SPDA Online Systems Users Manual

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SPDA Online Systems Users Manual Powered By Docstoc
					                                            Table of Contents


Introduction ..................................................................................................................................... 1

Accessing the On-line System ..........................................................................................1

Login .................................................................................................................................2

Password Help .................................................................................................................3

User Profile .......................................................................................................................4

Home Page ........................................................................................................................5

Collateral Statement Preparation ......................................................................................7
        Paydown Securities ..............................................................................................8
        No Securities Held ...............................................................................................9

Monthly Report Submittal ..............................................................................................10

Multiple Institution Reporting ........................................................................................12

Undercollateralization .....................................................................................................13

Editing the Monthly Report ............................................................................................14

Notarization.....................................................................................................................15

Late Reports ....................................................................................................................17

Quarterly Public Depositors Report ................................................................................17
Introduction

        In 2004, the Virginia Department of the Treasury (Treasury), on behalf of the
Virginia Treasury Board created an on-line system to enhance the efficiency of the
reporting requirements for the Security for Public Deposits Act (SPDA, Act).

        The on-line system is designed to automate the monthly reporting of public
deposits. The on-line system mirrors the forms currently used by financial institutions to
report public deposits. The system allows users to create and update monthly a
spreadsheet version of the Schedule A currently submitted (now referred to as the
Collateral Statement), directly key monthly public deposits balances and FDIC amounts,
and to notarize on-line monthly public deposit reports. The on-line system also allows
for the viewing and retrieval of previously entered data.

        The new system will rely on electronic mail for much of the communication
between SPDA depositories and the Treasury. Use of this system requires that
depositories have separate e-mail addresses for those employees responsible for monthly
reporting/notarizing duties. These persons will also be the primary points of contact for
any communications between the depositories and Treasury.

        The integrity of the data in the on-line system depends upon the users. Therefore,
it is important that users follow the instructions in this manual, in the Code of Virginia
§2.2-4400 through §2.2-4411 and the SPDA Regulations. If there are any questions,
please contact us at SPDAmail@trs.virginia.gov.


Accessing the On-line System

       The on-line system is accessed via the Department of the Treasury’s website. The
address to access the new system is: www.trs.virginia.gov/spdaweb.




                                            1
Log-In

        Below is the login screen that is the first step to using the on-line system. Each
financial institution is given 4 separate login IDs for its use. It is the financial institution’s
responsibility to control access to the login IDs and to ensure that adequate steps are taken
to separate the duties of preparation of the monthly report from the notarization of the
report. There are two IDs for the report preparers and two notary public IDs. These IDs
and passwords are not case sensitive. Enter your ID and password into the appropriate
field and click LOGIN.




Once the system is fully implemented, login access forms will be available on the
Treasury website. Forms are available directly from Treasury until the system is
fully implemented. A new form must be completed and forwarded to Treasury when
there is a change in personnel.




                                                2
Password Help

        If you forget your password or login ID, please use the password help option on the
menu bar. You will need either your login ID or password and your e-mail address to use
this feature. Enter the two items you have and click SEND. Your login ID and password
will then be sent to the e-mail address in the system. If your e-mail address is not correct
in the system, this feature will not work and you will have to contact Treasury directly to
obtain a new password.




                                             3
User Profile

        Once you have successfully entered the system, you will see the Update Profile
screen. This is the area in which you update your information including: password, name,
telephone number, fax number and e-mail address. Changing your password regularly is
highly recommended, however the system does not require it.

       It is imperative that you keep your profile including your e-mail address
current. The on-line system will automatically generate notifications as to the status of
your monthly reports and will send these notifications to your e-mail address. Other
correspondence concerning enhancements or changes to the on-line system will also be
made via e-mail.

        All fields except a second phone number are required in the user profile screen.
Once your profile has been updated to your satisfaction, click the SAVE button to continue
to the home page. Each time you enter the system, you will be asked to save your profile.
This control is designed to ensure that each user has the opportunity to keep the profile
current.




                                            4
Home Page

         The SPDA home page is the message board that the Treasury will use to provide
important information regarding enhancements to the system, any changes in the operation
of the SPDA program, any personnel or other contact information changes, unscheduled
office closings or other information deemed appropriate. Please take a minute to read this
each time you access the on-line system and note any updates that will affect your financial
institution(s).




    There are 6 items listed on the left menu bar when a report preparer is signed in to the
system.

      Collateral Statement. This selection allows the viewing/retrieval of previously
       submitted collateral statements. If your ID is assigned to multiple financial
       institutions, you can select which institution you would like to review from a drop
       down list.

      Collateral Statement Upload. This item takes you directly to the upload
       screen and provides information on the status of the reporting month’s collateral
       statement.

      Monthly Reports. Similar to Collateral Statement, this selection will take you to
       a listing of previously submitted monthly reports for viewing or retrieving. It will
       also give you the status of the reporting m0nth’s public deposit report. If your ID
       is assigned to multiple financial institutions, you can select which institution you
       would like to review from a drop down list.

