September Divisional Finance Leadership Forum. Faculty Club, Heyns Room September 26, am

Transcription

1 September Divisional Finance Leadership Forum Faculty Club, Heyns Room September 26, am 1

2 Agenda Vice Chancellor Introduction Controller Updates Reserve Analysis Finance Literacy Our Berkeley 2

3 Rosemarie Rae Vice Chancellor of Finance and Chief Financial Officer Introduction

4 Delphine Regalia Assistant Vice Chancellor and Controller Key Updates 4

5 Maya Woodson Turman - Business Process Driver Financial Planning and Analysis Reserve Analysis 5

6 Thank you to the project team! Maya Woodson Turman [VC Finance] Rita d Escoto [VC Finance] Loraine Binion [UDAR] David Castellanos [Research] Ali De Gros [UDAR] Marsha Jaeger [E&I] Dat Le [Engineering] Nancy McKinney [UDAR] Amy Robinson [L&S] Lisa Vanderfin [Controller] Elise Woods [Library] 6

7 Timeline Sept 27 Date Activity Project team distributes pre-populated templates to DFLs, including templates for each department within the division DFLs distribute templates to department managers for completion and/or consult with department managers to complete templates Sept 27 Oct 24 Working labs facilitated by the project team will be available the first week of October DFLs consolidate data and return completed templates to project team Project team consolidates data into master spreadsheet Oct 24 Nov 22 Nov 29 Master spreadsheet will include detail by division, department, fund, CF1, CF2, fund category, and usage that can be pivoted and analyzed to provide transparency into campus reserve balances VC Finance communicates results to campus 7

8 Framing template completion exercise Purpose of exercise is to help campus understand existing balances This activity is separate and distinct from the budget No budget decisions will be made based on this data Focus is on existing balances including FFEs as of June 30, 2017* Excludes Contracts & Grants Projected or anticipated funds should not be considered Perspective is at the department view in terms of management of funds and usage Obligations are based on commitments approved as of June 30, 2017 Projected/not yet approved commitments should not be considered as obligations * Templates will pull data from Account Prior Year Ending Balances for FY18 which is equal to FY17 ending balances; FFEs will be market values as of June 30,

9 Fund buckets in scope via CalPlan hierarchy Current Funds Unrestricted Unrestricted Funds Student Tuition and Fees General Funds Unrestricted Gifts Unrestricted Endowments and FFEs Sales, Services & Other Auxiliary Designated Restricted Restricted Gift Funds Restricted Endowments and FFEs Funds Contracts and Grants (Out of Scope) Note: FFE balances held on the balance sheet will not be broken out into fund buckets and include both Restricted Gift Fund Endowments and Restricted FFEs 9

10 How fund buckets and fund categories intersect Fund Buckets Unrestricted Designated Restricted Gift Restricted Endowments Fund Categories and FFEs FFE Balances - Restricted Unusable n/a Possible Possible Possible Possible Committed Obligations External Possible Possible Possible Possible Possible Committed Obligations Internal Possible Possible Possible Possible Possible Known Obligations Possible Possible Possible Possible Possible Available Funds Likely Unlikely Possible Possible Possible 10

11 Fund category definitions (handout) Ending Balance and FFEs as of June 30th Future Unusable Approved Obligations Available Risks Unusable Balances Restricted fund balances that are not readily available for use by the university in the foreseeable future (within the next 5 years) because they are highly restrictive Funds that are difficult to spend due to administrative burdens (small payouts or existing balances) Campus can work with individual units to monitor and take steps to reduce these balances (review fund terms, if possible) Committed Obligations Committed Obligations External Internal Funding that has already been committed and set aside to cover planned operating and capital expenses associated with external vendors, another campus, an employee or a faculty member (startup & retention) Commitments that are legally binding and approved by the Chancellor/EVCP, Dean or Vice Chancellor, or equivalent, and is clearly documented Funding that has already been committed and set aside to cover an obligation of funding owed to an internal Department or Division of the campus for general use (not ultimately associated with a commitment to an external vendor) Commitments that have been approved by the Chancellor/EVCP, Dean or Vice Chancellor or equivalent and is clearly documented Obligations included in this category are not necessarily legally binding, but represent a commitment between units to provide funding to the other unit for general use Known Obligations Available Funds Future Liabilities Funds that have been set aside for future use for items that are estimated, but not yet final or funds that are being accumulated for a specific purpose Approval to accumulate or set aside these funds has been granted by the Chancellor/EVCP, Dean or Vice Chancellor or equivalent and is clearly documented Known obligations can be for external or internal recipients. Whatever useable / spendable balances are left are included here These balances are available to be spent on strategic projects, at the campus, division or department level or can be used to provide funding for ongoing operations in the event of disruptive revenue and/or expense shocks May include funds that are free to spend, but may be restricted by the type of spend by account like graduate student support (ability to freeup future unreserved funds) Future dated commitments for which funds have not yet been secured Includes commitments or capital projects expected to be covered by future fundraising efforts or future ongoing revenue streams 11

