> We (at the Fred Hutchinson Cancer Research Center) are replacing our
> financial systems and I have a question about how  other institutions
> account for their grants and contracts.  Our legacy system is a cash
> based system with a parallel accrual system for financial reporting
> purposes.  This allows us to report our grants/contracts on a cash
> basis but produce financials which include accruals.  As we replace
> this system we are wondering whether we should use an accrual system
> and back out accruals to produce cash reports for the feds.
>
> My question is, what type of accounting system does your institution
> use to track its grants and contracts.  Do you use accrual accounting
> or cash accounting?  If you use accrual how do you produce cash based
> reports for letter of credit and other invoicing/reporting purposes.
> If you use cash, how do you produce financial statements in accordance
> with GAP? Do you have any strong feelings one way or the other in
> terms of using a cash vs. accrual system?
>
> Thanks for your help.
>
> Joann Cahill
> Fred Hutchinson Cancer Research Center
> xxxxxx@fhcrc.org