Enclosed is the schedule for processing year-end Treasurer's Office documents for June 30, 2001.  This schedule is provided for your information and guidance as you schedule the year-end activities in your areas of responsibility.  A pull-off reminder schedule is included as the last page of this document for your convenience.  Please remember that our objective is to record all revenues, disbursements, and encumbrances in the proper fiscal year.

Accounts Payable Office:

All disbursement items, including travel and petty cash reimbursement vouchers, T27s and transfer voucher items, which are to be included in the current year activity, must be received in the Treasurer's Office by the close of the fifth working day in July, which is Monday, July 9.  The final processing of these documents will be the ninth working day of July, or Friday, July 13.

Procurement Cards:  The June cutoff date for purchases made by departmental procurement cards will be June 27, 2001.  The final date to distribute charges through the procurement card system for the June purchases will be July 13, 2001.  The procurement card default account will be charged for all purchases if you are unable to access the procurement card system and distribute the charges by that date.  Procurement card purchases made on June 28 and 29 will be charged to the new fiscal year.

Chief Business Officers should arrange for frequent submission of items ready for processing and immediately initiate procedures to obtain proper resolution and disposition of "problem items".

All invoices which are received in the Treasurer's Office after the cutoff for processing June 30, 2001 checks will be reviewed to determine in which fiscal year the expenditure should be recorded.  Invoices for $1,000 or more representing June 30, 2001 fiscal year expenditures (i.e. goods or services received prior to June 30) will be recorded as accounts payable and expensed.  Budget entities wishing to accrue amounts less than $1,000 should batch these invoices and transmit them to Accounts Payable with a request for accrual.  All accrual entries will be made by the Treasurer's Office, Campus Business Officers, and/or the Internal Audit Section of Management Services.

Controller's Office: 

The schedule established for the various stages of the year-end closing process by the Controller's Office is as follows: 

1. Departments may run an "interim" ledger (zdept_ledger) at the close of business on Friday, June 29.

The interim ledger will include:

1. Invoices which have been entered through Friday, June 29.

2. Interfaces which have been processed  through Friday, June 29.

3. Regular transfer vouchers, journal vouchers, and budget change forms which have been received and processed by the Treasurer's Office through Friday, June 29.  Salary transfer vouchers received by Monday, June 18 will be included in this report.

4. Payroll vouchers including the biweekly payroll for the pay period ending June 17.   Checks will be dated June 25.  The bi-weekly pay period ending June 17 will be paid on June 26.

5. Cash receipt vouchers to the extent they have been accepted for posting.  This should include all CVs except for June 29.

The "interim" ledgers should be reviewed so that any necessary corrections and/or adjustments can be processed in time to be reflected  in accounting period twelve.

2. July (period 01) 2001 will be opened July 5 for purchasing and financial transactions.  New year items in hand should not be processed in IRIS until this date.

3. The accounting close for the month of June (period 12) is scheduled on the tenth working day of July, or Monday, July 16.

Departments may print final monthly ledgers on Wednesday, July 18.   The Treasurer's Monthly Report for the month of June (period 12) is scheduled to be printed and distributed by the twelfth working day in July, or Wednesday, July 18.  These ledgers and reports include all regular June (period twelve) transactions for the fiscal year that were generated by invoices, payroll vouchers, salary transfer vouchers, cash receipt vouchers, and all purchase order activity.  Regular transfer vouchers and journal vouchers will be included to the extent that they are processed through the Treasurer's Office by Friday, July 13.

These reports will complete all routine business transactions other than the final closing entries.

4. All regular journal entries affecting restricted accounts should be received in the Controller's Office by Monday, July 23.  Indirect cost adjustments must be received by Wednesday, July 25.  The final automated indirect cost run will be entered on Friday, July 27 closing restricted accounts.

5. After the close of period 12 for June, only corrections, adjustments, and closing transfer vouchers and journal vouchers will be accepted for processing against the current fiscal year records.  Schedule "K" by entity can be ran off any time by the CBO’s to assist in closing.

6. All closing entries for salary and staff benefits including accruals must be received in the Controller's Office by Wednesday, July 25.  After this date no journals or transfer vouchers with salary or wage GL accounts will be processed for fiscal year 2001.  All closing entries for expense and income accounts (including auxiliaries) must be received in the Controller's Office by Friday, August 3.  The Controller's Office will attempt the final closing of this year's records by the end of August, or Friday, August 31.  The final ledgers and reports for the year may be printed by the fifth working day in September, or Monday, September 8.

