Please see below for steps to take/ best practices to close the Center:
• Asset Disposals: Properly dispose of any center owned assets either through a reassignment or sale (if applicable). If any assets were purchased using federal funds, visit Asset Disposals and contact EIO eio@uw.edu for assistance in disposing of these assets.
Asset Sale Proceeds: When an asset is sold all the proceeds for the sale must be recorded in the center’s reserve account. Any gain or loss should then be recognized in the center’s operating account via a JV transfer from the center’s reserve account into the center’s operating account.
• Outstanding Expenditures: Post all allowable outstanding expenditures to operating budget and complete any authorized outstanding JV’s to reserve account.
• Reconcile and post all customer receipts to operating account. It there is IOH (Institutional overhead) in the RS100073 and RS100076 worktags, center would need to contact FABS (Financial Analysis & Budget Strategy) – Lisa McDonald and Christian Adams.
• Ensure that all deliverables have been met with customers.
• Fund Balance Resolution: Properly resolve any outstanding fund balances (operating accounts, depreciation reserve accounts (if applicable), etc.) by working with Dean’s/VP’s office, MAA, and other UW central administrative offices as needed.
o Excess capital (funds) on hand must be refunded to the center’s customers. Center must provide Dean’s/VP office and MAA list of the center’s internal federal customers, the amount of excess capital attributable to each internal federal customer.
o Deficits must be funded in full. Only funds or transfers from non-federal sources can be used to resolve deficits.
• Confirmation Statement: Center must provide both Dean/VP office and MAA written confirmation statement attesting that all the center’s contractual obligations, outstanding deliverables, and liabilities have been fully resolved and properly recorded.
• Zero Fund Balance Report: Provide the center’s Dean’s/VP’s office and MAA a final financial report demonstrating the cost center has a zero balance.
o After clearing the deficit and achieving a balance of $0 within the cost center, the department must initiate the inactivation process in collaboration with their respective Dean's Office, Chancellor's Office, or VP's Office.
o Closure of a cost center is not permissible as long as an outstanding deficit remains unresolved within the center.
• Obtain approval from Dean’s/VP’s office to close center:
o Dean’s/VP’s office first reviews accuracy of final financial report and that the center’s budgets have a zero-fund balance in Workday. Then, if all cost center budgets have a zero-fund balance, Dean’s/VP’s provides approval to close center.
• Obtain approval from MAA to close center:
o MAA first reviews accuracy of final financial report and that the center’s budgets have a zero-fund balance in Workday. Then, if all budgets have a zero-fund balance, MAA provides approval to close the center.
• Cost Center Status Update: Upon receipt of approvals from Dean’s/VP office and MAA, closure of cost center will be processed for inactivation.