Agency Implementation Finances | United Nations Development Programme

1	Steps Ensures that approved project budget (created by IP in close consultation with Programme Officer) and project funding (allocation/ASL or cash) are correctly entered into Quantum: (i) Project Module (ii) Budgetary Control	Responsible Party UNDP Programme Officer	Template/Guideline	Explanatory Notes Offices should be mindful that in Quantum, all UNDP advances will consume project budget in PPM as well as the GL cash budget. This requires all Offices to ensure that project budgets are correctly set up in PPM prior to processing any advances. Particularly in relation to corporate advances to partners, in order to prevent delays, the project budget should be properly set-up as soon as agreements are signed and prior to partners start sending the advance request to GSSC Agencies for review, CFRA’s approval and final payment by GSSC.
2	Steps For core and non-core funds: Agency submits request for advance of funds. The Programme Officer should monitor that the requested advance by Implementing Agencies as well as the subsequent implementation and liquidation is consistent with the AWP, project budget and project plan. Agencies send their request for advance along with signed agreements and other supporting documents directly to GSSC Agencies for initial analysis and review. GSSC sends the results of the analysis with recommendation to CFRA for final review and approval Once approved, GSSC will release the payments.	Responsible Party Programme Officer/Agencies/GSSC Agencies/CFRA	Template/Guideline	Explanatory Notes
3	Steps Agencies submit cumulative quarterly PDRs to the GSSC Agencies unit , which processes their upload into UNEX; recognition of expenses and liquidation of advances in Quantum AP and final posting to GL. All PDRs must include expenses on a full accrual accounting basis under IPSAS.	Responsible Party	Template/Guideline	Explanatory Notes
4	Steps Each Quarter, after PDRs are processed and GL closure is notified by CFRA/FPMR/OFM, Programme Officers are expected to perform the following tasks: (a) Review all PDR expenses in UNEX () or from GL programme expense details to ensure they are: Consistent from a programming and financial perspective with the AWP, project budget and chart of accounts to ensure that only valid expenses are recorded in UNDP's books and in the period when the goods were received or the services rendered. Within the established and available project budget and Authorized Spending Limit (ASL/AX1) ceilings to ensure that over expenditure does not occur. Should the PDR from an Agency not be available at year end closing, country offices should contact GSSC Agencies to ensure that estimated expenses for the period are recorded in the system. This scrutiny is particularly important as Agency PDR expenses are not necessarily reviewed by UNDP's programme officers before being processed in UNEX and recognized in GL.Budgetary Control. Therefore, programme officers (b) Review in UNEX, PDRs rejected by UNEX and communicated by GSSC Agencies and ensures causes for the rejections are resolved. . (c) Where necessary, amends in UNEX the automated apportionment exercise (UNEX apportions costs in respect of donor and activity which do not exist in standard UN agency budgets). (d) Follow-up with UN agency counterparts to resolve all pending issues concerning rejected or contentious expenses. Determines if any PDR expenses should be rejected or the chart of accounts revised. Where correction or rejection in UNEX is justified (for example due to expenses above budget) notifies GSSC Agencies (with supporting documentation)	Responsible Party UNDP Programme Officer	Template/Guideline	Explanatory Notes Review UN Account Analysis Report and Project Module Reports for Account Balances and activity details. Check budget control under budget module for budgetary status. Explanation of PDR reject error messages, possible causes and action required are communicated in detail by GSSC as well as HQ instructions. Valid PDR expenses reported by a UN agency and not recorded by UNDP due to UNEX rejection would constitute a liability in UNDP's balance sheet as legitimate expenses not paid by UNDP to the UN agency. GSSC Agencies will ensure rejected expenses are reversed from Agency books and not reported on future PDRs.
5	Steps Validated PDRs are then processed in UNEX and the information will be populated in AP to record expenses and liquidate the advances recorded under a particular responsible party.	Responsible Party	Template/Guideline	Explanatory Notes This process is known as the outbound process whereby valid expenses are recorded in Quantum AP.
6	Steps Project Clearing Account (PCA) balances are reconciled with each UN agency through the Schedule 12 (a) report. The Schedule 12 (a) report is the quarterly reconciliation report used by UNDP and other UN agencies to reconcile interagency balances.	Responsible Party GSSC Agencies	Template/Guideline	Explanatory Notes
7	Steps On an on-going basis, expenses recorded in Quantum are reviewed to ensure they are correctly stated. UN Account Analysis Report can be used for this purpose.	Responsible Party UNDP Programme Officer	Template/Guideline	Explanatory Notes