Function: |
Accounts Payable |
Procedure |
n/a |
Contact: |
This document should be utilized by campus and RF central office staff responsible for the Accounts Payable and Purchasing processes as a guideline for developing monitoring and review procedures.
Note: This document only includes key processes and is not a fully inclusive listing of the controls to be created, rather a high-level guideline for managers to assist in developing monitoring controls.
Monitoring should be performed over electronic purchase requisitions and purchase orders.
The table below describes basic monitoring functions to be performed:
Monitoring Function |
Purpose |
Frequency |
Recommended Report |
Business Area/Responsibility |
Review open purchase orders |
Identifies all open purchase orders and closed purchase orders with remaining balances that need to be liquidated prior to closing an award and/or project. Can be used in Accounts Payable to prioritize closing PO payments. |
Monthly |
Open Purchase Orders with Active Encumbrance |
Report Center, RF Air - Purchase Order Inquiry |
Report Minority Business activity to sponsor (as needed) |
Use to track payments made to minority businesses by award or by campus. Used on demand, each location may run as needed. |
Quarterly or as needed based on sponsor requirements. |
Accounts Payable MWBE Report |
Report Center, RF Air – Accounts Payable Inquiry |
Review Exceptions processed to Subaward payment categories |
Report identifies PO’s encumbered for incorrect amounts and invoices processed for incorrect amounts for expenditure types Sub awards first $25,000 and Sub awards over $25,000. Use to monitor the correct expenditure types are being used for Sub awards first $25,000 and Sub awards over $25,000. |
Monthly |
RF Subawards First $25,000 Exception Report |
Oracle – Purchasing & Accounts Payable |
Monitoring Controls:
Monitoring should be performed over invoice and payment activities.
The table below describes basic monitoring functions to be performed
Monitoring Function |
Purpose |
Frequency |
Recommended Report |
Business Area/Responsibility |
Review open purchase orders |
Identifies all open purchase orders and closed purchase orders with remaining balances that need to be liquidated prior to closing an award and/or project. Can be used in Accounts Payable to prioritize closing PO payments. Used to track PO over 120 days old and on terming awards. |
Monthly |
RF Open PO Report |
Oracle – Purchasing & Accounts Payable |
Report Minority Business activity to sponsor (as needed) |
Use to track payments made to minority businesses by award or by campus. Used on demand, each location may run as needed. |
Quarterly or as needed based on sponsor requirements. |
RF Minority Business Report |
Oracle – Purchasing & Accounts Payable |
Review Exceptions processed to Subaward payment categories |
Report identifies PO’s encumbered for incorrect amounts and invoices processed for incorrect amounts for expenditure types Sub awards first $25,000 and Sub awards over $25,000. Use to monitor the correct expenditure types are being used for Sub awards first $25,000 and Sub awards over $25,000. |
Monthly |
RF Subawards First $25,000 Exception Report |
Oracle – Purchasing & Accounts Payable |
Review Invoices On Hold |
Lists all invoices on hold in the Accounts Payable module. Report includes project, task, and award information for invoices with saved distributions. The report can be run for a specific project, award, location, or hold reason. |
Daily/Weekly depending on volumes |
RF Invoices on Hold Report |
Oracle – Purchasing & Accounts Payable |
Review Unvalidated Invoices |
Use to review invoices with a status of "never validated" or "needs revalidation" in the Accounts Payable module. Report includes project, task, and award information for invoices with saved distributions. The report can be run for a specific project or award, or for all invoices. |
Daily/Weekly depending on volumes |
RF Unvalidated AP Invoices Report |
Oracle – Purchasing & Accounts Payable |
Review AP payment information |
Review payment information to ensure a payment is generated from an AP invoice. Provides summary or detail information of payments made for a specified date range. Report can be run for a specific document type (wire transfers, foreign drafts, electronic, zero invoices and checks). |
Daily |
RF Summary and Detail Payment Register |
Oracle – Purchasing & Accounts Payable |
Review Outstanding Vendor Checks |
This report provides a list of uncashed vendor checks for tracking and resolution of items |
Monthly |
RF Outstanding Check Register |
Oracle – Purchasing & Accounts Payable |
Review payments issued to 1099 suppliers to ensure accurate 1099 reporting |
Displays a listing of miscellaneous payments made to 1099-MISC suppliers (U.S. citizens and resident aliens) for specified time period. The report can be run with detailed information, such as invoice numbers, invoice amounts, payment dates, and award and project numbers that have been charged, or with a summary of payment information. |
Monthly |
Oracle – Purchasing & Accounts Payable |
|
Review paid invoice distributions with inaccurate or missing 1099-MISC income tax information |
Use to review paid invoice distributions with inaccurate or missing 1099-MISC income tax information. |
Monthly |
1099 Invoice Exceptions Report |
Oracle – Purchasing & Accounts Payable |
Monitoring Controls:
Monitoring should be performed over supplier file activity.
The table below describes basic monitoring functions to be performed:
Monitoring Function |
Purpose |
Frequency |
Recommended Report |
Business Area/Responsibility |
Review New Suppliers or Sites |
Displays detail information for each supplier or supplier site including who entered it, the pay group, terms, creation date, and whether a site is a pay site. |
Daily or weekly depending on location activity |
RF New Supplier/New Supplier Site Listing |
Oracle – Supplier File |
Review suppliers to ensure 1099 information is accurate |
Identifies 1099-MISC suppliers with inaccurate or outdated income tax information. Report identifies suppliers that will be treated as exceptions in the 1099-MISC reports. |
Monthly (Central Office also runs this report and contacts campus users to correct invalid information to ensure accurate 1099 reporting) |
1099 Supplier Exceptions Report |
Oracle – Supplier File |
Date |
Summary of Change |
July 24, 2017 |
Updated Reports |
October 17, 2006 |
New parameter (location) added. |
April 11, 2006 |
Revised to add monitoring tables and remove unnecessary information. |
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