Welcome to the
 General Accounting

GENERAL ACCOUNTING MANUAL

 

This manual contains information on General Accounting's procedures, including:

 

Distribution Account Code (DAC) Inquiry

The DAC inquiry is used to find out the following:

  • Does the DAC exist
  • What detail has been recorded to a specific DAC

The following are Cayenta screen prints for a DAC inquiry.

CAyenta DAC 1:

 

Put your cursor on "Dist Code Inquiry". Hit enter.

 

Cayenta DAC 2:

 

Enter the account code (DAC) you wish to see. Click on the OPEN FILE to open the account…or just hit ENTER

 

Cayenta DAC 3:

Next hit enter twice to see the detail for the DAC. Above is an example of what you will see. Following is a list of the definitions/transaction types for the letters under the status column.

 

A/P = Accounts Payable

CAS = Cash Receipt

COM = Commitment (purchase order or contract release)

CPY = Copier

CUS = Custodial OT Reimbusement

FA = Fixed Assets

FEM = Entry from the EMPAC (job costing system)

FPA = Entry from the Lawson (payroll system)

FSM = Food Service Misc

FST = Faster Interface

IN = Inventory

JCG = Journal Voucher

JCR = Journal Voucher

JDG = Journal Voucher

JDR = Journal Voucher

LIB = Library Books Purchased Through LIONS

LIT = Literacy Books Purchased Through LIONS

LPO = Dollars Reserved for LIONS Purchase

PO = Purchase Order

PPC = VISA Payment

PTC = Petty Cash Entry

SO = Stores Order

 

Journal Entries

Journal Entries/Vouchers (JE’s) are used to record items in the general ledger, including correcting items that were recorded to the wrong general ledger account (DAC). They are only used for items where actuals have posted (i.e. a previous journal entry, a payroll entry, or an accounts payable entry). Journal entries may not be used for correcting Purchase Orders or Contract Releases (items with a status "COM"). If a Purchase Order contains the wrong DAC, contact Teresa Hartung in AP for assistance in correcting.  Submit signed, original journal entry to General Accounting and keep a copy for your records!

You may submit JE’s to the General Accounting mailbox via email.  We will still need the signed originals.

All journal entries are processed through the General Accounting Department. Backup documentation is maintained in the General Accounting Department for future reference. The Controller has final authority for all journal entries.

The Journal Entry Form is to be completed by the school/department requesting the journal entry. The form is to be prepared by the individual requesting the entry and approved by the administrator in charge of the budget affected. The appropriate back-up detail should be attached supporting each entry.

Complete the Journal Entry Form as follows:

  1. Complete Location line, school, department, etc., or use three-digit location code.
  2. Fill in Prepared By line, signature, title, phone and date.
  3. Enter the account numbers.
  4. Enter the Debit and Credit amounts affecting the accounts. Debits increase expenses and decrease revenues. Credits increase revenues and decrease expenses.
  5. If moving Part-Time Employee please include job code and hours.
  6. Move Benefit dollars associated with salary.
  7. Move Pro-comp dollars associated with salary.
  8. Total the debit and credit columns at Page Total. The total amounts must be equal.
  9. Complete the Description lines with enough detail as to allow an individual without first-hand knowledge of the entry to understand why the entry is being made. Important information to include is purpose of entry and the month and year that the entry affects. Please limit description to 29 characters including spaces.
  10. Attach supporting detail to the Journal Voucher Form. Supporting detail is anything that you used to determine that the entry is needed (i.e. screen prints, memos, Lawson reports)
  11. Verify the amount being adjusted is actually in the indicated General Ledger account (see Distribution Account Code (DAC) Inquiry ). We cannot reverse something that has not taken place (see #9 above).
  12. Have the appropriate individual approve the Journal Voucher Form by completing the Approved By line with signature, title and date. If another location is affected by this journal entry, also obtain the approval signature of that budget manager.

A photocopy of all approved journal vouchers should be kept for your records with the original being sent to General Accounting. General Accounting will enter the Journal Voucher Form into the General Ledger effective the month received. The District Controller has final authority for all journal entries.

