as/ubo/2008 2008 trust / special project trainingapril 28 th 2:00 – 4:00 p.m.lib2413april 29 th...

AS/UBO/2008

AS/UBO/2008

2

Agenda

• What is a Trust?

• Completing the forms for submission: Trust Agreement Budget Plan Worksheet Cash Flow Worksheet FBD4CYU

• Explanation of the Trial Balance Report

• Review of Accounting Entries

AS/UBO/2008

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WHAT IS A TRUST ?

Funds collected and expended for a purpose which supports the mission of the University but which are not for General Operating purposes.

SUAM 3710.01 TRUST PROJECTS

A trust project is an activity or group of related activities which, in the absence of external restrictions, may be combined for accounting purposes. Each unique trust project must be accounted separately, which will provide for balance sheet and income statement reporting and other reports as required.

Each trust project must maintain a positive cash balance and a positive fund balance. Income Collected in Advance should not be used when evaluating resources available for current operations.

Disbursements from a trust project should be made only for the purposes for which the trust project was established.

AS/UBO/2008

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WHAT IS A TRUST ?

State of California Education Code §89721 authorizes these purposes:

A. Gifts, bequests, devises, and donations. B. Any student loan or scholarship program. C. Advance payment for anticipated expenditures or encumbrances in connection with federal grants or contracts. D. Room, board, and similar expenses of students enrolled in the international program of the California State University. E. Cafeteria replacement funds. F. Miscellaneous receipts in the nature of deposits subject to return upon approval of a proper application. G. Fees and charges for services, materials, and facilities authorized by Section §89700 of the Education Code to offset the cost of providing those services. H. Fees for instructionally related activities as defined by the trustees and as authorized by Section §89700 and revenues derived from the conduct of the instructionally related activities. I. Fees for parking, health facilities or health services, and for extension programs, special sessions, and other self-supporting instructional programs. J. Revenue received by the trustees from the California State Lottery Education Fund pursuant to Section §8880.5 of the Government Code. K. Moneys received by the trustees for research, workshops, conferences, institutes, and special projects.

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CALIFORNIA STATE UNIVERSITY SAN MARCOS

CSUSM.200-1 (REV.4/2008)

FUND NUMBER

XXXXPURPOSE OF FUND

SOURCE OF REVENUE

METHOD OF REVENUE COLLECTION

TYPE OF EXPENDITURE FROM FUND

SPENDING RESTRICTIONS:

AGREEMENTS and/or REPORTING REQUIREMENTS:(LIST DETAILS FOR THIS FUND - i.e. Outside Agency Reporting, Required Forms, Contacts, Due Dates, etc. Attach supporting documentation i.e. Agreement, Aw ard Letter, etc)

EXPECTED DURATION OF PROJECT (PLEASE INDICATE END DATE OR "INDEFINITE "):

DISPOSITION OF FUNDS UPON TERMINATION OF PROJECT (APPROVAL REQUIRED BY DIRECTOR, ACCOUNTING & TECHNOLOGY SERVICES)

Transfer to University Discretionary Trust upon termination of project.AUTHORIZED SIGNERS FOR DISBURSEMENT:

SIGNATURE/DATE

1. ✍

2. ✍

3. ✍

� ADDITIONAL AUTHORIZED SIGNERS LISTED ON PAGE 2. (P lease check the box if more than three are authorized.)

SUBMISSION AND APPROVAL:

BY SIGNING BELO W, I VERIFY THAT I HAVE READ AND AGREE TO THE TERMS O F AGREEMENT

AND THE ACCO UNT MANAGEMENT RESPO NSIBILITY PO LICY.

REFERENCE: Account Management Responsibility http://lynx.csusm.edu/policies/policy_online.asp?ID=124Trust/Special Project Guidelines http://www.csusm.edu/fbs/Budget/Trust%2006.07%20Budget%20Guidelines.docTrust Fund Administration Procedures http://lynx.csusm.edu/policies/procedure_online.asp?ID=127

DATE REVIEWED BY DATE

✍Trust Fund Accountant


✍Director, Accounting & Technology Services

DATE

AUTHORIZATION REFERENCE

Indicate ED Code #, Exec Order #, etcSpecify source of revenue to be received (Student Fees, Off-Campus Users, Donation, Other: explain)

Specify how the revenue will be collected (chargeback, grant, billing, student fees/payment, etc.)

Those named above are designated to act on behalf of the Account Manager for fiscal expenditure and are hereby authorized to submit requisition and disbursement documents. The Account Manager retains the responsibility for all activity appearing in the University’s financial record for their Trust Funds per the Account Management Responsibility and Trust/Special Projects Submittal Guidelines. TERMS O F AGREEMENT are on the reverse side (Page2).

✍

End Date or Indefinite

Indicate expenses that are NOT permitted i.e. Salaries, Travel, Overhead, etc or NO Restrictions

Provost/Vice President

Signature on page 1 signifies acceptance of the ACCOUNT MANAGEMENT RESPONSIBILITY and TERMS OF AGREEMENT (TERMS on page 2).

Describe the type(s) of expenditures permitted from this fund.

✍

APPROVED BY

✍Dean/AVP/Administrator

NAME/TITLE

SUBMITTED BY

Account Manager

APPROVED BY

By signing below, I confirm that any expenditure activity authorized under this designation will conform to California State University, San Marcos and CSU Trustee policy, specifically Trust Fund Procedures, and sound fiscal and budgetary practices. By signing this form, I understand that this expenditure authorization may be rescinded at any time, without notice , at the discretion of management.

FY08/09

Describe purpose of Trust Fund here.

TRUST/PROJECT NAME DEPT-CLASS

FUND TITLE4XXXX

TRUST/SPECIAL PROJECT AGREEMENT FISCAL YEAR

1.

2.

3.

4.

5.

6.

