Department of Financial Services
1.1. General Information
Process Area TRM – Treasury Management
Process 10.1 TRM – Cash Position
Workflows 10.2 TRM – Agency Federal Bank Account
10.3 TRM – Investments
10.4 TRM – Reconciliations (Daily & Monthly)
10.5 TRM – Outside Banking Services
10.6 TRM – Establish Revolving Funds
10.7 TRM – Operate Revolving Funds
10.8 TRM – RF Closing / Balance Change
10.9 TRM – CMIA
As of 06/03/2015
1.2. Authors and Contributors
Authors 
Deana Metcalf, State BPS Team
 Gary Schneider, EY BPS Team
 Jordan Landreth, EY BPS Team
Contributors Agency Subject Matter Experts
1.3. Scope
This document depicts the high-level proposed business process design for the Treasury
Management (TRM) Process Area. The TRM Process Area is directly related to the Cash Inflow to
Outflow (CSH) Process Area. The related flow diagrams for each provide references to show the
connections. Both process areas need to be taken as a whole for the complete picture of cash in
both the Cash and Treasury processes for the State.
The TRM Process Area is represented by the following nine process workflows:
1.
2.
3.
4.
5.
6.
7.
8.
9.
Cash Position
Agency Federal Bank Account
Investments
Reconciliations (Daily & Monthly)
Outside Banking Services
Establish Revolving Funds
Operate Revolving Funds
Revolving Fund Closing/Balance Changes
CMIA
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Treasury Management
06/03/2015
Department of Financial Services
1.4. Assumptions
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A Treasury ledger will be maintained separate from the Cash ledger to provide the ability for
the Treasury to meet its statutory reporting requirements
The Cash and Treasury ledgers will be updated with the appropriate accounting entries based
on transactions performed
Controls will ensure the Treasury and Cash ledgers are balanced
There will be an interface with the Treasury’s bank accounts
Agencies will schedule payments to assist with cash balance forecasting
Bank to ledger balances will be reconciled on a daily basis
Investment portfolio management (trading) is generally not standard to ERP software and was
not recommended for inclusion in the FLAIR Study
The specific types of investments and related transactions (e.g., accruals, gains & losses,
amortizations, etc.) will be recorded for management and financial reporting purposes
The Treasury ledger will capture SPIA participants and balance information
The following Treasury systems will not be replaced as part of Florida PALM so interfaces may
need to be developed:
o Investments (Trading)
o Special Purpose Investment Account(SPIA)
o Cash Management System (CMS) Archive
o Certificate of Deposit (CD)
o Collateral Administration Program (CAP)
Revolving fund payments will be outside of the accounting system but event details will be
recorded in the accounting system. The Treasury ledger will capture CRA participant and
balance information
The system needs to allow flexibility for future changes such as different payment types,
different types of investments and related data elements and different data exchange methods
1.5. Standardized Process Area Overview
The Chief Financial Officer has statutory authority to fully deposit and invest state funds in order
that the State realize maximum earnings and benefits. The Treasury manages those deposits and
investments for all state agencies and other entities created by Florida State Constitution or Law.
Funds received by the agencies are initially deposited into a single Treasury-managed
concentration account. The funds may be moved either to the Custodial Bank account for
investment in various portfolios or to the Disbursement accounts to cover payments issued by the
State that are being presented or withdrawn.
Treasury staff monitors the cash position in all of its accounts daily. A cash positioning worksheet
is used to plan for and determine immediate funding requirements involving amounts needed to
cover payments and residual funds available for investment. Funds needed to cover payments are
moved first from the Concentration account and then from the Custodial Bank account if funds are
still needed. Any excess funds are transferred to the Custodial Bank account and invested.
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Treasury Management
06/03/2015
Department of Financial Services
The Custodial Bank account is invested into four types of portfolios: Liquidity, Short-Term,
Intermediate-Term, and Long-Term investments. The Liquidity and Short-Term investment
portfolios are managed by Treasury staff. The Intermediate and Long-Term investment portfolios
are managed by External Managers. Investment earnings and fees are allocated to participants
based on the average daily invested balances.
Daily, on-demand, and monthly reconciliations are performed on all bank accounts managed by the
Treasury. Any exceptions are adjusted by either the bank, the Treasury or the appropriate agency
until the accounts are reconciled.
Agencies must request approval of all outside banking services from the Treasury. Revolving fund
requests must also be approved by the Division of Accounting and Auditing. Once the revolving
fund has been established, the agency will issue checks directly to payees. Transactions involving
the revolving fund are recorded when the financial events occur. The frequency and level of detail
at which transactions are recorded will be established by policy. Revolving funds are replenished
by payments issued to the fund through the P2P Process Area. Agencies must reconcile revolving
funds monthly. The Treasury also reconciles the CRA account and invests excess balances through
the SPIA account.
Treasury is also responsible for the Cash Management Improvement Act (CMIA) process. The
expenditures and draws are tracked by Florida PALM for the applicable grants throughout the year.
Clearance patterns are calculated and a report is generated annually for submittal to the U.S.
Treasury.
1.6. Process Area Details
The table below describes each step in the process envisioned to use Florida PALM functionality to
perform Treasury Managements functions. The Process Step ID refers to the step as depicted in the
respective BPS Business Process Workflow diagram.
The workflow diagrams use horizontal swim lanes to depict where activities are likely to be
performed by different entities. Each swim lane is titled with a role that is either agency- based or
enterprise-based and in some cases representative of an external party (e.g. a bank, other
commercial entity or federal or local governmental organization). The swim lane roles may be
different at an agency.
The swim lanes may change from page to page within a single process area as more or fewer roles
are required to execute sections of the overall process. In the table below, a list of roles involved in
each section has been inserted where the process steps transition from page to page and a change
occurs.
Workflow Page 1 of 9: TRM – Cash Position
Swim lanes
– Definition
Page 3 of 27
Treasury – DFS Division of Treasury
Concentration Bank – contracted bank where State funds are deposited
Disbursement Account – Payment processing bank account
Custodial Bank Account- Bank account where investments are managed
Treasury Management
06/03/2015
Department of Financial Services
SPIA – Special Purpose Investment Account
Process
Step ID
TRM 1.1
TRM IP
1.2
TRM AE
1.3
TRM 1.4
TRM 1.5
TRM IP
1.6
TRM IP
1.7
TRM IP
1.8
TRM 1.9
Page 4 of 27
Process Name
Description of Process
SPIA
Participants
Deposit to the
SPIA Account
Transmit
Transaction File
from SPIA
Application
Record SPIA
Balances
 Agencies or local governments make deposits
to the SPIA account
Funds Deposited
into the SPIA
Account
Included in
Overall
Custodial Bank
Account
Liquidity
Account Feeds
the DDA
Account with
Available Funds
Transmit
Transaction File
for DDA
Custodial Bank
Account
Transmit
Transaction File
for the Main
(Disbursement)
Account
Transmit
Transaction File
for
Concentration
Account
Determine Cash
Position by
Account
Governing Laws
and Policies
TBD
 Transactions in the SPIA application are
transmitted multiple times per day to Florida
PALM
TBD
 Accounting entries for SPIA account activity
are recorded in Florida PALM
TBD
 Funds deposited into the SPIA account are
included in the overall Custodial bank account
for investment purposes
TBD
 Available funds from the Liquidity account feed TBD
the Demand Deposit (DDA) account
 Transactions for the Custodial bank account
are transmitted multiple times per day to
Florida PALM
TBD
 Transactions from the Main disbursement
account are transmitted to Florida PALM
multiple times per day
TBD
 Transactions for the Concentration account are
transmitted to Florida PALM multiple times
per day
TBD

