Cash Carryforward Procedures for Unappropriated Funds

Agencies are not required to obtain authorization from OSBM to carry forward unappropriated funds. Unappropriated funds to be carryforward are the credit balances in the Central Payroll Clearing Account (211240), Health Benefits Clearing Account (211930400), Sales Tax Payable (211940), Payable Clearing Account (2138AA), and any other agency defined clearing account. Fiscal year-end cash carryforward for unappropriated funds are recorded as a debit to the clearing accounts in the current fiscal year. Cash carryforwards are receipted in the next fiscal year as a credit to the applicable clearing account.

Cash Basis Requirements - Unappropriated Funds

All payable clearing accounts must be cleared by June 29. For those clearing accounts with a credit balance a cash carryforward should be done. This does not require OSBM authorization. These funds should represent the balances remaining in the payroll, health benefits and the payable clearing accounts that are held for disbursement in the following fiscal year. The payroll, health benefit and the payable clearing accounts that have a debit balance should also be cleared.

Manual or system check(s) are written payable to the issuing agency. The amount of the check is included in the agency's cash requisition. System checks must be issued by June 29. After June 29, cash carryforward checks are processed as manual checks in the AP module with an effective date of June 29. The issuance of the cash carryforward is recorded as follows. XXXX represents the agency company number.

Comp Account Center DR/CR

  • XXXX 211240 Detail Center DR

    XXXX 111250 Fund to which cash automates CR

    XXXX 211930400 Detail Center DR

    XXXX 111250 Fund to which cash automates CR

    XXXX 2138AA Detail Center DR

    XXXX 111250 Fund to which cash automates CR

    XXXX 211940 Detail Center DR

    XXXX 111250 Fund to which cash automates CR

The check is deposited in the subsequent fiscal year and recorded as a cash receipt in BC with an effective date equal to the deposit date. The journal voucher to record the deposit must be keyed with a "21" in the third and fourth positions of the document ID. The amount of the carryforward should be included in the certified deposit amount for July. The entry to record the deposit follows. XXXX represents the agency company number.

Comp Account Center DR/CR

  • XXXX 111260/111270 Fund to which cash automates DR

    XXXX 211240 Detail Center CR

    XXXX 111260/111270 Fund to which cash automates DR

    XXXX 211930400 Detail Center CR

    XXXX 111260/111270 Fund to which cash automates DR

    XXXX 2138AA Detail Center CR

    XXXX111260/111270 Fund to which cash automates DR

    XXXX211940 Detail Center CR

Accrual Basis Requirements - Unappropriated Funds

Cash carry forwards for unappropriated funds must be reclassified on June 30 to convert financial data from the cash basis to the modified accrual basis of accounting. The reclassification is processed on a BC journal voucher as a closed period adjustment with an effective date of June 30. These journal vouchers require a "33" in the third and fourth positions of the document ID to ensure its automated reversal in the next fiscal year. The entry to record the accrual follows. XXXX represents the agency company number.

Comp Account Center DR/CR

XXXX 111232 Fund to which cash automates DR Cash Carry forward - Unappropriated

XXXX 211210 Detail Center CR (for payroll clearing accounts)

XXXX 211220 Detail Center CR (for health benefits clearing accounts)

XXXX 21XXXX Detail Center CR (for 2138AA account recorded to may vary)