      Monthly Submittal. This selection will take you to the input screen for the
       monthly public deposits report. This is the only screen that will not let you select
       from a listing of depositories. If you service multiple depositories, you need to first
                                              5
       access the Monthly Report screen to select the depository for which you will be
       keying.

      Profile. You can change your profile at any time during a session.

      Log Out. Select this item when you are ready to leave the system.

    When a notary is signed into the system, only Monthly Reports, Profile and Log Out
are available.




                                           6
Collateral Statement Preparation (formerly Schedule A)

        The collateral statement must be submitted first each month. The system will not
allow the user to submit the monthly public deposit report until the collateral statement has
been uploaded. The on-line system provides a template for submission of your monthly
collateral statement. This template MUST be used. To access the template for the first
time, select Collateral Statement Upload from the menu bar. Then click on the blue word
“template.”




     The spreadsheet window that opens needs to be saved to the preparer’s computer
(filename is the user’s choice) in a spreadsheet application before you make any changes
to the template file. The following columns are require to be completed for all securities:
      Original Par
      Book Value
      Description
      CUSIP number
      Maturity Date
      Current Market Value

The following are required columns if applicable:

      Coupon
      Pool Number
      Debt Rating




                                             7
    For each security that is pledged to the Treasury Board, complete the applicable
columns. There should only be one security listed per line. It is possible to copy security
details from another automated format and paste them into the correct column of the
required format to avoid having to key a large volume of data.


    Pooled/paydown securities- In the past, financial institutions have had to apply a 20%
reduction to the market value of pooled/paydown securities on Schedule A. The new
system will compute the 20% reduction for pooled/paydown securities automatically. The
system will perform this calculation based on the following criteria:

   1.      If the word “remic” or “pool” appears in the description field, or
   2.      If there is a number in the pool number column.

Important Note: If a paydown security does not meet one of the criteria above, enter
a “pool number” of 99999. Paydown securities include but are not limited to: GNMA
pools, Freddie Mac pools, FNMA pools, Agency Remics or Agency Corporate Mortgage
Obligations. Ensure that all pooled/paydown securities listed meet one of the two criteria
listed above. Failure to do so will result in an inaccurate calculation of your market value.
This type of error will be caught when your collateral statement is compared to the
collateral statement submitted by your escrow agent and you will be notified to fix it for
the next month.




    Once the template is completed for the month, it is saved to the user’s computer. To
upload to the system, return to the Upload Monthly Collateral Statement screen, click the
browse button to locate the file saved on the user’s computer, double click the file name,
ensure that the worksheet name (i.e. “sheet 1” in the example above) is correct and then
click UPLOAD. Once the file is accepted, a summary of what was submitted will be
visible and the detail file can also be viewed. An e-mail indicating that the system has
accepted the collateral statement will be sent to the preparer.

                                             8
   The following items will cause the spreadsheet to generate an error and not be
accepted:
         if the spreadsheet has totals in it,
         if there are any blank lines between the titles and the first security listed, or
         if a required field is left blank.

       If the collateral statement is not accepted, please check to ensure that none of the
above items is noted in the spreadsheet and re-submit once the errors have been corrected.

       The Collateral Statement can be uploaded multiple times during a month, however
once the Monthly Report is submitted, the Collateral Statement becomes locked and is no
longer available to edit for the month.

       For uploading in subsequent months, the file on the user’s computer should be
updated for any security changes, changes in market value and book value. The previous
month’s file can also be downloaded from the on-line system and then edited, saved and
uploaded. To access the prior month’s file, click the Collateral Statement selection.

No Securities Held
        For financial institutions that have not pledged collateral to the Treasury Board, the
collateral statement is still required using the new system. The spreadsheet will just have
“No Sec” listed in the CUSIP and description fields. Original par, book value and current
market value will be reported at zero (0).




                                              9
Monthly Report Submittal

Once the collateral statement has been submitted satisfactorily, the monthly report data can
then be entered. To do this, click on Monthly Submittal to access the monthly report form.




        The name of the financial institution is automatically listed in the title section of the
report. The report date is also completed for you in line 1. Remember, once this report is
saved by clicking the SAVE button, the collateral statement becomes locked and cannot be
edited.


       The following rules apply to the on-line system:
      FDIC is a negative number. If you enter it as a positive, the system will show a
       warning message and then change the number to a negative.
      FDIC should not cause the Net line item to be negative. For example, if the
       financial institution has one account with $50,000 in it at month-end, FDIC should
       not be entered at $100,000.
      Line 3 cannot be equal to zero. The system will not accept a report with a zero in
       line 3. Any other item can be a zero.
      Line 4 is automatically computed by the system.
      Line 5 is automatically filled with the proper required collateral percentage. The
       only change that is allowed in this area is for banks that are at 50%. If the bank’s
       average daily public deposits exceed 20% of its average daily total deposits, the
       bank must change the required collateral percentage to 75%. The required
       collateral will be automatically re-computed if the percentage is changed.
      Line 6 is pre-filled with the results of the system’s computation of Original
       Par/Book Value and the adjusted current market value submitted in the Collateral
       Statement. Remember for non-pooled securities, original par is reported and for
                                               10
   pooled securities, book value is reported as the first item in line 6. The second
   item in line 6 is the market value of the collateral adjusted for any pooled
   securities. (See page 16 for a view of item six.)

