1. FI$Cal Change Discussion Guide Cash Management / Treasury Guide April 2016

2. Cash Management/Treasury Overview FI$Cal: Transparency. Accuracy. Integrity.2 April 2016 Bank Account Management Deposits General Ledger Accounts Receivables Cash Transfer Processor Bank Statement Recon Processor Cash Position Processor CM Report Viewer Accounts Payables Checks/ Warrants CTS Bank Statements Accounting Entries Bank Reconciliation Cash Management Cash Forecasting

3. Process OverviewKey Impacts The Cash Management process covers all activities related to managing bank accounts This includes the following sub- processes:  Create Bank Account  Maintain Bank Account  Process Bank Account Transfer  Reconcile Bank Statement Department-level cash data will be contained in the FI$Cal General Ledger (GL) and transaction-level modules (for example, Accounts Receivable and Accounts Payable) New bank account requests route to Department of Finance (DOF) for approval. DOF approved requests are routed to State Controller’s Office (SCO) and State Treasurer’s Office (STO) for processing (no change to current process) Department Accounts Receivable (AR) Payment Processor/Approver enter deposits which affect cash balances 3 April 2016 Cash Management FI$Cal: Transparency. Accuracy. Integrity.

4. Key Impacts AR Journal entries need to be submitted daily to record or reverse general cash/uncleared collections CTS Bank account transfers are used to correct mistakes made in the wrong bank account when recording bank deposits or payments and will move cash between the CTS accounts Cross Business Unit transactions will be keyed and approved by SCO in FI$Cal SCO analyzes exceptions for Warrant Accounts Key Impacts Departments analyze exceptions for Centralized Treasury System (CTS) accounts Exceptions may be reviewed daily and must be resolved monthly State staff view, monitor, and forecast the balances in any bank account in FI$Cal associated with their business unit (BU) FI$Cal provides visibility into pending and future transactions to support Cash Positioning and Cash Balance Forecasting 4 April 2016 Cash Management FI$Cal: Transparency. Accuracy. Integrity.

5. 5 April 2016 Department-Specific Impacts and Notes Cash Management As we transition to FI$Cal roles and responsibilities will change as follows:  [ROLE] – [CHANGE IN ROLE RESPONSIBILITIES] Department business processes around Cash Management will change as follows:  [ENTER CHANGE IN BUSINESS PROCESS] Increased communication and integration between the following business areas will be needed:  [ENTER AREA 1 & AREA 2] – [ENTER ACTIVITIY THAT MUST BE COMPLETED TOGETHER]

6. FI$Cal: Transparency. Accuracy. Integrity.6 April 2016 FI$Cal End-User Roles Cash Management FI$Cal End-User RoleDescription CM ProcessorEnd users who enter bank account transfers between department CTS accounts, reconcile associated bank statements, and analyzes exceptions to the reconciliation process. Runs reports for Bank Statements, Reconciliation, and Cash Management. CM ApproverEnd users who approve bank account transfers between department CTS accounts. Runs reports for Bank Statements, Reconciliation, and Cash Management.

7. FI$Cal: Transparency. Accuracy. Integrity.7 April 2016 FI$Cal End-User Training Cash Management Course IDCourse NameDurationDelivery FS101*Introduction to FI$Cal 4 hours WBT FS102*FI$Cal Navigation 4 hours WBT CM101Introduction to Cash Management 4 hours ILT CM112Reconciling Bank Statements 4 hours WBT CM122Managing and Maintaining Cash 4 hours WBT *FS101 and FS102 are mandatory for all FI$Cal end users

8. FI$Cal: Transparency. Accuracy. Integrity.8 April 2016 For additional information on end-user training, visit the Training page of the FI$Cal Project website at : http://fiscal.ca.gov/training-academy/index.html FI$Cal End-User Training