Does your unit have State funds? If so, keep in mind that we are currently in the remaining weeks of the lapse period. The lapse period occurs during the first two months of a new fiscal year (i.e., from July 1 through August 31). During this time frame, there are two State funds open – the State fund for FY20 (100020) and the State fund for FY21 (100021). To ensure compliance with the applicable State requirements, expenses must post to the correct State fund as outlined below:
- The 100020 State fund must be used to pay for goods or services which were contracted for or received on or before June 30; and
- The 100021 State fund must be used to pay for goods or services which were contracted for or received on or after July 1.
In addition, it's also very important to perform a detailed reconciliation of the transactions posting to the 100020 fund within your unit before August business closes. This will help ensure that any erroneous transactions are identified and reclassified in Banner before the end of the lapse period on August 31, which is when the 100020 State fund will be officially terminated. Once August business closes, no further corrections or adjustments can be made to the 100020 State fund.
Contact
For questions related to this topic, refer to the State Funds section of UAFR’s Who to Ask list.
