ACCOUNTING SERVICES FINANCIAL REPORTING GENERATING STATEMENTS AND REPORTS

Transcription

1 ACCOUNTING SERVICES FINANCIAL REPORTING GENERATING STATEMENTS AND REPORTS

2 SCHOOL DISTRICT OF PALM BEACH COUNTY FINANCIAL REPORTING GENERATING STATEMENTS AND REPORTS FYE: JUNE 30, 2016 PURPOSE To ensure that all current month activities/transactions are completed and posted to the general ledger to fairly present the financial position and results of operations for the period. This process allows transactions to be summarized for reporting purposes and records to be archived into PeopleSoft. RESPONSIBLE INDIVIDUALS School District of Palm Beach County 3366 Forest Hill Blvd West Palm Beach, FL Nancy Samuels, Director of Accounting Annette Pinnock, Financial Accounting Manager Jason Elliot, Financial Accounting Specialist Karen Miller, Accountant Tamara Dowdell, Accountant Marysue Bean, Accounting Analyst I. CLOSING PROCEDURE A. For closing deadlines, consult Monthly Closing Schedule on Financial Accounting Department website > B. A notification is sent out as a reminder of the last day to process journals for the current month. C. Close Checklist is completed with regard to closing duties (Attachment A) D. Allocations are used by the District to make standard entries based on rules defined in the allocation steps Please see the attached documentation of each Allocation Group and Step (Attachment B) II. GENERATE FINANCIAL STATEMENTS AND REPORTS A. Financial statements and reports are generated upon the completion of the allocation process and the accounting period is closed for the reporting month. B. Internal Reporting Package (Attachment C). After each month is closed, an internal reporting package is created for the Accounting Director and an Interim Financial Statement Package is uploaded to the Board in accordance with the Schedule issued by the Board. A checklist shows each of the items that need to be included in the package and is checked off as each of the reports is created. The internal reporting package includes the following: 1. Analytical Explanations This is a listing of all significant changes and explanations as to what initiated the changes. The Balance Sheet is YTD activity compared to prior year end activity. The Statement of Revenues, Expenditures and Changes in Fund Balances is YTD current month activity compared to the same month in the prior year. 2. Interim Financial Statement Package for the Board This includes the following: a. Cover Page & Index b. Combined Balance Sheet - This report groups the funds and accounts by major category. The report shows detailed data for the current month/current year. The current month/prior year and the prior year end data are shown only in total all funds. c. Combined Statement of Revenues, Expenditures and Changes in Fund Balances (SRECFB) This report groups the funds and the accounts by major category. The report shows detailed data for the current month/current year YTD. The current month/prior year YTD is shown only in total all funds. The Proprietary Fund Types are shown current month for current year YTD and prior year YTD only in total. Page 1 of 2

3 SCHOOL DISTRICT OF PALM BEACH COUNTY FINANCIAL REPORTING GENERATING STATEMENTS AND REPORTS FYE: JUNE 30, 2016 d. General Fund SRECFB This report groups the accounts by major category. The report details the budget for the current month with YTD amendments, the current month YTD activity and the variance (amount and percentage) between the two. It also shows the prior year data for the current month YTD. e. Financial Statement Notes 3. Internal Service Fund SRECFB and Internal Service Fund Statement of Cash Flows The SRECFB shows the YTD revenues and expenditures for Health and Workers Compensation Internal Service Funds. The Statement of Cash Flows shows YTD cash flows for the Health and Workers Compensation Internal Service Funds. 4. Monthly Detail of SRECFB The report is run for the following funds and create a separate file for each of the funds, which shows details for each month through the current month: a. Fund 1801 Internal Accounts. The financial transactions of school-based organizations are accounted for in the school internal funds b. Fund 4100 School Food Service accounts. c. Fund 7110 Health Internal Service fund d. Fund 7120 Workers Compensation Internal Service Fund 5. Grant Trail Balance Report - This lists out the trial balance for each grant fund as of the current month to be able to check that assets = liabilities & revenue = expenses. 6. Other reports are generated for internal purposes (Attachment C). Page 2 of 2

