Presentation Transcript

1. WELCOME

   Budget and Expense Processing for Funds 100, 017, & 597

   By: Douglas Alan Masury/Queenie Chan Sr. Financial Analysts – Mission College Office of Administrative Services Office of Administrative Services FY2011/2012
2. Welcome

   Budget and Expense Processingfor Funds 100, 017, & 597

   Where is my money? How can I spend it? Office of Administrative Services FY2011/2012
3. What Funds are you working with? Many of you are working with several different funds for your program activities: Fund 100 with one or more costcenters; Fund 017 with one or more costcenters; Fund 597 with one or more costcenters. Office of Administrative Services FY2011/2012
4. It can get complicated!!!But it is not…… The Office of Administrative Services will work with you and is working with you to ease the stresses of managing your money to make your programs work!!!! So to start with: WHO DOES WHAT? Office of Administrative Services FY2011/2012
5. Distribution of Financial Analyst Duties Funds Doug Masury is responsible for: Fund 120 Fund 330 Fund 591 Fund 595 Funds Queenie Chan is responsible for: Fund 100 Fund 017 Fund 597 Fund 121 Fund 122 Funds 741-754 Fund 120 Fund 400 Fund 712 Fund 732 Office of Administrative Services FY2011/2012
6. Budget/Expense Support Contacts Office of Administrative Services FY2011/2012
7. Assumptions Your budget has already gone through the program review process, Board approval, and is now loaded in Datatel. “You” are now ready to spend your funds for your program. Everything is in place for you to move forward.. So, how do I begin? Office of Administrative Services FY2011/2012
8. Office of Administrative Services FY2011/2012
9. DEFINITIONS… Fund: This is the first 3 digit number of the Datatel account string that identifies the Fund your budget is posted to and the fund to where expenses will be posted to or from. Cost Center: 6 digit identifier following fund number[first 3 numbers]. Other than the fund number, this is the biggest fund identifier used to identify the actual fund you are spending from. Line Item/Line Item Detail: This is the line on your Datatel report that gives you information pertaining to an object code purchase. Information includes date paid, voucher number, amount, purchase order amount, purchase order change, and can include budget transfer changes and expense transfer changes along with object code totals. Office of Administrative Services FY2011/2012
10. Definitions continued… Object Code: This is the 5 digit general ledger code identifying the place where your budget and expenses are located within the fund and costcenter. Each object code total shows you how much has been budgeted and expended within the fiscal year program operations. Encumbrance: An encumbrance is a purchase requisition that has gone through our Purchasing Department and is ready to spend against. Think of a encumbrance as another name for your Purchase Order. It is money set aside for a specific intentional purchase. Office of Administrative Services FY2011/2012
11. Definitions continued…. Available Balance: Available balance is how much money is actually left over and available to spend AFTER your posted expenses and encumbrances. It is your NET BALANCE, net after all expenses have been posted and encumbrances [purchase orders] have been posted and updated. [It is what you have left in your pocket]. General Fund Accounts: These are Non-Grant driven funds that are, for the most part, NOT restricted with specific spending limitations. Categorical Funds have VERY specific regulations as to HOW the funds are expended and are workplan driven for specific results. Office of Administrative Services FY2011/2012
12. Definitions continued… General Fund: Fund 100 These are funds the college acquires thru non-grant activities, that come through State apportionment, and are not restrictive in their spending requirements. Exceptions: Fund 017 as these are student fees collected and can only be spent on material costs for the class/program for the student. These costs are directly related to the student in particular and the class in particular. Categorical Funds: These are restricted funds that, in some ways, are grant driven. The restrictions are set by the grantor agency in line with the workplan guidelines. These restrictions are set in advance and cannot be modified. Example: Tech Prep Grant cannot purchase equipment under any conditions. Office of Administrative Services FY2011/2012
13. Definitions continued… Budget Transfer The movement of allocated [budgeted] funds from one object code to another within the same fund and costcenter. Expense Transfer The movement of expenses from one object code to another within the same fund and costcenter; The movement of expenses from one fund and costcenter to another fund and costcenter; Office of Administrative Services FY2011/2012