REFERENCES:

Account Management Responsibility http://lynx.csusm.edu/policies/policy_online.asp?ID=124Trust/Special Project Guidelines http://www.csusm.edu/fbs/Budget/Trust%2006.07%20Budget%20Guidelines.docTrust Fund Administration Procedureshttp://lynx.csusm.edu/policies/procedure_online.asp?ID=127

1) Trust/Special Project Budget Plan; and 2) Trust/Special Project Cash Flow Worksheet; and3) Request for Use of Fund Balance for Current Year Distribution (if applicable)

1) Account Manager2) Dean/AVP/Administrator3) Provost or Vice President4) Trust Fund Accountant, Fiscal Operations5) Director, Accounting & Technology Services, Fiscal Operations6) Copy of signed document w ill be returned to Account Manager ( Retain a copy of unsigned document until copy is received.)7) Copy of signed document w ill be forwarded to Budget Office 8) Original document w ill be maintained by Fiscal Operations

EXPECTED SOURCES OF TRUST REVENUE: Trust revenue is limited by California Education Code § 89721 to the follow ing: (a) gifts, bequests, donations, etc (Note: these type of funds w ill be deposited to the Foundation and may be transferred to Trust) (b) student scholarship and loan programs (f) misc receiots/deposits (note: must be explained and are subject to f iscal approval) (g) fees and charges for optional services, materials, or facilities (h) fees and other revenues from instructionally related activities

ADDITIONAL AUTHORIZED SIGNERS FOR DISBURSEMENT:

SIGNATURE/DATE

4. ✍

5. ✍

6. ✍

7. ✍

8. ✍

NAME/TITLE

REQUIRED ATTACHMENTS:

All property, equipment and supplies shall become the property of the State and w ill be recorded, inventoried and accounted for as such. In the event the project is dissolved all assets shall become State property subject to disposition of same.

This agreement w ill be required annually.

by Departments of The State of California, Trustees of the California State University.All funds collected w ill be held and applied according to the purpose for w hich the project w as established.

The Account Manager must review a monthly Trust Fund Trial balance report and a reconciliation w ith his/her records. If they do not agree, CSUSM Accounting Office should be notif ied in w riting. If no objections are received then the records are deemed to be in agreement. The Account Manager w ill sign, date and retain reconciliation records for internal audit review purposes.

Executive Order # 1000 establishes Trust Fund policy including the need for the operating fund to recover allow able direct costs plus an allocable portion of indirect costs association.

The Project's annual budget for each subsequent year must be submitted one month prior to the beginning of the f iscal year.

Good business practice w ill be exercised in all transactions affecting the project. Each obligation w ill bear the authorization of an individual named in this agreement.

By signing below, I confirm that any expenditure activity authorized under this designation will conform to California State University, San Marcos and CSU Trustee policy, specifically the Trust /Special Project Agreement, and sound fiscal and budgetary practices. By signing this form, I understand that this expenditure authorization may be rescinded at any time, without notice, at the discretion of management.

DOCUMENT DISTRIBUTION:

TERMS OF AGREEMENTAll fiscal transactions will be administered in compliance with the directives issued

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CSUSM.200-1 (REV.4/2008)

FUND NUMBER

XXXXPURPOSE OF FUND

SOURCE OF REVENUE

METHOD OF REVENUE COLLECTION

TYPE OF EXPENDITURE FROM FUND

SPENDING RESTRICTIONS:

AGREEMENTS and/or REPORTING REQUIREMENTS:(LIST DETAILS FOR THIS FUND - i.e. Outside Agency Reporting, Required Forms, Contacts, Due Dates, etc. Attach supporting documentation i.e. Agreement, Aw ard Letter, etc)

EXPECTED DURATION OF PROJECT (PLEASE INDICATE END DATE OR "INDEFINITE "):

DISPOSITION OF FUNDS UPON TERMINATION OF PROJECT (APPROVAL REQUIRED BY DIRECTOR, ACCOUNTING & TECHNOLOGY SERVICES)

Transfer to University Discretionary Trust upon termination of project.

TRUST/SPECIAL PROJECT AGREEMENT FISCAL YEAR

Describe the type(s) of expenditures permitted from this fund.

FY08/09

Describe purpose of Trust Fund here.

TRUST/PROJECT NAME DEPT-CLASS

FUND TITLE4XXXX

End Date or Indefinite

Indicate expenses that are NOT permitted i.e. Salaries, Travel, Overhead, etc or NO Restrictions

AUTHORIZATION REFERENCE

Indicate ED Code #, Exec Order #, etcSpecify source of revenue to be received (Student Fees, Off-Campus Users, Donation, Other: explain)

Specify how the revenue will be collected (chargeback, grant, billing, student fees/payment, etc.)

AS/UBO/2008

TRUST/SPECIAL PROJECT AGREEMENT

COMPLETING THE FORM FOR SUBMISSION

1. Fund Number and Name: Exactly as listed in PeopleSoft

2. Purpose of Fund: “why” is the fund needed

3. Source of Revenue: “what” type of receipts are expected, e.g. Student Fees, User Fees, Donations (via the CSUSM Foundation), Other Misc (explanation required)

4. Method of Revenue Collection: “how” will the receipts be collected

5. Authoritative Reference: Executive Order # and/or Ed Code §89721

6. Types of Expenditure: permitted, e.g. supplies, printing, travel, salaries

7. Spending Restrictions: not permitted, e.g. salaries, travel

8. Agreements / Reporting Requirements: MOU, contract, progress report This field may be left blank if it is not applicable. No other fields may be left blank.

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AS/UBO/2008CALIFORNIA STATE UNIVERSITY SAN MARCOS

CSUSM.200-1 (REV.4/2008)

AUTHORIZED SIGNERS FOR DISBURSEMENT:

SIGNATURE/DATE

1. Jane Doe, Admin Coordinator ✍ J ane Doe

2. Sally Smith, Director ✍ Sal l y Smith

3. ✍

� ADDITIONAL AUTHORIZED SIGNERS LISTED ON PAGE 2. (P lease check the box if more than three are authorized.)

