Setting Up Basic Expense Participation Information

Access the E.P. Information Revisions form.

Bill Manually

If you select this check box, you must manually enter and post the billing; the system does not create billing records automatically. Select this check box if the complexity of the calculation warrants a manual calculation or if you want to use the Manual Billing Entry program (P1511).

If you do not select this check box, the system automatically calculates and posts the billing.

Cap Rule Exists

When you enter a cap rule on the Lease E.P. Cap Revisions form, an icon appears in this field for the account. You can click the icon in the Cap Rules Exist column that is a link to access the Lease E.P. Cap Revisions program (P15152).

E.P. Class (expense participation class)

Enter a value that specifies an expense participation class.

Ledger Type Group

Enter a code that defines a set of ledger types to use for expense retrieval when you run the Expense Participation Calculation Generation program (R15110).

Act B/R (actual billing receipt code)

Enter the code that the system uses with the automatic accounting instruction (AAI) item to retrieve the accounts to update when the billing record is posted.

The system retrieves the appropriate account to bill based on the AAI item PMxxxx (for invoices) and RMxxxx (for vouchers), where xxxx equals the code that you enter.

The system retrieves the offset account (Accounts Receivable trade or Accounts Payable trade), based on the AAI item RCxxxx (for invoices) and PCxxxx (for vouchers), where xxxx equals the code that you enter.

Est B/R (estimated billing receipt code)

Enter the bill code that identifies the estimated billing amounts to subtract from the actual billing amounts. For example, if you run expense participation based on the expenses from the previous year, and then rerun it for the actual expenses, the system subtracts the estimated amounts previously billed and bills the tenant for only the difference.

The system retrieves the appropriate account to use based on the AAI item PMxxxx (for invoices) and RMxxxx (for vouchers) where xxxx equals the code that you enter.

The system retrieves the offset account (Accounts Receivable trade or Accounts Payable trade) to use based on the AAI item RCxxxx (for invoices) and PCxxxx (for vouchers) where xxxx equals the code that you enter.

Adm B/R (billing receipt code - administration fee)

Enter the code that the system uses, in conjunction with the AAI item, to retrieve the account to update with the management fee amount.

The system retrieves the appropriate account to bill based on the AAI item PMxxxx (for invoices) and RM xxxx (for vouchers), where xxxx equals the code that you enter.

The system retrieves the offset account (Accounts Receivable trade or Accounts Payable trade) based on the AAI item RCxxxx (for invoices) and PCxxxx (for vouchers), where xxxx equals the code that you enter.

If you leave this field blank, the system uses the same account that it uses for the billing amount.

Note: If the system calculates the administration fee on the adjusted class exposure, the fee becomes part of the expense amount, and the system ignores the bill code that appears in this field.

F B (fee basis)

Enter a value that specifies at what level you add an administration fee. Values are:

Blank: Add an administration fee to the tenant net share.

1: Add an administration fee to the class exposure after exclusions.

2: Add an administration fee to the class exposure before exclusions.

Tenant Sq Ft

The system automatically supplies the rentable area of the tenant's leased unit to this field. However, you can manually enter a different number.

E.P. Code (expense participation code)

Enter a code from UDC table 15/EP that identifies a log line that the system uses for the control square footage of a property or building. The system uses this control square footage to calculate expense participation when you specify computation method B or P and when you do not specify a share factor denominator.

C M (computation method)

Enter the code that specifies the square footage to use for the denominator portion of the expense participation calculation, or identifies the expense information record for a special use. Values include:

B: Use with either the E.P. code or the share factor denominator that is specified in the expense participation information to determine the square footage of the building.

P: Use with either the E.P. code or the share factor denominator that is specified in the expense participation information to determine the square footage of the property.

Note:

For values B and P: If you use the computation method with an E.P. code, the system retrieves the area of the building or property respectively from the building log lines referenced by the E.P code that you specified.

If you use the computation method with a share factor denominator, the system retrieves the area of the building or property respectively from the Gross Lease Occupied Areas table (F15141) based on the information specified by the rule.

X: Use the average occupied space for the building.

Y: Use the average occupied space for the property.