TBD
Treasury staff monitors the balances in the
Concentration account, Disbursement
account, Custodial account, and the SPIA
account multiple times each day
Treasury Management
06/03/2015
Department of Financial Services
Process
Step ID
Process Name
Description of Process
Governing Laws
and Policies

A cash position is generated by Florida PALM
from the bank balance information on
demand
 Treasury staff reviews requests for cash
based on scheduled payments from P2P,
daily receipt data, payroll payments,
requested wire payments to determine the
funds needed to cover payments and any
excess funds that can be invested
(intermittently throughout the day)
 Treasury staff also uses scheduled payments
from P2P for longer-term planning for future
cash needs
TRM AE
1.10
TRM AE
1.11
TRM AE
1.12
Move all
Available Funds
from
Concentration
Account to
Disbursement
Accounts to
Cover Needed
Payments

Move Cash from
Custodial Bank
Account to
Disbursement
Account

Move Cash to
Custodial Bank
Account





TRM 1.13
TRM AE
1.14
Page 5 of 27
SPIA
Participants
Request Funds
from the SPIA
Account
Wire Funds
from Custodial
Bank Account to
Participant




Treasury staff first move cash from the
Concentration account to the Disbursement
accounts to cover payments clearing or being
withdrawn
The movement is recorded in the Treasury
Ledger
Treasury then determines whether any funds
are still needed to cover payments and if
there is any balance remaining in the
Concentration Account
If funds are still needed in the disbursement
account, Treasury transfers funds from the
Custodial account to the Disbursement
account
The movement is recorded in the Treasury
Ledger
Funds remaining in the Concentration
account that are not needed for payments are
transferred to the Custodial account for
investment
The movement is recorded in the Treasury
Ledger
SPIA participants request funds from the
SPIA account as needed
This information is used in cash positioning
(TRM 1.9)

Treasury staff wire funds from the custodial
bank account to the SPIA participant as funds
are requested
The movement is recorded in the Treasury
TBD
Treasury Management


Chapter
17.57, F.S.
Chapter
17.61, F.S.
Chapter 69C3, F.A.C.

Chapter
17.57, F.S.
 Chapter
17.61, F.S.
 Chapter 69C3, F.A.C.
TBD
TBD
06/03/2015
Department of Financial Services
Process
Step ID
TRM 1.15
Process Name
Funds Received
by the SPIA
Participant
Description of Process

Governing Laws
and Policies
Ledger
Funds are received in the individual SPIA
participant bank account
TBD
Workflow Page 2 of 9: TRM – Agency Federal Bank Account
Swim lanes
– Definition
Process
Step ID
TRM 2.1
TRM AE
2.2
TRM 2.3
TRM IP
2.4
TRM AE
Page 6 of 27
Treasury – DFS Division of Treasury
Agency – agency utilizing federal bank account
Federally Mandated Disbursement Account – State bank account mandated by
federal government
IRS – Internal Revenue Service
Federal Bank Account - bank account used by the federal government for
reemployment assistance
Process Name
Description of Process
Instruct
Treasury to
Leave Specific
Balances in the
Concentration
Account and the
Amount to Move
to Other
Accounts
Wire Funds to
Federal Bank
Account
Receive Wire
Transfer
Transmit Debit
Card, EFT & UC
WH Data
 Program collections are deposited in the
Concentration account in the CSH Process
Area
 The agency reviews their cash needs and
determines how much cash to leave in the
Concentration account and how much cash
needs to be transferred to other accounts and
notifies Treasury
Voucher
Governing Laws
and Policies
TBD
 Treasury wires funds to Federal Bank account
TBD
 The Federal Bank receives the wire transfer
TBD
 Cash program needs for payments are
determined in the Agency and handled
through the GAC and ARB process areas and
are deposited to the appropriate account in
the CSH Process Area (CSH 1.3)
 The agency transmits debit card, EFT & UC
withholding data to Florida PALM
 The agency transmits debit card data to their
contracted vendor
 The vendor payment information for the debit
TBD
Treasury Management
TBD
06/03/2015
Department of Financial Services
Process
Step ID
2.5
TRM 2.6
TRM AE
2.7
TRM AE
2.8
TRM IP
2.9
TRM 2.10
TRM 2.11
Process Name
Prepared for
P2P Debit Cards
Bank Wire
Funds to
Contract Vendor
Florida PALM
records UC WH
Tax and EFT
Payments
Description of Process


