Planning/Budgeting System & Chart of Accounts Redesign

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Today’s Agenda

1. Project Vision2. Project Organization3. Project Schedule4. Hierarchy Structure5. Chart of Accounts Redesign6. Reporting 7. Planning Budgeting Sneak Peak8. Next Steps9. Questions

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iCAT Project Vision

“This new system will provide a better understanding of financial health by articulating the accounts that define each class of items for which money is spent or received, and by organizing finances and segregating expenditures, revenue, assets and liabilities.”

James L. Gaudino

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Project Organization

Project Sponsor: Joel Klucking AVP of Finance & Business Auxiliaries

Project Manager: Tina Short

Project Steering Committee: 9 Executive Members

Project Team: 30 Plus Members from various departments across campus

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Project Schedule

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Project Benefits

Transparency, Consistency, Accountability

Improved quality of data Clear Financial Reports for better decisions Reduced need for ad hoc spreadsheets Faster realignment after reorganizations Consolidated department and division level Reporting

Powerful, flexible analytical planning & operational budgeting tool

Multi-year planning and forecasting

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Hierarchy Structure

Executive Division: Cabinet level organizational areas, includes; academic and student life, business and financial affairs, operations, and the president’s area.

Division/College: A primary organizational entity within an executive division, reporting to a Cabinet member or senior management. A division/college may be subdivided into distinct sub-divisions or departments.

Sub-Division: An organizational entity within a division. A sub-division is subdivided into distinct departments.

Department: A specialized area responsible for one or more support functions or programs. A department typically includes support staff. A department will have distinct personnel and budgetary identification.

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Hierarchy Structure Example

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Chart of Accounts Definition

What is Chart of Accounts (COA)?A COA (Chart of Accounts) is designed to be a way for an entity to store, categorize, structure, and segregate transactional and statistical data for management and financial reporting.

What is a ChartField?Independent Data Elements each with its own attributes. The combination of chartfields creates a chartfield string.

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Chart of Accounts RedesignChartfield Change Definition/Purpose

Fund Code No Change Where is the money coming from?

Account Code No Change What category of transaction?

Operating Unit No Change What physical location benefits?

Program Code No Change What function does it serve?

Department Re-Design Who’s responsible for the transaction?

Project ID Re-Define What Grant or Capital Project?

Component New What specific activity entity (i.e. student club, course, theatre production)?

Note: Retired Chartfields- Class and Budget Reference.

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Fund Code - Where is money coming from?

State GeneralGrants and ContractsWork ForceStudent ActivitiesTuition RevenueHousing and Food ServicesTrust & AgencyEndowments

(i.e. 001, 149, 148, 522, etc.)

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Account – What category of transaction?

Account is used to categorize the nature of the transaction as a specific type of revenue, expense, asset, liability, or net asset (equity).

(Goods & Services 53110, Benefits 52110, Classified 51105, etc.)

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Operating Unit– What physical location benefits?

The Operating Unit is a required field that identifies a physical university center location with an identifiable financial activity.

(Ellensburg, Des Moines, Lynnwood, etc.)

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Program - What purpose does the transaction serve?

The Program Code ChartField, is generally defined as an ongoing specific regular activity. Programs may cross organizations, funds, sources of funds, and they may have revenues and expenses.

Program Codes shall be defined to represent categories in accordance with Programs for state reporting.

Examples: Instructional, Research, Public Service, Institutional Support, etc.

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Program - Examples

Instructional Research Public Service Community Service Library Services Student Services Instructional Support Plant Operations & Maintenance Sponsored Programs Working Capital Capital Projects

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Department – Who’s responsible for the transaction?

A Department is a specialized academic or operational unit responsible for one or more support functions or programs. A Department is an independent unit that rolls up in an organizational hierarchy structure such as Executive, Division/College, and Sub-Division.

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Department

Units generally meet the following criteria to be considered a department when they: Have an ongoing business purpose and

objective within the UniversityHave an established control budgetHave fiscal oversight by a responsible personHave positioned employeesRepresent workflow approval

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Project/Grant ID – What Grant or Capital Project?

The optional Project ID ChartField now only defines transactions associated with a grant or capital project (such as a new building).

Typically with a specific start and end date.

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Component – What specific activity entity?

The Component is an optional, user-defined code that provides a tracking mechanism for activities that can’t be defined with other chartfields such as fund, department, and/or program.

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Component - Examples

Professional Development Gate Revenues Special Projects (example iCAT) Special Events Courses Indirects Start-Ups Theater Productions Student Clubs TaiChi Yoga Beer Certificate

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COA Examples

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Multiple Project Summary Reports - Today

One Consolidated Department Report - Future

Sneak Peak of Planning/Budgeting System

*Web based *Familiar Excel like Experience *Tasks and Forms*Flexible Variance Reports *Historical Trend Analysis

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Next Steps & What We Need From You

Validation of Hierarchy Structure DetailMeetings with Individual DepartmentsMeetings with Admin Assistants, Secretaries,

Fiscal Techs & Department Chairs

Your SupportBring the Message Of Benefits and Change to

Others across Our Campus

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Questions…

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Planning/Budgeting-Chart of Accounts Redesign Project

Status Information on Project Website http://www.cwu.edu/project-management/icat-chart-accounts-budgetingposition-control-project

Thank You for Attending….

Questions: Contact Tina Short (shortt@cwu.edu)

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