1. Statewide Financial System Program 1 KK 215 Processing and Maintaining Budgets KK 215 Processing and Maintaining Budgets Welcome

2. Statewide Financial System Program 2 Refrain from side conversations Obey building safety rules and regulations Silence cell phones, PDAs, refrain from checking email Ask Questions Take breaks as needed Ground Rules

3. Statewide Financial System Program 3 Learning Objectives After completing this course you should be able to:  Describe budgeting in Commitment Control (KK).  Enter budget journals.  Use budget journal entry tools to increase speed and accuracy.  Enter budget transfer journals, including interchanges, quick certificates, and suballocations.  Inquire and report upon budget activity.  Explain the scope of SFS KK training.  Locate additional training materials, job aids, and other useful information.

4. Statewide Financial System Program 4 Training Methodology  Training Steps:  Tell Me – Facts, Concepts, Terms, Definitions.  Show Me – Relevant Demonstrations of Process Steps.  Let Me – Hands-on practice in User Productivity Kit (UPK) and Live Environment.  Help Me – Facilitator Support.  Training Materials:  Course Presentation.  UPK Simulations.  Training Exercises and Data Sheets.  User Guide and Job Aids.

5. Statewide Financial System Program 5 Agenda  Lesson One: Key KK Terms & Concepts  Lesson Two: Processing Budget Journals  Lesson Three: Using Budget Entry Tools  Lesson Four: Processing Budget Transfer Journals  Lesson Five: Inquiring and Reporting Upon Budgets  Lesson Six: Additional Reporting Job Aids  SFS KK Learning Path

6. Statewide Financial System Program 6 SFS KK Terms & Concepts In this lesson, you should learn:  Key SFS KK terms and concepts.  Key SFS KK process changes.  Key SFS KK ChartField values.  Key KK processes.  State budget definitions.  Roles by budget ledger.

7. Statewide Financial System Program 7 Business Benefits - Budgeting and Commitment Control (KK) NY SFS Business Benefits - Budgeting and Commitment Control (KK) Electronic budget certificates replace paper based process Automated workflow routing and signoff in the SFS Ability to see where pending budget entries are in the approval process Consistent statewide budget definitions for appropriations and segregations Agency Commitment Control (KK) – Agencies are given greater flexibility through agency KK definitions

8. Statewide Financial System Program 8 Term / ConceptDefinition ChartFields ChartFields can be thought of as “short codes" that represent a longer string of numbers used to categorize financial and budget transactions. Collectively, these basic fields make up the Chart of Accounts (COA). For example: Program, Fund, and Account. Ledgers Ledgers summarize posted journals for a set of ChartField values by accounting period and fiscal year. Multiple detail Ledgers can be linked together in a Ledger group. Budget Workflow The automated routing of budget entries for applicable approvals within SFS. The routing is dependent upon the agency and ledger (Appropriation, Segregation, etc.) involved. SFS Budget Transfer Process Budget Transfers enable the interchange or transfer of funds from one string of ChartFields (Program, Account, etc.) to a different string of ChartFields within the same agency. Key Terms and Concepts (1 of 2) SFS KK Terms & Concepts

9. Statewide Financial System Program 9 Term / ConceptDefinition Budget Check The process of comparing encumbrance and expenditure transactions against remaining budget to determine if a transaction should be allowed to post. Budget Control In KK, budget control ensures that commitments and expenditures don't exceed budgets. Budget Track In KK, tracks commitments and expenditures against the budget, regardless of budgeted amounts. A tracked budget will always pass budget checking in a transaction. SFS Budget Transfer Process SFS allows for the transfer of budget both inter-agency, between agencies, and intra-agency, within an agency. The definitions for these transfer processes (transfer, interchange, suballocation and apportionment) are being defined. Please refer to the Guide to Financial Operations (GFO) at: http://www.osc.state.ny.us/agencies/guide/MyWebHelp/ http://www.osc.state.ny.us/agencies/guide/MyWebHelp/ Key Terms and Concepts (2 of 2) SFS KK Terms & Concepts

10. Statewide Financial System Program 10 Process Changes (1 of 3) SFS KK Terms & Concepts Old ProcessNew Process Agencies enter and approve budgets through a paper certificate process. SFS routes budget journals and transfer entries automatically for approval – there will no longer be a paper approval process. Budget certificates are completed through a paper process, allowing for all supporting documentation to be forwarded with the actual certificate. Agencies maintain a manual process following control agency guidelines for routing supporting documentation through the approval process. Agencies use the CAS COA for budget entries. Agencies use the SFS COA to make budget entries. The agency has distinct appropriations and segregations for each federal grant award. Appropriations and segregations occur at the bill copy level. Individual federal grant awards will be managed as projects.

