16.31 Determining Available Funds

1. Accounts in FRS may be "budget style" or "cash style".

2. For budget style accounts, budgets are generally developed and loaded into automatic budget reallocation (ABR) pools, although personal services budgets may be established at detail object codes. Budgeted accounts generally may only spend funds if there is sufficient budget balance available in the budget pool to support the expenditure. If an account only has an expenditure budget, only the budget balance needs to be monitored. Auxiliary accounts and other accounts that maintain both revenue and expenditure budgets may also need to monitor the available cash to determine if funds are available for an expenditure. Budgeted accounts include state, auxiliary, sponsored project and certain designated accounts.

3. Cash style accounts generally may only spend funds if sufficient cash is available to support the expenditure. Cash is maintained in the general ledger (GL) account. However, a special program called Automatic Budget Calculation (ABC) is used to generate the balance available in the subsidiary ledger (SL) account report. Cash style accounts may include gift accounts and other designated accounts.

4. This procedure uses the monthly account reports as a basis for determining the balance available. Users that have on-line access may check the account on-line. The on-line screens will provide more current information than the reports; however, the on-line screen will not necessarily reflect all transactions that have been initiated for the account. It may take several days for certain transactions to be reflected in the account if routing for approvals or other preliminary action is required. For example, if an Interdepartmental Billing Form is issued for goods or services, the account will not be billed until the goods or services are provided.

   If the on-line screens are used as a starting point for determining the available budget or cash balance, be sure to note the transactions from the open and pending transactions files that have posted to the account.

   Determining Available Budget

5. Determine the level at which the balance available needs to be determined: at an ABR pool, a detail object code, or for the account as a whole.

6. Pull most recent FBM090, Account Statement in Whole Dollars.

7. Locate the automatic budget reallocation (ABR) pool or detail line item for which the available budget is needed. To determine the overall balance available for the account, locate the Account Total line.

8. Pull source documents from the open and pending transaction files. Determine transactions related to the line or the ABR pool being researched.

9. Add or subtract, as appropriate, the transactions that have not posted to the account from the Balance Available shown on the report to obtain the Current Budget Balance Available.

   Determining Available Cash

10. The available cash for cash style subsidiary ledger (SL) accounts may be determined using one of two methods. Method 1 bases the determination on the amount in the Budget Balance Available column for the Account Total line in the SL account. Method 2 calculates the available cash by determining the balance in general ledger (GL) account controls and the open commitments outstanding (this method may only be used if a one-to-one relationship exists between the SL and the GL account).

    Method 1:

    1. Pull most recent FBM090, Account Statement in Whole Dollars, for the SL account.

    2. Locate the amount in the Balance Available column for the Account Total line.

    3. Pull source documents from the open and pending transaction files. Determine transactions related to the account.

    4. Add or subtract, as appropriate, the transactions that have not posted to the account from the Balance Available shown on the report to obtain the Current Cash Balance Available.

    Method 2:

    1. Pull most recent FBM090, Account Statement in Whole Dollars, for the SL account and the FBM091, Report of Transactions, for the GL account.

    2. On the GL report, locate the balance in the Total To Date column for object codes 1100, Equity in Pooled Cash, and 2100, Accounts Payable.

    3. On the SL report, determine the current balance of Open Commitments for the account. Obtain this amount from the SL Account Statement in Whole Dollars, Open Commitments column, Account Total line.

    4. Calculate the cash available as follows:

       ---

       	Equity in Pooled Cash (1100)		  $ xxx
       	
       	Less:
       		Accounts Payable (2100)		- $ xxx
       		Open Commitments (From SL)	- $ xxx
       	
       	Equals Cash Balance Available		  $ xxx
       

    5. Pull source documents from the open and pending transaction files. Determine open transactions related to the account.

    6. Add or subtract, as appropriate, the transactions that have not posted to the account from the Cash Balance Available calculated above.