SUBMISSION AND APPROVAL:

BY SIGNING BELO W, I VERIFY THAT I HAVE READ AND AGREE TO THE TERMS O F AGREEMENT

AND THE ACCO UNT MANAGEMENT RESPO NSIBILITY PO LICY.

REFERENCE: Account Management Responsibility http://lynx.csusm.edu/policies/policy_online.asp?ID=124Trust/Special Project Guidelines http://www.csusm.edu/fbs/Budget/Trust%2006.07%20Budget%20Guidelines.docTrust Fund Administration Procedures http://lynx.csusm.edu/policies/procedure_online.asp?ID=127


✍Trust Fund Accountant


✍Director, Accounting & Technology Services

DATE

NAME/TITLE

SUBMITTED BY

✍ Sal l y Smith

FY08/09TRUST/SPECIAL PROJECT AGREEMENT FISCAL YEAR

Provost/Vice President

Signature on page 1 signifies acceptance of the ACCOUNT MANAGEMENT RESPONSIBILITY and TERMS OF AGREEMENT (TERMS on page 2).

Account Manager

APPROVED BY

By signing below, I confirm that any expenditure activity authorized under this designation will conform to California State University, San Marcos and CSU Trustee policy, specifically Trust Fund Procedures, and sound fiscal and budgetary practices. By signing this form, I understand that this expenditure authorization may be rescinded at any time, without notice , at the discretion of management.

Those named above are designated to act on behalf of the Account Manager for fiscal expenditure and are hereby authorized to submit requisition and disbursement documents. The Account Manager retains the responsibility for all activity appearing in the University’s financial record for their Trust Funds per the Account Management Responsibility and Trust/Special Projects Submittal Guidelines. TERMS O F AGREEMENT are on the reverse side (Page2).

✍ Bil l Hil l

APPROVED BY

✍ Sandy BeachDean/AVP/Administrator

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AS/UBO/2008


COMPLETING THE FORM FOR SUBMISSION AUTHORIZED SIGNERS FOR DISBURSEMENT:

By signing below, I confirm that any expenditure activity authorized under this designation will conform to California State University, San Marcos and CSU Trustee policy, specifically Trust Fund Procedures, and sound fiscal and budgetary practices. By signing this form, I understand that this expenditure authorization may be rescinded at any time, without notice, at the discretion of management.

(Note: more room for additional signatures on page 2)

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AS/UBO/2008


COMPLETING THE FORM FOR SUBMISSION SUBMISSION AND APPROVAL:

BY SIGNING BELOW, I VERIFY THAT I HAVE READ AND AGREE TO THE TERMS OF AGREEMENT AND THE ACCOUNT MANAGEMENT RESPONSIBILITY POLICY. Those named above are designated to act on behalf of the Account Manager for fiscal expenditure and are hereby authorized to submit requisition and disbursement documents. The Account Manager retains the responsibility for all activity appearing in the University’s financial record for their Trust Funds per the Account Management Responsibility and Trust/Special Projects Submittal Guidelines. TERMS OF AGREEMENT are on the reverse side (Page2).

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AS/UBO/2008

11

1.

2.

3.

4.

5.

6.

REFERENCES:

Account Management Responsibil ity http://lynx.csusm.edu/policies/policy_online.asp?ID=124Trust/Special Project Guidelines http://www.csusm.edu/fbs/Budget/Trust%2006.07%20Budget%20Guidelines.docTrust Fund Administration Procedureshttp://lynx.csusm.edu/policies/procedure_online.asp?ID=127

The Project's annual budget for each subsequent year must be submitted one month prior to the beginning of the f iscal year.

Good business practice w ill be exercised in all transactions affecting the project. Each obligation w ill bear the authorization of an individual named in this agreement.

TERMS OF AGREEMENTAll fiscal transactions will be administered in compliance with the directives issued

All property, equipment and supplies shall become the property of the State and w ill be recorded, inventoried and accounted for as such. In the event the project is dissolved all assets shall become State property subject to disposition of same.

This agreement w ill be required annually.

by Departments of The State of California, Trustees of the California State University.All funds collected w ill be held and applied according to the purpose for w hich the project w as established.

The Account Manager must review a monthly Trust Fund Trial balance report and a reconciliation w ith his/her records. If they do not agree, CSUSM Accounting Off ice should be notif ied in w riting. If no objections are received then the records are deemed to be in agreement. The Account Manager w ill sign, date and retain reconciliation records for internal audit review purposes.

Executive Order # 1000 establishes Trust Fund policy including the need for the operating fund to recover allow able direct costs plus an allocable portion of indirect costs association.

AS/UBO/2008


TERMS OF AGREEMENT

1. All funds collected will be held and applied according to the purpose for which the project was established. Good business practice will be exercised in all transactions affecting the project. Each obligation will bear the authorization of an individual named in this agreement.

2. All property, equipment and supplies shall become the property of the State and will be recorded, inventoried and accounted for as such. In the event the project is dissolved all assets shall become State property subject to disposition of same.

3. The Project's annual budget for each subsequent year should be submitted one month prior to the beginning of the fiscal year.

4. The Account Manager must review a monthly Trust Fund Trial balance report and a reconciliation with his/her records. If they do not agree, CSUSM Accounting Office should be notified in writing. If no objections are received then the records are deemed to be in agreement. The Account Manager will sign, date and retain reconciliation records for internal audit review purposes.

5. Executive Order #1000 establishes Trust Fund policy including the need for the operating fund to recover allowable direct costs plus an allocable portion of indirect costs association.

