• Collects data from posted KEM transactions (that is, data that have updated the KEM cash and holding files).
• Translates the collected data into a valid GL entry data file in the flat file format expected by the GL Enterprise Batch Feed.
• Places this file along with the requisite reconciliation file into the appropriate KFS directory, where it is picked up by the GL Scrubber.
After the process finishes, the KEM debits and credits are picked up by the Enterprise Batch Feed process and are then used to update GL records during the daily run of your institution's standard GL batch processes.
For information on the Enterprise Batch Feed and GL processes, see GL Process.
KEM document types that can result in entries to the Gl include the following.
• Cash Increase (ECI)
• Cash Decrease (ECDD)
• Cash Transfer (ECT)
• General Ledger to Endowment Transfer of Funds (GLET)
• Asset Increase (EAI)
• Asset Decrease (EAD)
• Liability Increase (ELI)
• Liability Decrease (ELD)
• Security Transfer (EST)
• Corporate Reorganization ECCR)
• Holding Adjustment (EHA)
Four KEMID transaction documents do not affect the KEMID balances (cash or holdings) and therefore do not result in activity carried to the GL. These e-docs include Corpus Adjustment (ECA), Unit/Share Adjustment (EUSA), Tax Lot Rebalancing , and Holding History Market Value Adjustment (EHVA).
• The link from the KEM transaction to the GL account is through the KEMID. If the transaction affects income assets (including cash), the link is the KEMID Income General Ledger account. If the transaction affects principal assets (including cash), the link is the KEMID Principal General Ledger account.
System parameters control two important aspects of processing.
• Since more than one KEMID can link to the same Income GL and/or Principal GL account, and since more than one ETRAN code can link to the same GL object code, the COMBINE_ENDOWMENT_GL_ENTRIES parameter allows your institution to specify whether GL entries will be made for each transaction line or collapsed into summary transactions based on the chart/GL account/object code combination.
• For cash-based Asset Decrease transactions where there is a gain or loss on the sale, an additional entry will be made to a gain/loss object to ensure that the GL activity is balanced. The object for this accounting line is established by your institution through the CASH_SALE_GAIN_LOSS_OBJECT_CODE parameter. The object must be valid for all charts to which the KEMIDs may be linked.
This process must be run daily. It must not be scheduled to run until after all transaction-generating batch processes are complete. It must be run before the Roll Process Date process.