4 SCHOOL DISTRICT OF PALM BEACH COUNTY MONTHLY CLOSE CHECKLIST FY 2016 Attachment A Work Area / Completed Day Person Task 5 Jason ALL CASH SHEET ENTRIES POSTED 5 Karen M PAYROLL POSTED (& reconciled to Payroll Subsystem) 5 Tamara ENSURE ALL DEPOSITS HAVE BEEN PROCESSED UNIDENTIFIED ACCOUNT CLEARED 6 Bob CLOSE ACCOUNTS PAYABLE, RUN FINAL VOUCHER AND PAYMENT, POST JOBS IN AP, JOURNAL GENERATE TO GL AND CLOSE ACCOUNTING PERIOD IN AP ENSURE THAT ALL UPLOADS ARE IN FOR THE MONTH (IKON, P-CARD, UTILITIES, ETC) - RECONCILE SUB-LEDGER TO GL FOR AP ACCOUNT 6 Karen M RECEIVE FLAT FILES FOR INTERFACE TO GL FROM TRANSPORTATION FOR FLEET, FUEL & TIRES - POST ALL ENTRIES 6 Karen M CLOSE INVENTORY, RUN JOURNAL GENERATOR - RECONCILE SUB-LEDGER TO GL FOR INVENTORY ACCOUNTS - CLEAR ANY ITEMS IN DEFAULT ACCOUNT - Verify fuel balance and make necessary adjustment 6 Karen M INTERNAL SERVICE FUNDS, NAPA, MEDICAID, & MAINTENANCE TRANSFER 6 Karen M LAST FIELD TRIP AND ACTIVITY BUS INTERFACES COMPLETED - ENTRIES POSTED 7 ALL SUBMIT (TO ANNETTE) ANY CHANGES TO ALLOCATIONS 8 Angela INVESTMENT INCOME (INTEREST ALLOCATION INFORMATION) - RECONCILE TO PFM, COPS AND BANK STATEMENTS 9 Angela COPS RECONCILED AND JOURNALS CREATED 9 Marysue CLOSE ACCOUNTS RECEIVABLE & BILLING (post or move any outstanding JEs to next month) Reconcile AR subledger (Aging Report) to GL ledger balance 9 ALL END OF DAY - DEADLINE FOR ADJUSTING JOURNAL ENTRIES 10 Jason/Karen RUN MONTH END CLOSING ALLOCATIONS & CASH POOLING (Close the month) 11 ALL REVIEW MONTHLY RESULTS & PROPOSE ADJs 12 Jason/Karen OPEN PERIOD FOR FINAL JOURNAL ENTRIES 13 Jason END OF DAY - RUN AND REVIEW MONTHLY REPORTS FOR BOARD 12/8/2015 3:57 PM

