Write-Off AR (60.1.3)

1

Analyze Customer Accounts

The Agency AR Item Processor analyzes and reconciles customer accounts to determine if an outstanding balance needs to be written off (e.g., statute of limitations, bankruptcy, or deceased).

2

Create Maintenance Worksheet

If the analysis requires a write-off, the Agency AR Item Processor creates and submits a Maintenance Worksheet with the receivable selected to write-off. The worksheet is routed through the approval workflow to the Agency AR Write-Off Approver.

Below provides the Worksheet Application Page where a write-off is applied.

3

Agency Write-Off Approval (ARW007)

The Write-Off approvers use the AR Write-Off Approval link in the WorkCenter to review any write-off pending their approval.

If the write-off is Denied or more information is requested by the Agency AR Write-Off Approver, the ARW007 Maintenance Write-Off Worksheet Workflow routes the transaction back to the Agency AR Item Processor to provide updates or more information.

If transactional updates are completed, the transactions will be routed back through all applicable Approvers.

If the transaction is Denied and the Agency AR Processor does not make updates, the agency will follow the 60.1.4 AR Period Close business process to close out the transaction.

If the write-off is Approved by the Agency AR Write-Off Approver, the transaction lifecycle proceeds to the DFS AR Write-Off Approver.

4

DFS Write-Off Approval (ARW007)

The Write-Off approvers use the AR Write-Off Approval link in the WorkCenter to review any write-off pending their approval.

The DFS AR Write-Off Approver can Pushback the Write-Off through the ARW007 Maintenance Write-Off Worksheet Workflow and the transaction will route back to the Agency AR Write-Off Approver to provide more information.

If Request Information is used through the ARW007 Maintenance Write-Off Worksheet Workflow by the DFS AR Write-Off Approver, the transactions are placed on hold for the Agency AR Item Processor to provide more information before the approval process can move forward.

If the write-off is Denied through the ARW007 Maintenance Write-Off Worksheet Workflow by the DFS AR Write-Off Approver, the transaction routes back to the Agency AR Item Processor for updates.

If transactional updates are completed, the transactions will be routed back through all applicable Approvers.

If the write-off is Approved by the DFS AR Write-Off Approver, the transaction lifecycle proceeds.

5

Set Worksheet to Post

Write-off must be approved to go through the system jobs (e.g., Edit Check, Budget Check, and post to the Ledgers).

Once approved, the Agency AR Item Processor sets the Maintenance Worksheet to post by selecting Batch Standard on the page. This step is required for the Receivables Update to process the write-off transaction and continue the lifecycle.

Below provides the Worksheet Action Page where a write-off is set to post by selecting Batch Standard.

6

Run Edit Check

Edit Check process will run at the designated interval. Edit Check process will validate that ChartField values are active, validate Combination Edit rules applicable to the transaction (i.e., does transaction reflect an accurate Budget Entity to State Program correlation), and validate the Accounting Period is open.

7

Resolve Edit Errors

Edit errors must be resolved prior to the transaction proceeding. The Agency AR Item Processor should confirm the validity of the ChartField values and the ChartField String used on the transaction and make necessary updates. Agency AR Item Processor should confirm that date of transaction falls within an open period.

If error persists after making updates, and a SpeedKey is being used, Agency AR Item Processor should consult with Agency COA Maintainer to determine if SpeedKey was established inaccurately.

8

Run Budget Check

Budget Check process will run at the designated interval to decrease the recognized revenue balance. Revenue Budget check is set to systematically pass when an AR Write-Off Account value is present on a transaction.

Once the Budget Check process is complete, customer balances are updated in the AR module.

9

Update Ledger Balances

Upon passing the budget check, the revenue ledger will be updated in the Commitment Control module.

Please see 20.2 Budget Execution and Management for more information.

10

Generate GL Journals

Journal Generator (JGEN) processes posted accounting entry data from the Florida PALM source modules, summarizes the data, and creates journals in the General Ledger. The Journal Generator process will edit, Budget Check, and post the journal entries created during the process. Please see 10.2 Enter and Process Journals for more information on source module journal entries.

AR07

AR Write-Off

Debit: Write-Off Expense Account (S)

Credit: AR (S)

Decreases Recognized Revenue Balance

Debit: Write-Off Expense Account

Credit: AR

R1

ARR025

AR Data Report – A report that provides AR data including pending items and items to agencies for analysis purposes.

PeopleSoft

Periodic

Agencies

R2

KKR023

Revenue Report – A report that provides revenue estimates, revenue recognized, and revenue collected by Fund, Budget Entity, Category, and account code by ChartField combinations.

PeopleSoft

Periodic

Agency, DFS

N/A

ARW007

Maintenance Write-Off Worksheet Workflow - Workflow that routes AR maintenance write-off items for approval within or between organizations and DFS.

Agency and A&A

02/01/2024

Original Version