A timely review of transactions and reconciliation of each Banner organization is critical to maintaining the integrity of the University’s accounting records and serves as the only way fraud, errors, and omissions may be detected for some transactions. Reconciliations are an essential part of an effective internal control environment, ensuring that:
Departments are responsible for reviewing their Banner finance organizations frequently for transactional, encumbrance, and budget activity.
The University system of record is the Banner Finance system and is used for reconciling departmental organizations. University departments are not permitted to establish or operate independent accounting systems without approval by the Senior Vice President and CFO and the Executive Director of Audit and Compliance Services. For those departments that have an approved independent system, that system can be referenced for supplemental detail in support of departmental reconciliations.
Reconciliation of index reconciliations can be recorded within the Finance Dashboard or Research Dashboard, which show detailed transactional and encumbrance activity, including Personnel detail. This is the preferred and recommended method for recording the Reconciliation.
Other resources exist to show monthly activity and detail for index certifications:
Monthly Summary Data Reports
These reports will help you determine if the organization budget is sufficient for the current fiscal year. The Adjusted Budget shown on the report is your expenditure authority for the current year. These reports provide totals, by account, for current month activity, year to date activity, budget reservations (encumbrances) and the available balance (adjusted budget less activity, less encumbrances).
Monthly Transaction Detail Repots
The report includes all budget, transaction and encumbrance activity, by account, for each month (fiscal period).
Enter the index and fiscal period. (Eg, October is Period 04). Export results by clicking on “Tools,” then “Export.”
This shows what individual’s personnel costs are charged to the index. Located within the Labor Distribution Folder. Fiscal administrators (FAs) who are not also HR Professionals may need to get a copy of the report from their departmental HR Professional. When salary expenses need to be moved to another index (org), departmental HR Professionals and designated Labor Distributors can key labor distribution changes (PHAREDS) in the Banner HR system.
This report lists all corporate card activity by organization code, department or major budget unit. Any corporate card expenditures that you have not allocated in Works to another account and have posted to account 620002 (Undistributed Charge Card) should be reclassified to other more specific Banner accounts using Banner form FGAJVCM. Please see also VCU’s Corporate Card Procedures.
Internal units provide monthly transaction reports to support charges posted against indexes. I.e., Mail Services, VITA (Virginia Information Technology Agency), VCU Telecommunications, VCU Parking, Event Services and Physical Plant. VCU Telephone bills are available through the VU Telecommunications Departmental Portal. VCU Parking passes are supported by current permits/parking passes requested through the office. Charges for event spaces are supported by estimates provide through Event and Conference Services. Physical Plant charges are supported with current work order requests in Customer Service Quick FM.
This sample checklist can help ensure the reconciliation process addresses the objectives: