PeopleSoft Gaps for NYFMS SI

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PeopleSoft Gaps for NYFMS SI

• NYFMS Bidder Conference
• January 28, 2009

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Gap 1 Cash Availability Check

• Requirement
• Cash Availability Check needed to ensure funds
  available prior to disbursement, through AP or CM
  and prior to other accounting activities (i.e.
  Journal Entry)
• Solution
• Cash Control Budget Will Be Created
• Cash Control Budget Will Be Associated with the
  Revenue Budget
• At the Beginning of the Fiscal Year, Cash
  Balances by Fund Will Be Loaded into the Cash
  Control Budget
• As Cash is Collected, Appropriate Budgets Will Be
  Updated
• When Expenditures Are Recorded, the Cash Control
  Budget Will Decrease by These Amounts

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Gap 2 Cash Basis Accounting

• Requirement
• Need to ensure that the maximum amount of cash
  is available for investments and sufficient cash
  is available for payments
• Solution
• Stand-alone Cash Ledger Will Be Created
• Cash Ledger Will Represent Only Those
  Transactions with a Direct Impact on Cash (i.e.
  the debits to expense and credits to cash for
  expenditures and receipts)
• No Payable or Receivable Transactions Recorded in
  the Cash Ledger
• Automation Built to Identify and Apply Eligible
  Transactions to the Cash Ledger

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Gap 3 Capital Appropriation

• Requirement
• To record both the Capital appropriation class
  and the CCP code (Comprehensive Construction
  Program), if the appropriation type is Capital
• Solution
• Build a Custom Appropriation/Segregation
  Attributes Table
• Requiring agency users to enter CCP Code in
  transactions such as purchase orders or vouchers
  would be an additional burden and may not be
  reliable
• There are other attributes that need to be
  tracked but cannot be set up as ChartFields (i.e.
  Appropriation Title, Appropriation Type,
  Chapter/Section/Law and 3rd digit of authority
  code indicating if it is a loan). These
  attributes will be tracked in the custom table as
  well

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Gap 4 State Finance/Education Law Compliance

• Requirement
• Need to comply with the State Finance and
  Education Laws for sub-allocation, transfer and
  interchange rules contained in the State Finance
  and Education Laws.
• Solution
• While There is Ability to Report on Transfers
  Delivered, PeopleSoft Does Not Have Three
  Categories Needed for Sub-allocation, Transfer
  and Interchange Rules Contained in State Finance
  and Education Laws
• New Field Added on the KK_BUD_HDR Table and
  Modify the Budget Transfer Page to be Used in
  Conjunction with a Transfer to Identify Type
• Dollar Threshold of Transfers Controlled using
  the Current Manual Approach

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Gap 5 Prompt Payment Laws

• Requirement
• Need ability to identify noncompliance with
  Prompt Payment Laws and automatically generate
  payment requests for interest penalties due on
  invoices. Delivered PeopleSoft functionality does
  not support Prompt Payment calculations as
  defined by the State. The State requires interest
  penalty calculations consider length of time with
  the Agency vs. OSC. Additionally, budget checking
  of interest penalty is necessary so that invoices
  entered into PeopleSoft must have interest
  penalty calculations in the voucher amount when
  it is entered/created.
• Solution
• Develop Program to Automatically Identify
  Vouchers Not Compliant with Prompt Payment Rules
  and Generate Prompt Payment Interest Calculation
  Vouchers
• Data Temporarily Stored Outside of PeopleSoft
  Application Where the State's Interest Penalty
  Rules and Calculations Can Be Applied
• This Calculation Added to the Voucher Amount and
  Loaded into PeopleSoft for Further Processing.

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Gap 6 Status Update When Lapsing Occurs

• Requirement
• Provide ability to automatically update status
  of all appropriations and segregations to lapsed
  when lapsing occurs (close of business after
  processing transactions)
• Solution
• Custom Attribute Table Built to Contain
  Information About an Appropriation Which Includes
  Field for Lapse Date/Year. At March 31st,
  Delivered PeopleSoft Budget Close Process Run to
  Roll Forward All Balances
• Lapse Date Attribute Updated in the Carryover
  Period to the Next Year if Appropriation is
  Re-appropriated. Otherwise, Remains with the
  Current Year and Set to Lapse
• Through Use of a Query and Flat File Interface to
  the Custom Attribute Table, Lapse Dates Will Be
  Updated Accordingly
• At Lapse Date, Custom Process Runs to Update
  Budget Status to Closed for Those Appropriations
  Where Lapse Date (period and year) Equal the
  Parameter of Close Request

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Gap 7 VAR Agreements

• Requirement
• Assuming there will be controls in place to
  manage whether or not an agency has the ability
  to update PO matching applicability for
  particular contracts.
• With Value Added Reseller (VAR) Agreements -
  those with a vendor that adds features to an
  existing product and resells it as an integrated
  product or a complete turn-key solution a
  Master Agreement is needed to relate multiple
  vendors to and to which Contracts and Purchase
  Orders could be associated, if desired.
• Solution
• Customization to Tie Contract-related Transaction
  to Purchase Order Associated with That VAR Using
  Statewide Contract ID
• In PeopleSoft Purchasing Module, Reference Field
  Used to Identify/Associate Multiple Vendors for
  One Contract
• Purchase Order Set Up Systematically for Each VAR
  Underneath the Statewide Contract (so that
  transactions coming in can be associated with the
  proper agreement)
• Agencies Required to Submit Transactions with
  Contract Number/Entity They Did Business With
• Controls Developed to Address Risk of Purchase
  Orders Being Created for Vendor Not Valid for
  That Contract

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Gap 8 Budget Checking of Contracts

• Requirement
• Need to budget check a procurement contract (and
  associated appropriate reversal) prior to the
  approval of that contract. There is a business
  need to encumber a procurement contract.
• Solution
• Requisition Created to Create a Pre-encumbrance
• Bureau of Contracts Will Perform Their Audit.
• Pre-encumbrance Will Interface to Custom Contract
  Audit Module Where the Bureau of Contracts
  Performs Audit
• When Approved, Purchase Order Created to Create
  Encumbrance and Relieve the Pre-encumbrance

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Questions?