FIRMS Overview and Update

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FIRMS Overview and Update

• Sedong John,
• CSU Chancellors Office

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Overall Assessment

• Significant improvement in timeliness of
  submission for both FIRMS Data and SCO reporting
  requirements
• Signs of improvement in the quality of data
• Fewer errors detected by the C.O.
• More Certificates of Excellence issued by the SCO

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Origin of FIRMS

• Executive Order 648-Delegation of Fiscal
  Authority and Responsibility (Jan 1, 1996)
  defines campus financial reporting requirements
  to the C.O.
• BF 96-01 (March 20, 1996) officially announced
  creation of Financial Information Record
  Management System (FIRMS) as the mechanism to
  fulfill the reporting requirements under E.O. 648.

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Uses of FIRMS Data

• FIRMS data is collected to meet various
  systemwide reporting needs
• State Reports (SAM07, Schedule 10, Governors
  Budget, etc.)
• Federal IPEDS report
• To provide financial information to the Trustees,
  auditors, and other information users
• Management analysis

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Flow of Data

Campus Transaction Data
System-wide Reports
FIRMS Data
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Components of FIRMS Database

• Data Table
• Contains data collected from campuses and the
  C.O.
• Legal basis actuals data for University is
  collected quarterly
• Budget data for the following year is collected
  annually
• Auxiliary organization data collected in July and
  October (IPEDS)
• GAAP basis actuals data will be collected
  annually
• Reference Tables
• Maintained centrally at the C.O.
• Contain various attributes to be downloaded into
  campus PeopleSoft system
• Used to derive meaningful information in
  systemwide reports

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Things to Watch

• Do not record encumbrances or accrued expenses in
  lump sum using a default program code, but record
  them where actual expenditures will occur
• Do not report any balance in, or with respect to,
  Fund 0998
• Distinguish between intra-fund and inter-fund
  transactions (105027/202027, 506026, 680026)
• Balance Due Froms/Due Tos and Transfers
  In/Transfers Out
• Record construction retention as accrued expense,
  not encumbrance
• Include Lottery Project numbers for both budget
  and expenditures
• Use object codes for specific expenditures rather
  than expenses-other (660090)
• Notify the C.O. and resubmit FIRMS data if data
  is resubmitted to the SCO

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Whats new this year?

• New transfer object codes for inter-agency
  transactions (5061xx, 6801xx) that replaced
  506040, 506041, 680040, 680041
• Changes in auxiliary organization reporting
  template (Attachment IX)
• Automation of additional validation edits
• New capital outlay project codes (60702x, 60703x,
  60704x)
• Review of FIRMS submissions and communication to
  campuses regarding warnings/errors throughout the
  year
• Rules Committee is continuing its effort to
  refine definition of Program Codes and Object
  Codes
• Started CDIP implementation
• Program derivation in PS 8.4
• Will start collecting GAAP data from PS 8.4
  campuses

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Whats ahead?

• CDIP
• Program codes will be derived using the
  derivation method in 8.4.
• Transition issues
• In addition to the legal basis data being
  collected, GAAP data will also be collected into
  FIRMS database
• New Program Codes added effective 7/1/04 based on
  FARM release 02-6
• New Object Codes created for more precise
  classification optional this year, required next
  year

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Division of Responsibility at the C.O. for FIRMS

• Systemwide Financial Operations/ Systemwide
  Financial Standards Reporting (SFO/SFSR)
  George Ashkar/Sedong John
• Functional standards, policies rules,
  submission requirements, data quality control
  coordination
• Financial Management Services (FMS) Sean
  Boylan/Fyle Cagagnot
• Technical implementation of defined rules,
  maintenance of reference tables, data analysis
  for management information users
• Corporate Information Management (CIM) Ron
  Basich/Rick Fletcher
• Programming and database administration

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Flow of Information

AVC- Financial Services
SFO/SFSR
FMS
CIM
FIRMS Database
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Persons to Contact if you have questions

• See the list on Attachment IV of the Year-End
  Reporting Instructions

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Annual Expense Variance Analysis
Part of the Data Integrity Initiative
Lenore Rozner/Glenn Ducat CSU Chancellors Office
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Data Quality Objectives

• Timely, accurate data for accountability
  reporting to CSU stakeholders
• Consistency for year-to-year comparisons
• Correct categorizations for comparison with other
  institutions

