Lesson 8: GR Reconciliation Report – Columns L & M

Column L – Adjustment

This section introduces applicable lines to Column L – ADJUSTMENTS.

Retirement Contribution, line 400100

If a university pays salaries from methods of finance other than general revenue in appropriated fund 0001, an adjustment may be required in USAS according to Sources of Revenue Required to Pay Benefit Cost (APS 001) (FPP A.021) . This adjustment is recorded in Column D – RETIREMENT, line 200800. Column L – ADJUSTMENTS, line 400100 can be used to record an adjustment if the amount reported in Column D – RETIREMENT, line 200800 is not correct.

Group Insurance Contribution, line 400200

If a university pays salaries from methods of finance other than general revenue in appropriated fund 0001, an adjustment may be required in USAS according to Sources of Revenue Required to Pay Benefit Cost (APS 001) (FPP A.021) . This adjustment is recorded in Column F – INSURANCE, line 200800. Column L – ADJUSTMENTS, line 400200 can be used to record an adjustment if the amount reported in Column F – INSURANCE, line 200800 is not correct.

Unemployment Contribution, line 400300

If an employee is paid with federal funds, special funds or local funds, the university is responsible for 100 percent of any unemployment claims. If an employee is paid strictly from general revenue (with no federal funds), the university is responsible for 50 percent of any unemployment claims. Agency 320 (Texas Workforce Commission [TWC]) bills agencies for unemployment reimbursement quarterly. Reimbursements to TWC are made under the requirements set by Reimbursements for Unemployment Compensation Payments (APS 003) (FPP A.035) . Enter the total amount reimbursed to TWC as a negative number on this line.

Committed Budget Transfers In/Out, line 500300/line 500400

When budget transfers are within the same agency, GAAP fund D24 and GAAP fund type D21 (such as between receiving appropriations and direct strategies) the generated AFR transactions for that activity must be eliminated in USAS. For information about the USAS entries, see General Revenue, Eliminate Operating Statement Legislative Transfers within Agency located in the AFR Reporting Requirements’ Annual Financial Report Working Papers . Committed Budget Transfers in/out within the same agency also must be eliminated with an entry in Column L – ADJUSTMENTS in the GR Reconciliation web application.

Example:

For fiscal 20CY, budget transfers in/out that are within the same agency, GAAP fund D24 and GAAP fund type D21 are eliminated by the Sample Agency XXX in Column L – ADJUSTMENTS and nets to zero in Column M – AMOUNT AS ADJUSTED.

Note: There is a difference in the elimination amounts between the USAS entries for Committed Budget Transfers in/out and the GR Reconciliation web application entry. The elimination entries in USAS equal committed budget transfers within the agency including BRP and salary increase. By contrast, the elimination entries in the GR Reconciliation equal committed budget transfers within the agency excluding BRP and salary increase.

Net Change in Cash, lines 600300 through 600500

The amounts on these lines represent any adjustment to unappropriated net change in cash in one of the following categories:

1. The agency does not have authority to collect but the amount is included in the GR Reconciliation web application Column J – OTHER balance on lines 600300 through 600500.
2. The agency has the authority to collect but the amount is not included in the GR Reconciliation web application in any other column on lines 600300 through 600500.

Note: A Petty Cash Increase/Decrease is included on line 600500 in the GR Reconciliation web application and may be reflected with COBJ 9498 – Petty, Travel, Imprest Budget Increase from T-code 462 (generated from T-code 006) on the operating statement, but is not included in the additional legislative appropriations revenue section in the GR Reconciliation. Because appropriation 94992 (Travel Advance, Petty Cash Account) must not affect an agency’s appropriation authority, the increase or decrease must be offset with an entry to line 590000 to make the total additional legislative appropriations revenue match the operating statement. It must also be entered to line 900000 to balance Column L – ADJUSTMENTS. Contact your financial reporting analyst to enter the amount of the increase or decrease to lines 590000 and 900000. For more information, see Petty Cash Account (APS 010) (FPP A.044) .

Earned Federal Funds Net Change in Cash (Appropriation 70000), line 600400

The agency either transfers to a direct strategy the Earned Federal Funds (EFF) it is appropriated, or the Comptroller’s Appropriation Control section sweeps the EFF the agency has not obligated or is not appropriated. For more information, see Earned Federal Funds and Indirect Cost Reimbursements to the General Revenue Fund (APS 023) (FPP A.017) .

If the amounts swept were reported as legislative transfers out in the GR Reconciliation web application for the prior fiscal year, a reversal needs to be made in the GR Reconciliation web application of the current fiscal year for the actual cash transfer that reduced the appropriation authority balance for an amount that was not included in the beginning balance due to the transfer out entry in the prior fiscal year.

The amount in Column J – OTHER is not appropriated to the agency; therefore, this amount is not included in the total legislative appropriation ending balance. Exclude the EFF from the legislative appropriation ending balance by entering the opposite of the Column J – OTHER amount in Column L – ADJUSTMENTS, line 500400 Committed Budget Transfers Out. The cash in Column J – OTHER nets to zero with the transfer out in Column K – CALCULATED PER SOURCE. The adjustment is not made on line 600400 for the effect of EFF on legislative appropriations because the total net change in cash would not tie to Report 204.

Computed Legislative Appropriations for current fiscal year ending asset balance (08/31/CY)

This is a calculated field summing the beginning balance and all the current fiscal year activity. The calculated ending balances in Column J – OTHER and Column L – ADJUSTMENTS are totaled to obtain next fiscal year’s beginning balance for Column J – OTHER. It is necessary to identify and make an entry in USAS (if possible), for all unappropriated appropriations that have remaining balances and need to be moved out to a future fiscal year. Once entries are made, the updated GR Reconciliation web application displays corrected balances.

Legislative Appropriation Balance and OASI Payable at 08/31, lines 701000 through 701200

The amounts on these lines represent adjustments to net change in cash activity in appropriations other than a direct strategy or benefit appropriation and are similar to the explanations for lines 600300 through 600500 in Calculation I.

Computed Legislative Appropriations for current fiscal year ending asset balance (08/31/CY)

The calculated ending balances in Column J – OTHER and Column L – ADJUSTMENTS are totaled to obtain the next year’s beginning balance for Column J – OTHER. It is necessary to identify and make an entry in USAS (if possible), for all unappropriated appropriations that have remaining balances and need to be moved out to a future fiscal year. Once entries are made, the updated GR Reconciliation web application displays corrected balances.

Next: Column M – Amount as Adjusted