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Exhibit CC 05-16-2017 Item No. 14 Review of MOIC RecommendationReview of MOIC Recommendations May 16, 2017 City of Cupertino Direction•Identify reasons for the issues raised in the MOIC •Identify a plan and timeline to resolve these issues •Create long term sustainable solution for the future Reason for the Issues•Multiple software and manual systems in various departments •Integration of the new ERP System •Manual vs. Technical Solution Solution and Timeline•Technical 2 Phase Approach •Allows staff to focus on less transactions to balance to 0 •Builds an ongoing solution while fixing the historical problem MOIC Issues•Bank reconciliation (Bank Rec) •Cash receipts process •Super-User protocols •Recording of capital-related expenditures Bank Rec -Solution and Timeline•Technical 2 Phase Approach •Allows staff to focus on exceptions to balance to 0 Phase Assigned Staff Goal MOIC Reference Current Status Time to Completion Phase 1A-Cash Audit BSA All Data is extracted and processes run to create exception reports Bank Rec/Cash Receipts 70% Complete May 31, 2016 Phase 1B –Clear Exceptions Finance All exceptions are cleared and cash is balanced Bank Rec/Cash Receipts In process June 30, 2016 Phase 1C-G/L Update Finance Adjust G/L Bank Rec To begin upon completion of Phase 1B August 31, 2016 Phase 2-Process Solution BSA/Finance Sustainable Tool for Bank Rec Bank Rec/Cash Receipts In process Runs concurrent with all other processes + additional time to finalize and train staff (August 2016) Cash Receipts –Solution & Timeline•Increase Segregation with Finance Manager signoff •Alternating Bank Deposits for Account Clerks •Solutions have been implemented Super User Rights–Solution & Timeline•Position outside of Finance –BSA in IT •Training for BSA –Early June after Phase 1 of Bank Rec •Super User rights removed from Finance staff by end of June Recording of Capital Related Expenditures–Solution & Timeline •Change in FY15/16 to capture multi-year projects to allow for better tracking •New Account to differentiate between: •Special Project, No Fixed Asset •Special Project, Yes Fixed Asset •Capital Projects •Implemented as part of FY17-18 Budget Process Closing•City staff is focused on the right sustainable solution •Due to the complexity, more time is needed •Upfront time investment is needed to ensure a sustainable and reliable process will result Thank you