 

Petty Cash

In this section you will find:

  1. Use of the Petty Cash Accounts
  2. Account Set Up and Maintenance

·         Establishment of Account

·         Replenishing Check Stock

·         Bank Service Charges

·         Signature Cards

  1. Reimbursement Procedures

·         Filing Reimbursement Forms

·         Timing of Deposits

·         Frequency of Replenishment

·         Overdrafts

·         Sales Tax Exemption

  1. Petty Cash Guidelines

·         Check Limits

·         Authorized Signatures

·         Receipts

·         Non-Allowable Expenditures 

·         Violations

·         Year-End Reconciliation

Use of the Petty Cash Accounts

Petty Cash Accounts were established to provide a vehicle for schools and departments to purchase small items without prior approval through the District.

  • Principals and Departments Heads are encouraged to use Blanket Purchase Orders, Term & Supply Contracts, and the Class Max Warehouse whenever possible.
  • Petty Cash should be used as a small-item purchasing method.

Petty Cash Accounts are now being audited by Internal Audit.

Account Set Up and Maintenance

  1. Establishment of New Accounts -- To authorize a new bank account, the following is required:

·         Request that a new account be set up by memo, addressed to Alice Allendorf-Koehn. Be sure to include the justification for the request. If approved the Disbursing Office will be notified. Signature forms will be prepared by the Disbursing Office, the account will be opened and you will be notified.

·         A signature card must be completed with the signatures of at least three authorized signers at the Disbursing Office. Cards can be obtained by calling the Disbursing Office at 720-423-3715.

·         A Bank Account Authorization form will be prepared by the Disbursing Office and submitted to the bank along with the completed signature card.

·         A petty cash fee equal to 3% of your purchases will be charged to your administrative supply account.

  1. Replenishing Check Stock

·         Each account will be furnished with 1,000 checks. If you need to replenish check stock, call the Disbursing Office at 720-423-3715 for instructions.

  1. Bank Service Charges

·         The District will maintain compensating balances to cover bank service fees. However, schools and departments must pay for check orders and for any overdrafts. The current charge for an overdraft is $20.00. This will be charged to your location if you overdraft.

  1. Signature Cards

·         Every check disbursement requires two authorized signatures. A new signature card must be submitted whenever there is a change in the Petty Cash staff. You may obtain a new card by calling the Disbursing Office at 720-423-3715. Since an authorized signer cannot sign a check to himself/herself, it is advisable to have three authorized signers on each account.

Reimbursement Procedures

  1. Filing Reimbursement Forms

·         Issue a Petty Cash check to purchase an approved item (see Petty Cash Guidelines). No petty cash check can be issued in excess of $500 without prior written approval of Alice Allendorf-Koehn at 720-423-3448.

·         Record the expenditure in the check register. Always maintain a current balance to prevent overdrafts.

·         Obtain an original receipt to validate each expenditure. For catalog orders, you may submit a copy of the order form, however the copy must be signed by the Principal or Department Head in a non-black ink.

·         Complete a separate Expense Report Sheet (see Schedule B & C) for each individual expenditure. Staple the corresponding original receipt to the completed Expense Report Sheet, assign a valid account number, and provide an explanation for the expenditure. If you are unsure if an account code exists, please verify through Distribution Code Inquiry before sending in your Reimbursement Form. If invalid codes are submitted, your reimbursement could be delayed.

·         Record all bank service fees and new check charges in the check register at month end. Complete an Expense Report Sheet (see Schedule B & C) for these items charging the expenditure to an administrative supply account. Use a copy of the bank statement for the receipt.

·         Prepare a Petty Cash Reimbursement Form whenever you wish to be reimbursed. (see Schedule A). Remember that Petty Cash expenditures do not show on your SFG reports until you have been reimbursed. Based on this, it is recommended that you request reimbursement at least monthly, by the third week of the month. All checks must be reimbursed in check number order. If you have a problem with this, contact Alice Allendorf-Koehn at 720-423-3448, to discuss the issue.

·         Total your checks to be reimbursed and enter the total on the Total line. Enter any tax reimbursements that you are including in the Taxes line. Add these two lines together to get the Total Reimbursement Request (the amount to be deposited into your account). Enter the checkbook balance as of the last check number that you have requested reimbursement for. The deposit to be made and the checkbook balance should equal your total petty cash authorization (i.e. $2,000, $4,000).

·         The administrator in charge should check the reimbursement request and sign the form to approve. The completed form should be submitted to General Accounting, Room 302, Administration Building, along with a copy of your ending check stub for the check requested on the reimbursement and copies of any bank statements received and their reconciliations since your last reimbursement request.