Agency Records
Detailed
Accounting
Information
Transmit EFT
Payment Data

Bank Makes
Individual EFT
Payments
EFT Returns




TRM 2.12
Enter UC WH
Tax Data in the
EFTPS


TRM 2.13
TRM IP
2.14
Page 7 of 27
Governing Laws
and Policies
cards is posted in the P2P Direct Load process
which generates a wire for the vendor
Funds from the Federally Mandated
Disbursement account are wired to the
contract vendor
Florida PALM records the Unemployment
Compensation Withholding Tax and EFT
Payment expenditures at a summary level
based on information transmitted in TRM IP
2.4
The agency has the ability to further
record/distribute the summary information
recorded in TRM AE 2.7 to a more detailed
level if needed
The agency transmits the individual recipient
payment data to the Federally Mandated
Disbursement account bank
The bank makes the individual EFT payments
to the beneficiaries
The bank notifies the agency of any EFT
Returns
The agency will handle the returns through
the ARB process area
DEO vouchers other payments that generate
Unemployment Compensation Withholding
(UC WH) amounts for the IRS in the P2P
Process Area (e.g., RA benefit payments,
FEMA, CSE)
The agency enters the UC WH tax data from
the Project Connect system and from the
vouchers into the Electronic Federal Tax
Payment System (EFTPS)
The IRS sweeps funds due from the Federally
Mandated Disbursement account based on
amounts entered in the EFTPS
Sweep Funds

Due from
Federally
Mandated
Disbursement
Account
Federally
 Transactions and balance information for the
Mandated
Federally Mandated Disbursements account is
Disbursement
transmitted to Florida PALM
Account
Transactions/Ba
Treasury Management
TBD
TBD
TBD
TBD
TBD
TBD
TBD
TBD
TBD
06/03/2015
Department of Financial Services
Process
Step ID
TRM IP
2.15
TRM CP
2.16
TRM AE
2.17
TRM CP
2.18
TRM AE
2.19
TRM CP
2.20
TRM CP
2.21
Process Name
lance
Federal Bank
Account
Transactions/Ba
lance
Monitor and
Identify any new
Transactions
Agency Records
Accounting
Entries to
Reflect New
Transaction
Activity
Reconcile
Accounts
Monthly
Agency Records
Accounting
Entry to show
Cash in Bank
Movement
Reconciles
Federally
Mandated
Disbursement
Account Daily
Reconciles
Federal Bank
Account
Monthly
Description of Process
Governing Laws
and Policies
 Transactions and balance information for the
Federal Bank account is transmitted to Florida
PALM
TBD
 The agency monitors account transactions on
a daily basis to identify any new transactions
(i.e., combined wage claims, FUTA credits)
 The agency records an accounting entry for
any new transactions posted to the Federally
Mandated Disbursement Account or Federal
Bank Account
TBD
 At the end of the month, the agency reconciles
both bank accounts to transactions recorded
in Florida PALM
 Agency makes an accounting entry monthly to
record the cash changes to the bank accounts
during the month
TBD
 Treasury reconciles the Federally Mandated
Disbursement account on a daily basis
TBD
 Treasury reconciles the Federal Bank account
on a monthly basis
TBD
TBD
TBD
Workflow Page 3 of 9: TRM – Investments
Swim lanes
– Definition
Process
Step ID
TRM 3.1
Page 8 of 27
Treasury – DFS Division of Treasury
Custodial Bank - bank account where investments are managed
External Trading Partners – external investment managers
Process Name
Description of Process
Investment
Group
 The Treasury Investment Group determines
the split between the amount to be invested by
Treasury Management
Governing Laws
and Policies
TBD
06/03/2015
Department of Financial Services
Process
Step ID
TRM AE
3.2
TRM 3.3
TRM 3.4
TRM AE
3.5
TRM IP
3.6
TRM 3.7
TRM 3.8
TRM 3.9
TRM IP
3.10
TRM CP
3.11
TRM AE
Page 9 of 27
Process Name
Determines
Investment
Allocation and
Notifies External
Manager of their
Apportionment
Record Portfolio
Allocation
Purchase/Sell
Investment
Instruments
Trade
Information is
Sent and
Confirmation
Returned
Record Trade
Information
Transmit
Internal Trades
File
Record Internal
Trade
Information
External
Managers
Execute Trades
External
Managers’ Trade
Information
Captured
Transmit
Internal and
External Trade
Transactions
File
Reconcile
Investment in
Florida PALM
with the
Custodial Bank
Record External
Description of Process






