1. SAM99 Session 1 - Overview

2. 2 Business Requirement Section 7900 of the State Administrative Manual (SAM) requires state agencies to prepare a monthly reconciliation of Receipts & Disbursements Budget Balances to the State Controller’s Office records

3. 3 SAM99 Primary Functions The SAM99 is a tool that was created for the CSU to meet State mandated reconciliation requirements by… Comparing Receipts and Disbursements processed at the State Controller’s Office to Receipts and Disbursements recorded by the Campus - R&D Recon Comparing Balances of funds available at the State Controller’s Office to Budget Balance Available on Campus records – BBA Recon

4. 4 Primary Functions- Illustrated Sample Campus Transaction Activity…

5. 5 Primary Functions- Illustrated SAM 6 Presentation of Activity… Balance = Budget – (Actuals + Encumb)

6. 6 Primary Functions- Illustrated Trial Balance Presentation of Activity… $200 Vendor Payments processed through SCO Claims

7. 7 Primary Functions- Illustrated Sample SAM99 with Sample Activity

8. 8 Primary Functions- Illustrated SAM99 Relationship to SAM6

9. 9 Primary Functions- Illustrated SAM99 Relationship to Trial Balance

10. 10 Top Section Bottom Section Orientation with SAM99 Layout

11. 11 www.calstate.edu

12. SAM99 Session 2 – Errors and Meaning

13. 13 SAM99 Primary Functions Simply stated, the SAM99 brings together SCO Records and Campus Records to compare… Receipts and Disbursements Balances of Funds Available To enable campuses to meet SAM Section 7900 Business Requirements

14. 14 SAM99 Primary Functions SCO Records - Receipts, Disbursements and Balance Available as displayed on the Tab Run Disbursements Receipts Year to Date Activity BBA

15. 15 SAM99 Primary Functions Recon SCO R&D and BBA Same as Tab Run SCO R&D and BBA Adj by Campus Accruals Campus R&D and BBA Displayed on SAM99 SCO and Campus Records Compared R&D Recon & BBA Recon

16. 16 Transaction Flow and Overview Today’s World - Campus R&D Transactions processed at the State Controller’s Office (SCO) include… Claims Payroll Plans of Financial Adjustment Controller’s Transfer

17. 17 Transaction Flow and Overview Typical flow of Transactions processed at the SCO - The Rules of the Game - Campus Records R&D Transaction Campus offsets R&D Transaction with an Accrual Campus submits Transaction to the SCO When the SCO processes R&D Transaction… Campus clears Accrual against Fund Balance Clearing

18. 18 What is Fund Balance Clearing? Used to record receipts and disbursements on the campus records that flow thru the State Controller Transactions in governmental funds flow thru the SCO The year to date activity in Fund Balance Clearing on the campus records must equal the year to date amount on the SAM99 Tape for SCO Receipts and Disbursements. Any differences are reported by the SAM99 in the warning message “Campus Records Total does not equal Expenditures”

19. 19 Fund Balance Clearing For any funds managed at the State Controller, where the campus submits claims, PFA’s, payroll, etc, the campus must post these transactions to Fund Balance Clearing FIRMS Object 305022 State GL 5570

20. 20 Summary In other words, the difference in the campus records current year activity amount in Fund Balance Clearing and the amount on the SAM99 Monthly File for SCO Receipts and Disbursements equals the out of balance amount on the expenditure warning message.

21. 21 SAM99 Warning Messages When adjusted SCO Receipts/Disbursements does not equal the campus Receipts/Disbursements, the SAM99 prints a Warning and calculates the difference WARNING: Campus Records Total does not Equal Expenditures Difference is $ When the adjusted SCO Balance does not equal the campus BBA amount, the SAM99 prints a Warning and calculates the difference WARNING: Calculated Unexpended Balance does not Equal Campus Records Total Balance Difference is $

22. 22 SAM99 Warning Messages “Campus Records Total does not Equal Expenditures” This warning is associated with the first reconciliation requirement from SAM 7900… The reconciliation of total Receipts/Disbursements on campus books to total Receipts/Disbursements processed by the SCO, adjusted by campus Assets and Liabilities – also referred to as “Accruals” Year to date R&D activity on the Controller’s books is compared to year to date R&D activity on the campus books