  1. Timing of Deposits

·         All Petty Cash Reimbursement Forms will be reviewed and approved in General Accounting. A deposit will be made to the school or department�s account within three (3) working days after a fully completed and documented request is received by General Accounting. Deposits at year-end may be slightly delayed due to the large number of reimbursement requests submitted at one time.

·         Incomplete, inaccurate, or undocumented requests will be returned to the school or department for further attention. This will delay the deposit.

·         Once a deposit is made, the reimbursed school or department will be notified by e-mail, fax or phone. Never assume a deposit has been made until you receive a confirmation from General Accounting. You may phone General Accounting with questions concerning your reimbursement.

  1. Frequency of Replenishment

·         The Petty Cash Account should be replenished often. Remember that Petty Cash expenditures do not show on your Cayenta reports until you have been reimbursed. Based on this, it is recommended that you request reimbursement at least monthly, by the third week of the month.

  1. Overdrafts

·         Overdrafts in a Petty Cash Account are unacceptable! All occurrences will be reported to the Controller. A $20 fee will be levied against the account for each overdraft. After two violations in the petty cash guidelines or two overdraft occurrences, the account may be closed for the remainder of the school year. A final report will be required and all documents including the checkbook must be submitted to General Accounting.

   5.    Sales Tax Exemption                   

  •  
    • DPS does not reimburse for paid sales tax. The tax will be the responsibility of the purchaser or location.
    • A copy of the District's Certification of Exemption (# 98-00755) may be used to make authorized District purchases. This will prevent the charging of sales tax. If your location needs a copy of the certificate, contact Purchasing.            

Petty Cash Guidelines

  1. Check Limits

·         No petty cash check may be issued in excess of $500 without prior approval from  Alice Allendorf-Koehn. Purchases in excess of $500 should be made through a Contract Release or Purchase Order. Multiple checks cannot be issued to the same vendor to avoid this limit. If there are extenuating circumstances contact the Manager of Accounting Services by email for assistance.

  1. Authorized Signatures

·         All Petty Cash Checks require two authorized signatures. An authorized signer must never sign a check made payable to him or herself.

·         The Petty Cash Reimbursement Form must be signed by the Principal or Department Head.

  1. Receipts

·         Only original receipts will be accepted. For catalog orders, you may submit a copy of the order form, however the copy must be signed by the Principal or Department Head in a non-black ink.

  1. Non-Allowable Expenditures -- The Petty Cash Fund may be used to acquire all items except the following:

·         Loans to the School Activity Funds

·         Employee compensation, advances or loans

·         Gifts for employees (flowers, candy, lunch, etc.)

·         Consultant/Contracted Services -- Incorporated or Unincorporated

·         Travel Reimbursements. These should be handled through the Accounts Payable Department. Registrations associated with travel should also be handled through Accounts Payable. See the travel procedures approved by the Board of Education.

·         Mileage reimbursements should be handled through Accounts Payable.

·         Sales tax.

·         Food for District employees.

·         Water (ie: Deep Rock coolers � must take up a collection within department/school to pay for this service).

   5.    Violations

·         If an account is overdrawn or in violation of the procedures two times during the year, the Petty Cash account may be closed. The checkbook and all other documents would be required to be submitted to General Accounting.

    6.    Year-End Reconciliation

·         All account holders will be required to submit a final reconciliation before the end of the school year. The deadline for submitting reconciliations will be published during the school year. You will not be allowed to use the account again in the New Year until your reconciliation has been reviewed and approved by General Accounting.

Monthly Reports

This section of the General Accounting Procedure Manual explains the various Monthly Reports. Contact DoTS to set up a training class for running reports. In this section you will find:

  • How to review the Monthly Trial Balance Report
  • How to review the Budget Transfer Report
  • How to review the Monthly Balance Detail Report/Object Detail Report
  • Steps involved in balancing reports to the transaction log
  • Steps involved in handling an overdraft

Monthly Trial Balance Report
(Report Format 502)

 

The monthly Trial Balance Report summarizes the year-to-date transaction totals for each account in your budget and gives the available balance as of the date indicated in the title of the report. The report sorts account numbers first by program and then within program, by project and within project, by major object (i.e. purchased services, supplies, etc.). It has five (5) columns as follows:

COLUMN

1. ACCOUNT NUMBER The account numbers along

with their titles.

2. ADJUSTED BUDGET The adopted budget from the current year plus or minus any encumbrance carryovers, amendments or budget transfers. (Refer to the Budget Transfer Report).

