Legislative Leadership, Judicial Branch Administrators, Elected Officials, Secretariats, Department Heads, Chief Fiscal Officers, General Counsels and Payroll Directors
|From:||Martin J. Benison, Comptroller|
|Date:||August 19, 2010|
|Re:||American Recovery and Reinvestment Act -Accounting and Reporting Update # 3|
This is the third update of The American Recovery and Reinvestment Act of 2009 ("ARRA" or "Federal Stimulus Funds") Accounting and Reporting Policy that was released on March 6, 2009 (See Federal Grants and Cost Accounting). It adds additional coding guidance for correcting codes on financial activity in MMARS.
The Recovery Office has raised concerns that certain ARRA reporting data from MMARS is incomplete (not carrying vendor payment information). This office has identified the root cause as Expenditure Correction (EX) transactions. In certain circumstances departments may determine the need to correct the posting for ARRA expenditures already recorded in MMARS. There may be a need to amend one or more codes on the original payment document. MMARS prohibits any modification to a payment document that has already been warranted and/or disbursed. Therefore, departments traditionally enter an EX document which contains at least two accounting lines. One line reflects the exact coding on the original document and the line amount is coded as a negative dollar amount. The second line is entered with the coding the department has determined to be the correct coding and the dollar amount is positive. The net value of an EX is zero, it is simply the coding that is modified.
Effective immediately, for the ARRA Expenditure Correction Documents, departments must enter the vendor code referenced on the original ARRA payment document within the EX. The EX does contain a vendor line and the vendor code must be entered.
In addition, departments must make note in the Document Comments Section, that the EX is adjusting ARRA activity and indicate exactly which fields on the EX are changing.