11. Statewide Financial System Program 11 Process Changes (2 of 3) SFS KK Terms & Concepts Old ProcessNew Process Agencies cannot view where a budget certificate is in the approval process. Agencies view where a budget transaction is in the electronic approval process in SFS. Budgets are entered and maintained by agencies at varying levels of detail in CAS and their own systems. Agencies define their own operational level budget controls (agency KK ledger) within SFS. The level of budget detail managed and tracked varies by agency. SFS maintains appropriation and segregation budgets for all agencies at the bill copy level. Agencies use agency Commitment Control (KK) to manage lower level budget detail. Agencies may control their budgets within CAS at a lower level detail than bill copy. Agency KK budget amount are independent of the appropriation and segregation ledgers and must be independently updated when there are changes to appropriations.

12. Statewide Financial System Program 12 Process Changes (3 of 3) SFS KK Terms & Concepts Old ProcessNew Process Budgets are entered and maintained at varying levels of detail in CAS and agency systems. Appropriations and segregations are maintained at the bill copy level within SFS. Agencies define their own operational level budget control (Agency KK ledger) within SFS. The cash ceiling is tracked by DOB examiners and the agencies outside of CAS. DOB manages spending plans within SFS. DOB examiners determine the budget definition and if the budget requires a hard or soft control for each agency.

13. Statewide Financial System Program 13 SFS KK Terms & Concepts  At the transactional level, the SFS Chart of Accounts is comprised of two elements:  General Ledger Business Unit (BU) – Defined for each entity that maintains and reports on its own transactional data.  Chartfields – Codes used to categorize financial and budget transactions. Statewide chartfield segments include Department, Program, Fund, Account (CAS Object code). Agency-specific chartfields include Operating Unit and Product.  The SFS Chart of Accounts may be explored further in the GL 105: Introduction to Chart of Accounts course.  More details about the SFS Chart of Accounts may be obtained at:  http://www.osc.state.ny.us/agencies/guide/MyWebHelp/ http://www.osc.state.ny.us/agencies/guide/MyWebHelp/

14. Statewide Financial System Program 14 Key Processes of SFS KK SFS KK Terms & Concepts

15. Statewide Financial System Program 15 SFS KK Terms & Concepts 15 Differing KK Definitions by Audience Statewide KK Definitions DOB KK Definitions Agency KK Definitions Appropriations (Parent of Segregations)Spending PlansLower level of control for agency operational budgets Segregation (Child of Appropriations) Cash Control (Loan Language) Project (Federal Grant Award) RequiredSet by DOBOptional

16. Statewide Financial System Program 16 SFS KK Terms & Concepts 16 Roles by Budget Ledger AgencyDOBOSC Appropriation / Segregation * Originator & Approver Approver & Posting Agency KKOriginator, Approver, & Posting Inquiry & ReportingN/A DOB KKInquiry & ReportingOriginator & Posting N/A * Agencies, DOB, and OSC have the Inquiry / Reporting role for Appropriation / Segregation Ledger

17. Statewide Financial System Program 17 Learning Exercise  Navigation Refresher Exercise  Follow the step by step instructions to navigate throughout sections of SFS KK pages. 20 min Note:  Please refer to your exercise sheet handouts which contain the data you need to complete this activity.

18. Statewide Financial System Program 18 Processing Budget Journals In this lesson, you should learn:  How to enter budget journals  How to submit budget journals for approval

19. Statewide Financial System Program 19 Processing Budget Journals  A Budget Journal is an entry made in SFS to record budget-related financial transactions.  Budget Journals are used to establish or change the budgeted amount for controlled or tracked budgets.  Budget Journals post to budget ledgers – whether as an expenditure budget definition or as a revenue budget definition.

20. Statewide Financial System Program 20 Processing Budget Journals  Entering budget journals  Submitting budget journals for workflow  Approving budget journals Transactions

21. Statewide Financial System Program 21 Learning Exercise  Entering Budget Journals  You have been asked to enter a budget journal to segregate appropriation authority.  You will create a new budget journal in SFS, save the budget journal, and write down the Journal ID # for a later exercise. 20 min Note:  Please refer to your exercise sheet handouts which contain the data you need to complete this activity.  The job aid can be used to assist you.

22. Statewide Financial System Program 22 Today – Where in Approval is My Transaction? Supervisor I signed off on that last week. Budget Office I think it crossed my desk yesterday. Fiscal Office I’m not sure I received it yet. Department I asked someone else to look at it.

23. Statewide Financial System Program 23 Understanding the Budget Approval page  When required approvals are complete, the budget journal automatically appears on the worklist of the next approval level, if applicable. Agency Originator Agency Approvals (3) DOB Approvals (3) OSC Approvals (2) Upload an attachment at the time of review and approval Comments can be added to approval page at time of review

24. Statewide Financial System Program 24 Approvals Required at the Highest Level  When users have more than one role in the approval process, the transaction skips lower level approval roles and is approved at highest level.