14. Definitions continued… Credit Card Transfer: The process of transferring credit card charges posted to 54250 to another object code within the same fund/costcenter or to another fund/ costcenter. This process will zero out object code 54250. The object code expenses MUST be moved each month and completely zeroed out by fiscal year end. Fiscal Year: A fiscal year represents a 365 day year. This can be a calendar year, January 1st thru December 31st , or any other combination. Our District’s fiscal year is July 1st thru June 30th… thus, your fiscal year is July 1st thru June 30th for all transactions…Anything posted AFTER June 30th is considered an expense of the next fiscal year period. Thus, it is critical for you to know your budget and expenses to insure propriety in planning and success in posting. Office of Administrative Services FY2011/2012
15. Fund Issues/Guidelines Fund 100 monies are General Fund monies that come through FTES generation from the State and are paid out to the college via apportionment. Fund 017 monies are earned through the receipt of student fees for the classes they are taking. These monies may carry over to the next fiscal year IF the student has paid for a class that will be given in the next fiscal year [summer session]. Office of Administrative Services FY2011/2012
16. Fund Issues/Guidelines [cont…] Fund 597 [new fund] monies come from activities generated through college activities outside of student fees. An example of this would be the lunches served by Hospitality Management or flower purchases from Retail Floristry. These are the non-categorical funds we will be dealing with today. [Funds 100, 017, & 597] Office of Administrative Services FY2011/2012
17. Differences between Fund 017 and 597 Before FY10/11, Fund 017 was under the Sub-Fund 100 [unrestricted General Fund], From FY11/12 onward, certain Fund 017 monies have been moved out to Entrepreneurial Funds, i.e., Fund 597 Fund 017 will remain as a Sub-Fund 100 account Fund 597 has been reclassed as entrepreneurial services offered by a department to conduct an operation. Office of Administrative Services FY2011/2012
18. What are the similarities? Both Funds 017 and 597 generate revenue to support its programs; Fund 017 revenue is the LAB-FEE collected from the student for the material costs for the classes they have registered for and are taking or will be taking; Fund 597 revenue is from the service offered through classes to support its own program. These are NON-Student fee driven. Office of Administrative Services FY2011/2012
19. How are they handled? Carryovers? Limitations? Fund 017: Fees collected from the student MUST be expensed within the timeline for the course they are related to. Spending is restricted and can be used ONLY for the materials needed for the course that the student is taking. These materials must be something the student uses in the course of the program and that they may take with them. No Salary payments are allowed. Unspent balance needs to be reimbursed to the student by the end of the semester. These funds cannot be swept by the District. Office of Administrative Services FY2011/2012
20. How are they handled? Carryovers? Limitations? Fund 597: Revenue earned through services generated by the activities from the classes they pertain to [Hospitality Management, Retail Floristry, etc…] Year end balances will be carried forth into the next fiscal year. These funds can be swept by the District if need be. So far, they have not… Office of Administrative Services FY2011/2012
21. So, how do I spend my money? And what forms do I use? District Check Request: For reimbursement of expenses incurred Must have original receipt Purchase Requisition: For large ticket item purchases [computers, etc.] PINQ For materials purchases [Office Depot, etc.] BINQ Petty Cash: For non-food items [exceptions] under aggregate monthly total not to exceed $100… Credit Card Transfer Form: To be used to transfer any and all credit card balances and receipts to the proper object code for the expense incurred. At fiscal year end, your balance MUST be zero. No carryover expenses allowed. Office of Administrative Services FY2011/2012
22. District Check Request Office of Administrative Services FY2011/2012
23. Purchase Order Office of Administrative Services FY2011/2012
24. Petty Cash Form Office of Administrative Services FY2011/2012
25. Credit Card Purchase Report/Expense Transfer Form Office of Administrative Services FY2011/2012
26. District Check Request, Purchase Requisition, Petty Cash Form, Credit Card Transfer Form. These are the most common forms used to spend your money from your Fund 100, Fund 017, and Fund 597. The most common object codes used are: 54110 – Instructional supplies 54210 – Non-Instructional Supplies 54240 – Duplicating 55115 – Food Costs [example, for Biology/Chemistry] 55200/55205 – Travel/Conference Office of Administrative Services FY2011/2012
