SECTION 41: Service Billing EBS

Last updated: December 2010

I. General

The Service Billing (SB) e-doc is a restricted use document. Only units with an established authorization from Accounting may process the SB.
Like the Internal Billing (IB) document, the SB is used for the billing of goods and services provided by a university department to another department, reflecting income to the provider and expense to the customer. These transactions are processed by the servicing department. The IB is a ‘Financial Processing Transaction’ (Section 40) and can be initiated by any employee with the financial system user role. The SB is a ‘Financial Processing Administrative Transaction’ and can be initiated only by employees with established authorization.

Certain units will Service Bill accounts directly through a direct local feed. Such Service Billing feeds are typical of MSU’s higher volume billing operations, including the Physical Plant, Telecommunications, Travel, and University Services. Certain Service Billing feeds will include revenue transactions, including University Advancement and Endowment Spending Policy distributions. Each of these feeds has a unique “Origination Code” for billing (e.g., Physical Plant billings are Origination Code 33). A current roster of feeds is located in the financial system at the Origination Code Lookup screen. At the Main Menu, select the General Error Correction e-doc. In the Accounting Lines tab of this e-doc, select the lookup option at the Reference Origin Code field, then select the search button. All current Origin Codes will be displayed.
Other Service Billing units will bill via a Service Billing e-doc. Such Service Billing operations are typical of MSU’s medium volume billing operations. All of these billings will be identified with Origination Code 01 (KFS). A complete list of SB e-doc processors follows:
AIS, ATS, Biochemistry Stores, Chemistry, Cashier’s Office, Travel Direct Air Billing, Administrative Fee, Kellogg Center, and Research Technology Support Facility.

SB feeds and e-docs do not route for fiscal officer or central approvals. Through order forms and other local service request formats, there is an established agreement between billers and customers to provide and bill for goods or services. Instead of direct e-doc approvals, it is this agreement that officially authorizes the Service Biller to charge the customer's account.
Accounting Lines: All Service Billers are required to accommodate the full Accounting Line string at a customer’s request. The object code billed is determined by the Service Biller, but the optional Accounting Line fields (sub-account, sub-object, project, and org ref Id) will be accommodated by Service Billers at a customer’s request.
The established Service Billing authorization from Accounting to the billing units serves as Accounting’s ongoing approval for these transactions. The restricted access for SB document initiation ensures that only authorized organizations can create a billing without approval routing.
Billing frequency will generally be one time per month. However, Service Billers may choose to bill more frequently.

All Service Billers must provide supporting documentation for all transactions processed. See the chart for a summary of Service Billing supporting documentation locations.