3A. CURRENT ENC/COMMIT The total activity of requisitions and purchase orders within the current month. (Refer to the Monthly Trial Balance Detail Report)

3B. CURRENT MONTH PD/UNPD The total amount of expenditures paid within the current month.

4A. YEAR TO DATE ENC/COMMIT The total activity of requisitions and purchase orders for the period of time requested on the report.

4B. YEAR TO DATE PD/UNPD The total amount of expenditures paid from the beginning of the fiscal year to the report date.

4C. YEAR TO DATE TOTAL The total of 4A and 4B, is equal to 4C.

5. REMAINING BALANCE The Adjusted Budget minus the year to date total. (2-4C =5)

BUDGET TRANSFER REPORT

(Report Format 510)

The Budget Transfer Report shows how your location's budget evolved from the original request to the Adjusted Budget which shows on your Monthly Trial Balance Report. It has five (5) columns as follows:

1. ACCOUNT NUMBER The budget or actual account numbers along with their titles.

2. ORIGINAL BUDGET The adopted budget allocations for the current year, allocated as requested by your location.

3. ENCUMBRANCE CARRYOVER The amount that your location had ordered in the prior fiscal year which had not been paid for by June 30.

4. AMENDMENTS/TRANSFERS Budget transfers plus any additional funds added after the July 1 date.

5. ADJUSTED BUDGET Total budget for each account, calculated as follows:

Original Budget + Encumbrance Carryover + or - Amendments and Transfers = Adjusted Budget.

MONTHLY TRIAL BALANCE DETAIL REPORT or OBJECT DETAIL REPORT

(Report Formats 522)

 

The Monthly Trial Balance Detail is the detail of activity for all account numbers specific to your budget. The Object Detail Report is the detail of activity for one specified account number. (Refer to the monthly trial balance report, column 3 A and B.) Both reports have eight (8) columns as follows:

1. TRANSACTION TYPE.  Click here for a complete list of transaction types.

2. STATUS 1 - ENT - entered; 2 - APP - approved; 3 - PRT - proofed

3. BATCH NUMBER The batch used to input the data.

4. REFERENCE NUMBER Check number, Purchase Order Number, Contract Release Number, Journal Entry Number, etc.

5. TRANSACTION DATE Date transaction was recorded in the system.

6. DESCRIPTION Obtained from the description entered into the computer.

7. COMMITMENTS Contract Releases and Purchase Orders that have been encumbered or paid during period specified on the report.

8. PAID/UNPAID EXPENSE 1.Payments that were made by Accounts Payable. 2. Journal entries made by General Accounting.

3. Cash receipts entered by General Accounting.

STEPS INVOLED IN BALANCING YOUR REPORT TO YOUR TRANSACTION LOG

Step 1 Balance each budget account separately according to your transaction log.

Step 2 Compare all entries on your Monthly Trial Balance Detail Report to the entries on your transaction log and put a check mark in the appropriate column if the dollar amount agrees.

Step 3 If the dollar amount does not agree, adjust your transaction log for the difference, (this can be a plus or minus), if you feel the difference is in error, contact Budget Liaisons or General Accounting for help with research and correction.

Step 4 The Monthly Trial Balance Report and your transaction log balance should agree with the exception of any outstanding entries made to the transaction log.

GUIDELINES TO FOLLOW WHEN REQUESTING BUDGET TRANSFERS OR HANDLING AN OVERDRAFT

1.      The Schools and Departments should submit all budget transfers On-line with the exception of transfers between two different Budgetary Responsibilities.

·         The School Principals and Department Heads should E-mail their request for approval of all budget transfers to the “Budget” mailbox.   In your e-mail request, please include a brief (1-2 sentence) description of why the transfer is being made, as well as the name and phone number of the employee who the Budget Office should contact regarding questions on the Budget Transfer.

·         The Schools and Departments should complete a hard copy Budget Transfer Form for 2009-2010 for all budget transfers between different Budgetary Responsibilities.  The Schools and Departments should sign the Budget Transfer Form and then submit it to the Budget Office for processing.

2.      The budget levels for fiscal year 2009-2010 are:

·         10006 for dollar accounts

 

·         10906 for positions (i.e. FTE’s)

3.      Transactions involving full-time positions (0110 object code) require two budget transfers (dollars and FTE) to be entered on-line in CAYENTA.

 

·         The first transfer moves the dollars allocated between two or more accounts.  This is done in Budget Level 10006.

