SAM99 Session 1 - Overview

SAM99Session 1 - Overview

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Business Requirement

• Section 7900 of the State Administrative Manual (SAM) requires state agencies to prepare a monthly reconciliation of

• Receipts & Disbursements• Budget Balances

to the State Controller’s Office records

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SAM99 Primary Functions

• The SAM99 is a tool that was created for the CSU to meet State mandated reconciliation requirements by…

• Comparing Receipts and Disbursements processed at the State Controller’s Office to Receipts and Disbursements recorded by the Campus - R&D Recon

• Comparing Balances of funds available at the State Controller’s Office to Budget Balance Available on Campus records – BBA Recon

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Primary Functions-Illustrated

• Sample Campus Transaction Activity…

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• SAM 6 Presentation of Activity…

Balance = Budget – (Actuals + Encumb)

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• Trial Balance Presentation of Activity…

$200 Vendor Payments processed through SCO Claims

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• Sample SAM99 with Sample Activity

Receipts/Disbursements Balance

Account Balance SCO 200.00$ (800.00)$

Reverse: Agency PY Accruals -$ -$

Apply Agency CY Accruals (Campus Books) Cash (100.00)$ (100.00)$ Accounts Receivable (120.00)$ (120.00)$ Accounts Payable 436.00$ 436.00$ Total Agency CY Accruals (Campus Books) 216.00$ 216.00$

Net Expenditures (SCO Adjusted) 416.00$

Unexpended Balance (SCO Adjusted) (584.00)$

Campus Records Revenue -$ Expense 416.00$ EquityTotal Campus Records 416.00$ 584.00$

Warnings:Campus Records total does not equal expendituresCalculated unexpended balance does not = Campus records total balance

Top Right Section: Adjusts the SCO Cash Basis "Receipts & Disbursement" and "Balance" for Campus Accrual Basis activity

Bottom Right Section: Reports Campus Accrual Basis Revenue and Expense activity

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• SAM99 Relationship to SAM6

Budget Actuals Encumbance Balance1,000.00$ 416.00$ -$ 584.00$

SAM 6

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• SAM99 Relationship to Trial Balance











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Top Section

Bottom Section

Orientation with SAM99 Layout

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SAM99Session 2 – Errors and Meaning

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• Simply stated, the SAM99 brings together SCO Records and Campus Records to compare…

• Receipts and Disbursements

• Balances of Funds Available

• To enable campuses to meet SAM Section 7900 Business Requirements

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• SCO Records - Receipts, Disbursements and Balance Available as displayed on the Tab Run

Disbursements

Receipts

Year to Date

Activity

BBA

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SAM99 Primary Functions Recon

SCO R&D and BBA Same as

Tab Run

SCO R&D and BBA Adj by Campus

Accruals

Campus R&D and BBA

Displayed on SAM99

SCO and Campus Records Compared

R&D Recon & BBA Recon

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Transaction Flow and Overview

• Today’s World - Campus R&D Transactions processed at the State Controller’s Office (SCO) include…

• Claims• Payroll• Plans of Financial Adjustment• Controller’s Transfer

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Transaction Flow and Overview

• Typical flow of Transactions processed at the SCO - The Rules of the Game -

• Campus Records R&D Transaction• Campus offsets R&D Transaction with an Accrual

• Campus submits Transaction to the SCO

• When the SCO processes R&D Transaction…• Campus clears Accrual against Fund Balance Clearing

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What is Fund Balance Clearing?• Used to record receipts and disbursements on the

campus records that flow thru the State Controller • Transactions in governmental funds flow thru the SCO• The year to date activity in Fund Balance Clearing on the

campus records must equal the year to date amount on the SAM99 Tape for SCO Receipts and Disbursements.

• Any differences are reported by the SAM99 in the warning message “Campus Records Total does not equal Expenditures”

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Fund Balance Clearing

• For any funds managed at the State Controller, where the campus submits claims, PFA’s, payroll, etc, the campus must post these transactions to Fund Balance Clearing

• FIRMS Object 305022• State GL 5570

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Summary

• In other words, the difference in the campus records current year activity amount in Fund Balance Clearing and the amount on the SAM99 Monthly File for SCO Receipts and Disbursements equals the out of balance amount on the expenditure warning message.

