fiscal year-end procedures - aasbo · fiscal year-end 2014 closing schedule payroll/insurance...

FISCAL YEAR-END

PROCEDURES AASBO MENTOR MEETING

SEPTEMBER 18, 2014

Karen O’Bannon, CSFO

Madison County Schools

[email protected]

Fiscal Year-End

Recording revenues and expenditures in the

correct fiscal year is critical to the accuracy

of fiscal year end reports and financial

statements. And accurate reports and

statements must be balanced with the

necessity to close the fiscal year and open

the new fiscal year as quickly as possible.

Year-End Procedures

• Closing Schedule

• Cut-off Purchase Orders

• Out of County Vendors

• In County Vendors

• A/P deadlines

• Final check runs

• Record any Receivables

• Receipts due at 9/30/2014

• Record any Payables

• Anything owed by the system at 9/30/14

• Void Stale Dated Checks

• Review Outstanding Purchase Orders/Encumbrances

Year-End Procedures

• Run T/B by Fund and by Funding Source

• Verify that Books are in Balance

• Search for negative balances – J/E

• Adjust Inventory for actual at 9/30/14 - CNP

• Adjust Outstanding Debt

• Adjust Capital Projects (Book PSCA Funds)

• Adjust Federal Programs (Accruals)

• Balance Interfund Receivables and Payables

• Balance Transfers In/Transfers Out

• Balance Indirect Costs

Year-End Procedures

• Prepare or Run Detail Reports for Receivables, Payables,

Capital Assets, etc.

• Review Budget to Actual

• Complete Desk Review for State

• State Allocations

• Federal Allocations

• Supplemental Reports

Madison County Board of Education

Fiscal Year-End 2014 Closing Schedule

Final Check Runs to Close FY 2014:

• Tuesday, September 30th and

• Wednesday, October 8th

Federal Programs Checklist: • Void all outstanding purchase orders by September 30th

• Submit federal program expense vouchers and invoices to Central Office by September 30th to be

paid on October 8th

• Verify that program costs do not exceed 10%

• Verify that administrative costs do not exceed allowable percentage

• Prepare ES-2 and reconcile to books at year-end (Accounting Supervisor)

• Prepare required financial and supplemental reports (Accounting Supervisor)



Purchasing/Accounts Payable: • Research the status of all outstanding purchase orders to be voided or paid

• Submit all warehouse delivery tickets dated in September to Business Office by September 30th

• Submit control sheets for maintenance and transportation purchase orders

• Set up purchase order file for October 1, 2014, new fiscal year file

• Pay all equipment invoices by September 30th

• Ensure that materials received on outstanding purchase orders are invoiced by September 30th

• Provide detail of any outstanding invoices not paid by October 8th to accrue at 09/30/14

Maintenance/Transportation: • Ensure that all maintenance/transportation purchase orders have either been voided or invoices

have been received by September 30th

• Submit expense vouchers by September 30th to be paid October 8th

• Submit parts and fuel reports for August and September to the Central Office by October 17th



Payroll/Insurance Checklist: • Pay all invoices for life insurance/insurance allocations, etc., on September 30th

• Complete all deduction checks by September 30th and enter into computer

• Run additional payroll for subs/contract work dated on or before September 30th

• Generate reports for compensated absences at September 30, 2014 for Funds 11 and 12 (Payroll Manager)

• Generate reports for payroll (salary) accruals at September 30, 2014 – NextGen instructions to follow (Payroll Manager)

Fixed Assets/Capital Assets Checklist: • Prepare detail listing of

• Additions for Object Codes 500-599

• Deletions for Object Codes 500-599

• Donations

• Enter all capitalized equipment to fixed assets detail by October 10th (CSFO)

• Prepare detail of construction and construction in progress (CSFO)

• Reconcile additions to general fixed assets with general ledger object codes 500-599 (CSFO)

• Reconcile PSCA construction contracts to general ledger by October 11th (CSFO)

• Print detail of real and personal property (capitalized fixed assets only)



Child Nutrition Program (CNP) • Inventory commodities and purchased food on September 30th, and submit by October 3rd (CNP

Supervisor)

• Complete and file USDA reimbursement by October 3rd (CNP Supervisor)

