Quarterly Updates

Deficit Curing:

• By FY24 close, deficits are expected to be cured. Any deficits that cannot be cured by FY24 close are expected to have a deficit reduction plan. 
• Divisions should clean up deficits in April to the extent possible before fund type alignment entries are posted in May. 

• The working group and Huron are supporting deficit curing entry preparation and processing if so desired by divisions. 

Fund Type Alignment:

• By the end of May 2024, after review and approval by divisions, accounts that are currently organized differently than the Fund Type Alignment Matrix below will be realigned in SAP.  
• Divisions should complete Fund Type Alignment exercises in their report packets by April 19, 2024. 
• Divisions will again have an opportunity to review their accounts to be realigned before derivation rules are updated in mid-May. 
• Divisions will have the opportunity to review the draft journal entry to move the balances in their realigned accounts to the new funds before the entries are posted towards the end of May. 

Automated Closeouts:

• By FY24 close, an automated closeout process will be enabled in SAP for balances in Fund Types 10, 11 and 12 that divisions elect to close out (i.e., clear) on a recurring basis at year end. 
• Divisions should complete their Automated Closeouts exercises, identifying accounts to be closed out as well as the accounts to which they will be closed out, by mid-May. 
• Divisions will again have the opportunity to review their accounts to be automatically closed out, as well as the accounts to which they will be closed out, towards the end of May. 
• Accounts approved by the divisions will be automatically closed out during the year-end close process, before the rollforward sheet process, to the accounts specified by the divisions. 

Balance Monitoring Dashboards:

• DBOs and divisional finance managers will be provided dashboard access in April once Q3 is closed and uploaded. 
• Trainings will be conducted with DBOs and divisional finance staff in late April and May. 
• Optional office hours will be held in May and again at year end to answer specific questions from divisional finance personnel regarding the policies implementation. 

Stakeholder Engagement:

• Met with central divisions and Academic and Cultural Centers (ACCs), while continuing working sessions with Tier 1 and Tier 2 divisions to:  

• Continue reviewing deficits, identifying funding sources, and crafting strategies to cure deficits at the lowest levels of management by year end 
• Introduce fund type alignment exercises to achieve consistent university-wide regarding the types of accounts recorded within each fund type (see matrix below) 
• Introduce automated closeout exercises to automate accounts that are cleared at the end of the year in Fund Types 10 (General Operating), 11 (Clinical) and 12 (Auxiliary) 

• Shared status update with Audit Committee 

Balance Monitoring Dashboards:

• Conducted Dashboard demo with university leadership and DBOs 
• Moved the dashboards to the Production environment 
• Provided access to pilot divisions for additional feedback 

Project Management and Governance:

• Convened first Steering Committee meeting in November to obtain helpful feedback regarding the path forward for implementation 
• Organized divisions into three tiers based on size and complexity 

Stakeholder Engagement:

• Conducted a meeting with all pilot divisions, during which we achieved consensus regarding the path forward for implementation  
• Presented the implementation plan to the Faculty Budget Advisory Committee (FBAC)  
• Started working sessions for Tier 1 (largest size and most complexity) / Tier 2 (medium size and medium complexity) 

• Discussed current funds management practices and overviewed the implementation plan 
• Introduced Deficit Curing exercise reviewing deficits, identifying funding sources, and crafting strategies to cure deficits at the lowest levels of management by year end 

Project Management and Governance:

• Organized informational sessions with divisions to introduce the new funds management policies and implementation plans 
• Established Steering Committee to provide direction for the implementation 
• Created and revised Guiding Principles per stakeholder feedback to clarify objectives and facilitate decision making throughout the implementation 
• Established and met with pilot divisions to partner with the working group and provide divisional perspectives on how to implement the policies in an effective and actionable way 

By the end of May 2024, after review and approval by divisions, accounts that are currently organized differently than the Fund Type Alignment Matrix below will be realigned in SAP via bulk entries executed in a coordinated effort by General Accounting, EBS and the project team.  

Fund Type Alignment Matrix