Governing Laws
and Policies
Treasury staff and the amount to be invested
by external managers
External managers manage intermediate term
and long term portfolios
Internal managers manage the liquidity and
short-duration portfolios
Treasury records trade information based on
the type of portfolios
On a daily basis, Treasury invests any new
cash transferred to the Custodial bank account
(TRM 1.12) as well performs routine trading
to maximize investment earnings
Trade information is sent to External Traders
(via external systems, email, phone)
Treasury receives confirmation of trades from
external trading partners
TBD
TBD
TBD
 Each trade ticket is recorded as trades are
made and confirmed
 Florida PALM transmits a file of internal
trades to the Custodial Bank real-time as
trades are made
 The bank records the internal trades in their
system
TBD
 External Managers execute trades and send
those trades to the Custodial Bank
TBD
 The bank records external trades in their
system
TBD
 The Custodial bank transmits internal and
external trade transactions to Florida PALM in
real or near real time
TBD
 Treasury receives a transaction file (TRM IP
3.10) of internal and external trades which are
loaded into Florida PALM
 The internal transactions are reconciled with
trade information recorded by Treasury
 The external trades are captured for recording
 Florida PALM automatically posts external
TBD
Treasury Management
TBD
TBD
TBD
06/03/2015
Department of Financial Services
Process
Step ID
3.12
Process Name
Description of Process
Trade
Information
TRM 3.13
System
Calculates
Interest and
Fees Based on
External and
Internal Trades
Earned Interest
Calculations
trade information
 Information is captured at the level required
for the CAFR
 External managers provide Treasury with a
monthly attestation by affirming accuracy of
trade information, i.e. certification
 Florida PALM calculates interest and fees
based on internal and external trades
TRM AE
3.14
TRM 3.15
System
Apportions
Investment
Earnings and
Fees Based on
ADB
TRM AE
3.16
Post SPIA
Apportionment
TRM IP
3.17
Transmit File to
SPIA application
Governing Laws
and Policies
 Interest and fees are recorded daily
 Transactions are recorded for both interest
and fees as both accrual and cash
 Florida PALM uses the average daily balances
from investments by the agencies (CSH AE
2.5) and from SPIA participants to determine
apportionments on a monthly basis
 The agency apportionments are recorded in
the CSH Process area (CSH AE 2.7)
 Investment earnings include interest, realized
gains or losses, amortizations, etc.
 The SPIA interest is apportioned in the
Treasury Ledger
 TRM AE 7.19 further apportions the CRA
earnings
 A file is generated and sent to the SPIA
application to record the SPIA apportionments
for participants
TBD
TBD
TBD
TBD
TBD
Workflow Page 4 of 9: TRM – Reconciliations
Swim lanes
– Definition
Process
Step ID
TRM 4.1
Treasury – DFS Division of Treasury
Bank – All State bank accounts (e.g. Concentration Bank, Custodial Bank,
Disbursement Bank etc.)
Process Name
Description of Process
Data Received
from Banks
Daily and On-
 Data is received by Florida PALM for all of the
bank accounts and is loaded in Florida PALM
and used for reconciliations
Page 10 of 27
06/03/2015
Governing Laws
and Policies
TBD
Treasury Management
Department of Financial Services
Process
Step ID
TRM IP
4.2
TRM IP
4.3
TRM 4.4
Process Name
Description of Process
Demand
 These data transmissions are identified on the
CSH and TRM flows where originally received
but have been grouped on this flow to show
that they are used in the reconciliation process
TBD
 Data from all of the Custodial bank accounts
are transmitted daily and monthly (BAI)
Transmit
Custodial
Account
Investment Data
SPIA BAI Data
Reconciliation
Process
Governing Laws
and Policies
 Data from SPIA bank account is transmitted
daily and monthly
 All bank data is used in daily and monthly
reconciliation processes
 There are transaction reconciliation processes
that are flowed in various places on the CSH
and TRM process flows. These have been
grouped on this flow to show that they are
part of the overall reconciliation process
 The Treasury Ledger is reconciled to all Bank
accounts and to the Cash Ledger daily and a
final reconciliation completed monthly
 Treasury personnel will use the bank
information and ledger balance information
recorded in Florida PALM from the other
processes to perform the Treasury Ledger to
Bank Account and Treasury Ledger to General
Ledger reconciliations
 Exceptions are identified and, depending on
the type of exception, established processes
are used to reconcile
TBD
TBD
Workflow Page 5 of 9: TRM – Outside Banking Services
Swim lanes
– Definition
Process
Step ID
TRM 5.1
Treasury – DFS Division of Treasury
Agency – agency requesting outside banking services
Process Name
Description of Process
Governing Laws
and Policies
Agency
Requests
 The agency that needs outside banking
services makes a request to Treasury for
 Section 17.29,
F.S.
Page 11 of 27
06/03/2015
Treasury Management
Department of Financial Services
Process
Step ID
Process Name
Description of Process
Outside Banking
Services
approval
 Section 17.57,
 If it is for a revolving fund, it would be handled
F.S.
through the Establish Revolving Fund Process  Chapter 69C-9,
flow (TRM 6.1)
F.A.C.
 Treasury reviews and evaluates the request
 Section 17.29,
F.S.
 Section 17.57,
F.S.
 Chapter 69C-9,
F.A.C.
TBD
 If the request is denied, Treasury notifies the
agency and the process ends
 If the request is approved and if it is a request TBD
for an outside bank account, Treasury sets up
the account in Florida PALM
 The agency will not be able to transact with
the account until it is established in Florida
PALM
TBD
 Treasury issues a letter to the agency
documenting approval of the outside banking
services
TBD
 The agency can begin using the banking
services
TRM 5.2
Treasury
Reviews and
Evaluates
Request
TRM 5.3
Notifies Agency
TRM CP
5.4
Set-up Bank
Account in
Florida PALM
TRM 5.5
Issue Approval
Letter to Agency
TRM 5.6
Begin Using
Banking
Services
Governing Laws
and Policies
Workflow Page 6 of 9: TRM – Establish Revolving Funds
Swim lanes
– Definition
Treasury – DFS Division of Treasury
Agency – agency requesting outside banking services
Process
Step ID
TRM 6.1
Process Name
Description of Process
Revolving Fund
Request
TRM CP
6.2
Review
Revolving Fund
Request
 An agency requests outside banking services
through the Treasury. If these services are for
a revolving fund, A&A approval is required to
establish the account.
 A&A reviews the request
 The fund must be established in R2R
 If the request is approved the request moves
to Treasury
Page 12 of 27
06/03/2015
Governing Laws
and Policies
TBD
TBD
Treasury Management
Department of Financial Services
Process
Step ID
TRM CP
6.3
Process Name
Description of Process
Determine CRA
vs. Non-CRA
Bank
TRM 6.4
Establish CRA
Participant
Profile/Bank
Account
TRM 6.5
Revolving Fund
Account
Established
TRM CP
6.6
Treasury
Approves NonCRA Bank
Account
Set-Up Bank
Account in
Florida PALM
Establish NonCRA Bank
Account