6. This agreement will be required annually.

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AS/UBO/2008


ACCOUNT MANAGEMENT RESPONSIBILITY POLICY Account management is defined as a delegation of authority to obligate the use of resources in one or more accounts housing University funds. Decentralized account management is an integral function of the University’s decentralized financial management policy. Those delegated account management authority are responsible for using University resources in compliance with University and Division policy and procedures. Managers must operate within available resources for each account assigned, as recorded in the University’s financial record system. Managers ensure that accounts are not overspent and funds are used appropriately and effectively. The manager’s signature is required to initiate budget allotment transfers from accounts for which they are responsible, and for initiating both operating and personnel expenditures and obligations against their account(s). Managers with revenue generating accounts are responsible for ensuring that anticipated revenues are collected, and for operating within the limits imposed by revenues collected. Managers are responsible for regularly reviewing the status of their accounts and for taking the steps necessary to ensure expenditures are within resources available. Managers may have staff who initiate expenditure and budget transactions, and then record and reconcile expenditures on their behalf (i.e., unit business managers). If the account manager and business manager responsibilities are assigned to separate employees, the account manager retains the responsibility for all activity appearing in the University’s financial record for their accounts. Overspent accounts are subject to repayment from resources allocated in the subsequent fiscal year.

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AS/UBO/2008

TRUST PACKET SUBMISSION

COMPLETED PACKET INCLUDES:

1. Agreement with signatures of Authorized Signers for Disbursement and three levels of approval: Account Manager, Dean/AVP/Administrator, and Provost/Vice President

2. Budget Plan Worksheet 3. Cash Flow Worksheet 4. Request for Use of Fund Balance for Current Year Distribution (if applicable)

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AS/UBO/2008

Budgeting a Trust/Special Project Budgeting in a trust/special project is slightly different than in the general fund. In the general fund you receive a budget allocation to spend each year. In a trust, the amount you can spend is dependent on the amount of revenue (fees, fines, etc.) you expect to receive in the fiscal year. As a result, you must estimate both revenues and expenditures for the fiscal year budget plan. A trust/special project plan is a three-step process and includes a projection of how much money you expect to receive (revenues A) and a projection of how you expect to use that money (expenditures B). The first step is to project your revenues. In order to project revenues, you must consider all the sources that are deposited into the fund. This may include late fees, use fees, fines, student fees, interest, etc. By using the Trust/Special Project Revenue Worksheet, you can list the description for the various source(s) of income, enter the rate that these funds are received at, and put in the number of units you are projecting. This will result in your projected revenues for the fiscal year. The second step is to project the expenditures needed to provide services. This would include salaries, benefits, and operating expenses and equipment. Consideration of past expenditures, expected increases and upcoming special projects can help you create your expenditure plan. The third step is to determine if the projected revenues will cover the planned expenditures. If they don’t, you have two options: 1) try to find an area where you can reduce costs or 2) you must designate a portion of your Fund Balance – Continuing Appropriation to be used to offset the planned deficit. This designated use of fund balance is called the Fund Balance Current Year Distribution. Using the fund balance to cover deficits is only possible if you have a positive fund balance available (after all commitments). You will need to identify the dollar amount you are requesting to use. This amount must be included on the Revenue Worksheet.

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AS/UBO/2008

Be sure to include transfers in and transfers out in your budget plan. Once you have completed these three steps, (estimated your revenues and expenses and determined any need for fund balance distribution), you now have your plan. Check to make sure that the result from the equation (revenues minus expenditures plus fund balance distribution) does not fall below zero. Trusts/special projects can never end in the red, so no plan ending in a deficit will be accepted. Once your budget plan has been submitted to the Budget Office, it will be reviewed. The Budget Office and Accounting will verify that there are funds available to cover any fund balance distribution amount designated. After your budget plan has been reviewed and approved, it is uploaded and appears in the “Current Year Budget Plan”(D) column of the trial balance. The Budget Detail drilldown works in the Budget Plan column and displays all budget transactions. The amount you have designated as Fund Balance Current Year Distribution for use in this fiscal year will show in two places. In the balance sheet, it is listed beneath Fund Balance – Continuing Appropriation (E). If you add the continuing appropriation and the current year distribution, it equals the total fund balance. The amount of the Fund Balance Current Year Distribution is also shown at the bottom under net income/loss (A+B). By comparing your actuals to the budget plan, you can see how well you are doing compared to what you originally estimated. The percentages in the “% of Plan YTD” column are calculated by taking your actuals and dividing them by your plan amount (B/D). Using the budget plan and % of plan columns, you are given an instant picture to help you determine whether you are on track, need to reduce spending and/or adjust your budget plan, (Budget Scenario B), or celebrate because revenues are higher than expected! We hope that these budget plan explanations will be helpful in preparing your budget plan and managing your trust/special project funds successfully.

Budgeting a Trust/Special Project Cont’d

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AS/UBO/2008CALIFORNIA STATE UNIVERSITY SAN MARCOS

TRUST/SPECIAL PROJECT BUDGET PLAN WORKSHEETCSUSM.200-2/3 (4/2008)

Fund Year49XXX 2008/09

ProjectionAccount Deptid Program Class Project Description Rate # of (Revenue)/Expense

501100 9999 Student Fees - Fall (65) 4,491 (291,915)501100 9999 Student Fees - Spring (65) 4,491 (291,915)601300 9999 Employee A July - Dec 2,400 6 14,400601300 9999 Employee A Jan - June 2,501 6 15,006601300 9999 09901 Employee B 3,700 12 44,400601300 9999 Employee C 3,200 12 38,400601300 9999 Employee D July - Oct 3,676 4 14,704601300 9999 Employee D Nov - June 3,750 8 30,000601300 9999 Employee E 4,100 12 49,200601300 9999 Employee F 5,000 12 60,000601300 9999 Temporary Staff 3,000 12 36,000601300 9999 Temporary Staff 4,000 12 48,000601300 9999 Temporary Staff Aug - May 2,989 10 29,890601302 9999 09905 Special Consultant - Project A 100 20 2,000601302 9999 09907 Special Consultant - Project B 150 20 3,000603000 9999 All Benefits 140,600660003 9999 Toner Cartridges 90 15 1,350660003 9999 Paper 10 125 1,250660003 9999 Miscellaneous Supplies 57,400