 

·         The second transfer moves the positions known as FTE’s (Full Time Equivalent) and is done in Budget level 10906.  (The CAYENTA system keeps track of positions and dollars associated with Full-Time accounts.)

 

q  For any budget transfer to/from a full-time salary account, the offset account for the position is:

 

                                    10  800  00  0000  0000  0   0110

 

In other words, since all budget transfers must balance, the District uses the above control account to keep the FTE’s in balance.


4.      The School/Department is responsible for calculating fringe benefits associated with all budget transfers involving full-time and part-time accounts.

 

·         The Schools and Departments must calculate the Fringe Benefits.

 

NOTE:  When processing a budget transfer that affects salary accounts (0110, 0111 and 0120), (which all have benefits); you will use an object account (0200) which represents benefits. 

 

            EXAMPLE:  Transferring dollars from Admin Account to Para

 

            FROM:  10 xxx 24 2410 0000 0 0610

(Negative/Credit amount)

 

TO:      10 xxx 11 0010 0000 4 0111 (Salary Account)

(Positive/Debit amount)

            10 xxx 11 0010 0000 4 0200 (Benefit Account)

(Positive/Debit amount)

 

5.      The Schools and Departments should show the amounts they are transferring as whole dollars.  For example, school or department should round up the amount of $248.50 and show it as $249. 

 

6.      The Schools cannot transfer monies allocated for the following to another account, unless approval is received by the English Language Acquisition Department pursuant to the Budget Guidance Manual:

 

·         English Language Acquisition Paraprofessional (project number 3140)

 

7.      The School can only use or transfer monies allocated for Instructional Expenses at $186 per pupil for the following purposes:

 

(a) instructional supplies and materials (06XX)

 

(b) instructional non-capital equipment (0735)

 

(c) transportation - to transport pupils to and from school sponsored instructional activities that occur outside the classroom (0851)

 

(d) repair or maintenance services-for equipment that is directly used for instructional purposes (0439)

 

(e) IKON reproduction (located in AD Building) or IKON Copier Charges - cost for copies created at school or department location (0614)

 

(f) staff development - (22 2213) only if directly related to instruction (not to include out-of-state travel or in-district teacher salary increases)—which can be no greater than 10% of the total Instructional Expense allocation.  (Note:  The State Legislature has eliminated Staff Development as an allowable use for the $186 per pupil funding—of which $1 goes to Educational Resource Services.  For now the guidance to the Schools will remain unchanged because the District has been able to identify qualifying central budgets that would offset the 10% for schools to use for staff development).

 

8.      The Schools and Departments cannot transfer any credits received against actual expenditures.

 

9.      The School cannot transfer monies between different funds.  For example, Fund 12 to Fund 10.

 

10.  Budget transfers are not required between accounts within the same summary rollup level.  For example, it is not necessary to move dollars between the same summary roll-up accounts.  An example follows:

 

From:         Instructional General Supplies            (10.xxx.11.0010.0000.0.0610)

To:             Instructional Textbooks                       (10.xxx.11.0010.0000.0.0640)

 

These accounts fall within the same rollup (i.e. 0600 with the same SRE/Program/Project).  There is no advantage to transferring dollars between these two accounts since budget review takes place at the summary rollup level.

 

11.  Principals and budget managers must e-mail the batch number and the rationale to Patricia Morris in the Budget Office.  The rationale must state the specific reason for the change in the allocation and how they will use the funds (e.g., the title and date of conference they will attend). NOTE:  The Budget Office will only accept e-mails from Principals or Department Budget Managers, unless the Budget Office receives a memo authorizing other personnel.  The Principals and Budget Managers must submit the memo every year.

 

12.  The Budget Office is responsible for reviewing all Budget Transfer Requests:

 

·         Against the above guidelines.

 

·         To ensure adequate funds are available in the accounts from which the transfer is being requested.

 

·         If the transfer does not meet the above criteria, the Budget Office will call the School/Department explaining the reason why they did not approve the Budget Transfer.

 

·         The Budget Office will work with the School/Department to modify the transfer.

 

13.  Once the Budget Transfer meets all of the above guidelines, the Budget Office will obtain the appropriate signatures.

 

NOTE:  The Budget Office will not notify Schools/Departments when they approve a transfer.  The Budget Relink is run every Wednesday night, which updates the budget inquiry views.  You can also go directly to the Budget JV Batch Status Reset menu to view the approval status of a batch.