by OPM and OSC to track Revenues byRevenue AccountCreated and maintained centrally by OSCConfigured as track onlyRevenue EstimateControl or Track…not sure.
39Core-CT Proposed Budget Structures - Revenue Budgets (Central) The following is an example of a Revenue Estimate budget in Core-CT:
40Associated Revenue Estimate Core-CT Proposed Budget Structures - Revenue Budgets (Central)ExplanationAssociated Revenue EstimateUsed for the Grant Transfer processCreated and maintained centrally by OSCEstablished as track.Control or Track…not sure.
41Core-CT Proposed Budget Structures - Revenue Budgets (Central) Associated Revenue EstimateBudget KeysBudget TranslationControl ChartFieldControl CF ValueFundXFederal and Other Restricted FundsDeptIDAgency definedSIDProgramAll ProgramsAccountAll Grant Transfer RevenueBudget Reference
42Core-CT Proposed Budget Structures - Revenue Budgets (Central) The following is an example of an Associated Revenue Estimate budget in Core-CT:
43Core-CT Proposed Budget Structures - Revenue Budgets (Central) The following is an example of an Associated Expenditure budget in Core-CT:
44Detailed Expenditures Core-CT Proposed Budget Structures - Expenditure Budgets (Agency)Agency Budget StructuresFor creating agency-defined lower level Department ChartField budgets.For agency “Non-Project” Project ChartField value.Agency Budgets are not tied to Appropriation/Allotment, which are in separate non-linked budget structures. Agency Budgets may be for a different amount than appropriated (e.g. create central reserve), but budget control will ultimately always reside at Appropriation/Allotment.Agency 1Agency 2Control or TrackTrackAll ExpendituresDetailed Expenditures
45Clinical Supp Services Core-CT Proposed Budget Structures - Expenditure Budgets (Agency)The following example demonstrates how an agency may budget at two different department levels using the two proposed agency budget levels.Dept. of MentalHealth & AddictionAppropriation Budget Ledger (Control)CT MentalHealth Ctr.CT ValleyHospitalAgency Budget Level 1 (Control)Clinical Supp ServicesAdministrationAgency Budget Level 2 (Track)PatientCareAmbulatory CarePlant OperPharmacyRadiologyPower PlantTransaction Level
46Core-CT Proposed Budget Structures - Expenditure Budgets (Agency) The following example demonstrates how an agency may budget at a high expenditure account level using the agency level 1 budget.Budget Level 1Budget Level 2 / Transaction LevelExpendituresAll AccountsGeneralInformationTechnologyIT ServicesCommunicationsTelephoneInstallationLocal/Long DistanceServicesTelephone/NetworkLinesBeeper/Pager ServicesInternetBudgeting by Account
47Core-CT Proposed Budget Structures - Expenditure Budgets (Agency) Agencies that choose Agency Budgets will have the following options for their non-project related budgets:
48Core-CT Proposed Budget Structures - Expenditure Budgets (Agency) ExplanationOptional by AgencyAgency defined departments, usually higherlevels, e.g. divisions, bureaus, facilities, etc.Budgets at all Expenditures Account detailThe Project ChartField is a required ChartField.Transactions will need to be coded to the “Non-Project” Project ChartField value.Agency Fiscal Administrative Reviewers willcreate and maintain agency budgetsMay be established as control or track byAgency. Must be uniformly control or track forall budgets in this Agency’s budget structureAgency 1
50Core-CT Proposed Budget Structures - Expenditure Budgets (Agency) The following is an example of an Agency 1 budget in Core-CT:
51Core-CT Proposed Budget Structures - Expenditure Budgets (Agency) ExplanationOptional by AgencyAgency defined Department levels, usuallylower levels, e.g. units, cost center, etcBudgets at transaction level Account detaillevels, i.e. major/minorThe Project ChartField is a requiredChartField. Transactions will need to be codedto the “Non-Project” Project ChartField value.Agency Fiscal Administrative Reviewers willcreate and maintain agency budgetsConfigured only as trackAgency 2
53Core-CT Proposed Budget Structures - Expenditure Budgets (Agency) The following is an example of an Agency 2 budget in Core-CT:
54Core-CT Proposed Budget Structures - Expenditure Budgets (Agency) Project Budget StructuresFor creating agency Project budgets based on detailed Project ChartField values and agency defined Department Chartfield values.Project Budgets are not tied to Appropriation/Allotment, which are in separate non-linked budget structures. Project Budgets capture multiple funding sources in amounts which could differ from the Appropriation, but budget control will ultimately always reside at Appropriation/Allotment.Project 1Project 2Project 3Control or TrackTrackAll ExpendituresDetailed ExpendituresAgency defined CF1
55Core-CT Proposed Budget Structures - Expenditure Budgets (Agency) Agencies that choose Project Budgets will have the following options for their project related budgets:
56Core-CT Proposed Budget Structures - Expenditure Budgets (Agency) ExplanationOptional by AgencyDetailed Projects and no ChartField 1(Activity) detailBudgets at all Account level detailAgency Fiscal Administrative Reviewers willcreate and maintain agency budgetsMay be established as control or track byAgency. Must be uniformly control or track forall budgets in this Agency’s budget structureProject 1Control or Track…not sure.