NET (INCOME) \ LOSS 1,770 Fund Bal Current Year Distrib (1,770)

ENDING FUND BAL AVAILABLE 0

Calculation

This worksheet is to be used to submit both revenue and expense budgets by account code. This must be submitted with your Trust/Special Project packet. Descriptions should be detailed and reflect descriptions of the activity or the account code descript

Division Fund TitleAll Trust Budget Sample

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AS/UBO/2008

Budget Scenario ATrial Balance by Fund

For Fund: 99999 - Cash Trust TrainingAs of 03-31-2006Run Time and Date: 04-08-2005 9:42:03

Account Description Current PeriodBalance Sheet

Current Year Y-T-DRevenue/Expense Current Year Y-T-D

Encumbrance Current Year Y-T-D

Current Year Budget Plan

% of Plan YTD

305002 Fund Balance - Continuing Appr 0.00 (40,000.00) Accumulation of net income/loss from prior years

305804 Fund Bal Current Year Distrib 0.00 (5,000.00) E Distribution from Fund Balance - Continuing Appr to cover insufficient revenues per budget

0.00%

501005 Student Fee One (45,850.00) (721,500.00) A 0.00 (672,200.00) D 107.33% A/D504804 Augment Lab (2,000.00) (25,000.00) A 0.00 (30,000.00) D 83.33% A/D504805 Sales (3,400.00) (45,000.00) A 0.00 (65,000.00) D 69.23% A/D504810 ALCI (100.00) (3,000.00) A 0.00 (4,000.00) D 75.00% A/D504811 Retail (500.00) (2,000.00) A 0.00 (3,000.00) D 66.67% A/D507001 SMIF Interest 0.00 (500.00) A 0.00 (800.00) D 62.50% A/D501808 Student Fee Waiver 0.00 7,000.00 A 0.00 0.00 D 0.00% A/D

Revenues (51,850.00) (790,000.00) A 0.00 (775,000.00) D 101.94% A/D

601300 Salaries Support Staff 47,000.00 350,000.00 B 0.00 480,000.00 D 72.92% B/D601302 Salaries Special Consultants 0.00 26,000.00 B 0.00 44,000.00 D 59.09% B/D603000 Benefits 0.00 0.00 B 0.00 196,000.00 D 0.00% B/D603001 Benefits OASDI 475.00 20,000.00 B 0.00 0.00 D 0.00% B/D603003 Benefits Dental Insurance 200.00 7,000.00 B 0.00 0.00 D 0.00% B/D603004 Benefits Health & Welfare 400.00 50,000.00 B 0.00 0.00 D 0.00% B/D603005 Benefits Retirement 500.00 60,000.00 B 0.00 0.00 D 0.00% B/D603009 Benefits Non-Indust Disability 10.00 400.00 B 0.00 0.00 D 0.00% B/D603011 Benefits Life Insurance 5.00 200.00 B 0.00 0.00 D 0.00% B/D603012 Benefits Medicare 210.00 5,000.00 B 0.00 0.00 D 0.00% B/D603013 Benefits Vision Care 100.00 900.00 B 0.00 0.00 D 0.00% B/D603014 Benefits LT Disability Insur 50.00 400.00 B 0.00 0.00 D 0.00% B/D603015 Benefits Flex Cash 50.00 2,000.00 B 0.00 0.00 D 0.00% B/D604001 Telephone Usage 0.00 7,000.00 B 0.00 0.00 D 0.00% B/D613001 Cont Serv Consulting Services 0.00 6,000.00 B 500.00 0.00 D 0.00% B/D616002 Info Tech Hardware 1,000.00 15,000.00 B 0.00 0.00 D 0.00% B/D616005 Misc Info Tech Costs 0.00 2,000.00 B 0.00 0.00 D 0.00% B/D660002 Printing 0.00 11,464.00 B 0.00 0.00 D 0.00% B/D660003 SupSrv Other 0.00 7,400.00 B 4,000.00 60,000.00 D 12.33% B/D660010 Insurance Premiums 0.00 10,000.00 B 0.00 0.00 D 0.00% B/D660040 Bad Debt Expense 0.00 96.00 B 0.00 0.00 D 0.00% B/D

Expenditures 50,000.00 580,860.00 B 4,500.00 C 780,000.00 D 74.47% B/D

NET (INCOME) \ LOSS (209,140.00) A+B305804 Fund Bal Current Year Distrib Designated amount from fund balance (5,000.00) E 0.00 0.00

LESS ENCUMBRANCES 4,500.00 CENDING FUND BAL AVAILABLE Total fiscal year activity (209,640.00) A+B+E-C

Actuals - moves to fund balance on June 30

~Revenues~

~Summary~

~Expenditures~

Actuals are higher than estimated. Revise budget plan to help in decision making.

Expenses are lower than estimated. Adjust budget plan to help in decision making.