5 EXPLANATION OF ALLOCATION GROUPS - MONTHLY CLOSE Attachment B Allocation Group - Closing1 1. GRT_SI&AN1 & GRT_SI&AN2 Grants are not supposed to be charged for expenses related to Sick and Annual Payouts, as these amounts have been accrued over years of an employee s service to the District, and to charge the last position held by the employee is not appropriate. The purpose of this group of allocations is to move any sick and annual payouts that are charged to Funds to Fund The nvision layout Allocation Check is run after this allocation entry is posted to prove that no grant funds have a balance for these expenditures accounts. 2. GF_SI&AN1 & GF_SI&AN2 The individual general funds (funds that begin with 1 ) do not pay for charges related to Sick and Annual Payouts, as these amounts have been accrued over years of an employee s service to the District, and to charge the last position held by the employee is not appropriate. The purpose of this group of allocations is to moves any sick and annual payouts that are charged to Funds that begin with 1 to Fund The nvision layout Allocation Check is run after this allocation entry is posted to prove that only Fund 1060 in the General Fund has a balance for these expenditures accounts 3. CLEARCASH1 All AP payments are paid out of the bank account (ending 1465) for General Disbursements (GL ) and charged out by fund, the wires to cover the check presentations occurs at the District level in Fund The General Disbursements Account and the District School Fund Account (ending 1452) (GL ) are reconciled together at the District level (Fund 9999). The purpose of this allocation is to net the activity in Account into by fund for ease of reporting and to clear the cash accounts at a fund level. The nvision layout Allocation Check is run after this allocation entry is posted to prove that only Fund 9999 has a balance in account MVETO1001 The District contracted with Public Surplus to auction excess and obsolete equipment and furniture to the public. The purpose of this allocation to move e-surplus website revenue coded to fund 1001 and specific programs to be move to fund Allocation Group Closing2 to be run only after Closing1 journals are posted 1. WCOMP1 & WCOMP2 Payroll expenditures are created through the PeopleSoft HCM module based on position budgeting. The HCM system has not been setup to accrue for Workers Compensation (WC) Insurance. At the beginning of the fiscal year, an analysis is prepared to estimate the percentage of WC expenditures to total salary based on the prior year s activity and any additional information known for the current year. FY16 WC percentage is 1.61% of salary. The 1.53% is split into two programs of which 1.43% is allocated to program 9528 and.18% is allocated to program The purpose of this allocation is to accrue WC (to GL ) based on this percentage times the total salary for the month charged to funding strips within the District. The nvision layout Allocation Check is run after this allocation entry is posted to prove that the correct percentage has been accrued based on Wage Expense Amounts. The estimated percentage is reviewed during the year and adjusted if deemed necessary. At Year End, an analysis of Account is performed and the over or under accrual is charged back to the funding strips through allocation WCOMPR. 2. WCOMP4 Charge WC to Internal Service Fund. The purpose of this allocation is to reclass the WC related revenue that are charged to Fund 1000 and Program 9576 to Fund 7120 Program UNEMP1 Payroll expenditures are created through the PeopleSoft HCM module based on position budgeting. The HCM system has not been set up to accrue for Unemployment Compensation (UC) Insurance. At the beginning of the fiscal year, an analysis is prepared to estimate the percentage of UC expenditures to total salary based on the prior year s activity and any additional information known for the current year. FY16 UC percentages was 0.015% of salary expenditures. The purpose of this allocation is to accrue UC (to GL ) based on this percentage times the total salary for the month charged to funding strips within the District. UC invoices are charged to GL when paid. The nvision layout Allocation Check is run after this allocation entry is posted to prove that the rate is accurate based on Wage Expense Amounts. The estimated percentage is reviewed during the year and adjusted if deemed necessary. At Year End, an analysis of Account is performed and the over or under accrual is charged back to the funding strips through allocation UNEMPR. 4. EAP1 Payroll expenditures are created through the PeopleSoft HCM module based on position budgeting. The HCM system has not been set up to accrue for Employee Assistance Plan (EAP) Benefits. At the beginning of the fiscal year, an analysis is prepared to estimate the percentage of EAP expenditures to total salary based on the prior year s activity and any additional information known for the current year. FY16 EAP percentage is 0.045% of salary. The purpose of this allocation is to accrue EAP (to GL ) based on this percentage times the total salary for the month charged to funding strips within the District. EAP invoices are charged to GL when paid. The nvision layout Allocation Check is run after this allocation entry is posted to prove Page 1 of 4

