Understanding PeopleSoft Grants Implementation

PeopleSoft Grants delivers these charts of accounts:

• Fund

• Department

• Program

• Class

• Account

• Budget Period

• Project/Grant

• Statistical Code

• Affiliate

• Scenario

This table provides information about these ChartFields:

You have flexibility in establishing the business unit structure within PeopleSoft Grants. Institution-specific needs drive business-unit structure requirements, so you need to decide which options to use for setting up the business units during implementation.

This table explains the basic steps that you may want to follow to set up commitment control options for PeopleSoft Grants. This list is not a comprehensive procedure for setting up commitment control options.

You can find a more detailed and thorough explanation of the steps in the documentation referenced in the Additional Documentation column of the table:

The Journal Generator is a program that takes accounting entries from PeopleSoft Grants and formats them into journal entries. The journal entries are then transferred to the appropriate ledger in PeopleSoft General Ledger.

PeopleSoft Grants and PeopleSoft Contracts deliver two accounting entry definitions that the system uses for this process. You cannot edit these definitions:

PeopleSoft Grants and PeopleSoft Contracts also deliver two sample journal entry templates that the system uses to summarize accounting entries and creates journals.

To book revenue to PeopleSoft General Ledger, you must run a series of application engine processes. These processes refer to the delivered Accounting Entry Definition pages to identify accounting entry layouts—specifically, it uses the record and field names to extract data from the Contracts and Projects Accounting Line table (CA_ACCTG_LN_PC) for creating the journal header and lines. Journal Generator then takes these accounting entries and, using the Journal Generator Templates, creates the accounting entries that are booked to PeopleSoft General Ledger.

Sponsoring agencies define the budget items that you are required to use in proposals. The system stores these budget items in a control table with an effective date and status. After you establish budget items in the control table, you can map them to sponsors so that when you prepare a proposal budget for a sponsor, only the mapped items appear in the prompt table.

PeopleSoft delivers these budget items:

The budget items SUB<25, SUB>25, SUB<25F, and SUB>25F support the system calculation of the proposal F&A where subrecipient funding is involved. F&A will only be computed on the first 25,000 USD. Multiple budget items exist for subrecipients as these are necessary to provide the needed information in printing subrecipient details on the sponsor forms as well as to correctly compute the F&A.

A primary institution is limited to recovering indirect costs that are related to consortium expenditures for a base amount not to exceed 25,000 USD.

To calculate indirect cost recovery, include the SUB<25 and SUB>25 categories in the organization-defined F&A base types. You should include SUB<25 and SUB>25 in the F&A base types that you use to calculate indirect cost recovery (TDC = Total Direct Cost).

Example 1:

You have established a consortium agreement with a subrecipient for a total of 20,000 USD. Of this amount, 15,000 USD represents direct costs and 5,000 USD represents indirect costs that were incurred by the subrecipient. The primary institution has an indirect cost recovery rate of 50 percent.

PeopleSoft recommends the usage outlined in this table:

This usage maps to form PHS 398, page HH. Consortium and contractual costs are:

• Direct Costs = 15,000 USD.

• Indirect Costs = 5,000 USD.

Example 2:

You have established a consortium agreement with a subrecipient for a total of 100,000 USD. Of this amount, 60,000 USD represents direct costs and 40,000 USD represents indirect costs that were incurred by the subrecipient. The primary institution has an indirect cost recovery rate of 50 percent. You can complete this transaction in two ways.

Here is the first way:

Here is the second way:

This usage maps to PHS 398 Page HH. Consortium and contractual costs are:

• Direct Costs = 60,000 USD.

• Indirect Costs = 40,000 USD.

All projects that you create contain activities. Activity types are the labels that identify and group projects in PeopleSoft Grants. If you assign activity types consistently throughout the PeopleSoft Grants system, you can analyze and report on all similar activities across all projects institution wide.

To set up activity types, define the types of activities by which you want to identify and group projects in the PeopleSoft Grants system.

Instructions for setting up activity types appear in the PeopleSoft Project Costing documentation.