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SAM99 Warning Messages

• When adjusted SCO Receipts/Disbursements does not equal the campus Receipts/Disbursements, the SAM99 prints a Warning and calculates the difference

• WARNING: Campus Records Total does not Equal Expenditures Difference is $

• When the adjusted SCO Balance does not equal the campus BBA amount, the SAM99 prints a Warning and calculates the difference

• WARNING: Calculated Unexpended Balance does not Equal Campus Records Total Balance Difference is $

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• “Campus Records Total does not Equal Expenditures”• This warning is associated with the first reconciliation

requirement from SAM 7900…• The reconciliation of total Receipts/Disbursements on

campus books to total Receipts/Disbursements processed by the SCO, adjusted by campus Assets and Liabilities – also referred to as “Accruals”

• Year to date R&D activity on the Controller’s books is compared to year to date R&D activity on the campus books

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• “Calculated Unexpended Balance does not equal Campus Records Total Balance”

• This warning is associated with the second reconciliation requirement from SAM 7900…

• The State Controller’s Balance adjusted by campus Assets and Liabilities (Accruals) is compared to campus Budget Balance Available - Campus Budget Balance Forward adjusted by current year Receipts Disbursements and Encs

• The balance of funds remaining on the Controller’s books is compared to the balance of funds remaining on the campus books

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• The Receipts/Disbursements warning is the result of an issue related to R&D Transactions

• When there is a warning for R&D, there will be a warning for BBA• Reason: BBA is a calculation that is impacted by R&D

transactions

• Usually, you receive both messages for the same dollar amount

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SCO Total R&D

Campus Assets & Liabilities

Adjusted SCO Total R&D

Campus total R&D

Expenditure Warning

R & D Presentation

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• When you receive a Receipts/Disbursements warning, find out…

• Was the Receipt/Disbursement recorded in the wrong fund?• If so, reclassify it to the correct fund

• Was the Receipt/Disbursement recorded in the correct fund?• If so, clear the Accrual against FBC• If not, record the Receipt/Disbursement against FBC

• When the R&D and BBA warnings are for the same $ amount, an Actuals Journal will resolve both warnings

• BBA is a calculation that is impacted by R&D transaction

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• Campus Receives Cash• Debit Cash Credit Revenue

• Campus Remits Cash to the SCO• Debit Remit in Transit Credit Cash

• SCO Posts Cash Remitted – Campus Does Not• Out of Balance Situation is created for R&D• Warning is generated on SAM99

• Actuals JE Needed: Clear the Accrual against FBC

• Debit Fund Bal Clear Credit Remit in Transit

R&D Example…

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R&D Example…• Disbursement was not recorded on campus books

• SCO posts AD NOAT - Campus Does Not

• Out of Balance Situation is created for R&D• Warning is generated on SAM99

• Actuals JE Needed: Record Disbursement directly against FBC

• Debit Expense Credit FBC


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• Review… One of the primary functions of the SAM99 is to reconcile Campus Receipts/Disbursements activity with Receipts/Disbursements processed by the SCO

• Campuses initiate R&D transactions and make Fund Balance Clearing entries when the SCO processes them

• For the SAM99, campus transactions that flow thru the SCO begin with R&D and end with Fund Balance Clearing

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BBA PresentationSCO Bal Available

Campus Assets & Liabilities

Adjusted SCO BBA

Campus BBA

BBA Warning


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• If you receive a BBA warning only, there is a difference between campus and SCO recorded Budget Balance amounts

• Remedy… Query the LEDGER_BUDG table to review campus budget entries and identify differences with the SCO

• Work closely with your Budget Office to review the issue• As appropriate, clear the difference with a Budget Journal

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• Common sources of BBA differences include:

• Not posting beginning net Budget balances• Not posting an Allocation Order or posting it for a different

amount or to a period different from the SCO • Not cross posting a remittance • Not posting special budget entries for funds that roll

Project to Date Receipts and Disbursements

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• If you receive R&D and BBA messages for different dollar amounts, it is the result of a combination of the previously mentioned scenarios

• Remedy… Correct each type of error individually using queries and Journals to resolve the issues

• Start with the suggested approach for the R&D error message • This strategy resolves all of the R&D difference, part of the BBA

difference and identifies the remaining BBA amount clearly

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SAM99 Business Process

• Campus Total G/L Amounts does not Balance to Campus Total Receipts• This is a SAM99 Technical Issue, not an Accounting

Issue• This indicates that your campus Trial Balance is out of

balance at the SCO Account Level• This error should be accompanied by an out of balance

condition on your SAM07 also• The most likely cause of this type of error is a bad AAT

key mapping

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SAM99 Business Process

“Campus Total G/L Amounts does not Balance to Campus Total Receipts”o Campus Account mapped to FIRMS Object

Category Value CSU_AAT_XLAT CSU_AAT_TBL

Join these tables by CSU_FIRMS_OBJ_CD field Don’t Join on EFFDT, set to Current Date Select ACCOUNT from CSU_AAT_XLAT Where CSU_SCO_GL_ACCT from CSU_AAT_TBL Is

equal to “00000000” or Is Null

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SCO Account Structure• Four common elements in SCO structure

• SCO Fund 0001• SCO Subfund 000• Year of Enactment 2005• SCO Apprn Ref 001

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SCO Account Types• SCO Account type drives the other descriptive

elements needed to identify a balance at the SCO.

