A/R BILLING PEOPLESOFT MINUTES – 12/12/02

Attending: Angela Beecham, Katy Hutton, Cecilia Kerlin, Ellen Lepine, Rick McCauley, Vanessa Peoples, Suzanne Sembiante, Bill Spear, Rachel Strickland, Amy Taylor and Andrew Viehman

Rick introduced Andrew Viehman, who will be with us for next two weeks.

Today, we concentrated on “touch points”…how do A/R and Billing touch G/L, A/P,

P/O, etc.

90% of A/R & Billing is set-up per Rick, but will help to make data entry, tracking of

phone conversations, reminders, etc. easier.

Other automation is built-in for the billing of federal agencies, etc. in the Contracts

Module.

Using “Demo Database” (8.4) we can see how to set-up A/R and Billing (only in order that we can use our own ideas…we cannot use their examples).

Rick says the Grants and Projects area is still unknown territory. A/R and Billing is very flexible. The training problem lies in differences between commercial business and educational business practices.

Per Rick, a Business Unit has its own Tax ID and produces a balanced set of books with retained earnings…net assets or claims to cash. There can be more than one Business Unit. We will discuss these further at next meeting as Rick would like to discuss alternatives to listing Contracts/Grants, Miscellaneous Bills and Physical Therapy Clinic as separate Business Units.

“Business Location” becomes very specific with regard to asset management. Considering Grants, for example, even room numbers can become “Business Locations”.

Equipment Inventory is also part of Asset Management.

An A/R Business Unit allows mapping and connecting of Billing Units. There can be mulitiple Billing Units going to one Business Unit. A Billing Business Unit (US001) can only go to one A/R Business Unit. It has been decided there will be only one Business Unit, but multiple Business Billing Units can go to the Business Unit. Under A/R Business Unit we can have as many Business Billing Units as needed going to the G/L Business Unit. Rick said he likes to think of a Billing Unit as a Chart Field because it’s another way of storing data. Andrew, however, disagreed with him on this point.

Today, Rick showed us examples of how the “Subsystems” touch the G/L. We also learned where data is kept.

“Update Open Periods” (“Period” meaning months) tells us which months are open to enter transactions. If a billing transaction is passed to G/L and their “period” isn’t open, it will not get posted until the G/L Month opens. Therefore, we need to figure out how we will coordinate our bills with G/L’s timing, in order that we can recognize our revenue within the month we need it. Presently, we do all according to “calendar” timing. If a payment doesn’t post as a result of this timing issue, it may never post!

A “Journal Template” is a listing of how a bill goes into the G/L. Looking at this template we see “Application Business Unit”, which creates its own G/L detail. We may choose this option as opposed to one G/L Business Unit, which summarizes and combines all billing detail from various departments.

Next, on this template, we see “Reversal”. Rick says we will not generate a reversal, but we can for unbilled items at year-end.

Rick said BI is our Journal ID Mask and Journal Source, even if we have multiple Billing Units. The Journal Date is determined by Ben Martin in General Accounting and is set for Accounting Date on Transaction. This means the date it will appear in the G/L.

He touched on Beginning Date to Period, saying July through December is open with July 1 being the Beginning Date to Period, December 1.

“Touch Point Summarization” is how transactions enter the G/L. Departments can drill down to get details of various transactions instead of calling A/R the way they currently do. Under G/L, then under “Journals”, then under “Subsystem Journals and Accounting Entry Definitions”, then under “Billing Definitions”, is the “BI Accounting Entry Table”. This is where all the detail is kept, per Rick! Here, a department can drill down, across “Products” and use entry screens. Money is kept under “Accounting Entry Definitions”.

Currently, G/L Summarizes cash entries. In PeopleSoft, Cash System flows to “Staging Table” (leaves detail here).

He touched on the other options found under “Touch Point Summarization” as well.

Such as: How Specified Options = Summarize to Account (=Summarize to Acct. Codes) or summarize all Chart Fields. How Account Specified = All Account Values. How Alternate Summarization Option = Retain Detail.

Rick also stated “A/P Origin ID” is used when A/P is used to bill a Business Unit. For example: A Business Unit does work for another and needs to bill the unit it serviced.

Rick stated Billing could have different Chart Fields from G/L, but Ellen said UD was not doing this.

Under “Distribution Codes”, he defined “Entry Reason Codes” as info sent to A/R and

“Entry Type” as Debit/Credit set-up. Rick said a “Reason Code” should match each of our current UD Sub Codes. There must be a “Reason Code” matching each Debit Entry Type and one to match each Credit Entry Type. These Reason Codes can represent Refunds, Write-Offs, Offset Items, and Creating Debit for Net or Credit for Net.

He described Entry Event” as an option we will not use right now as it triggers other things to happen.

Next, we discussed “Unbilled A/R Distribution Code”, which Rick said is where Year-End Unbilled Revenue is entered (or, entered as often as needed).

Then, he described “Accrued Journal Template” as being equal to “BI Accrual” and “Other Choices”. “Bill Status” (individual transaction which appears on an invoice)= “New Bill” (or other choice). “Bill Status” = Pend Apprv (or other choice).

“Billing Options” are Business Unit Defaults such as: Cycle ID, Remit To, Bank Acct.(Gov’t. Agencies may require EFT’s), Payment Terms Id (Distribution Code Default = Chart Fields), A/R Distribution Code (AR), Deferred Distribution code (DFR REV), Installment Plan ID (INST 1), Billing Inquiry Phone, Billing Specialist, Billing Authority, Bill by Identifier (CONTRACT), Invoice Form ( STANDARD), Exchange Rate Type.

The “Receivables Definition Codes” field is where we can list multiple Business Units.

Here, Rick asked if we have allowances for ‘doubtful accounts’?

Under “Accounting Options 2”, Vanessa asked about Direct Debit Billing (UD is allowed to electronically debit customers’ bank accounts) and whether this could also be used to obtain payment for Wellness Programs in cases where Wellness Dollars have been depleted. Angie and Ellen interjected that with customers’ approval, the University may want to use Payroll Deduction where Wellness Payments are concerned.

Our next meeting will be on December 16, 2002 in 003 Hullihen. Andrew, not Rick, will be present to answer questions as we look at “Bill Types” and the Billing Section in-general.