Each award is composed, at the most basic level, of resource transactions. Resources contain the quantity and amounts that are associated with each transaction and all of the identifying information that accompanies those costs.

You assign analysis types to individual resources to identify the different types of transactions in PeopleSoft Grants, such as estimated costs, budgeted costs, actual costs, and billed costs.

Multiple resources may be created as a transaction moves through the system.

For example, you may budget 1,000 USD for labor for a project. The actual cost of labor might be 1,500 USD. You may bill for that labor at 1,500 USD. The result would be three resource transactions that recorded the same labor resource as it moved from stage to stage through an award. See the example in the following table:

PeopleSoft Grants delivers the following values as system data. Do not modify them.

• CFA (Cost Sharing F&A).

• SCH (Scheduled Bill Lines).

• SFA (Sponsor F&A).

• OFA (Revenue Offset Lines).

• WFA (Waived F&A).

To set up analysis types and groups:

1. Enter descriptions of analysis types (for example, scheduled bill lines).

2. Create analysis groups.

3. Enter comments about an analysis group.

Instructions for setting up analysis types and groups appear in the PeopleSoft Project Costing documentation.

Resources in PeopleSoft Grants enable you to track, analyze, and report on all costs, both actual and planned, in awards. Assign resource types to individual resources to identify the purpose of individual transactions.

Resource types can be as general or as specific as you want, depending on your needs. For example, you can create a resource type of Personnel to track total personnel costs in your awards, or you can create resource types of Full-time Labor and Consultant Labor to track overtime and standard labor separately.

Resource categories and resource subcategories enable you to identify resources at a more detailed level.

Thoroughly map out the needs of the organization using resource types, resource categories, resource subcategories, and resource groups before you actually create them.

PeopleSoft Grants uses transaction types (for example, adjustments) and transaction codes to regulate specific kinds of transactions and to define accounting rules.

The system uses accounting rules to translate resource transactions into PeopleSoft General Ledger entries. Transaction types are the foundation of accounting rules. Defining transaction types in a separate table saves time and reduces errors when you define accounting rules.

Standard transactions are transactions that involve moving money from one account to another within the same general ledger business unit. Intercompany transactions involve moving money from an account in one general ledger business unit to an account in another general ledger business unit. Additional transaction lines are required for intercompany (or institution) transactions.

To define transactions:

1. Define the transaction types that you want to use in accounting rules.

2. Define transaction codes that you use in accounting rules.

3. Define accounting rules.

Instructions for setting up transactions appear in the PeopleSoft Project Costing documentation.

You define standard accounting entries or rules for project-based transactions based on a combination of business units, contracts, project types, activities, analysis types, ChartFields, project transaction types, and project transaction codes.

These rules are necessary to process accounting information from project transactions. You can minimize the rules by using a wild card in all the fields except PC Business Unit (projects business unit) and Resource GL Bus Unit (resource general ledger business unit). You can make accounting rules more specific by using additional fields on the page.

For example, a timesheet entry may need pricing for a billable row (analysis type = BIL) and a cost row (analysis type = CST). These two rows may require different accounting entries using two accounting rules: one for BIL, and one for CST. You can copy accounting rules to the various business unit combinations that are defined in the framework by clicking the Copy Accounting Entries To link on the Accounting Rules page and entering the new header criteria.

Instructions for setting up accounting rules appear in the PeopleSoft Project Costing documentation.

Integration templates define the integration between PeopleSoft Grants, PeopleSoft Project Costing, and PeopleSoft General Ledger. Before you can begin to track awards and the costs that are associated with awards, you must define integration templates. They also establish the business units that PeopleSoft Grants assigns to transactions by default.

Assign each new award an integration template.

For example, if the institution has an aerospace research center and an astronomy department, set up a general ledger business unit for each department. Then, set up two integration templates, one for each business unit.

PeopleSoft Grants also uses integration templates to restrict access to general ledger business units. You can post resource transactions for an award only to a general ledger business unit that is specified in the integration template that is assigned to that award.

Each award must be assigned an integration template.

To set up integration templates:

1. Define the integration template by selecting Setup Financials/Supply Chain > Product Related > Project Costing > Project Options > Integration Templates.

