California State University Common Management Systems Legal Basis Reporting Workshop May 19, 2008 Closing Rules

Legal Close Rules & Process: May 19, California State University Common Management Systems  What’s Changed  No changes, however as a reminder…. RollForward Tree General Fund -Yes node until reversion date CSU Operating Fund - No node each year Fund Balance Account General Fund closes to Fund Balance Clearing CSU Operating Fund closes to Fund Balance Continuing Appropriation REVIEW FNAT Flip Funds! Year End Close Rules

Legal Close Rules & Process: May 19, California State University Common Management Systems Year End Close Rules What’s Changed General Fund 001 until reversion date CSU Operating Fund 485 each year

Legal Close Rules & Process: May 19, California State University Common Management Systems Year End Close Rules What’s Changed CSU Operating Fund 485 General Fund 001

Legal Close Rules & Process: May 19, California State University Common Management Systems  Year End Close Rules  Why?  What?  How?  When? Year End Close Rules Why do we have close rules? What tools do we need? How are the detailed procedures performed? When is a good time?

Legal Close Rules & Process: May 19, California State University Common Management Systems Why? WWhy do we have close rules? R F P Reverting Funds Fund Equity Accounts Project to Date Funds

Legal Close Rules & Process: May 19, California State University Common Management Systems Why?  Reverting Funds  Reverting Funds must be identified and cleared to zero.  Fund Equity Accounts  Legal closing requirements specify that revenues and expenses close to different Fund Equity Accounts (3050XX) based on SCO Fund.  Project to Date Funds  Appropriated Funds (until reversion date).  Capital Project funds that need to have revenue and expense rolled forward (period 0).

Legal Close Rules & Process: May 19, California State University Common Management Systems What?  What tools do we need?  Chartfields - Need understanding of revenue, expense, and fund equity accounts in order to create chartfield value sets  Trees - Used in defining chartfield value sets  Chartfield Value Sets - Combination of chartfields and trees used in closing process  Queries - Use queries to identify fund and account attributes  Spreadsheets - Store and reorganize data

Legal Close Rules & Process: May 19, California State University Common Management Systems What?  Examples-Queries

Legal Close Rules & Process: May 19, California State University Common Management Systems What?  Example of Chartfield Value Set

Legal Close Rules & Process: May 19, California State University Common Management Systems What?  Example-Trees Operating Funds, Enterprise Funds and Reverting Funds Project to Date Funds, Appropriated Funds until reversion date.

Legal Close Rules & Process: May 19, California State University Common Management Systems What?  Example-Trees State Governmental Funds State Proprietary Funds State Fiduciary Funds

Legal Close Rules & Process: May 19, California State University Common Management Systems What?  Example-Spreadsheets Multiple Retained Earnings Equity Accounts for State Funds

Legal Close Rules & Process: May 19, California State University Common Management Systems Put it all together Fund Trees Road to Close Chartfield Value Sets Closing Rules Closing Request “PTD” “MRE”

Legal Close Rules & Process: May 19, California State University Common Management Systems How?  How are the detailed procedures performed?  Additional sources

Legal Close Rules & Process: May 19, California State University Common Management Systems When?  When is a good time? Test early, test often in non-production. Practice, Verify, & Validate

Legal Close Rules & Process: May 19, California State University Common Management Systems Wrap up  Questions, Comments, Suggestions, Ideas, or Concerns… ? ? ? ? ?