presentation for ofma april 10, 2014 lynne bajema, cpa oklahoma state comptroller
TRANSCRIPT
Statewide Accounting Manual
Presentation for OFMAApril 10, 2014
Lynne Bajema, CPAOklahoma State Comptroller
OverviewStructure of New Manual Comment PeriodOMES ContactsTerminology ChangesNew or Frequently Missed
Guidance
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Introduction
ContentsHow to Use the ManualGaining Access to the Accounting
SystemContact InformationBrief Descriptions of Relevant
Departments
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ContentsChapter 10 – CodingChapter 20 – BudgetingChapter 30 – Receipting and DepositingChapter 40 – PurchasingChapter 50 – DisbursingChapter 60 – Reconciling and ReportingChapter 70 – Internal Controls Guidance
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AppendicesGlossaryAgency ListingRevenue CodesExpenditure CodesFormsReport Listing
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Available in Two FormsWeb Pages
Quick, easy linksWill be updated as procedures are changedNot easily printable into one manualPDF VersionEasily printed in one documentWill be updated less frequently Important to read DCAR newsletters
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Comment PeriodThrough May 31st
PDF version should be on the Comptroller’s website by the end of the day tomorrow
Web pages will be posted by April 21stBoth will be modified to incorporate
comments during comment period and changes in statute from 2014 session.
Send comments to [email protected]
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DCAR ContactsAccounting and Reporting – Jennie PrattTransaction Processing – Steve WilsonAccounts Payable – Patricia GarciaFinancial Reporting (CAFR) – Matt ClarksonAgency Business Services – Chris Forster or
Steve FunckVendor File Management – Vicky BakerOMES Finance/Flexible Spending – Dan
Melton8
Terminology Changes
To Align with PeopleSoft TerminologyWas ‘Fund’ – Now ‘Class Funding’Was ‘Object of Expenditure’ – Now ‘Account’Was ‘Agency Number’ – Now ‘Business Unit’
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New Guidance or Reminders
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Chapter 40 - PurchasingAgencies are required to cancel remaining
encumbrance balances through the State Purchasing System as soon as they know the encumbrance will not be used, but no later than November 15th after the fiscal year end.
OMES will cancel any remaining encumbrance when the appropriation is lapsed.
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Chapter 40 - PurchasingThe allowed use of Authority Orders is
limited to purchases under $5,000 for which the standard encumbrance process cannot serve.
Use vendor specific Authority Orders whenever feasible.
Authority Orders should not be used for:Mandatory statewide contract purchasesPostageProfessional Service Contracts
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Chapter 40 - PurchasingP-Card Purchases between agencies
$5,000 ‘Break even’Purchases over $5,000 discouragedThere is a cost to the agency
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Chapter 40 - Purchasing OMES Form VEND Vendor Payee Form Requirements
Adding a New Vendor- including first time payment for your agency Complete all fields legibly to include Vendor signature
Updating Adding New Addresses/Locations
Requires 9-Digit Zip Code Requires Email Address
Changes to IRS Name/TIN Requires completed new form including vendor
signature Requires New Vendor ID
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Chapter 40 - PurchasingReporting Requirements for 1099 Payments
OMES Vendor Payee Form is a substitute W-9 Information must match IRS records Vendor should annotate Exemption and Status
Review all Payments for 1099 Status Agency should review Page 3 of Vendor Payee
Form to determine if payment qualifies for 1099 reporting
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Chapter 40 - PurchasingVendor Registration Process
OK.gov Vendor Portal
Bidder Registration All individuals or businesses considered for contract payments
should register on the OK.gov Vendor Portal
EFT Registration Vendors who already do business with the State should visit the
Vendor Portal to add EFT banking information to their vendor file for payments
FINAL STEP REQUIRED: Confirmation email to vendor PIN activation number Bank Form and instructions
Bank Form should be completed by vendor and their bank Must be submitted to Office of State Treasurer via FAX or mail for
processing –DO NOT EMAIL BANK FORMS16
Chapter 40 - Purchasing Employees Vendor Registration Process
Submit Employee Update Request Form Add Employees for Non-payroll Payments Only
(eg. travel) Employee Payment Location 0001 Default Employee Payments for Independent Services
If employee also provides services as a vendor for the State, they should complete and sign a Vendor Payee Form
New Location in employee vendor file Need written authorization to add employee
direct deposit to this location Payments may be 1099 reportable
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Chapter 50 - DisbursementsScanning Program
Many agencies scan claim documentation and only send OMES a batch slip
Agencies that are not scanning are encouraged to do so
Contact Steve Wilson at 521-4679 for information on the scanning process
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Chapter 50 - DisbursementsMemberships and Dues
Prohibited with the following exceptions: When the fee is for a position and can be transferred to
another employee if the member employee leaves the agency;
When membership can be shown to be in the best interest of the state due to discounts on job-related training, when the discounts obtained are more than the cost of membership
When specific coverage of individual memberships are within the terms of a grant contract. Documentation must be attached.