• There are two kinds of SCO Account types: Detail and Summary.

• SCO Account types are used to pull data for comparison on the SAM99.

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SCO Account TypesValues and What they Mean…• Detail SCO Account Types

• D – Disbursing Account• F – Appropriated Reimbursements Account• T – CO only – (Transfer)• R – Revenue Account

• Summary SCO Account Types• C – A summarization of D, F and T account types for an

appropriation.• Q – The summarization of R account types.

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SAM99 Reconciliation Level

• The SAM99 process produces a page for all levels for all funds.

• Shaded column in the display on the next slide shows published reconciliation levels for each fund

Know your reconciliation levels – some pages produced can be used as a reference but do not need to be reconciled.

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SAM99 Reconciliation Level

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SAM99Session 3 – Transactions and Reconciliation

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SAM99 Monthly File (Tape)• SCO provides a file twice a month that contains an

electronic version of the tab run• Notification sent to campus• Download (FTP) from Teale data center

• SCO file is loaded into a Peoplesoft table using the SAM99 Tape Load process

• Summary data from table used to populate the “Account Balances per SCO Records” line on Sam99

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SAM99 Report & SAM99 Tape

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SAM99 Accrual File (Tape)• Electronic file from the SCO transmitted once every fiscal

year, usually in late April or early May.• File contains the summary accrual the SCO booked for

each appropriated fund• Based on data transmitted from each CSU Agency• May contain adjustments made by SCO

• Once the Accrual Tape is loaded use accrual reversal tape check box on SAM99 run control

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SAM99 Accrual Tape & SAM99

Until the Accrual Tape arrives from the SCO, an amount on this line is calculated from the records in period 0 of your ledger. The Accrual Reversal check box on the run control tells the program to pull the data for this line from the SCO data rather than your ledgers for appropriated funds.

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Review Transactions

• Manage the R&D and BBA Recons by reviewing transactions as they flow from Campus to the SCO

• To prepare for year end, Review Transactions routinely as the Fiscal Year progresses - Daily, Weekly and Monthly

• Campus Transaction Review• SCO Transaction Review

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Review Transactions

• Campus Transaction Review• Keep in mind… Campuses recognize the SCO has

processed an R&D transaction by making an entry to Fund Balance Clearing on campus books

• The review of Campus FBC Transactions can be facilitated by:

• Creating Unique Campus Accounts that map to Fund Balance Clearing

• Querying Journal Lines for FBC Object Code 305022 to ensure that campus books remain current with SCO transactions

• Using Journal Sources to isolate specific types of transactions that flow thru the SCO

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Review Transactions

• SCO Transaction Review• SCO Transactions can be reviewed by:

• Printing SCO Journals from ViewDirect• Viewing transactions through CIRS/SCO online

ACL Account detail• Analyzing transactions by querying the

CSU_SAM99_TAPE table after loading the SCO Monthly Tapes at mid month and at month end

• Printing the Tab Run provided to campuses each month from ViewDirect

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Review Transactions

• The State Controller uses Transaction Codes to summarize and identify different types of entries

• SCO entries are formatted to include a posting date, Transaction Code, posting reference and dollar amount

• Transaction Codes can be seen on the Tab Run, ViewDirect, CIRS/ACL Account Detail

• The CSU_SAM99_TAPE table captures Transaction Codes

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Review Transactions - Tab Run

SCO Transaction Codes displayed on Tab Run

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Review Transactions - CIRS/ACL Acct Detail

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Review Transactions – CSU_SAM99_TAPE

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Common SCO Transaction Codes• 23 – Budget/Adjustment – Cross Post• 24 – Budget/Adjustment – AO’s• 33 – Cancelled Warrant• 35 – Journal Entry – transmittal • 36 – Journal Entry (PFA)• 37 – Payroll Clearance• 38 – Payroll Accounts Receivable• 39 – No Warrant Transfer (Prison Industry/DGS)• 47 – Cash Remittance• 49 – Claim Schedule Reversal/Void• 50 – Claim Schedule