61Core-CT Proposed Budget Structures - Expenditure Budgets (Agency) The following is an example of a Project 2 budget in Core-CT:
62Core-CT Proposed Budget Structures - Expenditure Budgets (Agency) ExplanationOptional by AgencyDetailed Projects with ChartField 1(Activity) detailBudgets at All Expenses (no detail)Agency Fiscal Administrative Reviewers willcreate and maintain agency budgetsEstablished as trackProject 3Control or Track…not sure.
64Core-CT Proposed Budget Structures - Expenditure Budgets (Agency) The following is an example of a Project 3 budget in Core-CT:
65Core-CT Proposed Budget Structures - Comprehensive Financial Status Reports ExplanationCFSRNew standard CFSR reports will mergeAgency 1/Project 1 and Agency 2/Project2 budget ledgersCFSR reports will capture expenditures,encumbrances, pre-encumbrances, andbudgetsIn order to produce an accurate CFSR,agencies that use Agency and Projectbudgets will need to budget at thesame level of the Department ChartFieldThree Agency CFSR reporting options:1. Account detail by SID for alldepartments2. Account detail by SID for eachdepartment3. All Accounts by SID for all departments
66Core-CT Proposed Budget Structures - Comprehensive Financial Status Reports
67Core-CT Proposed Budget Structures - Comprehensive Financial Status Reports
682004 Budget PreparationsThere are three ways to enter and load budgets into Core-CT’s budget ledgers:Spreadsheet Budget JournalsOn-line Budget JournalsOn-line Budget TransfersBudget journals can be created by using the online pages or outside of Core-CT using a customized template to create budget journals in excel. We will discuss each of these processes in detail along with walking you through the exercises. Online Budget Journals and Online Budget Transfers are very similar in process – using the similar header and line pages. We are going to begin by discussing Spreadsheet Budget Journals.Both Central and Agency can enter budget journals online.Spreadsheet Budget Journals are performed primarily by Agencies.
72Budget Journal Spreadsheet Upload If there is no Appropriations Act:Track Budgets:Agency and Project track budgets can be created for any amount.Control Budgets:Agency and Project Control Budgets cannot be set at zero, presumably should at least equal the temporary Allotment, and could be for the amount of the estimated Appropriation.When the Appropriation Act is passed, adjustments can be done by:1. Reversing the original spreadsheet journal and entering new journal amounts, or2. Entering adjusting journal amounts for the amount of the difference.
73Budget Journal Spreadsheet Upload Agency responsibilitiesCreate agency defined budget journalsSpreadsheet Journal Upload Tool will be posted to website1st Year (2004 Budgets): Submit to Core-CT for reviewFuture Years: Write Flat File and upload spreadsheet into CoreCentral responsibilitiesOSC will enter all legal budget journals1. Highlight the agency responsibilities in this processa. Overview of the error correction responsibilities agency vs. central – this will be discussed in further detail during the exercises2. Explain the Flat File naming standard:a. 3 letter agency acronym plus the date (MMDD) plus the two letter initials of the usercreating the entry plus a sequential number by day (e.g. -01, -02). For example,if Joe Smith created a journal for DMV on April 1st the file name would be:DMV0401JS1.b. This naming convention has been designed to prevent multiple users at each agencyfrom overwriting each other’s journals (hence the initials). Ensure that no one in youragency has your same initials, and if so, then use a three letter initials where necessary.c. This naming convention also allows a single user to save multiple flat files in one day(hence the sequential number)3. Re-emphasize the importance of having users who are creating spreadsheet journals do so with a valid Operator ID in the defaults page, because if there is an error this will indicate whom to contact regarding the journal in error.
74Next Steps Create Spreadsheet Budget Journals – June 6 Contacts: Finalize Budget Structures – TODAYCreate Spreadsheet Budget Journals – June 6Contacts:Carl SchuhMichael RiggottBob KruegerRyan MartinSusan TangrenWe will be needing agency spreadsheet budget journals for Agency and Project Budgets by……..We will need budgets from interfacing agencies by………