• Invoice schools for daycare snacks by September 30th

• Calculate and pay fringe benefits on October 8th

• Pay CNP expense vouchers and invoices dated in September by October 8th (Accounts Payable)

• Pay indirect cost on October 8th (Accounts Payable)

• Upload all deposits by October 3rd

• Submit After School Snack Receivable by October 10th

• Submit interest from bank statement by October 10th

• Analyze and prepare journal entries for Over/Short by October 10th

• Balance Deferred Revenue by October 10th (PAYPAMS)

• Submit PAMS PAYMENT journal entries by October 3rd

• Bank account reconciled to general ledger by October 17th

• Submit Detail Return Check Listing by October 17th

• Submit Detailed Outstanding PAMS Listing by October 17th



Local School Accounting Checklist: • Ensure all local school invoices have been paid before closing September books including Day Care

Snack invoices

• Obtain bank verification for balances on investments (certificates of deposit) and post interest

earned to books before closing

• Download all LSA financial reports by October 3rd (print extra copy of September reports for State

Examiners)

• Submit all checks for deposit to the Central Office by October 3rd (payroll, local schools, other

outside sources)

• List all LSA 2013-2014 prior year adjustments

• List all LSA loans (interfund and bank loans)

• Provide bank confirmations for balances on bank loans

• Prepare accrued interest on loans as provided from banks as of September 30, 2014

• Obtain SAFE certificates from banks at September 30, 2014

• Prepare FY2014 Schedule of Debt (Central Office)

Local School

Fiscal Year-End Checklist • Establish a cutoff date for Issuing Purchase Orders in September

• Review all Open Purchase Orders in September

• Review all Activities – consider negative balances

• Clear out any J/E’s in Process

• Redeposit all change cash unless unavoidable due to games • Run a Balance Sheet Report to show if you have Change Cash out before you start to close

• Review for any open invoices • Run a Balance Sheet Report to see if any liabilities are showing on your books and if so, you either have an interfund loan or open invoices

(interfund loan is okay but no open invoices should be showing)

• Follow up on all outstanding checks to see why they have not cleared the bank. • Remember if you need to void a check from this fiscal year after the fiscal year is closed you will need to follow a different procedure

(it is simpler to void before the fiscal year close)

• Collect all Teacher Receipt cards on September 30th; reissue new ones on October 1st or whenever needed

• Reconcile all fundraisers

• Post interest to include Checking, Savings, and CD accounts

• Pay special attention to the fixed asset report (journal entries listing for object code 491-599) • Verify that all entries are posted to the correct journal number and that all journal entries have been posted

• All checks issued to the Madison County Board of Education must be received on or before October 3, 2014

• Provide PTA/PTO with the GASB form

THOSE WITH ALLOCATION TRACKING MUST ALSO CLOSE AND RECONCILE ALLOCATION TRACKING.


Capital Assets Workpaper

September 30, 2013

Additions/ Deletions/

Balance Reclassifications/ Reclassifications/ Balance

10/1/2012 Adjustments Adjustments 9/30/2013

Capital Assets:

Land 6,198,324.55 - - 6,198,324.55

Land Improvements 3,210,623.98 - - 3,210,623.98

Buildings 207,608,103.59 528,508.78 - 208,136,612.37

Building Improvements 41,660,089.31 9,238,589.62 - 50,898,678.93

Vehicles 10,863,588.94 1,062,647.82 753,120.84 11,173,115.92

Equipment and Furniture 7,020,161.54 672,204.33 68,511.58 7,623,854.29

Assets Under Capital Lease 6,967,426.72 - - 6,967,426.72

Construction in Progress 1,245,483.46 7,948,336.21 266,960.76 8,926,858.91

Total 284,773,802.09 19,450,286.76 1,088,593.18 303,135,495.67

Capital Outlay - Real Property 17,448,473.85

Capital Outlay - Personal Property 1,702,003.15

Reclassification from Construction-

In-Progress for completed projects 266,960.76 266,960.76

Donations - Personal Property 32,849.00

True Deletions 821,632.42

Total Additions 19,450,286.76 1,088,593.18


Long-Term Debt as of September 30, 2013

The following is a summary of general long-term debt transactions for the Madison

County Board of Education for the year ended September 30, 2013:

Debt Outstanding Issued/ Repaid/ Debt Outstanding

10/1/2012 Increased Decreased 9/30/2013

Governmental Activities

Warrants and Notes Payable:

Capital Outlay School

Warrants:

Series 2005-A 12,030,000.00 11,680,000.00 350,000.00

Series 2006 16,420,000.00 16,420,000.00

Series 2009-A 38,955,000.00 38,955,000.00

Series 2011-B 19,345,000.00 19,345,000.00

Refunding Tax

Anticipation Warrants:

Series 2005-B 6,060,000.00 1,425,000.00 4,635,000.00

Series 2010-A 11,745,000.00 725,000.00 11,020,000.00

Series 2010-B 5,470,000.00 725,000.00 4,745,000.00

Series 2013 12,400,000.00 60,000.00 12,340,000.00

Capital Outlay and

Refunding Tax


Series 2011-A 22,690,000.00 22,690,000.00

Capital Outlay Tax


Series 2012-A Pool Warrant 2,677,691.49 205,197.43 2,472,494.06

Series 2002 TVA Warrant 186,000.00 186,000.00

Series 2013-A and 2013-B 13,415,000.00 13,415,000.00

Series 2013 Pool Warrant 26,812,500.00 26,812,500.00

Warrants Payable 135,578,691.49 52,627,500.00 15,006,197.43 173,199,994.06

Long-Term Notes Payable 648,002.75 1,250,000.00 47,978.33 1,850,024.42

Capital Lease Contracts Pay. 4,447,241.77 685,901.40 3,761,340.37

Governmental Activity Long-

Term Liabilities $140,673,936.01 $53,877,500.00 $15,740,077.16 $178,811,358.85

Principal Expenditures - $4,400,077.16 Note Proceeds (Buckhorn High) - $450,000.00

(Obj. code 931) Note Proceeds (Madison Co. High) - 150,000.00

Defeased Debt 11,340,000.00 Note Proceeds (New Hope High) - 400,000.00

(Series 2005-A) Note Proceeds (Sparkman High) - 250,000.00

Total $15,740,077.16 Total $1,250,000.00

Year-End Checklist

Local School Accounting

Getting Ready for Auditors/Examiners

• CIS/Fee Replacement Files are in order.

• All purchase orders are signed and dated.

• All checks have correct supporting documentation (i.e. original invoice,

original receipt, etc.)

• All invoices are stamped “PAID” . (Be careful of multiple invoices stapled to

one check.)

• Travel advances have been reconciled.

• Travel reimbursements have supporting documentation (copy of agenda,

copy of registration, etc.)

• All gate receipts/ticket sales are reconciled and documented.

• All Fundraisers are balanced and reconciled.

• Monthly files are in good order (Receipts, Disbursements, and Bank

Reconciliations).

Fiscal Year End Additional Reports

(Auditor’s Reports)

Please send an additional copy of the following reports to the Central Office:

- Bank Statement (signed by Principal)

- Bank Reconciliation with Journal entries (signed by Principal)

- Principal’s Report

- Balance Sheet

- Monthly Financial Report (signed by Principal)

- Open PO Report by PO number

- Copy of all NON-PUBLIC Activities (Detailed Report periods 1-12)

- SAFE Certificate

- PTA/PTO GASB memo

- Copy of Leases

GASB (Governmental Accounting Standards Board)

Summaries/Status

Starting a New Fiscal Year

Requisitions and Purchase Orders:

On October 1 you may begin entering requisitions and purchase orders for the

new fiscal year. Call the CSFO or designee before you begin to initialize default po

prefix.

Please pay special attention to the following:

1. Requisitions must be dated October 1 or later. Requisitions cannot be dated prior to

October 1.

2. When entering the first purchase order pay special attention to the PO prefix to make

sure it is defaulting to the correct new fiscal year. If not – stop and call CSFO or

designee.

3. Check all dates, especially the posting date, on the screen to make sure they are

October 1 or later. None of these dates can be prior to October 1.

PO Prefix Change

PO Prefix Change Continued

PO Prefix Change Continued

At this point Reload System Variables

MCAI Functions (at the top)

Reload System Variables

Finally check your PO program to be sure it defaults to 15 and not 14

System Control

Default each user to PO prefix for new year

Questions and Answers?

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