|To:||Legislative Leadership, Judicial Branch Administrators, Elected Officials, Secretariats, Department Heads, Chief Fiscal Officers, MMARS Liaisons, and Payroll Directors|
|From:||Martin J. Benison, Comptroller|
|Date:||July 1, 2010|
|Subject:||Official Opening of FY2011|
Comptroller Memo FY#2011-02
The FY 2011 General Appropriation Act, Chapter 131 of the Acts of 2010, has been signed. This memo announces that July 1, 2010 is the official "opening date" of the accounting system. A deadline of July 30, 2010 is established for the alignment of encumbrances and expenditures with the enacted budget.
The Fiscal Year 2011 Budget has been signed. All accounts in all funds have been registered in MMARS and expenditure ceilings have been adjusted to reflect 2/12 ths of the amount available for spending in all subsidiaries for all departments subject to the periodic allotment. This establishes legal authorization for FY 2011 obligations and expenditures as of July 1, 2010. Therefore, the official "opening date" of the accounting system for FY 2010 is July 1, 2010. Late penalty interest can be requested by vendors if bills have not been paid 45 days after the receipt of the invoice or 45 days after July 1, 2010, whichever is later in accordance with 815 CMR 4.00.
Any accounting transactions that were processed under the House I revised structure must be recorded in conformance with the General Appropriation Act. Payroll funding edits are invoked each payroll cycle in the accounting system. Departments should complete any payroll and non-payroll adjustments to conform to the FY 2011 chart of accounts by July 30, 2010.
Due to vetoes which resulted in reductions to FY 2011 budgetary accounts, most Departments are evaluating the impact and considering adjustments to previously executed contracts. This link Guidance for Contract Reductions provides Departments with the procedures for suspending, amending or terminating contract actions that will be necessary to stay within your authorized spending limits. Departments may not request or accept performance or otherwise incur obligation in excess of Department appropriations and allotments (M.G.L. c. 29, §26 and §27).
If you have specific accounts for which you have questions or require additional guidance, please contact Michael W. Eyob, Accounts Payable Director, at (617) 973-2310 or Kevin McHugh, Payroll Director, at (617) 973-2335.
Please distribute this memo to all pertinent personnel.