fi$cal change discussion guide budgeting guide march 2015

FI$Cal Change Discussion Guide

Budgeting Guide

March 2015

FI$Cal: Transparency. Accuracy. Integrity. 2March 2015

FI$Cal Solution

Legend

Pre-Wave

Wave 1

Wave 2


Process Overview Key Impacts FI$Cal will facilitate the State’s incremental

budget development methodology

Budgeting includes these high-level processes:

Initiate Budget Development Process Prepare Departmental Budget

Submission Process Develop Governor’s Budget Process Manage Budget Legislation Process Administer the Budget Process Commitment Control (Budget

Journals/Operating Budgets) Process

This process includes activities performed by individual departments, the State Controller’s Office (SCO), and the Department of Finance (DOF)

DOF centralized budget development functionality in FI$Cal is implemented statewide

High-level process remains the same; tools and templates have changed

All budget requests (current year and budget year) will be entered into FI$Cal

Departments will continue to prepare budgets using the new Chart of Accounts (COA)

Departments will track budgets prior to FY15/16 budgets using the old Uniform Codes Manual (UCM) codes

Automated workflow is introduced

Budgeting Overview


Process Overview Key Impacts The Initiate Budget Development

process covers all activities related to preparing the budget system for the upcoming budget cycle

This includes the following sub-processes: Maintain Cost Driver (DOF) (Future

Wave) Pre-Populate Budget System (DOF) Prepare Budget Instructions (DOF) Reconcile Authorized Positions

Starting base budget year (BY), budget amounts will be the BY+1 amounts provided during the FY15/16 budget process

If BY+1 amounts provided during the FY15/16 process included any one-time costs from FY15/16, those adjustments to FY16/17 will be recorded during this process

Past year actual expenditures and revenues are collected for reporting and analysis

The Schedule 7A reconciliation process will remain the same

Budgeting Initiate Budget Development


Key Impacts Departments will update Past Year

revenues and expenditures in the System to reflect actual budgetary revenues and expenditures

Departments will update pre-loaded Past Year, Current Year, and Budget Year authorized position counts to reflect the outcome of the Schedule 7A reconciliation process

Budgeting Initiate Budget Development


Department-Specific Impacts and Notes As we transition to FI$Cal roles and responsibilities will change as

follows: [ROLE] – [CHANGE IN ROLE RESPONSIBILITIES] [ROLE] – [CHANGE IN ROLE RESPONSIBILITIES]

Department business processes around Budget development will change as follows: [ENTER CHANGE IN BUSINESS PROCESS] [ENTER CHANGE IN BUSINESS PROCESS]

Increased communication and integration between the following business areas will be needed: [ENTER AREA 1 & AREA 2] – [ENTER ACTIVITIY THAT MUST

BE COMPLETED TOGETHER]

Initiate Budget DevelopmentBudgeting


Process Overview Key Impacts The Prepare Departmental Budget

Submission process covers all activities related to preparing departments’ incremental budget changes

Departments complete budgeting activities in Hyperion: Review Baseline Budget Enter Workload Adjustments Enter Policy Adjustments Enter Current Year Adjustment (e.g.

Section 28.00) , if approved

Departments prepare their incremental budget changes using decision packages

Available decision packages include: Baseline Budget Adjustment (BBA) Baseline Revenue, Transfer, and

Loan (BRTL) Budget Change Proposal (BCP) Enrollment / Caseload / Population

(ECP) Budget Change Capital Outlay Budget Change

Proposal (COBCP)

Capital outlay proposals will include a new COA value for Project Phase beginning in Wave 2

Budgeting Prepare Departmental Budget Submission




Department business processes around departmental Budget submissions will change as follows: [ENTER CHANGE IN BUSINESS PROCESS] [ENTER CHANGE IN BUSINESS PROCESS]



Prepare Departmental Budget SubmissionBudgeting


Process Overview Key Impacts The Develop Governor’s Budget process

covers all activities related to the Department of Finance’s review, approval, and publication of the Governor’s Budget

This includes the following sub-processes: Analyze and Adjust Decision

Packages Conduct Drill Project Cash Flow Prepare Trailer Bill Brief the Administration Publish the Governor’s Budget

These processes are led by DOF and may utilize FI$Cal or use legacy processes

Departments may be required to respond to requests for information from DOF

Budget changes move through workflow within DOF

DOF may send budget changes back to departments for additional information or corrections

Cash flow analysis will be performed based on submitted budget changes

Budget information may be collected through budget drills submitted through FI$Cal

FI$Cal will produce budget publications using the legacy Governor’s Budget Publication System until Wave 3

Budgeting Develop Governor’s Budget




Department business processes around Governor’s Budget will change as follows: [ENTER CHANGE IN BUSINESS PROCESS] [ENTER CHANGE IN BUSINESS PROCESS]



Develop Governor’s BudgetBudgeting


Process Overview Key Impacts The Manage Budget Legislation process

covers all activities related to recording legislative actions taken on the Budget Bill

This includes the following sub-processes completed by DOF: Record Legislative Action Support Reconciliation of the Two

Houses’ Budget Bills Record Governor’s Veto

Results in an enacted budget

DOF will record legislative actions (dollars, language) in FI$Cal

DOF may delegate recording legislative actions to departments

Enacted budgets for all departments statewide will be transmitted to SCO’s legacy Fiscal System until Wave 3

FI$Cal is not integrated with the Legislative Counsel’s Bureau systems, therefore, the budget bill language sheets and trailer bill RN processes will not change