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Enhancing Data Integrity

• Increased attention to expenditure
  categorizations (Program, Object Code)
• Expenditure analysis in 2002
• Post-closing campus expenditure reviews,
  explanations and campus financial officer
  certifications in 2003

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• A Big THANK YOU!
• Expense coding is becoming more accurate
• Campus response has been positive timely

• Looking Forward
• Annual reviews/certifications will continue
• Changes in coding requirements will
• make variances a certainty
• Scope for data accuracy will expand

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Major Contributors To Change FY 2002/03 Versus
FY 2001/02
Increases
Millions
Academic Salaries
64.1
All Other Employee Salaries
31.6
Employee Benefits
98.0
Insurance Expense
55.8
Decreases
Expenses Other
-31.4
Contractual Services
-39.5
Supplies and Services
-29.4
Scholarships /Fellowships
-9.8
IT Hardware/Software
-7.1
Other Decreases
-28.2
TOTAL
104.1
Million
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Financial Standards Advisory Committee

• External Reporting Requirements
• Legislature
• State Legal/GAAP
• NACUBO/FARMS
• GASB/FASB
• IPEDS
• CSU Trustees
• Employee Unions
• Public

AVC, Financial Services Office Systemwide
Financial Operations
FMS
DOF Schedule 10 --- Governors Budget
Budget Office
Campus Systems
edits
FRS
Qtrly
SCO Legal/GAAP Reporting Federal IPEDS
SFO
PeopleSoft
Qtrly
Management Reports Multi-year Variance
Analysis --- Statistical Abstract
Banner
BPIM
Qtrly
Oracle
Qtrly
Financial Planning/ Resource Allocation
Ad Hoc
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Management Reports Multi-Year Variance Analysis
Internal Data Review Process
Campus Financial System
FIRMS Working Table
FIRMS Final Submittal
Review 2-Year Expenditure Data, Explain
Expenditure Changes gt 100,000,
E-mail Variance Report Management
Certification
EDIT Begun in 2003
Pre-June 30th
Post-June 30th
Early August
Corrections / Adjustments
Technical Adjustments
June 1
Accounting Period Ends June 30
Close Accounting Period July 31
Submit Variance Report and Data Certification
Mid-August
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Management Reports Multi-Year Variance Analysis
Internal Data Review Process
Campus Financial System
FIRMS Working Table
FIRMS Final Submittal
Review 2-Year Expenditure Data, Explain
Expenditure Changes gt 100,000,
E-mail Variance Report Management
Certification
EDIT Begun in 2003
Pre-June 30th
Post-June 30th
Early August
Corrections / Adjustments
Technical Adjustments
June 1
Accounting Period Ends June 30
Close Accounting Period July 31
Submit Variance Report and Data Certification
Mid-August
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FIRMS ReportingData Submission and Quality Review

• Corporate Information Management
• June 8, 2004

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FIRMS Documentation

• URL http//www.calstate.edu/cim/financialAssets/f
  menu1.shtml
• Continuously updated reference tables
• Revised Validation Rules
• Contact Update

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Data Submissions

• URL-http//orion.calstate.edu7777/servlet/f60serv
  let?configfirms_runedit
• Web form works with IE 5 and up (PC only)
• Secure File Transfer
• Application opener button on panel
• Secure ftp application can be opened outside the
  FIRMS data submission panel
• Files may be in tab-delimited or fixed-field
  format

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Data Submissions- Notification

• Campus Data are Processed in FIRMS Working Table
• Once Data File is Error-Free, Campus Notifies
  Corporate Information Staff
• Corporate Information Staff Copies Data to Final
  FIRMS Corporate Data Table

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Campus Variance Reports

• Compare Working Table data with Last Years Final
• Compare This Years Final (200406) with Last
  Years Final (200306)
• Record Types 10 and 15 Broken Out
• Brio OnDemand Reports
• Excel Template for Final Comparison

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Campus Variance Reports- URLs

• OnDemand Reports- URL http//gourdine.calstate.ed
  u/ODSHTML/brio.html
• Variance Reports- URL http//www.calstate.edu/cim
  /financialAssets/FIRMS/data_quality_review.shtml

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FIRMS Processing Contacts

• Email cim_mgr_at_calstate.edu
• Ron Basich- 562-951-4276
• Rick Fletcher- 562-951-4299

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