Chart of Accounts Workshop

State of Indiana

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Instructor

– Gwyn Wilson, ENTAP

– Lori Shapiro, ENTAP

– Bob Hegyi, ENTAP

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Discussion Topics

• What is the Chart of Accounts?• What will change at Go - Live ?• Core Chartfields• Conversion only Chartfields• Project Module Chartfields• Required Combination Edits

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What is the Chart of Accounts?

The ENCOMPASS chartfields include all of the attributes necessary to process financial transactions.

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Core Chartfields

• Business Unit- (Required) agency number plus two leading zeros

• Fund – (Required) will replace “Fund / Center” combination

• Account- (Required) will replace the current “Object”

• Program- (Required) Activity / Operation Measurement

• Department – (Required) will correspond to “Department” values in HR

• Budget Reference – (Required) state fiscal year

• Project – (Required based on funding source) An accumulation of costs for a period of time.

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Core Chartfields Cont’d…

• Locality – (Optional) Geographic designation

• Product – (Optional) Track agency–to–agency cost of goods / services. Internal Service only

• Incident – (Optional) To track state – wide events not used unless assigned by OMB for a specific event

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What will change at Go – Live?

Old Core Chartfields

FundCenterBudgeted Chartfield

FundBudgeted Chartfield

ProgramClassification of an activity according to its purpose or

objective

DepartmentUsed to classify

transactions according to a

defined organizational

structure

DepartmentSame purpose , but

must sync with Human Resources

Department

Project

ProjectTrack costs for a

defined period of time

ClassDiscretionary

value : often used for Locality or other purpose

LocalityIdentifies a geographic

location or area . May map back to Class for some

agencies .

Budget Reference

Budget Reference

Remains the Same

Object

AccountSame purpose ,

some values different

New Core ChartfieldsCentrally Defined Chartfield - Required

Used only in certain situations

Centrally Defined Chartfield - Optional

Business Unit

Business Unit

Remains the Same

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Core ChartfieldsBusiness Unit

• Required for all transactions

• Field length – 5 numeric field

• Principal unit of financial accountability within State government.

• Will be the same as the agency’s Distributional Agency number in GEAC plus two leading zeros.

• Assigned centrally and reflects financial responsibility.

• A single transaction can now be recorded against multiple Business Units - InterUnit

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Core ChartfieldsFund Code

• Required for all transactions• Field length – 5 numeric field• Centrally Defined• Primary means within a BU for tracking and

relating specific sources and uses of revenue or budget authority.

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Core Chartfields Fund Code cont’d…

• Fund replaces current Fund/Center combination.

• Numbering will not be the same as current numbering.*Example: BU 00235 Old Fund Center = 3010/123500

New Fund= 30138

• A single transaction can now be recorded against multiple funds - IntraUnit

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Core Chartfields Fund Code cont’d…

• Fund Attributes– Legal Fund: (Generally Same as Four Digit Fund)– CAFR Fund: (Generally Same as Four Digit Fund)– Fund Type: (General, Special Revenue, Debt Service, etc.)– Funding Source (Federal, General Fund, State Dedicated,

etc.)– Control Code: (Determines Budgeting & Closing Rules)– Function of Government (General Government, Public

Safety, etc.)– Location Type (Locality Required on all Transactions: Yes or

No)– Interest Income (Fund Retains Interest Income Earned: Yes

or No)

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Finding Fund Codesthrough ENCOMPASS

Let’s navigate to the ENCOMPASS site.

http://myshare.in.gov/sba/ENCOMPASS/default.aspx

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Core ChartfieldsAccount

• Required for all transactions• Currently defined as the Object Code

-Includes additional detail and eliminates generic values

*Example: Current “Object” 540100 Office Supplies

Go – Live “Account” 546002 Office Supplies• Field length – 6 numeric field• Centrally Defined- One set of chartfield values are used

across all Business Units• Used for classifying specific transactions and to achieve

the objectives of proper financial reporting and budgetary control.

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Core Chartfields Account cont’d…

The first digit represents the major reporting classification

1 = Assets

2 = Liabilities

3 = Fund Balance

4 = Revenues

5 = Expenditures

6 = Internal Service Fund Revenues “64” and Expenses “65”

7 = Other Financing Sources and Uses “74” and “75”

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Conversion Only Chartfields

Conversion-only Accounts– Highlighted in yellow on Account Chartfield

Listing– Will not be available for use at go-live

• Test in Sandbox = Inactive– Should be mapped to a more specific Account

number– Pending items at go-live

• Will vary depending on module– AR – likely to create new Account now at AOS– AP – will have to change account (object) on first

use after go-live

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Conversion Only Chartfields

• These values are conversion only in nature and will not be used on a going forward basis in the new Chart of Accounts

• These “CO” or Conversion Only values are required for the successful conversion of existing data to the new chart of accounts structure and will be inactivated in the system when the conversion is completed.

• CO values have been inactivated in Sandbox to get agencies prepared for using the new ENCOMPASS COA chartfield values.

*Example:

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Finding Accountsthrough ENCOMPASS

Let’s navigate to the ENCOMPASS site.

http://myshare.in.gov/sba/ENCOMPASS/default.aspx

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Core ChartfieldsProgram Code

• Required for all transactions• Field length - 5 numeric field

– 1st 3 digits – correspond to a related PROBE classification

– 4 & 5 – are designated by the agency to capture programmatic information

• This chartfield will provide classification and reporting capabilities with more flexibility and greater detail.