Please contact the Controller's Office immediately at (423) 974-2493 if unusual needs or  situations arise  which require  special handling or consideration.  

Payroll Office: 

All salary or additional/overtime pay to be charged to FY 2001 must be paid through the normal payroll cycles prior to July 1, 2001.  Personnel Action Forms and pay adjustment forms to be reflected on the June monthly payroll must be received in the University Payroll Office by Monday, June 11.  PAFs for the biweekly pay period ending June 17 are due on Friday, June 15.  Biweekly pay adjustment forms for this period must be received by Tuesday, June 19.  T-27 miscellaneous payroll (not processed by the payroll office) for this period must be received in Accounts Payable by June 29. 

To be included in the current fiscal year, all payroll checks to be cancelled and all salary transfer vouchers to be posted must be received in the University Payroll Office by noon Friday, June 29.  These transactions will be processed on Monday, July 2. 

UWA Audit and Management Services:

To facilitate year-end closing, UWA Audit and Management Services will provide year-end instructions and special requests to certain University-wide and Knoxville campus departments. Those instructions will be tailored to the requirements for each budget entity and will specify the information needed.

UWA Audit and Management Services and campus-based auditors will observe physical inventories; record accounts receivable, related reserves, and other adjusting entries; and prepare and analyze operating statements for certain auxiliary enterprise operations.

Reserve for Encumbrances: 

The Reserve for Encumbrances represents an allocation of the current fund balance equal to material outstanding purchase orders as of June 30.  The only purchase orders that should be outstanding at June 30 are those for which funds are available in departmental budgets at year-end.  Purchase Orders for goods or services ordered prior to June 30 for delivery after June 30 must be dated July 1.  The purchase order file, after final June 30 checks have been deobligated, will be the initial basis for the Reserve for Encumbrances.  An outstanding purchase order list will be provided and must be reviewed for each budget entity.  After eliminating amounts representing purchase order payments which are accrued as accounts payable, the remaining purchase orders in the amount of $1,000 or more will be used to establish the Reserve for Encumbrances.  Budget entities will continue to have the option to add purchase orders less than $1,000 to the reserve by sending an itemized list to the Controller's Office.  At the beginning of the new fiscal year, each budget entity will have the responsibility for initiating a Request for Budget Revision (Form T-15) charging the  appropriate fund balance account to record increases in the appropriate departmental budgets for items included in the Reserve for Encumbrances.  The Controller's Office will eliminate the Reserve for Encumbrances and increase the budget entities' fund balances at the beginning of the new year. 

Undelivered Checks:

Undelivered Checks that will be more than twenty-one (21) days old at June 30 should be returned to the Treasurer's Office for cancellation.  These checks should reach the office indicated below no later than the last working day of June or Friday, June 29, 2001 by noon. 

Payroll Checks:  Must be returned to the Payroll Office, Room P115, Andy Holt Tower. 

Voucher Checks:  Must be returned to the Accounts Payable Office, 301 Andy   Holt Tower.

Miscellaneous Checks: All financial aid checks must be returned to the Controller's   Office, Room 201, Andy Holt Tower.  Other miscellaneous checks must be returned to the Accounts Payable Office, 301 Andy Holt Tower.

Cash Receipts:

A clean break must be made between fiscal years for all funds received.  Funds received in University offices prior to the close of business on June 29 must be deposited on separate bank deposit slips and forwarded with a separate Report of Collections (Form T-33) dated June 29, 2001 to be received in the UT - Knoxville Bursar's Office no later than Thursday, July 5, 2001 by 9:00 a.m., preferably earlier.  Funds received in University offices beginning July 1 and later (thus not available in the prior fiscal year) must be deposited on appropriately dated bank deposit slips and forwarded on separate Report of Collections (Form T-33) appropriately dated in the new fiscal year. 

In view of the volume and diversity of transactions which must be processed and recorded during the closing process, it is essential that all Business Offices cooperate fully in the timely submission of closing information.  In particular, requests for disbursement vouchers must be scheduled for frequent submissions in June in order to reduce the volume of transactions on the final submission date. 

Please distribute this memorandum to all business personnel in your area who are involved in the year-end closing process in order that they may be aware of the target dates which have been established for the various stages of the closing process.  Thank you for your cooperation. 

JRM:vjm