 Approved requests are routed to Treasury
where Treasury determines whether a CRA
Bank is available and meets agency needs; if
not the agency is permitted to use a non CRA
Bank (i.e. a qualified public depository)
 Treasury requests the CRA Bank to establish a
sub account
 Treasury configures the CRA account in
Florida PALM
 The agency can then generate a voucher to
fund the initial deposit (P2P)
 The CRA Bank sets up the CRA account on
behalf of the State
 Setup of the account includes establishment of
control points such as authorized signatures,
transactions limits and the need for dual
signatures
 If a Non-CRA account is requested, Treasury
reviews to ensure account will be with a QPD
and any associated contracts, documentation
are acceptable
 If Treasury approves, they set-up the non-CRA
Bank account in Florida PALM
TRM 6.7
TRM 6.8
TRM AE
6.9
TRM 6.10
 The agency establishes the non-CRA account
at the bank
 The account must require dual-signatures as a
control
 The agency submits an invoice in P2P to fund
the initial deposit and record the account
 Once the invoice is processed, a payment is
issued in P2P for the initial deposit
Funds Deposited  The funds are deposited into the bank account
into Bank
and are available to the agency for
Account
expenditures (TRM 7.1)
Initial
Establishment
Governing Laws
and Policies
Section 17.58, F.S.
Section 216.271,
F.S.
Chapter 69I-23,
F.A.C.
TBD
TBD
TBD
TBD
Section 17.58, F.S.
Section 216.271,
F.S.
Chapter 69I-23,
F.A.C.
TBD
TBD
Workflow Page 7 of 9: TRM – Operate Revolving Funds
Swim lanes
– Definition
Treasury – DFS Division of Treasury
Agency Reconciler – individual performing reconciliation of the revolving fund
Agency Revolving Fund Manager – individual managing the revolving fund
Page 13 of 27
06/03/2015
Treasury Management
Department of Financial Services
CRA Bank- contracted bank where State funds are deposited
Process
Step ID
TRM 7.1
Process Name
Description of Process
Revolving Fund
Expenditures
TRM 7.2
Recording
Revolving Fund
Activity in the
Account
Register
Replenishment
Amount
Calculated
 Once funds are deposited, they are available
for expenditures
 Payments are issued directly from the
revolving fund to the payees
 The agency records entries as needed to reflect
revolving fund activities
 This information could be uploaded from
agency business system
TRM 7.3
 The replenishment amount is calculated and
the agency creates an invoice(s) in the P2P
Process Area to obtain funds to restore the
account balance
 The requested amount should include any bank
fees and/or interest earnings to accurately
capture all transactions in the accounting
system
 Revolving fund replenishment transactions
are recorded in Florida PALM
 This generates a payment from P2P
TRM AE
7.4
Record
Revolving Fund
Replenishment
TRM 7.5
Funds Deposited  The payment is deposited at the revolving
into Bank
fund bank
Account
Transmit Daily
 The CRA Bank generates and transmits a Daily
File
file of account activity to Florida PALM
 Transactions are by subaccount
Non-CRA Bank
 If available, an electronic file from the nonActivity File
CRA Bank containing account activity is loaded
into Florida PALM on behalf of the agency
Non-CRA Bank
 A paper account statement may be generated
Statement
by the non-CRA Bank for use by the agencies
to reconcile non-CRA accounts
 Statements should be scanned into Florida
PALM
Agency
 The Agency Reconciler performs a
Reconciliation
reconciliation process to ensure account
Process
activity recorded by the banks are consistent
with agency transactions
 CRA bank activity can be viewed in Florida
TRM IP
7.6
TRM IP
7.7
TRM 7.8
TRM CP
7.9
Page 14 of 27
06/03/2015
Governing Laws
and Policies
TBD
Section 216.271,
F.S.
Chapter 69I-23,
F.A.C.
Section 216.271,
F.S.
Chapter 69I-23,
F.A.C.
Section 216.271,
F.S.
Chapter 69I-23,
F.A.C
TBD
TBD
TBD
TBD
TBD
Treasury Management
Department of Financial Services
Process
Step ID
TRM CP
7.10
TRM 7.11
TRM 7.12
TRM AE
7.13
TRM AE
7.14
TRM CP
7.15
TRM 7.16
TRM 7.17
TRM AE
7.18
Process Name
Description of Process
Governing Laws
and Policies
PALM on-demand to reconcile CRA accounts
Monthly
 Treasury reconciles the overall CRA monthly
Treasury
 CRA bank activity can be viewed in Florida
Reconciliation of
PALM on-demand to reconcile CRA accounts
CRA
Contact Non If the agency finds an exception involving a
CRA Bank to
non-CRA bank, the agency contacts the bank to
Resolve
resolve the issue
Contact CRA
 If there are issues with the CRA bank’s
Bank
statement, Treasury contacts the bank to
resolve whether the agency or Treasury finds
the exception
 Treasury communicates resolution to the
agency, if applicable
Transaction
 If the Treasury finds an internal issue during
Correction Entry
their reconciliation process, they may need to
book an accounting entry to correct
Post
 CRA transactions from the CRA bank interface
Transactions
file are posted to Florida PALM
from CRA File
into Florida
PALM
Monitor Cash
 Treasury monitors the cash position of the
Position and
CRA and determines the funds available for
Determine
investment or that need to be disinvested
Amounts
Available for
Investment/
Disinvestment
CRA Funds
 Based on cash position, Treasury either
Invested or
invests or disinvests which is recorded in the
Disinvested in
SPIA application
SPIA
Wire Funds
 Treasury wires funds between the CRA
to/from
account and the SPIA account based on
SPIA/CRA
investment/ disinvestment determination
 Transactions are recorded in the CRA Daily file
(TRM IP 7.6) on an on-going basis
CRA
 CRA transactions are automatically posted to
Investment/
Florida PALM
Disinvestment
Transactions are
Posted to
Page 15 of 27
06/03/2015
TBD
TBD
TBD
TBD
TBD
TBD
TBD
TBD
TBD
Treasury Management
Department of Financial Services
Process
Step ID
TRM AE
7.19
TRM AE
7.20
TRM IP
7.21
Process Name
Florida PALM
System
Apportions
Interest and
Fees Monthly
Based on ADB
CRA Total (by
Account/ Fund)
System
Apportions
Interest and
Fees to Agency
Participants
Transmit CRA
Investment
Transactions/Ba
lances to Agency
Business
Systems
Description of Process
Governing Laws
and Policies
 Interest and fees are calculated based on
average daily invested fund balances and
posted to the SPIA account (TRM AE 3.16)
 The SPIA account further allocates to the CRA
participant account
TBD
 Interest and fees are further apportioned to
agency participants at the lowest level of
detail
TBD
 Florida PALM generates and transmits an
interface file of CRA transactions and balances
to agency business systems (as needed)
TBD
Workflow Page 8 of 9: TRM – RF Closing and Balance Change
Swim lanes
– Definition
Process
Step ID
TRM 8.1
TRM 8.2
TRM 8.3
A&A - DFS Division of Accounting and Auditing
Treasury – DFS Division of Treasury
Agency Revolving Fund Manager – individual who manages the revolving fund
Process Name
Description of Process
Need to Change
Account Balance
or Close
Write Check
from Revolving
Fund
 The agency determines a need to change the
revolving fund account balance or close the
account
 If the account is being decreased or closed a
check is written from the Revolving Fund and
a Deposit created ( CSH CP 1.1)
