YEAR-END REPORT NO. 1, REPORT OF ACCRUALS TO CONTROLLER'S ACCOUNTS - 7952
The Year-End Report No. 1, Report of Accruals to Controller’s Accounts, provides the State Controller’s Office (SCO) with accrual amounts reflected in the agency/department's records but not posted in the accounts maintained by the SCO as of June 30. The SCO uses the accruals to prepare the state's consolidated financial reports.
Report No. 1 consists of the forms below and is used to report accruals to the following accounts:
- Form 571 A - Provided by the SCO and preprinted with commonly used legacy GL account numbers. Blank spaces are provided for any asset or liability account not preprinted. The form is used to report accruals to asset and liability accounts.
- Form 571 D - Provided by the SCO. The form is used to report accruals to appropriation expenditure, reimbursement, transfer, and revenue accounts.
The Report No. 2, Accrual Worksheet, contains the accrual amounts necessary to complete Report No. 1. The debits and credits shown in the Report No. 2 Net Total Accruals Per Agency column will be reversed when reported on Form 571 D. For information and a sample of Report No. 2, see SAM Section 7953.
At year-end, agencies/departments identify the amount of obligations and encumbrances as of June 30. Obligations are amounts for goods and services received that have not been scheduled for payment as of June 30. Encumbrances represent commitments for goods and services that will be received in the following year(s). Encumbrances must be reported in the applicable liability account (e.g., Accounts Payable, Due To Other Funds) based on the supplier type. Agencies/Departments will record the encumbrance amount as a credit in the Encumbrances column for the corresponding liability account on Form 571 A.
Reimbursements funding encumbrances must be reported in the applicable receivable account (e.g., Due From Other Funds). Agencies/Departments will record the reimbursement for encumbrances as a debit in the Encumbrances column for the respective receivable account on Form 571 A.
A sample of Report No. 1, Forms 571 A and 571 D is shown in the 7952 Illustrations.