This policy governs the accounting and financial reporting of the University of Minnesota (the University).
The financial statements of the University are prepared on an accrual basis in accordance with generally accepted accounting principles (GAAP) outlined by the Governmental Accounting Standards Board (GASB).
University community members must be committed to the highest ethical standards of conduct and integrity. The standards of conduct supported through University policy, procedures, and workplace rules, provide guidance for making decisions and memorialize the institution’s commitment to responsible behavior.
Units must ensure that accounting transactions are executed accurately and timely in the Enterprise Financial System (EFS) by employees who have satisfied the University's prescribed training and assessment requirements and have appropriate access to initiate or approve transactions in EFS.
Units must ensure financial transactions:
- follow the principles of fund accounting;
- align revenues and expenses with the appropriate activity;
- are in compliance with University policies;
- ensure external restrictions and regulatory requirements are met;
- are recorded correctly in EFS based on the type of transaction;
- are recorded to the correct chartfield string;
- are completed based on established deadlines; and
- include required documentation for the transaction type.
Reason for Policy
Activities at the University have financial reporting implications. This policy supports the fair and accurate presentation of the University’s financial position and results of its financial operations at the fund level in conformity with GAAP, demonstrates compliance with finance-related requirements that may have legal, contractual, or accreditation provisions, and supports transparent financial reporting as a public institution.