A Replacement Fund is an account used to hold money for the purchase of new units. You can think of a Replacement Fund as a savings or checking account. Each period, units “contribute” a predetermined amount of money to a designated replacement fund. Unit acquisitions will count as withdrawals from the account.
M5 will create billing transactions and maintain the balances of the replacement fund while recording a separate log of any contributions or withdrawals made to or from the fund. The Replacement Fund Manager is a facet of the Replacement Modeling Process.
Create
To create a new fund enter a new code in the Code field. This field has a limit of ten characters. Enter a description for the fund. This field has a limit of 30 characters.
Once the entry is complete, click the Save button at the top of the frame. You can now make manual transaction entries or assign the fund to units on the Unit Accounting frame.
History
This tab displays a history of all contributions and withdrawals made on the account. As transactions occur, they display here. You can also enter transactions manually from this tab.
To enter a manual transaction, select a type from the Transaction Type drop down. There are two types of transactions: Contributions and Withdrawals.
Enter a Date for the transaction along with the Amount. The User field will automatically populate with the App User ID once the entry is saved.
Next, enter a Unit Number or double click in the field to select one from the list of values (LOV). The Note field is a required field. It has a limit of 70 characters. Click Save when finished.
Detail
The Detail tab displays Balance Information as well as total Contributions/Withdrawals for the current period, year, and the previous year. You can also enter a Direct Account Number for billing purposes.
Disable
You can disable a Replacement Fund by selecting ‘Yes’ from the Disabled drop down to the right of the Description field. Click Save to disable the fund.
Delete
You can delete a fund provided it is not in use anywhere else in the system. If the fund is in use you will not be able to delete it from the system.
To delete a fund that is not in use, click the Delete button (Red X) at the top of the frame. You will receive a popup asking if you are sure you want to delete the Replacement Fund. Click Delete to confirm the action.
System Flags
5246 – Limit Replacement Fund Contributions to Replacement Cost? (Y/N) – if this flag is set to ‘Y’, the billing-run will limit replacement fund contributions to the unit’s replacement cost as defined on the Asset Category Code. If contributions exceed the replacement cost, the unit’s replacement fund status is changed to ‘Finished’ during the billing-close.
Last Update: 06/06/2016
NOTE: To view a list of System Flags and Role Privileges that may impact this screen, hover over the screen title in M5 to display the bubble help/tooltip. At the bottom of the bubble help/tool tip, there is a Settings hyperlink. Click that hyperlink to display the list of flags and privileges.
Additional training and technical documents on this subject may be available in the Resource Files area.