Fiscal Year Operations

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Budget Scenario BTrial Balance by Fund

For Fund: 99999 - Cash Trust TrainingAs of 03-31-2008Run Time and Date: April 28, 2008 14:14:14



Encumbrance Current Year Y-T-D


% of Plan YTD

305002 Fund Balance - Continuing Appr 0.00 (45,000.00) Accumulation of net (income)/loss from prior years

305804 Fund Bal Current Year Distrib 0.00 0.00 E Distribution from Fund Balance - Continuing Appr to cover insufficient revenues per budget

0.00%

501005 Student Fee One (45,850.00) (721,500.00) A 0.00 (892,200.00) D 80.87% A/D504804 Augment Lab (2,000.00) (25,000.00) A 0.00 (30,000.00) D 83.33% A/D504805 Sales (3,400.00) (45,000.00) A 0.00 (65,000.00) D 69.23% A/D504810 ALCI (100.00) (3,000.00) A 0.00 (4,000.00) D 75.00% A/D504811 Retail (500.00) (2,000.00) A 0.00 (3,000.00) D 66.67% A/D507001 SMIF Interest 0.00 (500.00) A 0.00 (800.00) D 62.50% A/D501808 Student Fee Waiver 0.00 7,000.00 A 0.00 5,000.00 D 140.00% A/D

Revenues (51,850.00) (790,000.00) A 0.00 (990,000.00) D 79.80% A/D

601300 Salaries Support Staff 47,000.00 350,000.00 B 0.00 350,000.00 D 100.00% B/D601302 Salaries Special Consultants 0.00 26,000.00 B 0.00 26,000.00 D 100.00% B/D603000 Benefits 0.00 0.00 B 0.00 196,000.00 D 0.00% B/D603001 Benefits OASDI 475.00 20,000.00 B 0.00 0.00 D 0.00% B/D603003 Benefits Dental Insurance 200.00 7,000.00 B 0.00 0.00 D 0.00% B/D603004 Benefits Health & Welfare 400.00 50,000.00 B 0.00 0.00 D 0.00% B/D603005 Benefits Retirement 500.00 60,000.00 B 0.00 0.00 D 0.00% B/D603009 Benefits Non-Indust Disability 10.00 400.00 B 0.00 0.00 D 0.00% B/D603011 Benefits Life Insurance 5.00 200.00 B 0.00 0.00 D 0.00% B/D603012 Benefits Medicare 210.00 5,000.00 B 0.00 0.00 D 0.00% B/D603013 Benefits Vision Care 100.00 900.00 B 0.00 0.00 D 0.00% B/D603014 Benefits LT Disability Insur 50.00 400.00 B 0.00 0.00 D 0.00% B/D603015 Benefits Flex Cash 50.00 2,000.00 B 0.00 0.00 D 0.00% B/D604001 Telephone Usage 0.00 7,000.00 B 0.00 0.00 D 0.00% B/D613001 Cont Serv Consulting Services 0.00 6,000.00 B 500.00 0.00 D 0.00% B/D616002 Info Tech Hardware 1,000.00 15,000.00 B 0.00 0.00 D 0.00% B/D616005 Misc Info Tech Costs 0.00 2,000.00 B 0.00 0.00 D 0.00% B/D660002 Printing 0.00 11,464.00 B 0.00 0.00 D 0.00% B/D660003 SupSrv Other 0.00 7,400.00 B 4,000.00 7,000.00 D 105.71% B/D660010 Insurance Premiums 0.00 10,000.00 B 0.00 0.00 D 0.00% B/D660040 Bad Debt Expense 0.00 96.00 B 0.00 0.00 D 0.00% B/D

Expenditures 50,000.00 580,860.00 B 4,500.00 C 579,000.00 D 100.32% B/D

NET (INCOME) \ LOSS (209,140.00) A+B305804 Fund Bal Current Year Distrib Designated amount from fund balance 0.00 E 0.00 0.00

LESS ENCUMBRANCES 4,500.00 CENDING FUND BAL AVAILABLE Total fiscal year activity (204,640.00) A+B+E-C

Actuals - moves to fund balance on June 30

~Revenues~

~Summary~

~Expenditures~

Actuals are significantly lower than estimated. Budget should be revised to help in decision making.

Expenditures higher than estimated. Budget plan should be revised to help in decision making.

19

AS/UBO/2008

Most common mistakes: 1) Not waiting until the notice that the month has closed 2) Not specifying the last day of the month for the “As Of” date 3) Both of the above!

20

AS/UBO/2008Managing a Trust/Special Project

Reconciliations should be done monthly.

� Not until the announcement is made that the month has closed. � Run reports using the last day of the month for the As Of Date: � It is at this time that the amounts in the trial balance and the DFA will match (using the same month end dates for running both).

Review actual revenues.

� Revenue received is in parentheses. � Are actual revenues on track to meet your revenue target by the end of the year? Some revenues flow in monthly, while the bulk of

others may be received in two or three key months of the year. Knowing your revenue stream is important in helping you understand how you are doing on a monthly basis. You may have a low revenue number for a particular month, but that may be normal for a trust that has large revenues, say in August and January.

� If your fund is subject to waivers and/or refunds, it is important to review these amounts, as they reduce your revenue, which in turn reduces your amount available to spend.

� Did you receive any interest? Any transfers-in? This would increase revenue available for expenditures. Review actual expenditures.

� Are actual expenditures on track to meet your budget plan at the end of the year? Do the expenses in one account look too high? Too low?

� There are monthly expenses, such as payroll, benefits, telephone, etc. Then there are expenses that don’t occur each month, such as purchase orders that are expensed, chargebacks, contract services, printing, etc. Transfers-out are an expenditure.

Net (Income)/Loss.

� You want this amount to be in parentheses, as that means you have collected more revenue than you have spent. � If it isn’t n parentheses, your fund has a deficit balance. You must review anticipated revenues and expenses to see why.

Fund Bal Current Year Distribution.

� Is this the amount you designated? Is the amount indicated at the bottom of the trial balance the same as stated in the top part of the trial balance?

� Add this amount to your Net (Income)/Loss figure. What is your balance now? � You didn’t designate any amount originally, but now you need to? Fill out the form, Request for Use of Fund Balance for Current

Year Distribution and submit to the University Budget Office.

