FIMS/STARSReconciliation June 14, 2011
What is the objective of FIMS/STARS Reconciliation? • Overall objective is financial integrity: • To ensure Property, Plant, and Equipment (PP&E) Financial Statement balances are correct • To meet annual audit conducted by KPMG • Compliance with DOE Accounting and FIMS Handbooks
What compels us to do this? • To avoid audit findings that could affect the Department’s audit opinion. • Governmental requirements – Governmental Reform Act of 1994 (GMRA)
What Changes to real propertyasset data could occur eachyear that impact value totals? • Acquisitions • Improvements (Betterments) • Adjustments • Dispositions • Transfers
What values does the comparison consider? • Acquisition cost (initial, improvements, adjustments) How often do reconciliations occur? • Annually, as stated in DOE Accounting and FIMS handbooks
Where is the data stored? How often is the data updated? • Electronic, in FIMS and STARS database • Supporting documentation should be stored in hardcopy format until asset is disposed of. There is not a time limit for retention of the source documentation. It must be available to support electronic data. • Data is updated continuously/as changes occur
Which data source is right? How close must the values be? • Data in both systems should be based on source documentation. • Values should be exact, if based on source documentation.
How do sites address significant variances? • Base your reconciliation on the source documentation. The source documentation is always the fall back position.
How do sites document reconciliationsand corrective actions ? • Copies of documentation used in the reconciliation, such as final cost reports, invoices, IPACs, and transfer vouchers, should be kept on file for review by auditors. • Balances will then be reflected in; • STARS reports from Fixed Assets and General Ledger Modules • FIMS 076 report, STARS Capitalized Reporting Information • FIMS 074 report, Capital Adjustment Detail Report