2. Identify the default business units in PeopleSoft Purchasing and PeopleSoft Asset Management that interact with the awards process in PeopleSoft Grants.

   Select Setup Financials/Supply Chain > Product Related > Project Costing > Project Options > Integration Templates > General Integration.

3. Define the general ledger business unit or units for each integration template.

   Select Setup Financials/Supply Chain > Product Related > Project Costing > Project Options > Integration Templates > GL Integration Detail.

Instructions for setting up integration templates appear in the PeopleSoft Project Costing documentation.

Here is how award and project controls work in PeopleSoft Grants:

• Project types are labels for grouping projects within awards.

  Setting up project types and assigning them to awards enables you to analyze all projects of a certain type in relation to one another.

• Activity types are the labels that identify an activity in PeopleSoft Grants.

  If you assign activity types consistently throughout PeopleSoft Grants, you can analyze and report on all similar activities across all awards institution wide. All awards that you create will contain activities.

• Status types are one-character, alphanumeric identifiers that you use to track changes in the status of awards and activities.

  You also use status types for defining award events, which are the actual changes in status that require approval. Use the Status Types page to set control actions to limit transactions coming into PeopleSoft Grants from cost feeder applications.

• Phase types are used to identify what phase of the award a date can represent when you enter dates in award schedule.

  For example, if you create a phase type of cleanup, you can enter a begin cleanup date and an end cleanup date in the award schedule, and track time that is spent specifically on cleanup.

• Award events represent a change in the status of an award, a project, or an activity.

  For example, a change in the status of a project or an activity from proposed to approved can be defined as an award event that requires approval. An award event can be a change in status between two consecutive status types such as proposed and approved, or two nonconsecutive status types such as proposed and closed. Award events can be an important part of workflow if you have set up workflow within PeopleSoft Grants.

• Work breakdown structure is a hierarchical structure that you can use at the activity level to aid in reporting and analyzing similar activities throughout the institution.

  The work breakdown structure typically includes several levels, and you can use it to roll up detail values from lower levels. For example, you may want to roll up details about all clinical research for all awards within a business unit for outcome comparisons. Because only a subset of work breakdown structure elements is typically used for a given award, you use Tree Manager to define the tree that contains valid work breakdown structure elements for an award. Each activity that you then add to that award can be associated only with the work breakdown structure elements on that tree.

To establish award and project controls:

1. Create project types.

2. Create activity types.

3. Define the status types that you want to use for awards and activities.

4. Identify what phase of the award is represented when dates are entered in the award schedule.

5. Define an award event.

6. Enter work breakdown structure values.

Instructions for setting up award and project controls appear in the PeopleSoft Project Costing documentation.

When working with proposals and awards, you can specify the address information for each project within a research proposal as well as information about where the research for a project will be conducted. This information maps to Page BB of form PHS 398 as performance sites.

You might also need to specify multiple research performance sites for each activity. Before you can specify the research location information, you must define your locations on the Location Code control table. Select Set Up Financials/Supply Chain > Common Definitions > Location.

During implementation, make sure that all of the facilities that you are using to perform research are defined in your PeopleSoft system.

To set up the products that are used for billing purposes, use the Product Definition pages. On these pages, you define the products and services that you use on the contract lines.

For PeopleSoft Grants, you must first set up a product on the Product - Definition page and then select a price type of Rate and a revenue method of As Incurred on the Product - Contracts Options page.

Instructions for defining products appear in the PeopleSoft Contracts and the PeopleSoft Order to Cash Common Information documentation.

The Bill Cycle Schedule page enables you to establish date ranges for a cycle ID. For example, if the cycle ID were monthly, you would define a range of dates for the beginning and end of each month: 01/01/2002 and 01/31/2002; 02/01/2002 and 02/28/2002; and so on.

These values are used in the billing process to indicate the from and to date range that the system sends to the billing header records. Each time the billing process runs, PeopleSoft Grants retrieves the dates based on the maximum date of the "to date" that is less than or equal to the system date.

Instructions for setting up billing cycle date ranges appear in the PeopleSoft Billing documentation.