council of fiscal officers meeting september 29, 2011

Council of Fiscal Officers Meeting

September 29, 2011

Agenda – Core-CT

• Core-CT• - PO and Requisition Reconciliation

• - P-Card vs. Payment Discounts

• - Upgrade of Core-CT from PeopleSoft 8.9 to 9.1

Agenda – Statewide

• Statewide• - Conversion to GAAP-based Budgeting

• - FFATA Reporting

• - Agency Consolidations/New Agencies

Core-CT – Monthly PO/Req Reconciliation

Why Reconcile

Standard Business Practice for all Modules

Accurate Balances of Budgets, Contracts, and Obligations

Preparing for the future with GAAP


Current Experience

Monthly Reconciliation of Pre-Encumbered and Encumbered Dollars

What are My Actual Budget Balances

Fiscal Year End becomes a clean up nightmare for all

What happens when Core-CT force closes transactions


Provide Monthly notification to CFOs and Business/Purchasing Office Head

POs and Requisitions in Budget Error

POs that are Fully Vouchered

POs that have had No Activity for a Period of Time

Monthly Comparison of Clean Up Activity


Results from Monthly Reconciliation

Accuracy of Budget Balances and Contract Spend

Fiscal Year End less of a nightmare for all

Timely/Accurate Decisions made on the Use of POs and Requisitions

Reduce the Fiscal Year End Clean Up by Core-CT and your agency

Core-CT – Prompt Payment Discounts

Prompt Pay Discounts offered by Vendors or Negotiated by DAS on Contracts and Request for Proposals

Incentives to pay the vendor in a given amount of time, which will result in a discount

Many agencies are not aware that these incentives are available

Payments should be prioritized to pay those with discounts within the specified time frame

http://www.core-ct.state.ct.us/financials/po/active_cntrcts.xls

Core-CT – Upgrade to 9.1

HR/FIN/EPM Upgrade to version 9.1

The look will be different – drop down menus, mouse over pop ups and type ahead/auto complete

Breadcrumbs will be back – easier to know where to go

New features under review Enhanced P-Card functionality

Punch-out to vendors website for purchasing

eBenefits

eRecruit

Other Self Serve functions

ePay will be further rolled out to agencies

Agenda – Statewide

• Statewide• - Conversion to GAAP-based Budgeting

• - FFATA Reporting

• - Agency Consolidations/New Agencies

GAAP-based Budgeting

Plan for Conversion to GAAP‐based Budgeting

Developed in Accordance With Governor Dannel P. Malloy’s Executive Order No. 1


GAAP-based budgeting for the General Fund, Special Transportation Fund and the eight other appropriated funds

Target date - fiscal year commencing July 1, 2013.


Modified accrual basis is utilized under GAAP

- Revenues are recognized when they are measurable and available to finance the expenditures of the fiscal period.

- Expenditures are recognized in the period in which a transaction creates a demand on current financial resources.


The implementation of GAAP‐based budgeting will require a number of changes:

- Year‐end closing procedures and timeframes

- Development, presentation and management of the budget

- Accounting and budgeting control practices and procedures

- Core‐CT and agency-specific systems

- State statutes

- Training of state staff


FY2014-FY2015 Biennium Budget

- Agencies should use GAAP year‐end closing information for fiscal years 2010‐11 and 2011‐12

- along with any updated information from OPM and the Comptroller’s Office

- to help estimate the changes that a modified accrual of expenditures will have on their budget formulation


Plan for Conversion to GAAP-based Budgeting

http://www.ct.gov/opm/cwp/view.asp?a=2998&q=477452

Federal Funding Accountability and Transparency Act (FFATA) Reporting

New reporting requirements for federal grants greater than or equal to $25,000 awarded to state agencies by October 1, 2010.

The prime awardees (state) is required to file a FFATA sub-award report by the end of the month following the month in which the prime recipient awards and sub-recipient greater or equal to $25,000


The reporting requirements are:- For mandatory and discretionary grants on or after

October 1, 2010.

- All sub-award information must be reported by the prime awardees.

- If the initial award is equal to or over $25,000, reporting of sub-award and executive compensation data is required.


- If the initial award is below $25,000 but subsequent grant modifications result in a total award equal to or over $25,000 are subject to the reporting requirements as of the date the award exceeds $25,000.

- If the initial award equals or exceeds $25,000 but funding is subsequently de-obligated such that the total award amount falls below $25,000. the award continues to be subject to the reporting requirements of the FFATA and OMB guidance.


Links to federal reporting websites

http://www.ffata.org/ffata

https://www.fsrs.gov

https://www.fsrs.gov/documents/ffata_legislation_110_252.pdf

https://www.fsrs.gov/documents/OMB_Guidance_on_FFATA_Subaward_and_Executive_Compensation_Reporting_08272010.pdf

https://www.fsrs.gov/






Agency Consolidations/New Agencies

Consolidations- Transfer or assignment of all or part of an agency to a

successor agency under the provisions of any act of the General Assembly

- Examples:

DAS = DAS + part of DOIT + part of DPW

DEEP = DEP + DPUC + OCC + part of OPM


New Agencies- Creation of a new legal entity

- Example: Contracting Standards Board

- Creation of a new legal entity that combines existing agencies

- Examples:

OGA = ELE + ETH + FOI + CSB + OCA + OVA + CSB + JRC + JSC + FPE

BOR = DHE + BAA + CSU + CTC


A Consolidations/New Agencies workgroup- Comprised of representatives from central agencies,

line agencies and CORE-CT

- Document a summary of the steps necessary to implement consolidations/new agencies

- Include a recommended timeline for implementation

Questions

council of fiscal officers meeting september 29, 2011

Documents

ct po

gaap revenues

fiscal period

payment discounts upgrade

budgeting control practices

agenda corectcore

contract spendfiscal

budget errorpos