 If the account is being closed, the agency
should ensure all transactions have cleared
and perform a final reconciliation prior to
closing the account
 The agency requests approval to increase,
decrease or close the account from A&A
 A copy of the voucher and related deposit
must be included for account decreases or
Request to
Increase/
Decrease or
Notification to
Page 16 of 27
06/03/2015
Governing Laws
and Policies
TBD
TBD
 Section 17.14,
F.S.
 Section 17.29,
F.S.
Treasury Management
Department of Financial Services
Process
Step ID
Process Name
Close Account
Description of Process
Governing Laws
and Policies
closings.
TRM CP
8.4
Review
Revolving Fund
Request
 A&A reviews the agency request
TRM 8.5
Notify Agency
 A&A notifies the agency if the request is not
approved and the process ends
TRM 8.6
Send Approval
Letter to Agency
 If the increase / decrease is approved by A&A
and if the request is for a decrease or close
action, A&A notifies the agency and the
process ends
TRM 8.7
Send Approval
Letter to Agency
 If the request is approved by A&A and it is for
an account increase, A&A sends an approval
letter to the agency
TRM 8.8
Send Copy of
 In either case of approval, (TRM 8.6 and TRM
Approval Letter
8.7) A&A sends a copy of the approval letter to
to Treasury
Treasury
Record
 If the account is being increased, the agency
Increased
creates an invoice in P2P and records the
Balance
increased balance in Florida PALM
Funds Deposited  A payment is generated in P2P and funds are
TRM AE
8.9
TRM 8.10
Page 17 of 27
06/03/2015
 Section
216.271, F.S.
 Chapter 69I23, F.A.C.
 Section 17.14,
F.S.
 Section 17.29,
F.S.
 Section
216.271, F.S.
 Chapter 69I23, F.A.C.
 Section 17.14,
F.S.
 Section 17.29,
F.S.
 Section
216.271, F.S.
 Chapter 69I23, F.A.C.
 Section 17.14,
F.S.
 Section 17.29,
F.S.
 Section
216.271, F.S.
 Chapter 69I23, F.A.C.
 Section 17.14,
F.S.
 Section 17.29,
F.S.
 Section
216.271, F.S.
 Chapter 69I23, F.A.C.
TBD
TBD
TBD
Treasury Management
Department of Financial Services
Process
Step ID
TRM 8.11
Process Name
Description of Process
into Bank
Account
deposited into the revolving account
 The agency can begin expending the funds
(TRM 7.1)
 If the account is being closed and it is a CRA
account, Treasury closes the CRA subaccount
in Florida PALM and at the CRA bank
 If the account being closed is a non-CRA ,
Treasury closes the account in Florida PALM
Close account in
Florida PALM
Governing Laws
and Policies
TBD
Workflow Page 9 of 9: TRM – CMIA
Swim lanes
– Definition
Process
Step ID
TRM IP
9.1
TRM 9.2
TRM 9.3
TRM 9.4
TRM 9.5
Treasury – DFS Division of Treasury
A&A – DFS Division of Accounting and Auditing
Agency – agency with grants subject to CMIA
Process Name
Description of Process
 Treasury receives the AG file of the audited
Schedule of Expenditures of Federal Awards
(SEFA)
Calculate Top
 The AG file is used to identify the grants that
90% of Grant
make up top 90% of grant expenditures
Programs Based  Grants meeting the selection criteria are
on Expenditures
identified in the grants setup and
on Audited SEFA
maintenance (GAC )
Grant
 Agency makes grant expenditures in P2P
Expenditures
 These transactions are recorded with the
Occurring in
associated grant ID which identifies as a CMIA
P2P
applicable grant
Federal Draw
 The agency makes their federal draw in ARB
Occurs in ARB
 The draw is based on anticipated or actual
Based on
expenditure payments depending on the
Anticipated or
reimbursement terms of the grant
Actual Grant
 The draw should not be made more than three
Expenditure
days before the payment date
Payments
Clearance
 Florida PALM calculates the clearance pattern
Pattern
for each grant. The clearance pattern is the
Calculated by
difference between the cash received date and
Grant
the payment clear date
AG File of
Audited SEFA
Page 18 of 27
06/03/2015
Governing Laws
and Policies
TBD
 Federal Cash
Management
Improvement
Act
TBD
TBD
 Federal Cash
Management
Improvement
Act
Treasury Management
Department of Financial Services
Process
Step ID
TRM 9.6
TRM CP
9.7
TRM 9.8
TRM 9.9
TRM 9.10
Process Name
Annual CMIA
Report
Generated by
CFDA and
Component
Agency Reviews
Report for their
Grants
Description of Process
Governing Laws
and Policies
 Treasury uses a 3-month average calculated
annually
 Florida PALM generates a report in
accordance with the CMIA by CFDA and
Component (i.e. direct, admin, salary)
 The agency receives the report from Treasury
and reviews their grants for accuracy and
provides concurrence
Final Report
 Treasury generates the final report and enters
Entered and
the amounts in the U.S. Treasury system
Original Signed
 The original report is signed and mailed to the
and Mailed
U.S. Treasury
Voucher Created  If, based on the submitted report the State
for CMIA
owes the federal government interest under
Payment
CMIA, a CMIA payment is generated in P2P by
A&A
Claim Submitted  If, based on the submitted report the federal
through ARB
government owes the State interest under
CMIA, a grant draw is made in ARB by A&A
 Federal Cash
Management
Improvement
Act
 Federal Cash
Management
Improvement
Act
 Federal Cash
Management
Improvement
Act
TBD
TBD
1.7. Integration
Integration
ID
TRM IP 1.2
TRM IP 1.6
TRM IP 1.7
TRM IP 1.8
TRM IP 2.4
FFMIS or Key
System
SPIA Application
to
Florida PALM
Custodial Bank to
Florida PALM
Disbursement
Account Bank to
Florida PALM
Concentration
Account Bank to
Florida PALM
DEO Agency
Business System
(Project Connect)
to
Florida PALM
Page 19 of 27
06/03/2015
Integration Description
Transmit Transaction File from SPIA Application
Transmit Transaction File for DDA Custodial Bank Account
Transmit Transaction File for Main Disbursement Account
Transmit Transaction File from Concentration Account
Transmit Debit Card, EFT & UC WH Data
Treasury Management
Department of Financial Services
Integration
ID
TRM IP 2.9
TRM IP 2.14
TRM IP 2.15
TRM IP 3.6
TRM IP 3.10
TRM IP 3.17
TRM IP 4.2
TRM IP 4.3
TRM IP 7.6
TRM IP 7.7
TRM IP 1
TRM IP 7.21
TRM IP 9.1
FFMIS or Key
System
DEO Agency
Business System
(Project Connect)
to
Federally
Mandated
Disbursement
Account
Federally
Mandated
Disbursement
Account to
Florida PALM
Federal Bank
Account to
Florida PALM
Florida PALM to
Custodial Bank
Custodial Bank to
Florida PALM
Florida PALM to
SPIA Application
Custodial Bank to
Florida PALM
SPIA Bank to
Florida PALM
CRA Bank to
Florida PALM
Non-CRA Banks
to
Florida PALM
Agency Business
System to
Florida PALM
Florida PALM to
Agency Business
Systems
Auditor General
to
Florida PALM
Page 20 of 27
06/03/2015
Integration Description
Transmit EFT Payment Data
Federally Mandated Disbursement Account Transactions/Balance
Federal Bank Account Transactions/Balance
Transmit Internal Trades File
Transmit Internal and External Trade Transactions
Transmit File to SPIA Application
Transmit Custodial Accounts Data
SPIA BAI Data
Transmit Daily File
Non-CRA Bank Activity File
Agency business system interface uploading revolving fund
activity
Transmit CRA Investment Transactions/Balances to Agency
Business Systems
AG File of Audited SEFA
Treasury Management
Department of Financial Services