Review Transactions

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Peoplesoft Tables• Table populated by SAM99 Tape load =

CSU_SAM99_Tape• Monthly data tape type = M• Accrual data tape type = A• SCO Balance Type

• B – Beginning of the period calculated total• D – Detail Postings• E – End of the period calculated total

SCO Balance Types B & E do not have Transaction Codes• To see campus funds with SCO values =

CSU_FNAT_ALL_V1

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Review Transactions• Strategy: Bridge the gap between detail and summary by breaking the

SAM99 recon down into manageable components

• Position yourself well for Year End

• Associate SCO Transaction Codes with PeopleSoft Fund Balance Clearing Activity (TC-XX = 3058xx)

• Query campus FBC Journal Lines and tie campus activity to R&D transactions processed by the SCO

• Review transactions routinely as they flow from Campus to the SCO

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Manage Reconciling Factors

• When activity recorded in FBC on campus books does not match the amount of SCO Receipts and Disbursements on the SAM99, campuses must identify and resolve the Reconciling Factors that comprise the difference

• Correction Required• Timing Difference• Year End – No Timing Differences

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• Correction Required• Certain Reconciling Factors require immediate correction

• PFA coded inaccurately• Claim booked against the wrong fund• Transaction for another agency charged to yours

• Campuses should work with the SCO to resolve these issues promptly

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• During the year, campuses are required to Reconcile the SAM99 Identify all differences between campus and SCO

records - i.e. Reconciling Factors Manage their clearance

• Reconciling factors are often the result of a “timing difference” between the posting of transactions on campus records and the SCO’s

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• Creating Efficiency can cause a Timing Difference – Example…

• Claims entries post directly to FBC and create Reconciling Factors every month - Journal DR: Exp CR: FBC

• Claims entries can be identified easily by using a campus specific FBC account – 3058xx (same as SCO TC-50)

• These factors clear with the processing of the claim by the State Controller

• Result: SAM99 has out of Balance Warnings, but it is Reconciled

• It’s all about Managing the Reconciliation and Timing Differences throughout the Fiscal Year

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• Year End – No Timing Differences During the year, campuses are required to Reconcile the

SAM99 Identify differences between campus and SCO records Manage their clearance

At year end, campuses are required to Balance the SAM99

Eliminate all Reconciling Factors Accrue all Timing Differences Campus books must match the SCO’s at June 30

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Suggested Reconciliation Format• When reviewing SAM99 Warnings, it’s not always clear

what actions need to be taken to resolve Reconciling Factors

• Formatting your reconciliation can help

• To Reconcile, campuses should know…• Each individual component of a Warning Message• How each message will be resolved• Who will resolve it

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Suggested Reconciliation Format

• Sample Warning

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Suggested Reconciliation Format

• Suggested Reconciliation Format

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SAM99Session 4 – Year End Submission

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Summary• The SAM99 is a CSU mod that enables campuses to meet state

reconciliation requirements detailed in SAM Section 7900• R&D and BBA

• Campuses initiate R&D transactions, post them at a Detail Level for Campus Customers, and submit them to the SCO

• Campuses acknowledge that the SCO has processed their transactions by making Fund Balance Clearing entries

• Therefore… • Every SCO and FBC entry represents a campus R&D transaction at a

summary level and can be tied to a detailed Source Document

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Summary• Strategy: Break the SAM99 Recon down into manageable

components• Use PeopleSoft functionality to tie campus FBC entries to SCO

activity• Campus specific FBC accounts• Journal Sources• Query

• Review transactions routinely as they progress from R&D to FBC

• Reconcile Monthly – Display Reconciling Factors• Clear Reconciling Factors promptly• Accrue Timing Differences at Year End

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Create Year End SAM 99 File

• Create your year end file when your June SAM99 matches SCO records

• Be sure that….• SCO Accrual Reversal File has been loaded, run and

reviewed since April close• Reconciling Factors Eliminated• Timing Differences Accrued• CMP Business Unit = CSU Business Unit

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• PeopleSoft will create a file that contains data for your Campus Governmental Funds

• On the SAM99 Run Control, be sure “Accrual Reversal” and “Year End File” options are checked

• Designate the Data Center destination where your file will be FTP’d and Name the File

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• When you submit your file…• Make sure the CO has signed off on your FIRMS

submission and Business Units and Ledgers are in Synch• Use the SCO naming convention for your file

FISCAL.MMDDYYA.AGYACR• FTP your SAM99 file to the SCO for final review of the

year’s activity• Send email notification to the appropriate authorities

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Documents

SAM99 Session 1 - Overview