6 EXPLANATION OF ALLOCATION GROUPS - MONTHLY CLOSE Attachment B that the correct percentage has been accrued based on the Wage Expense Amounts. The estimated percentage is reviewed during the year and adjusted if deemed necessary. 5. SFS915X The purpose of this allocation is to move charges related to departments 9150 and 9151 in General Fund to SFS (4100). 6. HLTH_CPBRA - The purpose of this allocation is to transfer monthly health premiums from general fund (1000) to health fund (7110). Allocation Group Closing2A to be run only after Closing2 journals are posted 1. OHCONSTR The purpose of the overhead allocation is to delete funds by schools and add to projects. Allocation Group Closing3 to be run only after Closing2A journals are posted 2. SFSTRASH School Food Service (Fund 4100) occupies space in most of the District s schools in order to provide breakfast and lunch to students and faculty for a charge. The schools pay bills associated with trash removal and charge the General Fund GL Account for these expenditures. This allocation moves 35% of the monthly charge to Account to Fund 4100 in order to charge SFS for their portion of this expenditure. The 35% was determined a few years ago and has not changed. The net impact of this entry to the District is -0-. An nvision layout is run after the entry is posted to show the trash expenditure by school and the allocated amount to SFS to prove 35% has been booked YTD. 3. SFSELEC School Food Service (Fund 4100) occupies space in most of the District s schools in order to provide breakfast and lunch to students and faculty for a charge. The schools pay bills associated with electric usage and charge the General Fund GL Account for these expenditures. This allocation moves % of the monthly charge to Account to Fund 4100 in order to charge SFS for their portion of this expenditure. The % was determined by taking SFS kitchen plus the dining area square footage over total school square footage (based on FISH design codes). This analysis is updated each year. The net impact of this entry to the District is -0-. An nvision layout is run after the entry is posted to show the electric expenditure by school and the allocated amount to SFS to prove 6% has been booked YTD. 4. SFSSEWER School Food Service (Fund 4100) occupies space in most of the District s schools in order to provide breakfast and lunch to students and faculty for a charge. The schools pay bills associated with sewer usage and charge the General Fund GL Account for these expenditures. This allocation moves 2.4% of the monthly charge to Account to Fund 4100 in order to charge SFS for their portion of this expenditure. The 2.4% was determined by taking SFS kitchen square footage over total school square footage (based on FISH report design codes). This analysis is updated each year. The net impact of this entry to the District is -0-. An nvision layout is run after the entry is posted to show the sewer expenditure by school and the allocated amount to SFS to prove 2.4% has been booked YTD. 5. SFSWATER School Food Service (Fund 4100) occupies space in most of the District s schools in order to provide breakfast and lunch to students and faculty for a charge. The schools pay bills associated with water usage and charge the General Fund GL Account for these expenditures. This allocation moves 2.4% of the monthly charge to Account to Fund 4100 in order to charge SFS for their portion of this expenditure. The 2.4% was determined by taking SFS kitchen square footage over total school square footage (based on FISH report design codes). This analysis is updated each year. The net impact of this entry to the District is -0-. An nvision layout is run after the entry is posted to show the water expenditure by school and the allocated amount to SFS to prove 2.4% has been booked YTD. 6. SFS7600 The purpose of this allocation is to move charges related to function 7600 in General Fund to SFS (4100). 7. FINGERP The District s Police Department is required under the Jessica Lunsford Act to take fingerprints and to do a background check on all employees, contractors, and consultants that come into our schools and could have contact with the children in our care during the day. A charge to do the background check is passed onto the person getting fingerprinted. Employees have the option of paying for this fee from their first two paychecks. The deduction from the employee s check is coded to GL Account (the HCM system cannot charge a revenue account). The purpose of this allocation is to move the credit balance in Account to fingerprint revenue account Program This allocation is verified by reviewing Account to ensure that the balance is CERT. Teacher s certification fees are either deducted from the employee s check and coded to GL Account (the HCM system cannot charge a revenue account), paid by credit card or check to the District. The Page 2 of 4

7 EXPLANATION OF ALLOCATION GROUPS - MONTHLY CLOSE Attachment B purpose of this allocation is to move the credit balance in Account to revenue account Program This allocation is verified by reviewing Account to ensure that the balance is MV9043 Moves items in Department 9043 and 9450 with Fund 7940 and Program 0000 to Program 8444 in General Fund. 10. MV9456 Moves items in Department 9456 with Fund 7940 to General Fund. 11. OH_CAFM, INV_CAFM & INV_ALARM The purpose of this allocation is to allocate CAFM Overhead expenses and to record Alarm and Warehouse Inventory expenses in the General Fund for work orders. 12. SFSGAS - The purpose of this allocation is to charge 95% of expenditures booked to account (Natural Gas and general fund (1000) to School Food Service fund (4100) since almost all District natural gas supplies are used to serve kitchen appliances. Allocation Group Closing3A to be run only after Closing3 journals are posted 1. IXCXXXX All allocations with indirect cost in the description were created to book the federal indirect cost based on information provided by the Grant accounting group. See Grant policies and procedures for further details. An nvision report is run to verify the MTD allocation by fund. This report is based on the Indirect Cost Tree which was created to separate out the grants based on the percentage each grant was charge. 2. FD_BAL_SFS Inventory is required to have a reserve in fund balance. The purpose of this allocation is to book the change to the reserve for the monthly activity in inventory for school food service. 3. MV7940 Move expenses in Fund 7940 to Fund WCOMPME This allocation clears workers comp liability accrual charged to fund 1000 to ISF Allocation Group Closing4 to be run only after Closing3A journals are posted 1. PAYROLL5 These allocations clear the detail that is included in the payroll liability accounts so that all that remains is Fund and Account. The net activity from this allocation to each account is BALSHTCL This allocation clears all the balance sheet detail in Funds so that only Fund and Account remain. The net activity from this allocation to each account is EAP7110 This allocation clears EAP liability accrual charged to other funds to PAYROLLEOM This allocation clears payroll liability for all other funds charged to accounts , & to Fund 1000 at end of month. 6. SACC/COMM REV These allocations are to reclass certain percentages of revenue collected to various schools. Allocation Group Closing5 to be run only after Closing4 journals are posted 1. CLEARCASH2 All Payroll payments are paid out of the bank account (ending1478) for General Disbursements (GL ) and charged out by fund, the wires to transfer amounts to payroll bank account occurs at the District level in Fund The purpose of this allocation is to clear the activity in Account into by fund for ease of reporting and to clear the cash accounts at a fund level. The nvision layout Allocation Check is run after this allocation entry is posted to prove that only Fund 1000 & 9999 has a balance in account Allocation Step CLR1801_2 Moves credit balance in Fund 1801 / Accounts to Revenue Account The District performs various services for its schools outside of the normal operation of the school. Expenditures for these services are charged to Fund When the internal accounts group invoices a school for these services, a receivable is set up and the credit is booked to a contra expense account 5790XX. The purpose of this allocation is to book the revenue associated with the amounts Internal Accounts charges the schools so that all the activity is not netted out in the expenditures. The nvision layout Allocation Check is run after this allocation entry is posted to prove that the balances in the revenue accounts are FD_BAL_OTH Inventory is required to have a reserve in fund balance. The purpose of this allocation is to book the change to the reserve for the monthly activity in inventory. 4. GRT_REV1 GRT_REVT The purpose of these allocations is to make grant revenue = grant expenses. These allocations were created based on information provided by the Grant Accounting Group. For further information please see Grant policies and procedures. Page 3 of 4