23. 23 SAM99 Warning Messages “Calculated Unexpended Balance does not equal Campus Records Total Balance” This warning is associated with the second reconciliation requirement from SAM 7900… The State Controller’s Balance adjusted by campus Assets and Liabilities (Accruals) is compared to campus Budget Balance Available - Campus Budget Balance Forward adjusted by current year Receipts Disbursements and Encs The balance of funds remaining on the Controller’s books is compared to the balance of funds remaining on the campus books

24. 24 SAM99 Warning Messages The Receipts/Disbursements warning is the result of an issue related to R&D Transactions When there is a warning for R&D, there will be a warning for BBA Reason: BBA is a calculation that is impacted by R&D transactions Usually, you receive both messages for the same dollar amount

25. 25 SAM99 Warning Messages SCO Total R&D Campus Assets & Liabilities Adjusted SCO Total R&D Campus total R&D Expenditure Warning R & D Presentation

26. 26 SAM99 Warning Messages When you receive a Receipts/Disbursements warning, find out… Was the Receipt/Disbursement recorded in the wrong fund? If so, reclassify it to the correct fund Was the Receipt/Disbursement recorded in the correct fund? If so, clear the Accrual against FBC If not, record the Receipt/Disbursement against FBC When the R&D and BBA warnings are for the same $ amount, an Actuals Journal will resolve both warnings BBA is a calculation that is impacted by R&D transaction

27. 27 SAM99 Warning Messages Campus Receives Cash Debit CashCredit Revenue Campus Remits Cash to the SCO Debit Remit in TransitCredit Cash SCO Posts Cash Remitted – Campus Does Not Out of Balance Situation is created for R&D Warning is generated on SAM99 Actuals JE Needed: Clear the Accrual against FBC Debit Fund Bal ClearCredit Remit in Transit R&D Example…

28. 28 R&D Example… Disbursement was not recorded on campus books SCO posts AD NOAT - Campus Does Not Out of Balance Situation is created for R&D Warning is generated on SAM99 Actuals JE Needed: Record Disbursement directly against FBC Debit Expense Credit FBC SAM99 Warning Messages

29. 29 SAM99 Warning Messages Review… One of the primary functions of the SAM99 is to reconcile Campus Receipts/Disbursements activity with Receipts/Disbursements processed by the SCO Campuses initiate R&D transactions and make Fund Balance Clearing entries when the SCO processes them For the SAM99, campus transactions that flow thru the SCO begin with R&D and end with Fund Balance Clearing

30. 30 BBA Presentation SCO Bal Available Campus Assets & Liabilities Adjusted SCO BBA Campus BBA BBA Warning SAM99 Warning Messages

31. 31 SAM99 Warning Messages If you receive a BBA warning only, there is a difference between campus and SCO recorded Budget Balance amounts Remedy… Query the LEDGER_BUDG table to review campus budget entries and identify differences with the SCO Work closely with your Budget Office to review the issue As appropriate, clear the difference with a Budget Journal

32. 32 SAM99 Warning Messages Common sources of BBA differences include: Not posting beginning net Budget balances Not posting an Allocation Order or posting it for a different amount or to a period different from the SCO Not cross posting a remittance Not posting special budget entries for funds that roll Project to Date Receipts and Disbursements

33. 33 SAM99 Warning Messages If you receive R&D and BBA messages for different dollar amounts, it is the result of a combination of the previously mentioned scenarios Remedy… Correct each type of error individually using queries and Journals to resolve the issues Start with the suggested approach for the R&D error message This strategy resolves all of the R&D difference, part of the BBA difference and identifies the remaining BBA amount clearly

34. 34 SAM99 Business Process Campus Total G/L Amounts does not Balance to Campus Total Receipts This is a SAM99 Technical Issue, not an Accounting Issue This indicates that your campus Trial Balance is out of balance at the SCO Account Level This error should be accompanied by an out of balance condition on your SAM07 also The most likely cause of this type of error is a bad AAT key mapping

35. 35 SAM99 Business Process “Campus Total G/L Amounts does not Balance to Campus Total Receipts” oCampus Account mapped to FIRMS Object Category Value  CSU_AAT_XLAT  CSU_AAT_TBL  Join these tables by CSU_FIRMS_OBJ_CD field  Don’t Join on EFFDT, set to Current Date  Select ACCOUNT from CSU_AAT_XLAT  Where CSU_SCO_GL_ACCT from CSU_AAT_TBL Is equal to “00000000” or Is Null

36. 36 SCO Account Structure Four common elements in SCO structure SCO Fund 0001 SCO Subfund 000 Year of Enactment 2005 SCO Apprn Ref 001

37. 37 SCO Account Types SCO Account type drives the other descriptive elements needed to identify a balance at the SCO. There are two kinds of SCO Account types: Detail and Summary. SCO Account types are used to pull data for comparison on the SAM99.