   Once the user has completed lines 1-5, click the SAVE button. This moves the
report into the report queue. At this point, the monthly report is still available to edit.
An e-mail will be sent to the preparer accepting the report.




                                          11
Multiple Institution Reporting

If you are entering information for multiple financial institutions, you can (if you prefer)
upload the collateral statement for each institution prior to completing the monthly reports
instead of completing the process institution by institution as outlined in the previous
sections. If you upload all the collateral statements before completing any monthly
reports, you will need to switch between the financial institutions via the Monthly Reports
selection. You will be provided a drop down list of the financial institutions assigned to
your login ID and you will be able to enter the monthly reports in the order you choose.
The Monthly Reports selection also gives you access to previously submitted reports.
Previously submitted reports can also be saved to your computer or printed for your
records. The system will maintain at least 18 months of data.

The only rule to remember when entering multiple institutions is that entry order doesn’t
matter as long as the collateral statement is uploaded first. The system will not allow you
to skip this step.




                                            12
Under Collateralization

         In the event that the required collateral for the month is less than the market value
of the pledged collateral, you will see the following screen once you save your monthly
report. You must enter an explanation for the shortage before your report is ready to be
notarized. The explanation is typed into the system directly. Once you have completed the
explanation which should include the reason for the shortage and the expected resolution
(either a reduction in deposits or additional collateral being pledged), click the SAVE
button. Clicking the save button will notify Treasury staff that an under collateral position
has been entered into the system. Treasury will continue to publish this information on a
monthly basis to the public depositories. You will receive an e-mail confirming that your
institution is in an under collateralized position.

        If you receive this screen and it is due to an error caused during the entering of the
monthly report, simply use the back button on your browser and correct the error and click
the SAVE button again. This dialog will not appear as long as the required collateral is
equal to or less than the market value calculated in line 6 of the report.




                                             13
Editing the Monthly Report

        The monthly report can be edited until it has been notarized. Simply select
monthly report and you will see the following screen for your financial institution. Select
the EDIT button to change any amount necessary and re-save the report. If your institution
is in an under-collateralized position, you must enter the explanation each time you save a
report. You will also receive an e-mail each time you save a monthly report.

        You will notice in the screen below, only certain fields of the monthly report are
visible. To see the entire report, click EDIT or VIEW depending on the monthly report
needed. This will allow you to view the entire report. For reports submitted prior to
implementation of the new system, only summary data is available for viewing.




                                            14
Notarization

         Once the preparer is finished with the monthly report, it is ready to be notarized. It
is the responsibility of the financial institution to ensure adequate controls over preparation
and notarization of its monthly reports. The same person should not be responsible for
both duties. Each financial institution has been provided 4 login IDs in order to adequately
separate these functions.

        A notary can only see the Monthly Report choice on the menu bar. Clicking this
selection will bring up the monthly report that is pending notarization and a listing of
previously submitted reports. Select the NOTARIZE button to complete the notarization
process.




                                              15
       Below is the monthly report screen with the standard notary certification at the
bottom. The notary must complete the location for which he/she is a commissioned notary
and the date the commission expires. The notary has the option of approving or denying
the monthly report. An e-mail notification is sent to both the preparers and the notaries
documenting which action was taken.




        If the report is denied, the following screen appears. The notary must detail an
explanation for the denial. E-mail will be sent to the report preparer with notification of
the notary’s denial and the reason for the denial. The preparer must then re-submit the
corrected monthly report and the notary will then complete the certification process.




                                            16
Late Reports

       In the past, financial institutions have faxed and mailed monthly reports to the
Treasury Board by 10 business days after the end of each month. This criteria has not
changed, however the system will now send a late report notification by e-mail.

        There are two possible late notifications, 1) if the report has not been submitted by
the preparer or 2) if the report has been submitted but not notarized. Either condition will
result in the depository being late for the month. If the report has not been submitted, the
preparers will be notified. If the report hasn’t been notarized both the preparer’s and the
notaries will be notified.

        The monthly report will be noted as received on the date the notary completes the
submission process. It should be noted that the new system allows Treasury to close the
monthly reporting cycle earlier than is currently possible. Depositories that have in the
past been able to submit late reports may now be reported as “Unqualified-no report.”
Being Unqualified is a reportable condition and could lead to an increase in the required
collateral of the institution. Every effort should be taken to submit all reports as required.


Quarterly Public Depositors Report

       Each quarter, financial institutions are required to submit a listing of all public
depositors. This listing must include:

      account numbers,
      account name
      type of account,
      amount of FDIC applied,
      total amount on deposit, and
      total amount on deposit to be secured by its pledged collateral


   This listing should be submitted as a spreadsheet type file. The file should be uploaded
   via the website. Select Quarterly Report Upload to upload the file. The file is due
   within 10 business days of the close of each calendar quarter. Please do not send this
   file each month.

   Please note, the website is an https site.       This means the site is secure and all
   information is encrypted during transfer.




                                             17

				
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