27. My Budget Assumption: Budget is approved and loaded into Datatel. You are needing to move money [Budget] from one or more object codes to make a purchase. Assumption: The object code you need to make a purchase FROM does not have enough money in it to make your purchase. What do I do and what form do I use to accomplish this? Office of Administrative Services FY2011/2012
28. The Budget Transfer Form This is the form you use to move funds from one object code to another. Office of Administrative Services FY2011/2012
29. Budget Transfer form.. You will need to use this to: Why do I need to do that? Make changes to your budget… You do not have enough money in an object code to make that next purchase, OR; You have overspent an object code…. Office of Administrative Services FY2011/2012
30. What does this form do? You will need to designate FROM which object code to take money FROM to put into the object code you are needing to increase the budget $$$ amount. From this form, we will know how much $$$ to properly transfer for you. But Why do I need to do this? If you have overspent an object code, you will need to put it in balance, OR; You need to make a purchase from an object code that does not have enough money in it. Office of Administrative Services FY2011/2012
31. Budget Transfer guidelines When will it post? Why does it have to be Board approved? IF you are moving funds from the same object code rollup number [1000 to 1000; 4000 to 4000, etc], then after signatures, it can be posted to Datatel in one day. IF you are moving funds from one object code rollup to another [1000 to 2000, 2000 to 4000, etc], then the transfer must be posted by District Finance and added to the Board agenda for overall approval. Once Finance is in receipt of the transfer, usually in 3-5 days, it will be posted to Datatel. Office of Administrative Services FY2011/2012
32. Budget Transfer guidelines What do I do if it cannot be posted right away? The purpose of today’s discussion is to help you develop the foresight for planning so these type of transfers can happen in a more timely manner thus allowing you to make the purchases you are needing in also, a timely manner. With the tools presented here today, you can and should be able to plan your spending strategies effectively. IF it cannot be posted right away, see the Sr. Financial Analyst who works with your account for assistance. Office of Administrative Services FY2011/2012
33. I want to transfer part of my expense to a different FUND / COSTCENTER What form do I use? Why? What can I do and what can I NOT do? Office of Administrative Services FY2011/2012
34. Expense Transfer Form… This form is used to correct actual expenses only, not budget transfers or encumbrances. Corrections should indicate date and reference of the original transaction. The "from" is the account where the charges currently are shown in the general ledger; the "to" is where they should be charged. Office of Administrative Services FY2011/2012
35. Expense Transfer Form…. You will need to use this to: Why do I need to do that? Move expenses to the proper object code… IF it has been posted erroneously, OR; Another fund/grant is taking your expenses per agreement…. Office of Administrative Services FY2011/2012
36. What does this form do? You will need to designate FROM which account to take the expense FROM to put into the account the expense needs to be moved to. From this form, we will know how much $$$ to properly transfer for you. But Why do I need to do this? Maybe you placed the wrong object code on the expense payment/ reimbursement, OR; You need to transfer the expense to the proper fund/grant. Office of Administrative Services FY2011/2012
37. What do I do with this form AFTER I have created it? After the appropriate signatures, it needs to be forwarded to Finance for posting. Why? It cannot be posted otherwise. Once it is posted by District Finance to Datatel, your available funds can be increased or decreased,[allowing for the expense absorption or allowing for a purchase requisition to be properly processed] [and not returned to you]. Office of Administrative Services FY2011/2012
38. This is an example of a completed Expense Transfer form. This form is used to correct actual expenses only, not budget transfers or encumbrances. Corrections should indicate date and reference of the original transaction. The "from" is the account where the charges currently are shown in the general ledger; the "to" is where they should be charged. Office of Administrative Services FY2011/2012
39. Petty Cash Form Office of Administrative Services FY2011/2012
40. Petty Cash Form What do I need to know about using this form? First, there is a limitation of reimbursement amounts. $100 aggregate total per calendar month Any receipts totaling over $100 MUST be paid out through a District Check Request. No exceptions. No food reimbursements allowed. How do I use this form? First, attach all ORIGINAL receipts. No copies allowed. What is the Datatel account you are wanting this expense posted to? Do you have the budget available? Once completed and signed, form MUST be brought to Financial Analyst for approval prior to being brought to the Cashier for reimbursement. Office of Administrative Services FY2011/2012
41. Credit Card Purchase Report/Expense Transfer Document Office of Administrative Services FY2011/2012
42. Credit Card Transfer ProcessingWhat do I do? 1st: Compare original receipts to Datatel report. Does the total agree with the amount posted in Datatel? 2nd: Make copies if the receipts that will later be attached to the District Finance copy. Original Receipts go to Purchasing with copies of the receipts going to District Finance as backup. 3rd: Bring both signed copies to Financial Analyst for approval to; Insure transfer amounts to various object codes is correct, Insure Object Code Budgets can support transfer of expenses, Insure paperwork is properly completed. This will insure your completed paperwork will not be returned from Purchasing or District Finance. Expense Transfer Number will be assigned by Financial Analyst for expense tracking in Datatel. Office of Administrative Services FY2011/2012
43. In General Regardless of the form being used to spend against your approved budget, it is advisable to bring your signed completed forms to the Financial Analyst for the Fund you are using for approval. Why? And what will this do? This will insure none of your paperwork will be returned by District Finance or Purchasing for: An incomplete form; No funds available in your current budget; Incorrect/erroneous Datatel account. Once everything is deemed correct, we will initial the paperwork and return it to you to send to the appropriate District office for processing. Office of Administrative Services FY2011/2012
44. This is an example of the spreadsheet you will be receiving each month to advise you of your budget and expense balances. The report will also show you, in a percentage format, how much of your budget is still left to spend. Office of Administrative Services FY2011/2012
45. Example of Datatel report – GLBS - Detail Office of Administrative Services FY2011/2012
46. Specific Datatel Reports GLBR: This is a summary report. There is NO line item detail. This report shows activity totals by object code for the fund/cost center selected. GLBS: This is a detail report. This report shows all line item detail by object code for the fund/cost center selected. PINQ: This is the purchase order mnemonic for purchase orders for a specific item. [PXXXXX]… This screen will show you want is to be purchased from the vendor. BINQ: This is the purchase order mnemonic for blanket purchase orders [Office Depot, etc], whereby you are not purchasing specific individual items listed at the time you create your purchase requisition. YOU create the purchase order detail each time you place an order against your purchase order [BXXXXX]. This screen will show you the original purchase order amount and what funds have been expended against this purchase order as well as the final balance available. ACBL: This mnemonic allows you to look up a summary page for a specific fund/costcenter and object code. This mnemonic can ONLY be utilized for current year activity. It will not work for prior fiscal years. Exception: During fiscal year end close, two fiscal years activities are open and can be accessed. Once the previous fiscal year is closed, only current fiscal activity can be accessed. Office of Administrative Services FY2011/2012
47. Spending Guidelines There are new spending guidelines that in our current fiscal year [2011/2012] that have been enacted. Each quarter, you MUST spend at least 25% of your overall budget. First Quarter: July thru September [at least 25%] Second Quarter: October thru December [at least cumulative 50%] Third Quarter: January thru March [at least cumulative 75%] Fourth Quarter: April thru June [to complete to 100%] NOTE: If funds have not been expended by the end of March, you may lose your funds and they will be returned to the overall college budget and used for other needs. It is imperative you spend your funds in the most expeditious manner possible to a zero balance. Office of Administrative Services FY2011/2012
48. Well, here we are….. In the end, it really is an easy task. By using a little forethought, you can make your spending a success for you, the college, your program, and ultimately, your students…… And!!!!!! If you have any questions; please see…. Queenie Chan [Funds 100, 017, 597, 120[limited], 712, 732] Doug Masury [Funds 120, 121, 122, 300, 591, 595] And we can help you in getting your finances in order. Thank you…. Office of Administrative Services FY2011/2012