12 How fund categories and fund usages intersect Fund Categories Unusable Committed Obligations Usage (Proposed) External Committed Obligations Internal Known Obligations Available Funds Start-Up/Retention Unlikely Likely Possible Possible Possible Other Faculty Funds Unlikely Likely Possible Possible Possible Research Possible Likely Possible Likely Possible Capital Improvements Possible Possible Possible Likely Possible Student Support Possible Possible Possible Possible Likely Instructional Support Possible Possible Possible Possible Likely Non-Instructional Support Possible Possible Possible Likely Likely Other Unit Specific Initiatives Possible Likely Likely Likely Likely Unidentified Unlikely Unlikely Possible Unlikely Likely 12

13 Template: SmartView Summary tab Unrestricted Funds Designated Restricted Gift Funds FY YearTotal Beginning Balances and FFEs Central Resource Ledger (CENRL) FY Beginning Balances Restricted Endowments and FFEs Funds Current Funds Excluding C&G FY Operating Budget Total Expenses Current Funds Excluding C&G Beginning Balance % of Total Expenses FY17 FFE Market Value* Beginning Balance + FFEs Beginning Balance + FFEs % of Expenses ,340, ,000-8,642 6,123,642 54,736, % 8,439,766 14,563, % Unusable % % Committed Obligations - External % 1,935,000 1,935, % Committed Obligations - Internal % % Known Obligations - 775, , % 900,000 1,675, % Available Funds 5,340, ,642 5,348, % 5,604,766 10,953, % Check Row - Do not override Future Liabilities - Risk Potential Impact of Future Liabilities on Available Funds 5,340, ,642 5,348,642 5,604,766 10,953,407 * Market Value of Funds Functioning as Endowments (FFEs; both Regent and Foundation balances) as of June 30th. Note: Signage is based on Financial Statement (CalPlanning) format SmartView Summary tab will be included for the L3 (division) and each L4 (department) High-level summary of the data by fund buckets and categories; includes FFE data Financial Statement (CalPlanning) signage For the L3, we will also include a sample pivot by fund category and formula links in the SmartView Summary tab back to the pivot (GetPivotData) 13

14 Template: BAIRS support schedule Where users will spend most of their time reviewing fund data for existing balances Includes pre-populated data and user defined fields Each template will include a BAIRS Support Schedule for the L3 (Division) and each L4 (Department) Debit/(Credit) signage Template: FFE Data support schedule Includes detailed information related to Funds Functioning as Endowments (FFEs) by Division and Department Includes pre-populated data and user defined fields; user defined fields are the same as the BAIRS Support Schedule Each template will include a FFE Data Schedule for the L3 (Division) and each L4 (Department) Financial Statement signage 14

15 Kevin Mack Financial Planning, Analysis, & Engagement VC Finance Immediate Office Finance Literacy 15

16 Let s learn it together! Our advisory group: Suresh Bhat, Nicole Cernok, Suzanne Sutton, Wanda Lynn Riley, and Heidi Wagner What have we been doing since the last forum? Engaged key stakeholders Mid-August thru Mid-September, including DFLs/CAOs, HR, Training, and Finance SMEs Designed a 12 course schedule for the next 12 months on various finance topics Fall schedule October GAAP vs GASB and Why Do I Care? presented by Wanda Lynn Riley, Chief Audit Executive and Risk Officer November Our Financial Statements presented by Adile Quennarouch, Director of Finance and Capital Asset Strategies December The Big Picture Berkeley Financial Overview presented Rosemarie Rae, Vice Chancellor of Finance and Chief Finance Officer Invite via coming soon with a link to sign up in LMS! DFL/CAOs, please forward to anyone that would benefit from the course topic and content. 15

17 Russ Acker - Institutional Research Analyst Office of Planning & Analysis Our Berkeley 17

18 Our Berkeley data digest Our Berkeley puts data at your fingertips! A single, comprehensive site for public-facing UC Berkeley data, featuring: Context and narrative Transparency and consistency Ease of use Linkages to campus strategic priorities Data from a variety of sources Thanks to a fast, iterative development process, our first release is planned for late October/early November. 17

19 Thank You Visit cfo.berkeley.edu for more information Contact with comments and questions 18