Budgeting Manage Budget Legislation




Department business processes around Budget Legislation will change as follows: [ENTER CHANGE IN BUSINESS PROCESS] [ENTER CHANGE IN BUSINESS PROCESS]



Manage Budget LegislationBudgeting


Process Overview Key Impacts The Administer the Budget process

covers all activities related to analyzing, forecasting, changing, and managing the budget after it is enacted

This includes the following sub-processes : Prepare and Administer

Appropriation Adjustment Prepare and Monitor Department

Operating Budget

Departments will use two different software tools to manage their budgets:

1. Hyperion Appropriation level budget changes

are developed and approved Appropriation level budgets are

posted to FI$Cal Commitment Control for controlling appropriations

Appropriation adjustments need DOF and SCO approval

2. PeopleSoft Operating budgets and

adjustments are loaded Operating level budgets (i.e.,

allotments or spending plans) are loaded into Commitment Control directly online or via spreadsheet

Budgeting Administer the Budget




Department business processes around administering the Budget will change as follows: [ENTER CHANGE IN BUSINESS PROCESS] [ENTER CHANGE IN BUSINESS PROCESS]



Administer the BudgetBudgeting


Process Overview Process Overview The Commitment Control process

covers all activities related to the recording of budgeted revenue and expenditure amounts

Transactions in all FI$Cal modules are validated against these budgets

Commitment Control allows for the establishment of spending authority at differing levels within state government

Appropriations approved through the legislative process will be sent by DOF to SCO and posted in Commitment Control for departments to establish their operating budgets

Departments will document operating budget amounts utilizing the current business process The amounts will be posted directly

by departments to Commitment Control using a budget journal to establish operating budgets/spending plans

Budgeting Commitment Control


Key Impacts Key Impacts Appropriation and other central

controlling budgets have been established and are managed by SCO

Integration between Hyperion and Commitment Control allows for the sharing of financial information

Budget Journals can be posted creating budgets for Appropriation (SCO) and Operating Budgets (departments)

Commitment Control budget, expenditures, encumbrances are available for reporting using the Budget Overview inquiry and Budget Status report

Grant module budget functionality will allow the creation of project budget to control grant expenditure and encumbrances

Department-specific account translation is available Account trees built to department

specifications allow differing treatment of expenditures or revenue amounts during budget check for department specific operating budgets

Budgeting Commitment Control




Department business processes around Commitment Control will change as follows: [ENTER CHANGE IN BUSINESS PROCESS] [ENTER CHANGE IN BUSINESS PROCESS]



Commitment ControlBudgeting


FI$Cal End-User Roles

Budgeting

FI$Cal End-User Role DescriptionDepartment Budget Processor

The department end user who enters and submits budget plan data for approval, including budget requests. The Department Budget Processor will be able to view and use reports, documents, task lists, and department budgeting content.

Department Budget Approver

The department end user who is responsible for approval of the budget submission. The Department Budget Approver can edit, add, or remove data in planning units to which they have received permissions, and then can approve or reject the budget plan submission.



Budgeting

FI$Cal End-User Role DescriptionBudget Viewer The department or central end user who can view

budget requests, budget reports, and budget documents.

Department Budget System Maintainer

The department end user who is responsible for managing department workflow, and making changes for assigned approvers.



Budgeting

FI$Cal End-User Role DescriptionGL Viewer The central and department end user who has access

to General Ledger and Commitment Control online inquiry screens and read only access to Create Journal Entry pages.

Department Operating Budget Processor

The department end user who can enter but cannot post department level budget journals. This user cannot enter or post statewide budget journals.

Department Operating Budget Approver

The department end user who can enter and post department level budget journals, and override department budget exceptions. This user cannot enter or post statewide budget journals or override a statewide controlling budget exception.

Appropriation Viewer The central and department end user who will allow users access to view Statewide Controlling budget information.

Commitment Control



Budgeting

FI$Cal End-User Role DescriptionOperating Budget Viewer

The central and department end user who will have access to view department-level budgets using online inquiry screens.

GL Reporter The central and department end user who will run reports and distribute to the Department GL Report Viewer as required.

Department GL Report Viewer

The department end user who will receive nightly batch distributed reports and have access to Report Manager.

Commitment Control


Role Changes –Wave 1 to Wave 2

Budgeting

Wave 1 Role Wave 2 ChangeDepartment Approver 1

This role name has been changed to Department Budget Approver in Wave 2.

Department Approver 2

This role has been removed in Wave 2.


FI$Cal End-User Training

Budgeting

Course ID Course Name Duration DeliveryFS101* Introduction to FI$Cal 4 hours WBTFS103* FI$Cal Navigation: Budgeting 4 Hours WBTBU101 Introduction to Budgeting 4 hours ILTBU112 Review and Update Departmental

Budgets4 hours WBT

BU113 Budget Development Using Decision Packages

4 hours WBT

BU114 DOF Internal Processes 4 hours WBTBU115 DOF Reports 4 hours WBTBU116 Capital Outlay 4 hours WBT

*FS101 and FS103 are mandatory for all FI$Cal Budgets end users


For additional information on end-user training, visit the Training page of the FI$Cal Project website at :

http://fiscal.ca.gov/training-academy/index.html

FI$Cal End-User Training



fi$cal change discussion guide budgeting guide march 2015

Documents

fy1516 budget process

governors budget process

budget legislation process

budget amounts

fy1516 process

base budget year

budget system dof

budget instructions