Accounting Policy Meeting
Thursday, July 24, 2025

When the fiscal year ends on a weekend, the recommended backdating dates for USAS entries are:

• Aug. 31 (8/31) — Use this date for backdating transactions processed in September.
• Aug. 32 (8/32 or "Month 13") — Use this date for backdating transactions processed in October.

The fact that the fiscal year-end falls on a weekend does not alter this guidance. Agencies should continue to use 8/31 and 8/32 as standard practice for fiscal year-end backdating in accordance with state accounting policies.

The deadline to coordinate and enter all interfund activity in USAS is Sept. 26 each year. The meeting handout should have referenced Friday, Sept. 26, 2025.
For more information, see Interfund Activity.

Both methods are available for agencies to use — the new method did not replace the old method.

1. New Method — Agency-Entered Entries (T-codes 460 & 461)
   

   Overview:
   Each agency records its own portion of the shared cash activity directly in USAS.

   Key Features:
   • Agencies enter their own transactions to offset GL 0045 – Cash in State Treasury.
   • Controlling agencies use the CR101 report to determine their portion of the entry.
   • Non-controlling agencies use the DAFR8580 or SIRS Balance Sheet to identify their portion by D23 Fund.
   • No need for the Comptroller’s Financial Reporting staff to make the entries centrally.
   • Benefits:
   • Faster processing.
   • More timely financial reporting.
   • Reduces workload for the Financial Reporting section.
     
2. Old Method — Centrally Entered Entries (T-codes 654 & 655)

   Overview:
   The controlling agency prepares the shared cash entry and submits it to the Financial Reporting section, which enters the journal voucher in USAS on behalf of the agencies.

   Key Features:
   • Entry reflects multiple agency numbers, requiring central entry.
   • For use when agencies are not yet ready to post their own entries.
   • Requires coordination between all involved agencies and the Comptroller’s Financial Reporting section.
   Limitations:
   • Slower due to coordination and manual processing.
   • Relies on Comptroller’s Financial Reporting staff for entry.
   • Increased potential for timing delays.

The controlling agency is responsible for determining which method will be used for recording shared cash entries.

• The new method (T-codes 460 and 461) was introduced to enable agencies to enter their own transactions directly in USAS — eliminating the need for the Financial Reporting staff to enter transactions on behalf of the agencies.
• The old method (T-codes 654 and 655) remains an option for agencies if they prefer it. However, because this method involves journal vouchers that reflect multiple agency numbers, the entry must be submitted centrally. Most agencies are authorized to post transactions only for their own agency, and not on behalf of others.

Yes. Under the new method, it is still considered a best practice for the controlling agency to initiate the shared cash entries. By doing so, the controlling agency ensures consistency and accuracy in the accounting treatment of the shared fund. The controlling agency should notify the participating agencies of the relevant amounts and the appropriate T-codes to use for their corresponding entries in USAS.

This approach helps maintain alignment across agencies, supports proper reconciliation of fund activity and reduces the risk of errors or omissions in financial reporting.

When one agency chooses to use the new method for recording shared cash activity while another prefers the old method, it can create inconsistencies and delays in processing and reconciling the transactions. This lack of alignment may result in timing differences, duplicated entries or incomplete recording of shared fund activity in USAS.

The new method is intended to streamline the process, reduce reliance on centralized coordination and improve timeliness. The old method is still available because agencies have differences in system readiness, internal procedures or staffing constraints.

However, to fully realize the benefits of either method (including improved agency autonomy and more timely reporting), it is strongly recommended that all participating agencies within a shared fund coordinate and agree to use the same method. The controlling agency should take the lead in setting expectations and facilitating consistent adoption.

Yes. The Financial Reporting section will continue to prepare and enter the consolidated shared cash entries for ERS benefit payments. Due to the complexity and the number of agencies involved (as well as the need for coordinated timing and accuracy), this process will remain centrally managed to ensure consistent and accurate financial reporting across all affected entities.