• No equivalent within current chart of accounts

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Core ChartfieldDepartment

• Required for all transactions• Represents an organizational function to which

expenditures and other activities are identified.• Centrally Defined (SPD)• Field length – 6 numeric field• This field will correspond to the departments

within HR.

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Core ChartfieldDepartment cont’d…

• Each department will be assigned an attribute:– Information Technology– Accounting / Finance– Human Resources– Administration– Marketing / Communications– Legal– Auditing– Purchasing– Legislative / Policy– None of the above

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Program vs. Department

*Example

Business Unit: 00730

Agency: Indiana State Library

Department: Genealogy Div.

Program: Library Services & Tech Act LSTAN

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Core ChartfieldBudget Reference

• Required for all transactions• Used to identify the State fiscal year associated

with a transaction.• Field length – 4 numeric field

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Chartfield SearchesIn ENCOMPASS

• Let’s navigate to ENCOMPASS

https://financial.gmis.in.gov/psp/fstrn/?cmd=login

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Core ChartfieldProject

• An accumulation of costs for a period of time.• Field length – 15 alphanumeric field• Required for specific circumstances

– Federal Grants and Appropriations • Received• Passed through to sub-recipients within State government• Passed through to sub-recipients outside of State

government.

– Any expense that results in the construction of a State capital asset

• Any agency has the option of using this chartfield if they need to track costs.

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Core ChartfieldProject cont’d…

• Federal Project – Each state agency that receives a federal grant will

have an individual Project that corresponds to each individual Grant Year award.

• Capital Project / Preventative Maintenance– Each state agency will have an individual project for

each of their distinct Capital projects.

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Additional Project Chartfields

Chartfield Use

Functional Activity (7 digits recommended)

Agency defined. (Required for all projects). Activity entered at the time of the transaction. Federal budget requirements and/or lines on a federal report.

Distributional Activity (7 digits recommended)

Activity assigned after the Funds Distribution process. Utilized for Contract & Billing Module. Incorporated into INDOT Modification for Funds Distribution.

Source Type (5 digit) Agency defined. (Optional) Available to support additional agency Federal Reporting needs.

Source Category (5 digit)

Assigned during Funds Distribution. (Required) Autonumbered. Corresponds to Funding Source ID in commitment control.

Source Sub Category (5 digit)

Assigned during Funds Distribution (Optional) Agency Defined. Available to provide greater detail than Funding Source.

Analysis Type (3 digit) Identifies the Type of Transaction on the Project Resource Table. Transactions will be processed differently in the Projects Module based upon their assigned Analysis Type. System Defined.

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Project Module Details

For addition details GMIS offers Training on the Projects Module

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Core Chartfield Locality

• Optional Field• Identifies a geographic location or area.• Replaces the current Class Chartfield.• Field length – 5 numeric field• Centrally Defined with Agency coordination• Agencies determine whether or not Locality

Chartfield is required for transactions on Fund by Fund basis

• Locality will use codes currently in use for other state functions whenever possible

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Core ChartfieldProduct

• Used to track costs of good or services provided to other state agencies.

• Field length – 6 numeric field• Centrally defined with agency input• Will only be used by the State’s Internal

Service Funds (i.e., IOT Revolving, Motor Pool Revolving, Aviation Revolving, and Pen Products) for their transactions with other state agencies.

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Core ChartfieldIncident

• Transactional classification to track costs for a particular event or activity as determined by State officials.

• Field length – 6 numeric field• Centrally Defined• This chartfield is not required unless you are

instructed to do so.• Currently being used in production

* Example : Tornado

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What Questions Do You Have???

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Combination Edits

• “Combo edits” are chartfields that are required for transactions entered into the system.

• State Required edits include:– Business Unit, Fund, Account, Program, Department,

& Budget Reference are required.– Project Chartfield including PC BU, Project, and

Activity must be used on transactions when Federal or Capital Fund is used.

• For GL Journal Entries Analysis Type

• Agencies can create their own specific edits.

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Prior Year Encumbrances

How will prior year encumbrances be maintained

without prior year fund centers?

• The Budget Reference is utilized to signify the original budget year in which the encumbrance was created.

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Prior Year Encumbrances

Current System:• Agency has current year purchase orders for FY 2009 in fund

center 1000/100570.• Agency has outstanding encumbrances for prior year

purchase orders in FY 2008 in the prior year fund center 1000/100571.

ENCOMPASS:• Outstanding purchase orders for FY 2008 will be in fund

10520 with a budget reference of 2008.• Purchase orders for FY 2009 will be in fund 10520 with a

budget reference of 2009.

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Chart of Accounts Support• Go–Live Support: AOS, SBOA, and SBA will work jointly to approve new

chartfield values for those fields that are centrally defined (fund, account, program, etc…) SPD creates departments.

• Encompass Website– https://myshare.in.gov/sba/encompass/default.aspx– AP Training documents: ENCOMPASS > ENCOMPASS Documents >

Training > Workshops > Cart of Accounts

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What Questions Do You Have???

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