Introduction

INTRODUCTION

This Policies and Procedures Manual has been developed by the Department of Administration’s Financial Management and Reporting (FMR) Division to assist agency personnel in the areas of budgeting, accounting, auditing, and financial reporting.  It contains policy objectives along with step-by-step procedures for the most common and important financial transactions.

The manual has been designed as a reference guide to provide and promote strong financial management throughout the agency.  We believe that regular use and reference to this manual will create a greater awareness and accountability in all financial matters.  We are striving for consistency, accuracy, and timeliness as we plan, process, record, and report our daily financial transactions.  These policies and procedures will assist Admin in meeting its mission and goals.

The Table of Contents identifies the chapters created to assist users in locating information.  The chapters are:

1. Financial Management                                         
2. Budgeting                                                  
3. Accounts Receivable/Receipts
4. Procurement/Expenditures
5. Reporting
6. Forms
7. Glossary
8. Acronyms
9. FMR Staff Directory

The first 5 chapters contain the policies and procedures relating to the specific business functions.  The policies consist of the following components:

1. Policy Objectives - This component explains why it is necessary to have this policy.
2. Background Information - This component provides the historical evolution or additional information about the subject of the policy.
3. Authority – This component identifies the authority influencing the process for this business function.  Reference to Minnesota Accounting and Procurements System (MAPS) and Statewide Employee Management System (SEMA4) policies and procedures can be found on the Department of Minnesota Management and Budget (MMB) web site at http://www.mmb.state.mn.us/home.
4. Business Risks - This component provides risks that may occur if the policies and procedures are not implemented.
5. Policies and Procedures - This component contains the main policies and procedures text identifying what should occur or how something should occur to obtain the desired outcome.
6. Forms – This component is contained in the policies and procedures only if there are required forms that must be used to follow this policy.
7. See Also - This component is included in the policies and procedures only if there are other relevant authoritative guidance or policies which may provide assistance to the users.  In addition, reference is included for terms that are noted in the glossary.

Chapters 6 through 9 are the appendices which include the FMR forms, glossary, acronyms, and FMR division directory.  Other forms referenced in this manual are available from the sponsoring agencies.  Forms pertaining to MAPS and SEMA are available from the MMB web site at http://www.mmb.state.mn.us/home.  The glossary provides an explanation of terms used in the policies and procedure.

If you need additional clarification or assistance in implementing these policies and procedures, please feel free to contact any FMR employee.  Recommendation for changes to improve these policies and procedures can be forwarded to FMR.  These policies will be revised on a regular basis.