Encumbrances. � Deduct this amount from your Net (Income)/Loss, as these are committed but not yet expensed. These will become part of your

total expenditures, as they will be expensed by the end of the year. Ending Fund Bal Available.

� This ending balance should be in parentheses, meaning revenues (plus any fund balance distribution) are higher than expenditures. � If you are going to end the year in a deficit (number has no parentheses), you need to request that a designated amount of your fund

balance be transferred to current year distribution and/or reduce future expenses for use to offset the deficit.

21

AS/UBO/2008

22

Trial Balance by FundFor Fund: 4XXXX SAMPLE TRUST FUNDAs of: 03-31-2008Run Time and Date: 04-17-2008 10:12:23



Encumbrance Inception to Date I-T-D


% of Plan YTD

49.41%101006 Cash In Agency Accounts-Banks 0.00 0.00108090 Investments Other - Non-State (62.80) 12,964.10

Current_Assets (62.80) 12,964.10

Non_Current_Assets 0.00 0.00

Total Assets (62.80) 12,964.10

201001 AP Accounts Payable 0.00 0.00Current_Liabilities 0.00 0.00

Non_Current_Liabilities 0.00 0.00

Total Liabilities 0.00 0.00

305002 Fund Balance - Continuing Appr 0.00 (1,753.95)305022 Fund Bal Clearing 0.00 1,734.00305803 Fund Bal Clearing Payroll 0.00 (1,734.00)305804 Fund Bal Current Year Distrib 0.00 (22,340.32)

Fund_Equity 0.00 (24,094.27)0.00%

580005 Project Revenue 0.00 (9,881.23) 0.00 (20,000.00) 49.41%Revenues 0.00 (9,881.23) 0.00 (20,000.00) 49.41%

601303 Salaries SupStf Student Assist 0.00 1,734.00 0.00 0.00 0.00%606001 Travel-In State 0.00 85.52 0.00 0.00 0.00%660001 Postage & Freight 10.00 40.00 0.00 0.00 0.00%660002 Printing 52.80 313.03 0.00 500.00 62.61%660003 SupSrv Other 0.00 17,753.18 0.00 39,840.32 44.56%660025 Overhead Chancellor's Office 0.00 317.12 0.00 0.00 0.00%660820 Other Hospitality 0.00 768.55 0.00 2,000.00 38.43%

Expenditures 62.80 21,011.40 0.00 42,340.32 49.63%

NET (INCOME) \ LOSS 11,130.17305804 Fund Bal Current Year Distrib 0.00 (22,340.32) (22,340.32) 0.00 0.00

LESS ENCUMBRANCES 0.00ENDING FUND BAL AVAILABLE (11,210.15)

AS/UBO/2008

23






% of Plan YTD

#REF!101006 Cash In Agency Accounts-Banks 0.00 0.00108090 Investments Other - Non-State (62.80) 12,964.10



Total Assets (62.80) 12,964.10





Fund_Equity 0.00 (24,094.27)0.00%

AS/UBO/2008

24






% of Plan YTD

49.41%



Expenditures 62.80 21,011.40 0.00 42,340.32 49.63%



AS/UBO/2008

25

BALANCE SHEET"SAVINGS" (TOP of Trial Balance)

Ongoing, Since Inception, From when Fund was established

ASSETS + Debit

LIABILITIES - Credit

RESERVES - Credit

FUND BALANCE - Credit

INCOME STATEMENT"CHECKING" (BOTTOM of Trial Balance)

Current Year Activity

REVENUES - Credit

EXPENSES + Debit

* "NORMAL" meaning financially solvent or "in the black."

TRUST FUND TRIAL BALANCE

NORMAL* BALANCES

During the year-end closing process,Total Revenues and Total Expenses

are closed out (transferred) to

Fund Balance - Continuing Appropriation.

At the beginning of the fiscal year (7/1),Revenues and Expenses start off at zero.






% of Plan YTD




Total Assets (62.80) 12,964.10





Fund_Equity 0.00 (24,094.27)0.00%



Expenditures 62.80 21,011.40 0.00 42,340.32 49.63%



AS/UBO/2008

26

All accounting entries have two sides which net to zero " + " = " - "

Revenue - Example 1Registration / FEES Assessed / AR Billing

Dr + Accounts Reveivable

Cr - Fee Revenue (increases NET)

Revenue - Example 2FEES or Invoice Payment Received

Dr + Cash (deposited)

Cr - Accounts Reveivable

Revenue - Example 3Refund Fees or Other Revenue

Dr + Revenue (decreases NET)

Cr - Cash (disbursed)

Expense - Example 4Travel Expense

Dr + Expense (decreases NET)Cr - Cash (disbursed)

Expense - Example 5

Equipment or Supplies (when invoice is paid)Dr + Expense (decreases NET)

Cr - Cash (disbursed)

Note: PO not yet paid shows as Encumbrance and… are deducted from NET for End FB.

TRUST FUND TRIAL BALANCE

REVIEW OF ACCOUNTING ENTRIES






% of Plan YTD




Total Assets (62.80) 12,964.10





Fund_Equity 0.00 (24,094.27)0.00%



Expenditures 62.80 21,011.40 0.00 42,340.32 49.63%



AS/UBO/2008

27

FUND BALANCE DISTRIBUTION JULY AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUNE FY TOTAL

INITIAL START-UP

0.00

ONGOING OPERATION

0.00

TOTAL REVENUE

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

INITIAL START-UP EXPENSES

0.00

ONGOING OPERATION

0.00

TOTAL EXPENSES

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

FUND BALANCE DISTRIBUTION JULY AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUNE FY TOTAL

INITIAL START-UP

0.00

ONGOING OPERATION

1,770.00 291,915.00 291,915.00 585,600.00

TOTAL INCOME/

REVENUE1,770.00 0.00 291,915.00 0.00 0.00 0.00 0.00 291,915.00 0.00 0.00 0.00 0.00 0.00 585,600.00

INITIAL START-UP EXPENSES

0.00

ONGOING OPERATIONS

45,576.00 49,965.00 49,065.00 49,065.00 49,139.00 49,989.00 48,740.00 49,240.00 49,240.00 50,090.00 49,240.00 46,251.00 585,600.00

