Grants Management Enhancements – Facilities & Administration (F&A) and Revenue Recognition

A Grants Management enhancement has been implemented in UR Financials effective July 1, 2015. Facilities and Administration Expense and Revenue Recognition journals will be created at the time the direct expenditure is recorded on Supplier Invoices and Supplier Invoice Adjustments to more accurately match revenue with expense in the accounting period in which the transaction occurs regardless of when settlement occurs.

Please note transactions will be handled differently as follows: 

Supplier Invoices and Supplier Invoice Adjustments Dated prior than 7/1/2015 (Current Process)

  • Supplier Invoices and Supplier Invoice Adjustments do not recognize Facilities and Administration (F&A) Expense and Revenue at the time the direct expense is recorded
  • F&A Expense and Revenue Recognition occur at the time of payment for expenditures (known as settlement, when a check is cut to pay the Supplier)
  • Supplier Invoices and Supplier Invoice Adjustments dated prior to 7/1/2015 will continue under this process and not process under the new enhancement, meaning F&A and Revenue will continue to be recognized at settlement
    • In the very near future, an enhancement will be delivered to change the processing of F&A and Revenue Recognition for new transactions with document dates prior to 7/1/2015. A separate communication will be sent once this functionality is released.
  • Supplier Invoices and Supplier Invoice Adjustments “in process” prior to 7/1/2015 will continue under this current process and not process under the new enhancement, meaning F&A and Revenue will continue to be recognized at settlement
  • These transactions are not Billable until settlement is complete

Supplier Invoices and Supplier Invoice Adjustments Dated 7/1/2015 and later (Enhancement)

  • Supplier Invoices and Supplier Invoice Adjustments will have F&A and Revenue journals created at the time the direct expenditure is recorded to more accurately match revenue with expense in the accounting period in which the transaction occurs, regardless of when payment is made
  • For new transactions, F&A and Revenue Recognition will occur at the time of Business Process (BP) completion (data entry and approval of supplier invoice/adjustment, if needed)
  • These transactions are not Billable until settlement is complete (no change to existing process)

For questions on this, please feel free to contact your Staff Accountant in ORACS or Terry Messenger.