Encumbrances and payments in future FYs

Problem statement

Some libraries have known future obligations and commitments that will be paid against future fiscal years (for instance, a multi-year subscription which must be paid in advance, but which is internally pro-rated across each budget year.) Currently, FOLIO only allows operations against current and past FYs. Libraries currently address this by tracking these subscriptions outside of FOLIO and generating and paying invoices when the new FY becomes active and associated budgets are created.

Requirements and use cases

Requirement	Status	Use case

Requirement	Status	Use case
Allow library to notate firm future financial commitments that automatically take effect when that FY becomes active	pending	Library signs a multi-year subscription which the institution pays in full up front, but which is internally pro-rated over the duration of the subscription. Library needs to note that allocation as “expended”
Apply financial commitments to unknown budgets	pending	Binding multi-year commitments are often made when future budget allocations are unknown or pending.
Prevent unfunded commitments in the current FY	pending	Library changes its finance structure between FYs leaving pending allocations associated with Funds that are no longer active or funded.

Questions

Question	Status	Outcome

Question	Status	Outcome
	pending
	pending
	pending