1.8. Control Points
Control Pt.
ID
TRM CP 1
Control Point Description
Dual agency signatures required for banking activity
1.9. Reporting
Report
No.
Description
TRM
R1
TRM
R2
TRM
R3
Cash Position
Worksheet
Ledger Exception/
Balance Report
DEO IncomeExpense Analysis
TRM
R4
Reconciliation
exceptions,
unreconciled items
and reconciled items
Inventory Report
TRM
R5
TRM
R6
TRM
R7
TRM
R8
TRM
R9
TRM
R10
TRM
R11
TRM
R12
Trades Report
Balance Sheet
Report
General Journal
Entries
Commercial Paper
Compliance Reports
Reconciliation
report of trades
entered but not
settled
External Manager
Certification
Investment Maturity
and Accrual Reports
Page 21 of 27
06/03/2015
Frequency
and
Triggering
Event
Periodic, On
Demand
Periodic, On
Demand
Monthly
Audience(s)
Classification
Governing Laws
and Policies
Treasury Staff
Operational
TBD
Treasury Staff
Operational
TBD
DEO Staff
Treasury
Federal
Government
Agency Staff
Treasury staff
Operational
Federal OMB No.
1205-0154
Operational
TBD
Periodic, On
Demand
Periodic, On
Demand
Periodic, On
Demand
Periodic, On
Demand
Periodic, On
Demand
Periodic, On
Demand
Treasury Staff
Operational
TBD
Treasury Staff
Operational
TBD
Treasury Staff
Operational
TBD
Treasury staff
Operational
TBD
Treasury Staff
Operational
TBD
Treasury Staff
Operational
TBD
Monthly
Treasury Staff
Operational
TBD
Periodic, On
Demand
Treasury Staff
Operational
TBD
Periodic, On
Demand
Treasury Management
Department of Financial Services
Report
No.
Description
Frequency
and
Triggering
Event
Audience(s)
Classification
Governing Laws
and Policies
Periodic, On
Demand
Treasury Staff
Operational
TBD
Annually,
On Demand
Periodic, On
Demand
Annual
Treasury Staff
A&A Staff
Treasury Staff
Operational
Management
Operational
TBD
Agency Staff
Treasury Staff
Management
Section 280.16,
F.S.
On Demand
Treasury Staff
A&A Staff
Agency Staff
Agency Staff
Treasury Staff
EOG
Treasury Staff
A&A Staff
Agency Staff
Operational
TBD
Management
Section 17.58, F.S.
Operational
TBD
Periodic, On
Demand
Agency Staff
Treasury Staff
Operational
TBD
Daily
Treasury Staff
Operational
TBD
On Demand
Treasury Staff
A&A Staff
Agency Staff
Treasury Staff
Agency Staff
Treasury Staff
Agency Staff
Federal
Government
Treasury Staff
Operational
TBD
Operational
TBD
Management
TBD
Management
Section 17.58(4),
F.S.
Chapter
69C-1.005, F.A.C.
TRM
R17
(Monthly and life-todate)
Cash Movement
Report (income,
accrued interest,
etc.)
CAFR Investments
Schedules
Apportionment
Report
Annual Qualified
Public Depository
Report
Revolving Fund
Account Listing
TRM
R18
Quarterly Revolving
Account Report
Periodic
TRM
R19
On Demand
TRM
R21
TRM
R22
Revolving Fund
Balance Report
(Florida PALM
Ledger Balance)
CRA Bank Activity
Reports used for
reconciliation
CRA Daily Bank File
Error Report
Closed Account
Report
TRM
R23
TRM
R24
Draft Annual CMIA
Report
Final Annual CMIA
Report
Annually
CSH R3
Qtrly Report for
Clearing and
Quarterly
TRM
R13
TRM
R14
TRM
R15
TRM
R16
TRM
R20
Page 22 of 27
06/03/2015
Annually
TBD
Treasury Management
Department of Financial Services
Report
No.
Description
Frequency
and
Triggering
Event
Audience(s)
Classification
Governing Laws
and Policies
By July 15th
Treasury Staff
Management
Chapter
69C-9.005, F.A.C.
Revolving Accounts
CSH R4
Annual Report of
Outside Banking
Service Contracts
1.10. Accounting Events
Accounting
Event ID
Description
Accounting Entry
DR – Debit
CR – Credit
TRM AE 1.3
TRM AE
1.10
Record SPIA Balances
Moves Cash from Concentration
to Disbursement Account
TBD
No entry
TRM AE
1.11
TRM AE
1.12
TRM AE
1.14
TRM AE 2.2
TRM AE 2.5
TRM AE 2.7
TRM AE 2.8
Move Cash from Custodial Bank
Account to Disbursement
Account
Move Cash to Custodial Bank
Account
Wire Funds from Custodial Bank
Account to SPIA Participant
Wire Funds to Federal Bank
Account
Voucher Prepared for Debit
Cards
Florida PALM records UC WH
Tax and EFT Payments
Agency Records Detailed
Accounting Information
Page 23 of 27
06/03/2015
No entry
No entry
Accounting Entry
Treasury Ledger
DR – Debit
CR – Credit
TBD
DR Cash in Bank –
Disbursement Account
CR Cash in Bank –
Concentration Account
DR Cash in Bank Disbursement Account
CR Cash in Bank Custodial Account
DR Cash in Bank –
Custodial Account
TBD
CR Cash in Bank –
Concentration Account
TBD
TBD
TBD
TBD
TBD
TBD
TBD
TBD
TBD
Treasury Management
Department of Financial Services
Accounting
Event ID
Description
Accounting Entry
DR – Debit
CR – Credit
TRM AE
2.17
Agency Records Accounting
Entries to Reflect New
Transaction Activity
Agency Records Accounting
Entry to show Cash in Bank
Movement
Record Portfolio Reallocation
Record Trade Information
(internal trades)
TBD
Accounting Entry
Treasury Ledger
DR – Debit
CR – Credit
TBD
TBD
TBD
TBD
TBD
Purchase:
DR Investments
DR Investments Purchased Interest
Receivable
CR Cash in Bank –
Custodial Account
Sale:
DR Cash
DR Loss on Sale of
Investment (if Loss)
CR Pooled Investments
with State
CR Gain on Sale of
Investments (if Gain)
Sale:
DR Cash in Bank –
Custodial Account
DR Investment Income
Liability (if loss)
CR Investments
CR Investment –
Purchased Interest
Receivable
CR Investment Income
Liability (if gain)
TBD
TRM AE
2.19
TRM AE 3.2
TRM AE 3.5
TRM AE
3.12
TRM AE
3.14
Record External Trade
Information
Earned Interest Calculations
(cash and accrual)
TBD
Accrue Interest Daily:
DR Accrued Interest
Receivable
CR Investment Income
Liability
Maturity:
DR Cash in Bank –
Custodial Account
CR Investments
Receive Interest:
DR Cash in Bank –
Custodial Account
Page 24 of 27
06/03/2015
Treasury Management
Department of Financial Services
Accounting
Event ID
Description
Accounting Entry
DR – Debit
CR – Credit
TRM AE
3.16
TRM AE 6.9
Post SPIA Apportionment
TBD
Accounting Entry
Treasury Ledger
DR – Debit
CR – Credit
CR Accrued Interest
Receivable
TBD
Initial Establishment
Revolving Fund:
DR Cash
CR Advances from
other funds
CRA:
DR Cash in Bank – CRA
CR CRA Participant
Liability
TRM AE 7.4
TRM AE
7.13
TRM AE
7.14
TRM AE
7.18
TRM AE
7.19
TRM AE
7.20
Source Fund:
DR Advances to other
funds
CR Cash
Record Revolving Fund
Revolving Fund:
Expenditures and Replenishment DR Advances from
other funds
CR Cash
No entry for Non-CRA:
CRA:
DR CRA Participant
Liability
CR Cash in Bank – CRA
Applicable Fund:
DR Expenditures
CR Cash
(result produces
warrant to replenish
Revolving Fund)
No entry for Non-CRA
Revolving Fund:
DR Cash
CR Advances from
other funds
CRA:
DR Cash in Bank – CRA
CR CRA Participant
Liability
Transaction Correcting Entry
TBD
No entry for Non-CRA:
TBD
Post Transactions from CRA file
into Florida PALM
CRA Investment/Disinvestment
Transactions
System Apportions Interest and
Fees
System Apportions Interest and
Fees to Agency Participants
TBD
TBD
TBD
TBD
TBD
TBD
TBD
TBD
Page 25 of 27
06/03/2015
Treasury Management
Department of Financial Services
Accounting
Event ID
Description
Accounting Entry
DR – Debit
CR – Credit
TRM AE 8.9
Record Increased Balance
TBD
Accounting Entry
Treasury Ledger
DR – Debit
CR – Credit
TBD
1.11. Key Performance Indicators/Measures
Measure
Relevance
Data Elements Needed to Generate
Measure
Portfolio Interest
Earnings
Performance
Accurate cash forecasting can
lead to better investment
decisions