Note: For values X and Y: The system divides the number of days in the billing period by the sum of the space days for each occupied unit of the building or property respectively to determine the average occupied space. The system derives the space days for each occupied unit by multiplying the rentable area (square feet) of the unit by the number of days that the unit is occupied. For example, if one unit is occupied for 214 days (six months) and has an area of 20,000, and a second unit is occupied for 365 days and has an area of 35,000, the space days for the each unit is 4,280,000 and 12,775,000, respectively. If you divide the sum of the two units (17,055,000) by the number of days in the billing period (365), the average occupied space (the denominator) is 46,726.03.

N: Compare the gross-up percentage on the expense participation record to the percentage of occupied space that the system calculates by dividing the area of the unit by the total area of the building, and then adjust the calculation accordingly.

If the gross-up percentage on the expense participation record is less than the gross-up factor that the system calculates, the system adjusts the calculated amount using the formula 1 ÷ calculated gross up factor = new gross-up factor. For example, if the gross-up percentage is 0.50 and the system calculates the gross-up factor as 0.645465, the system uses the new gross-up factor of 1.549271 (1 ÷ 0.645465).

U: Compare the gross-up percentage on the expense participation record to the percentage of occupied space that the system calculates by dividing the area of the unit by the total area of the building, and then adjust the calculation accordingly.

If the gross-up percentage that you enter is less than the gross-up factor that the system calculates, the system does not use a gross-up factor.

Note: For values N and U: If the gross-up percentage on the expense participation record is greater than the gross-up factor that the system calculates, the system adjusts the calculated amount using the formula percentage entered ÷ calculated gross-up factor = new gross-up factor. For example, if the gross-up percentage is 0.80 and the system calculates the gross-up factor as 0.645465, the system uses the new gross-up factor of 1.239417 (.80 ÷ 0.645465).

O: Compare the gross-up percentage on the expense participation record to the percentage of occupied space that the system calculates by dividing the area of the unit by the total area of the property, and then adjust the calculation accordingly.

If the gross-up percentage on the expense participation record is less than the gross-up factor that the system calculates, the system adjusts the calculated amount using the formula 1 ÷ calculated gross up factor = new gross-up factor. For example, if the gross-up percentage is 0.50 and the system calculates the gross-up factor as 0.645465, the system uses the new gross-up factor of 1.549271 (1 ÷ 0.645465).

V: Compare the gross-up percentage on the expense participation record to the percentage of occupied space that the system calculates by dividing the area of the unit by the total area of the property, and then adjust the calculation accordingly.

If the gross-up percentage that you enter is less than the gross-up factor that the system calculates, the system does not use a gross-up factor.

Note:

For values O and V: If the gross-up percentage on the expense participation record is greater than the gross-up factor that the system calculates, the system adjusts the calculated amount using this formula:

percentage entered ÷ calculated gross-up factor = new gross-up factor

For example, if the gross-up percentage is 0.80 and the system calculates the gross-up factor as 0.645465, the system uses the new gross-up factor of 1.239417 (.80 ÷ 0.645465).

A: Do not generate an expense participation billing record because the record has already been generated.

M: Do not generate an expense participation billing record because the expense participation information specified to enter a manual billing record.

S: Do not use the expense participation record to calculate expense participation or generate a billing because the record has been suspended.

M R (manual review required)

Enter a code that specifies whether a billing record must be reviewed before it can be approved for posting.

Blank: A review is not required.

Y: A review is required. The batch retains a status of Error until the Manual Rev Reqd field for the billing record is changed from Y to blank.

Begin Date

Enter the begin date that the E.P. class applies to the lease. If you leave this field blank, the system uses the starting date of the lease.

End Date

Enter the end date that the E.P. class applies to the lease. If you leave this field blank, the system uses the ending date of the lease.

Occup From (occupancy date from)

Enter the date upon which occupancy begins. If you leave this field blank, the system uses the starting date of the lease.

Occup To (occupancy date to)

Enter the date upon which occupancy ends. If you leave this field blank, the system uses the ending date of the lease.

O R (expense participation occupancy rule)

Enter a code from UDC table 15/EO that specifies how the system prorates amounts and areas that are used in the expense participation calculation for units that are occupied for less than a complete billing period. Values are:

Blank: No proration. The system uses only units that are occupied for the entire billing period.

H: Half month. If the unit is occupied for 15 days, the system considers it occupied for the entire billing period.

P: Partial month. If the unit is occupied for one day, the system considers it occupied for the entire billing period.

D: Daily proration. The system divides the number of days of occupancy by the total number of days in the billing period and then multiplies that result by the area and amounts used in the expense participation calculation.