When the agency has been approved to enter the OMES Human Capital Management Model Project.
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Chapter 50 - DisbursementsHCM Model Project
Based on Human Resource issuesAgency who wants approval to participate
should send letter to HCM explaining and detailing the need
Contact person is Ron Wilson 522-0422
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Chapter 50 - DisbursementsPayroll Processing Timeline
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There are several key dates within the biweekly payroll process.
Pay period
Two-week work
period ends.
Employees should
complete timesheets
Supervisors should review
timesheets
Agencies have until 1500HRS (3:00 PM)
Friday to process a 45 step payroll process and
resolve any issues.
Employee Supervisor Payroll Process (45 Step)
Pay period
Employee Supervisor Payroll Process (45 Step)
This process ensures that longevity is included, payroll is approved, calculations tie out, etc. Once the payroll goes
through the final calculations, the agency must run funding reports to see if they have cash and allotments to
run payroll. If not, they must work with their Finance Departments to modify funding codes or take whatever
action is necessary to properly fund the payroll.
This can be a lengthy, time-consuming process, especially for large agencies.
Once payroll is finalized and funded at the agency, the agency runs payroll through the G/L process and the payroll information available to Transaction Processing for release. Additional documentation with proper approvals is sent to Transaction Processing either by e-mail, fax, or paper. Once Transaction Processing has the paperwork for a payroll, it is reviewed against the pending release data to ensure they match and payroll is released. Information is due from the agencies by 3:00 5 business days prior to payday.
Pay period
Employee Supervisor Payroll Process (45 Step)
Drop Dead Payday
Chapter 50 - DisbursementsPayroll Processing Timeline
Very tight timingAgency at risk if deadlines not metOMES will be contacting Directors
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Chapter 60 – Reconciling and Reporting994 Class Fund, 633xxx Accounts Reconciling
HCM Public Query: GO_PY_DED_RUNID_BY_CONFIRM_DT Driven by Confirm Date Includes deduction codes and descriptions, # of employees with
a specific deduction, and general ledger 633xxx accounts to which amounts were posted:
Agencies should complete the voucher build and budget check by the end of the month. Vouchers do not need to be paid, but should be budget checked in order to help with reconciling.
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Chapter 60 – Reconciling and ReportingReconciliation of Clearing Accounts and ASA’sMust reconcile to OST and to State Accounting System
Form 11Deadline – 10th of each month
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Chapter 60 – Reconciling and Reporting
O.S. 62 Section 34.58 Information on income, disbursements and transfers states:
Each state agency shall furnish to the Director of the Office of Management and Enterprise Services, in such form as the Director shall prescribe, detailed information showing the income, disbursements, and transfers for each agency clearing account and each agency’s special account. Income, disbursements and transfers shall be identified in accordance with code designations as provided in the accounting procedures of the Office of Management and Enterprise Services…The State Treasurer shall not honor vouchers disbursing and transferring monies from agency clearing accounts or special accounts, when he or she has been notified by the Director of the Office of Management and Enterprise Services that an agency is not in compliance with the provisions of subsection A of this section.
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Chapter 60 – Reconciling and ReportingFailure to reconcile accounts results in:
Audit issuesDelay of the CAFRIncorrect reporting of the State’s cash position
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Chapter 60 – Reconciling and ReportingAny reconciling items should be listed as such.
PLUG NUMBERS ARE NOT ALLOWED
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Numbers
Plug
Chapter 60 – Reconciling and ReportingReconciliation of Budgeted Cash to Actual
Summary of Receipts and Disbursements Report to –
Allotment of Budgeted Cash ReportLiabilities on the SRD should agree to detail
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Chapter 50 - DisbursementsStatutory Cancellations of Warrants
Review the Outstanding Warrants Report andA/P Statutory Cancellations ReportAddress issues before they cancel by statute.If agency catches prior to stat cancel, they can
cancel the warrant and recover the moneyIf statutorily cancelled, money goes back to the
GRF and the agency loses it.
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Chapter 60 – Reconciling and Reporting1099 Misc Tax Information Report
Agencies should review at least quarterlyMost important – verify the 1099 flagVerify other vendor informationMake sure you are not paying the same vendor
under multiple vendor IDs
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Statewide Accounting Manual
Questions???
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