38. 38 SCO Account Types Values and What they Mean… Detail SCO Account Types D – Disbursing Account F – Appropriated Reimbursements Account T – CO only – (Transfer) R – Revenue Account Summary SCO Account Types C – A summarization of D, F and T account types for an appropriation. Q – The summarization of R account types.

39. 39 SAM99 Reconciliation Level The SAM99 process produces a page for all levels for all funds. Shaded column in the display on the next slide shows published reconciliation levels for each fund  Know your reconciliation levels – some pages produced can be used as a reference but do not need to be reconciled.

40. 40 SAM99 Reconciliation Level

41. 41 www.calstate.edu

42. SAM99 Session 3 – Transactions and Reconciliation

43. 43 SAM99 Monthly File (Tape) SCO provides a file twice a month that contains an electronic version of the tab run Notification sent to campus Download (FTP) from Teale data center SCO file is loaded into a Peoplesoft table using the SAM99 Tape Load process Summary data from table used to populate the “Account Balances per SCO Records” line on Sam99

44. 44 SAM99 Report & SAM99 Tape

45. 45 SAM99 Accrual File (Tape) Electronic file from the SCO transmitted once every fiscal year, usually in late April or early May. File contains the summary accrual the SCO booked for each appropriated fund Based on data transmitted from each CSU Agency May contain adjustments made by SCO Once the Accrual Tape is loaded use accrual reversal tape check box on SAM99 run control

46. 46 SAM99 Accrual Tape & SAM99 Until the Accrual Tape arrives from the SCO, an amount on this line is calculated from the records in period 0 of your ledger. The Accrual Reversal check box on the run control tells the program to pull the data for this line from the SCO data rather than your ledgers for appropriated funds.

47. 47 Review Transactions Manage the R&D and BBA Recons by reviewing transactions as they flow from Campus to the SCO To prepare for year end, Review Transactions routinely as the Fiscal Year progresses - Daily, Weekly and Monthly Campus Transaction Review SCO Transaction Review

48. 48 Review Transactions Campus Transaction Review Keep in mind… Campuses recognize the SCO has processed an R&D transaction by making an entry to Fund Balance Clearing on campus books The review of Campus FBC Transactions can be facilitated by: Creating Unique Campus Accounts that map to Fund Balance Clearing Querying Journal Lines for FBC Object Code 305022 to ensure that campus books remain current with SCO transactions Using Journal Sources to isolate specific types of transactions that flow thru the SCO

49. 49 Review Transactions SCO Transaction Review SCO Transactions can be reviewed by: Printing SCO Journals from ViewDirect Viewing transactions through CIRS/SCO online ACL Account detail Analyzing transactions by querying the CSU_SAM99_TAPE table after loading the SCO Monthly Tapes at mid month and at month end Printing the Tab Run provided to campuses each month from ViewDirect

50. 50 Review Transactions The State Controller uses Transaction Codes to summarize and identify different types of entries SCO entries are formatted to include a posting date, Transaction Code, posting reference and dollar amount Transaction Codes can be seen on the Tab Run, ViewDirect, CIRS/ACL Account Detail The CSU_SAM99_TAPE table captures Transaction Codes

51. 51 Review Transactions - Tab Run SCO Transaction Codes displayed on Tab Run

52. 52 Review Transactions - CIRS/ACL Acct Detail

53. 53 Review Transactions – CSU_SAM99_TAPE

54. 54 Common SCO Transaction Codes 23 – Budget/Adjustment – Cross Post 24 – Budget/Adjustment – AO’s 33 – Cancelled Warrant 35 – Journal Entry – transmittal 36 – Journal Entry (PFA) 37 – Payroll Clearance 38 – Payroll Accounts Receivable 39 – No Warrant Transfer (Prison Industry/DGS) 47 – Cash Remittance 49 – Claim Schedule Reversal/Void 50 – Claim Schedule Review Transactions

55. 55 Peoplesoft Tables Table populated by SAM99 Tape load = CSU_SAM99_Tape Monthly data tape type = M Accrual data tape type = A SCO Balance Type B – Beginning of the period calculated total D – Detail Postings E – End of the period calculated total  SCO Balance Types B & E do not have Transaction Codes To see campus funds with SCO values = CSU_FNAT_ALL_V1