25. Statewide Financial System Program 25 Learning Exercise  Submitting Budget Journals for Workflow  Locate the budget journal you just created in SFS using your Journal ID#.  After reviewing your journal to make sure the information is complete and accurate, submit your budget journal for workflow. 10 min Note:  Please refer to your exercise sheet handouts which contain the data you need to complete this activity.  The job aid can be used to assist you.

26. Statewide Financial System Program 26 Using Budget Entry Tools In this lesson you should learn:  How to copy budget journals  How to approve budget and transfer journals

27. Statewide Financial System Program 27 Using Budget Entry Tools  Copying budget journals  Approving budget and transfer journals Transactions

28. Statewide Financial System Program 28 Learning Exercise  Create a Budget Journal  You have been asked to create a budget journal segregating appropriation authority. 20 min Note:  Please refer to your exercise sheet handouts which contain the data you need to complete this activity.  The job aid can be used to assist you.

29. Statewide Financial System Program 29 Processing Budget Transfer Journals In this lesson, you should learn:  How to enter Intra-Agency budget transfers  How to enter Inter-Agency budget transfers

30. Statewide Financial System Program 30 Processing Budget Transfer Journals  A Budget Transfer Journal is a special type of budget entry which can occur within agencies or between agencies. There are different types of budget transfers within SFS:  Intra-Agency Budget Transfers An intra-agency budget transfer is within an agency and will be entered through the Budget Transfer process in SFS.  Inter-Agency Budget Transfers An inter-agency budget transfer is between agencies and will be entered through the Interunit Budget Transfer process in SFS.

31. Statewide Financial System Program 31 Processing Budget Transfer Journals  Entering Intra-Agency budget transfers  Entering Inter-Agency budget transfers Transactions

32. Statewide Financial System Program 32 Learning Exercise  Entering an Intra-Agency Budget Transfer Journal  You have been asked to create an intra- agency budget transfer journal. 30 min

33. Statewide Financial System Program 33 Inquiring and Reporting Upon Budgets In this lesson you should learn:  How to inquire upon budget journal errors  How to review budget overview  How to review budget details

34. Statewide Financial System Program 34 Inquiring and Reporting Upon Budgets  In SFS many transaction types (such as vouchers, purchase orders, and journals) cannot be posted until they pass budget checking.  The budget check verifies that accounting transactions pass budgetary control before they are sent for approval.  When a transaction passes the budget check, it is marked ‘Valid’ and processing can continue. However, if the budget check finds an exception or an error, the transaction fails the budget check and further processing is suspended until the error is corrected.

35. Statewide Financial System Program 35 Inquiring Upon Budgets  Inquiring upon budget journal errors  Reviewing budget overview  Reviewing budget details Transactions

36. Statewide Financial System Program 36 Additional Reporting Job Aids In this lesson you should learn:  How to run the budget status report  How to review the activity log

37. Statewide Financial System Program 37 Additional Reporting Job Aids  The budget status report displays all of the Commitment Control ledger amounts (budgeted, pre-encumbrance, expense, collected, and recognized) and the available balance for the budgets that are selected. This report subtotals all accounts that are specified within the specified budget reference subtotal.  The activity log is used to create a one-time, or reusable, inquiry to view transaction lines and affected budgets for budget-checking transactions of a single source transaction type

38. Statewide Financial System Program 38 Additional Reporting Job Aids  Running the budget status report  Reviewing the activity log Transactions

39. Statewide Financial System Program 39 SFS KK Learning Path and Resources In this lesson, you should learn:  The SFS KK training structure.  Where to find training materials and resources.

40. Statewide Financial System Program 40 SFS KK Learning Path and Resources SFS KK Training Structure KK 105 Commitment Control Concepts and Terminology KK 215 Processing and Maintaining Budget Journals

41. Statewide Financial System Program 41  Training Materials Location and Class Preparation  SFS KK Learning Path and Resources Location All Training Courseshttp://www.sfs.ny.gov/index.php?option=com_content&v iew=article&id=127:training-courses&catid=83:training- toolkit&Itemid=662 Quick Start Guideshttp://www.sfs.ny.gov/index.php?option=com_content&v iew=article&id=138:quick-start- guides&catid=83:training-toolkit&Itemid=678 Job Aids and Reference Materials http://www.sfs.ny.gov/sfstools/jobAids/job_aid.html Reporting Toolkithttp://www.sfs.ny.gov/index.php?option=com_content&v iew=article&id=185&Itemid=695

42. Statewide Financial System Program 42 Summary Having completed this course, you should now be able to:  Describe budgeting in Commitment Control (KK).  Process budget journals.  Use budget journal entry tools.  Process budget transfer journals, including suballocations, interchanges, and quick certificates.  Inquire and report upon budget activity.  Explain the scope of SFS KK training.  Locate additional training materials, job aids, and other useful information.

43. Statewide Financial System Program 43 Thank you for your participation! Conclusion