8 EXPLANATION OF ALLOCATION GROUPS - MONTHLY CLOSE Attachment B Allocation Group Closing6 to be run only after Closing5 journals are posted 1. GRANT_REC - The purpose of this allocation is to book a receivable equal to the overall debit in Fund 4200 Account produced by the monthly activity net of the entries from Allocation Group CLOSING5. This allocation was created based on information provided by the Grant Accounting Group. For further information please see Grant policies and procedures. 2. CLRBSDTAIL The purpose of this allocation is to clear certain balance sheet detail in funds 1XXX- 3XXX, so that only Fund and Account remain. The net activity from this allocation to each account is CLEAR1801 The District performs certain services for the schools that are outside of normal school activities. The expenditures related to these services are charged to Fund 1801 Function 9810 (internal account expenditures) this function does not exist in the red book. For reporting purposes, this allocation was created to move all Function 9810 expenditures to Function 9110 (community services). The nvision layout Allocation Check is run after this allocation entry is posted to prove that expense accounts for Fund 1801 function 9810 = -0-. Allocation Group Intraunit to be run only after checking to make sure GL Account is in balance District Wide by running Interfund nvision Report for month. 1. INTFUNDBAL The District maintains a balance ledger by Fund. When there is a transfer between Funds (many created by the monthly closing allocations) an offset is made to Account to balance the entry by Fund. The purpose of this allocation is to clear all the interfund balances to cash at the end of the month. Theoretically paying off the liabilities to and collecting the receivables from other Funds within the District. After the allocation entry is posted, the Interfund nvision report is re-run to verify that account is cleared by fund and the balance is -0-. Allocation Group Interest to be run after all daily cash transactions are posted. The District uses the Average Daily Balance Method (ADB). On a monthly basis, as part of the closing procedures, the investment income allocation is run in order to allocate the investment income earned for the month to all funds. The system calculates the average daily cash balance held by each fund throughout the month, and based on this calculation, allocates the total investment income to each fund. Page 4 of 4

9 FY2016 Attachment C SCHOOL DISTRICT OF PALM BEACH COUNTY INTERNAL REPORTING PACKAGE Analytical Explanations Interim Financial Statement Package for Board Cover Page Index Combined Balance Sheet Combined SRECFB General Fund SRECFB Notes Internal Service Fund SRECFB Internal Service Fund Statement of Cash Flows Monthly Detail of SRECFB Fund 1801 Fund 4100 Fund 7110 Fund 7120 AR Aging Summary Report Salary Analysis Summary ( detail reports) Summary Grant Report Grant Trial Balance Report Capital Maintenance Transfer Analysis Interest Income Analysis Capital Rollforward / Summary Verify Budget Amendments for General Fund Monthly Close Checklist Prior Month Reconciliations Completed Checklist Revenue Recon Receivable from Other Agency Payroll Liab (on the qtr) Cash Investments