Grant
Draw/Payment
Clearance
Performance
How timely are draws to
payments to minimize interest
owed to Federal government





Timely Recording of
Revolving Fund
Expenditures
Number of
reconciling items
Capture expenditure
information more timely and
ensure at the authorized balance
Helps to identify problem areas,
process performance



Frequency of
reconciling
exceptions
Number of
outstanding
reconciling items
older than one week
Effectiveness of electronic
postings
Effectiveness of initial
transaction entry
Trends identify ability to
reconcile items in a “reasonable”
amount of time





Number of bank
accounts
Management of accounts and
leveraging existing accounts


Page 26 of 27
06/03/2015
Return on investment per dollar
invested
Trends for the return on
investments annual by month
compared to previous years
Avg number of days between
receipt of funds and payment clear
date
Number of draws made greater than
three days prior to payment date
Amt of interest paid to Feds/total
amt of draws
Trends for the three measures
identified above
Date of transaction compared to date
of accounting entry
Number of exceptions for each
(named) reconciliation process
Trends for reconciliation measures
identified above
Amount of time to resolve exception
for each (named) reconciliation
process
Trends for resolution of exceptions
Number of unreconciled items with
elapsed time greater than one week
Number of unreconciled items with
elapsed time greater than one month
Trends for measures identified
above
Number of bank accounts opened
and closed during the month
Number of bank accounts opened
and closed during the year
Treasury Management
Department of Financial Services
Measure
Relevance
Data Elements Needed to Generate
Measure


Number of banking
relationships
Use of non-Treasury contracted
banks should be minimized


Net change in number of bank
accounts for the year
Trends for bank account measures
identified above
Number of banking relationships at
the beginning and end of year
Year-over-year trends for number of
banking relationships
1.12. Future Enhancements
•
Revolving Fund functionality incorporated into the accounting system
•
Trading incorporated into the accounting system
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Treasury Management