New Legal Manual & Content Highlights April 17, 2014

1. New Legal Manual & Content HighlightsApril 17, 2014 Roberta McNiel, SFSR and Kristina Randig, MAPO Chancellor’s Office Year-End Legal Training April 17, 2014

2. Overview • History • Enhancements • How the topics of chapters were determined • Where to find the new manual • What is the Legal Manual, where does it fit? • Chapter templates • Are we there yet???? Year-End Legal Training

3. History - The evolution of the Legal Manual Year-End Legal Training

4. Enhancements include: • Breakdown of longer chapters into more manageable sections • Standardization of chapter formats • Consolidation of information (e.g., RMP documents, various guidelines, emails) into a single repository • Amplification of procedure not appropriate for inclusion in the ICSUAM • Real time (as opposed to annual) updates Year-End Legal Training

5. How were Legal Manual chapters determined? • Chapter topics either relate to the operation of a CSU fund or to a particular topic (“subject matter” chapter), such as SCO reporting • Text was reorganized so that all information relating to a CSU fund or subject reside in a single chapter • Information from other sources (e.g., RMP documents, Cost Recovery Guidelines, Executive Orders, Memos, websites) integrated into the chapters Year-End Legal Training

6. How were Legal Manual chapters drafted? • CO-prepared drafts were sent to designated contributors (including campus subject matter experts) to add information and draft a more complete and cohesive document • Revised documents sent to a designated reviewer for further refinement of text Year-End Legal Training

7. How were Legal Manual chapters drafted? (cont.) • Completed drafts were sent to Systemwide Financial Standards and Reporting (SFSR) for the addition of GAAP information and for final review and approval • Chapter posted to the SFSR website, under Year-End Legal & Reporting Workshops Year-End Legal Training

8. Where to find the “New” Legal Manual • http://www.calstate.edu/sfsr/Y-E-R_Instructions/2013-2014/LegalManual/index.shtml Year-End Legal Training

9. Where to find the “New” Legal Manual Year-End Legal Training

10. What the Legal Manual is intended to be: • A single integrated resource for information regarding legal-basis (transactional) accounting (NOTE: GAAP-basis reporting is the topic of a separate manual located at the same web page described on the preceding slide; select the current year’s drop-down box for “GAAP”) • A guide to state reporting Year-End Legal Training

11. What the Legal Manual is intended to be (cont.): The manual is always a work in progress and is a collaborative effort between the CO and campuses where everyone is a contributor and reviewer. Year-End Legal Training

12. What the Legal Manual isnot: A beginner’s guide to accounting. The purpose of this manual is to bridge the knowledge gap between accounting as taught in a traditional classroom and accounting as practiced by the CSU. The underlying presumption is that the reader has completed formal instruction as part of obtaining his/her business degree. The intent is not to provide a full discourse on each and every topic, but instead to point out selected aspects of accounting which are unique to CSU.    Year-End Legal Training

13. Where does the Legal Manual fit in? • CSU’s written directives hierarchy (Proposed): Year-End Legal Training

14. Two New Chapter Templates Chapters by Fund (CSU Program Group) • Continuing Education/Extended Education • Parking • Housing • Capital Project • Debt Year-End Legal Training

15. Two New Chapter Templates Chapters by Subject Matter • Escheat • Banking and Investments • Fees • CSURMA • Fixed Assets Year-End Legal Training

16. Standard Chapter Template includes: • AUTHORITY: The authority that allows this fund to be established and regulatory requirements (various California State Act, Education Code, Government Code, etc.) See also Appendix 19 – Table of Object Code and CSU Fund Definitions. Year-End Legal Training

17. Standard Chapter Template includes: OVERVIEW: A brief description of the types of activities generating the source of funds being categorized into the specified CSU fund or background information on the specified topic such as CSURMA. Year-End Legal Training

18. Standard Chapter Template includes: FUND SPECIFICS: (POLICY Section) • Rules for the fund based upon the Authority for the fund. • Campus policies and procedures may be more restrictive, but must be in compliance with the information in this section only. Year-End Legal Training

19. Standard Chapter Template includes: • FUND MANAGEMENT AND ACCOUNTING: CSU accounting requirements, including object codes, accounting entries, how transfers are handled, etc. • REPORTING REQUIREMENTS: Includes reports that must be submitted to the CO, State or outside agencies, including reporting frequency. Year-End Legal Training

20. Standard Chapter Template includes: • FUND BALANCE: This section includes the rules for the ending balance in the fund. Indicates if there are carryover balance thresholds and reserve designations. Year-End Legal Training

21. Standard Chapter Template includes: • GAAP IMPACT: This section is used to identify if there is a process that needs to occur in legal to ensure that the information will derive to GAAP properly. This section can also include a reference to the GAAP Manual as to how to handle the subject matter in GAAP, i.e. Summer Session revenue and faculty payroll. Year-End Legal Training

22. Standard Chapter Template includes: • RESOURCES: • Systemwide Guidelines • Document links • Spreadsheets • Executive Orders • Other helpful reference material Year-End Legal Training

23. Standard Chapter Template includes: Year-End Legal Training

24. Are we there yet? Year-End Legal Training

25. www.calstate.edu Year-End Legal Training