Reverting Funds, FNAT Maintenance and AO Pending

Reverting Funds, FNAT Maintenance and AO Pending

Sherry Pickering, Chancellor’s Office

Year End Training 2006-07 Sherry Pickering, Chancellor's Office 2


Clearing balances of reverting fundsRequired Action may include the following:

Budget entries to reflect SCO reversion of Remaining Spending Authority

Accounting entries to clear “Accruals” (Assets & Liabilities)

Change Orders/Cancellations to clear Encumbrances (PO’s) and Pre-Encumbrances (Req’s)

Fund ChartField Inactivation Effective on Reversion Date + 1

Trees trimming to eliminate inactive ChartFields Effective on Reversion Date + 1


Entries to Clear “Accruals”…The Peoplesoft Year-End Close Ledgers Process

populates Period 0 of the next Fiscal Year with the balance of all Balance Sheet Account Types, even for Inactive Funds


Entries to Clear “Accruals”…In the following Fiscal Year, the SCO

will not include “Accruals” for reverted Funds in the SAM99 Accrual Reversal Tape, even if they were reported by the campus in the previous Fiscal Year’s SAM99 Year End Tape to SCO

The amount of PY “Accruals” will appear on campus SAM99 in State GL 6807


Entries to Clear “Accruals”…To clear old “Accruals” from a

reverting trial balance:Reverse the balance in the “Accrual”

account and offset to 690002If the “Accrual” balance is a result of a

subsystem entry, correct or clear the subsystem entry.

This method can also be used to move “Accruals” across trial balances


Other Reverting Fund Tasks…Change Orders/Cancellations to clear

Encumb (PO’s) and Pre-Encumb (Req’s)Ver. 8.4 SAM99 Encumb’s are similar to

“Accruals”, the same issues would apply in next FY

Fund ChartField Inactivation Effective on Reversion Date + 1Helps to prevent future transactions in Fund

Trees “trimming” to eliminate inactive ChartFields Effective on Rev Date + 1Can help system performanceCarefully consider effect on campus reporting



FNAT Key Maintenance Summary

New FNAT Beginning of new year?

New Fund Beginning of new year?

Year-End "Accruals"

Okay? RMP

Enterprise Revenue Funds Maybe

General Fund Non-Appropriated Refunds to Reverted Appropriations (SCO Revenue Account 0500000)

General Fund Non-Appropriated Miscellaneous Revenue (SCO Revenue Account 0161400)

General Fund Non-Appropriated Escheat Unclaimed Checks (SCO Revenue Account 0161000)

SCO Payroll Warrants

General Fund Non-Appropriated Uncleared Collections (SCO Revenue Account 0000000; Year of Enactment 1944)

General Fund Revolving Fund Advance (Category 97)

General Fund Pre Pay Other Funds (Category 98)


SAM99 Reconciling Requirements

Microsoft Excel Worksheet


Enterprise Revenue Fund FNAT keys

Because transactions in R Accounts are Cross-Posted to the D Accounts, the SCO does not Roll-Forward the June 30th Ending Balance from one Fiscal Year to the next in the same Appropriation Year R Accounts, instead…

After July 1st, the SCO automatically creates new Accounts for the Current Fiscal Year for SCO Revenue Accounts: 0299100 Other-Intrastate; and 0250300 Income from SMIF

The SAM99 Report combines R Accounts all Years on the monthly SCO File into one Q Report without respect to Appropriation Year


Enterprise Revenue Fund FNAT keysThe SAM99 year end “Tape” production

process ignores Enterprise FundsThe SCO receives year end financial

information regarding Enterprise Funds compiled from information submitted by campuses through the FIRMS process

So, Why do I need to change the FNAT Key?If the FNAT Keys are not updated, the SAM99

will duplicate the “Tape” information on the Q report creating an out of balance condition

Updating the FNAT Keys will correct the duplication








Non-Approp FNAT Key maintenance GF Non-Appropriated Escheat

SCO Account 1610Due to RMP - No Longer Used

GF Non-Appropriated Miscellaneous RevenueSCO Account 1614

GF Non-Appropriated Refunds to RevertedSCO Account 5000

GF Non-Appropriated Uncleared CollectionsSCO Account 0000

GF Revolving Fund AdvanceSCO Category 97

GF Prepay Other FundsSCO Category 98


General Fund Non-Appropriated Escheat Unclaimed Checks (SCO Revenue Account 0161000)

This account is for outstanding Treasury checks, including pay warrants issued by the SCO on the CSU’s behalf, that have not cleared within 1 year of issuance. The campus will cancel checks and the net result of the cancelled check (cash) will be transferred to this Escheat Fund and then remitted to the SCO. Should the cancelled check need to be re-issued, a claim is processed against this Fund to re-issue the cash

Under RMP, going forward balances in this account will represent stale payroll warrants issued by the SCO


General Fund Non-Appropriated Miscellaneous Revenue (SCO Revenue Account 0161400)

Miscellaneous Revenue includes any revenue received for activity prior to the existence of SCO Fund 0498 (prior to 1985), cash overages, and interest from fee installment plan. These monies are remitted to the State Controller

Under RMP, this fund should no longer be used.


General Fund Non-Appropriated 0161000 and 0161400 Continued

The SCO maintains two accounts for this activity, one current year and one prior year. At the end of any fiscal year the SCO does not roll the balance of either of these accounts forward

For any new fiscal year, the SCO will combine prior years’ reported campus “Accrual” balances into the one SCO Prior Year account (including those related to the previous fiscal year’s Current Year Fund), the Year of Appropriation on SCO Accrual Reversal Tape will be one year back from current FY

For SAM99 reconciliation purposes, this creates an out of balance condition (State GL 6807) after the SCO’s Accrual Reversal tape is loaded since all prior years’ accrual balances are presented together with one SCO Prior Years’ account


General Fund Non-Appropriated 6807 Error Sample

While the SAM99 may not have warnings

with this condition, a balance on the 6807 line means that there

is an error in the report.

Find it and fix it.


General Fund Non-Appropriated 0161000 & 0161400

Suggested Best Business Practices…Since the SCO closes out both CY & PY

accounts as of July 1st of any new fiscal year, the campus activity should be recorded as Revenue or Expense (i.e. NO ACCRUALS) such that it will close to fund balance as part of the Year-End close process.

As a further control, Funds can be Inactivated effective January 1 of their second year of use to prevent Claims activity that would be in-transit as of June 30th



Refunds to the campus of monies originally expended from an appropriation that has since reverted are deposited in this fund. This cash is remitted to the State Controller. The SCO has one account for this activity and the fiscal year is one-year back of the current year

Under RMP, this account should no longer be used.

Since the SCO has one account the campus can operate with one Fund. The FNAT key should be changed each year to match the SCO’s Year of Appropriation attribute



At the end of any fiscal year the SCO does not roll the balance of this account forward

Suggested Best Business Practice…Since the SCO closes out this account as of

July 1st of any new fiscal year, the campus activity should be recorded as Revenue or Expense (i.e. NO ACCRUALS) such that it will close to fund balance as part of the Year-End close process.



Allocation Orders PendingUsed when Campus Budget reflects

Allocation Orders received but not posted to SCO Accounts as of Final Year-End Tab RunUsed in ACTUALS Ledger onlyFor use with SAM99 Reporting onlyOnly one side of entry on SAM99


AO Pending Year 1


AO Pending Year 2

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Reverting Funds, FNAT Maintenance and AO Pending

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