TOTAL EXPENSES

0.00 45,576.00 49,965.00 49,065.00 49,065.00 49,139.00 49,989.00 48,740.00 49,240.00 49,240.00 50,090.00 49,240.00 46,251.00 585,600.00


TRUST/SPECIAL PROJECT CASH FLOW WORKSHEETCSUSM.200-4 (REV.4/2008) FISCAL YEAR 2008/2009

DEPT-CLASS

9999

IF INITIATING DURING A FISCAL YEAR, START FROM FIRST MONTH OF ACTIVITY AND COMPLETE BELOW FOR THE NEXT FULL FISCAL YEAR

Trust Sample Fund49XXX

TRUST/PROJECT NAMEFUND NUMBER

APPROVING AUTHORITY- AVP, DEAN OR ADMINISTRATOR SIGNATURE

PREPARED BY- PRINT NAME

✍ Sandy Beach

DATE

5/30/2008

COMPLETE FOR FULL FISCAL YEAR

GRAND TOTAL BOTH YEARS $0.00

SUBMITTED BY- ACCOUNT MANAGER SIGNATURE

✍ Sal l y Smith

DATE

5/28/2008Jane Doe, Admin Coordinator

EXTENSION

2318

AS/UBO/2008

TRUST/SPECIAL PROJECT CASH FLOW WORKSHEET

� Cash Flow Worksheet is the department’s estimate of revenues and expenses by

month for at least 12 months. � For ongoing funds, only the bottom section of the form is required and the top

portion in blank. � For new funds, top and bottom sections must be completed. Begin with the first

month of activity and project revenues and expenses for the current and next fiscal years.

� The GRAND TOTAL BOTH YEARS, a formula of Revenues minus Expenses, must not be negative. If the projection of Expenses exceeds that of Revenues, some or all of an existing Fund Balance might be considered for distribution to the current year. The “Request for Use of Fund Balance for Current Year Distribution” form is used for obtaining approval.

� Account Manager and Approving Authority (Dean/Administrator) sign the Cash Flow Worksheet in addition to the Agreement form.

28

AS/UBO/2008

29

BUDGET BY ACCOUNT BY MONTH for Cash Flow Worksheet

Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun FY08/09601300 2,400 2,400 2,400 2,400 2,400 2,400 14,400601300 2,501 2,501 2,501 2,501 2,501 2,501 15,006601300 3,700 3,700 3,700 3,700 3,700 3,700 3,700 3,700 3,700 3,700 3,700 3,700 44,400601300 3,200 3,200 3,200 3,200 3,200 3,200 3,200 3,200 3,200 3,200 3,200 3,200 38,400601300 3,676 3,676 3,676 3,676 14,704601300 3,750 3,750 3,750 3,750 3,750 3,750 3,750 3,750 30,000601300 4,100 4,100 4,100 4,100 4,100 4,100 4,100 4,100 4,100 4,100 4,100 4,100 49,200601300 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 60,000601300 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 36,000601300 4,000 4,000 4,000 4,000 4,000 4,000 4,000 4,000 4,000 4,000 4,000 4,000 48,000601300 2,989 2,989 2,989 2,989 2,989 2,989 2,989 2,989 2,989 2,989 29,890601302 200 200 200 200 200 200 200 200 200 200 2,000601302 300 300 300 300 300 300 300 300 300 300 3,000603000 11,717 11,717 11,717 11,717 11,717 11,717 11,717 11,717 11,716 11,716 11,716 11,716 140,600660003 450 450 450 1,350660003 450 400 400 1,250660003 4,783 4,783 4,783 4,783 4,783 4,783 4,783 4,783 4,784 4,784 4,784 4,784 57,400

45,576 49,965 49,065 49,065 49,139 49,989 48,740 49,240 49,240 50,090 49,240 46,251 585,600

AS/UBO/2008

30

Cal State San Marcos Request for Distribution of Fund Balance

For Current Year Use Please attach a copy of the most recent trial balance for this fund. Requestor/Contact Name Phone

Trust Fund Title

Trust Fund Number Distribution for Fiscal Year

Department Division

Current Fund Balance – Continuing Appropriation: $

Distribution Request for Current Year Use: $

Identify reason these funds are needed (justification):

Account Manager: Signature Date Dean/AVP/Administrator: Signature Date Provost/Vice President: Signature Date

FUND AVAILABILITY CONFIRMATION:

Signature ( Trust Accountant )

Notes ________________________________________________________________________________________

For Accounting Services Use

Approval Disapproval Director, Accounting & Technology Services: Signature Date

AS/UBO/2008

TRUST PACKET SUBMISSION

DISTRIBUTION ELECTRONIC FILES TO [email protected] and [email protected] PAPER ORIGINALS TO:

1. Account Manager 2. Dean/AVP/Administrator 3. Provost/Vice President 4. Accounting Services: Trust Fund Accountant 5. Director, Accounting & Technology Services 6. Copy of fully-executed Agreement to Account Manager 7. Copy of fully-executed Agreement to Budget Office 8. Original fully-executed packet maintained by Accounting

31

AS/UBO/2008

TRUST FUNDS

QUESTIONS ?

Karen Risley [email protected] x 4465 Liz Rojas [email protected] x 4462

Thank you !

32

as/ubo/2008 2008 trust / special project trainingapril 28 th 2:00 – 4:00 p.m.lib2413april 29 th...

Documents

budget office slide

trust projects

unique trust project

trustspecial project

accounting purposes

positive cash balance

positive fund balance

california state university