When you create a baseline version for an integrated project budget, Oracle Projects performs the following activities:

1. Validates the submitted budget version.

2. Creates a baseline for the new budget version.

3. Validates funds.

   For top-down integrated budgets, Oracle Projects validates existing approved transaction amounts (at resource, resource group, task, top task and project levels) against the project budget. For financial plans, validation occurs only at the task, top task and project levels.

4. Generates accounting events to reverse the accounting for the most recent baseline version, if one exists, and to create accounting for the new baseline version.

   For bottom-up budget integration, Oracle Projects generates accounting events to create budget journal entries.

   For top-down integrated budgets, Oracle Projects generates accounting events to create encumbrance journal entries.

5. Create accounting in final mode for the accounting events in Oracle Subledger Accounting.

6. Validates funds.

   For bottom-up budget integration, Oracle Projects validates the budget amounts against an organization-level Oracle General Ledger budget.

   For top-down integrated budgets, Oracle Projects validates budget amounts against the General Ledger Funding Budget and then validates existing approved transaction amounts (at account level) against the project budget.

   Note: If the budget fails funds validation, then the baseline process removes the accounting entries it created from Oracle Subledger Accounting and updates the submitted budget version to Rejected status.

You run the process PRC: Transfer Journal Entries to GL to transfer the journal entries to Oracle General Ledger. When you submit the process PRC: Transfer Journal Entries to GL, you can optionally choose to have the process post the journal entries. Otherwise, you can manually post the journal entries in Oracle General Ledger.

For non-integrated budgets with budgetary control, Oracle Projects validates the submitted budget version, creates baseline version, and validates existing transaction amounts against the project budget. Oracle Projects does not generate and process accounting events for non-integrated budgets.

You cannot post journal entries in Oracle General Ledger if the journal entry violates the defined budgetary control. Funds validation in Oracle General Ledger depends on the type of budget integration as follows:

• For bottom-up budget integration:

  Oracle General Ledger funding budgets define spending limits for accounts. You can enable budgetary control to ensure that actual plus encumbrance balances for an account do not exceed the account budget balance. If a project budget is integrated with a Oracle General Ledger funding budget that has budgetary control enabled, then Oracle Projects performs a funds check against the funding budget as follows:

  • To perform a funds check for the initial baseline version, Oracle Projects sends all project budget lines for the draft budget version for funds check.

  • To perform a funds check when a prior baseline version exists, Oracle Projects sends all project budget lines for both the most recent baseline budget version (credits) and for the new budget version (debits) for funds check.

  Note: Oracle Projects cannot generate funds check failures when you create the initial baseline version for a top-down integrated budget. In this case, the budget journal entries that you transfer from Oracle Subledger Accounting to Oracle General Ledger are only adding amounts to the organization-level budget in Oracle General Ledger. Oracle Projects can generate funds check failures when you create subsequent baseline versions for the budget. In this case, Oracle Projects creates reversal budget journal entries for the most recent baseline version and new budget journal entries for the new baseline version. Budget reductions in the new version can result in an overall reduction in the organization-level budget balances in Oracle General Ledger. The funds check fails if the changes reduce the budget balance for an account to a value that is less than the current total cost for the account (actual cost plus encumbrances).

  If funds are not available in the Oracle General Ledger funding budgets for all amounts to be transferred, then the baseline process fails.

• For top-down budget integration:

  The baseline process in Oracle Projects performs a funds check against the General Ledger Funding Budget. Oracle Projects performs a funds check against the funding budget as follows:

  • To perform a funds check for the initial baseline version, Oracle Projects sends all project budget lines for the draft budget version for funds check.

  • To perform a funds check when a prior baseline version exists, Oracle Projects sends all project budget lines for both the most recent baseline budget version (credits) and for the new budget version (debits) for funds check.

  If funds are not available in the General Ledger Funding Budget for all amounts to be transferred, then the baseline process fails.

Troubleshooting Baseline Failures

If the Oracle Projects baseline process fails as a result of a funds check failure, you can use the By Account tab of the Budget Accounts Details window to identify the project budget amounts that generated the funds check failure. In addition, the Workflow notification provides information about the failure.

You can use the Transactions Funds Check Results window to review funds check failures that occur during baseline processing. You can also use this window to review funds check failures that occur during transaction processing. . The corrective actions displayed on the Transactions Funds Check Results window will assist you in resolving the failed transactions.

For projects that have cost breakdown planning enabled, you cannot perform a funds check.

Other Sources

• Overview of Cost Breakdown Planning, Oracle Project Planning and Control User Guide