56. 56 Review Transactions Strategy: Bridge the gap between detail and summary by breaking the SAM99 recon down into manageable components Position yourself well for Year End Associate SCO Transaction Codes with PeopleSoft Fund Balance Clearing Activity (TC-XX = 3058xx) Query campus FBC Journal Lines and tie campus activity to R&D transactions processed by the SCO Review transactions routinely as they flow from Campus to the SCO

57. 57 Manage Reconciling Factors When activity recorded in FBC on campus books does not match the amount of SCO Receipts and Disbursements on the SAM99, campuses must identify and resolve the Reconciling Factors that comprise the difference Correction Required Timing Difference Year End – No Timing Differences

58. 58 Manage Reconciling Factors Correction Required Certain Reconciling Factors require immediate correction PFA coded inaccurately Claim booked against the wrong fund Transaction for another agency charged to yours Campuses should work with the SCO to resolve these issues promptly

59. 59 Manage Reconciling Factors During the year, campuses are required to Reconcile the SAM99  Identify all differences between campus and SCO records - i.e. Reconciling Factors  Manage their clearance Reconciling factors are often the result of a “timing difference” between the posting of transactions on campus records and the SCO’s

60. 60 Manage Reconciling Factors Creating Efficiency can cause a Timing Difference – Example… Claims entries post directly to FBC and create Reconciling Factors every month - Journal DR: Exp CR: FBC Claims entries can be identified easily by using a campus specific FBC account – 3058xx (same as SCO TC-50) These factors clear with the processing of the claim by the State Controller Result: SAM99 has out of Balance Warnings, but it is Reconciled It’s all about Managing the Reconciliation and Timing Differences throughout the Fiscal Year

61. 61 Manage Reconciling Factors Year End – No Timing Differences  During the year, campuses are required to Reconcile the SAM99  Identify differences between campus and SCO records  Manage their clearance  At year end, campuses are required to Balance the SAM99  Eliminate all Reconciling Factors  Accrue all Timing Differences  Campus books must match the SCO’s at June 30

62. 62 Suggested Reconciliation Format When reviewing SAM99 Warnings, it’s not always clear what actions need to be taken to resolve Reconciling Factors Formatting your reconciliation can help To Reconcile, campuses should know… Each individual component of a Warning Message How each message will be resolved Who will resolve it

63. 63 Suggested Reconciliation Format Sample Warning

64. 64 Suggested Reconciliation Format

65. 65 www.calstate.edu

66. SAM99 Session 4 – Year End Submission

67. 67 Summary The SAM99 is a CSU mod that enables campuses to meet state reconciliation requirements detailed in SAM Section 7900 R&D and BBA Campuses initiate R&D transactions, post them at a Detail Level for Campus Customers, and submit them to the SCO Campuses acknowledge that the SCO has processed their transactions by making Fund Balance Clearing entries Therefore… Every SCO and FBC entry represents a campus R&D transaction at a summary level and can be tied to a detailed Source Document

68. 68 Summary Strategy: Break the SAM99 Recon down into manageable components Use PeopleSoft functionality to tie campus FBC entries to SCO activity Campus specific FBC accounts Journal Sources Query Review transactions routinely as they progress from R&D to FBC Reconcile Monthly – Display Reconciling Factors Clear Reconciling Factors promptly Accrue Timing Differences at Year End

69. 69 Create Year End SAM 99 File Create your year end file when your June SAM99 matches SCO records Be sure that…. SCO Accrual Reversal File has been loaded, run and reviewed since April close Reconciling Factors Eliminated Timing Differences Accrued CMP Business Unit = CSU Business Unit

70. 70 Create Year End SAM 99 File PeopleSoft will create a file that contains data for your Campus Governmental Funds On the SAM99 Run Control, be sure “Accrual Reversal” and “Year End File” options are checked Designate the Data Center destination where your file will be FTP’d and Name the File

71. 71 Create Year End SAM 99 File

72. 72 Create Year End SAM 99 File When you submit your file… Make sure the CO has signed off on your FIRMS submission and Business Units and Ledgers are in Synch Use the SCO naming convention for your file FISCAL.MMDDYYA.AGYACR FTP your SAM99 file to the SCO for final review of the year’s activity Send email notification to the appropriate authorities

73. 73 www.calstate.edu