Fiscal Year 2013

The purpose of this memo is to inform Departments of the methodology for distributing and recording Payroll charges in HR/CMS and LCM/MMARS during the Split Year payroll period.  The Split Year Percentage (SYP) will be 100% for FY 2014 for most payroll charges.  All reimbursements will charge to FY 2013 as will the other exceptions discussed in this memo.

The statutory receivable instructions provide guidance to departments on reporting to the Comptroller’s Office receivables due from a governmental body that are related to expenses incurred on or before June 30th and collected between July 1st and August 31st.  The preliminary estimate is due on August 2nd and the final report is due on September 6th.

This Fiscal Year Update is issued jointly by the Office of the Comptroller (CTR) and the Information Technology Division (ITD) to notify Departments of compliance with Data Security Standards for the collection of revenue.

Approval of transactions to "Final" status in the state financial systems serve as an affidavit from the Department Head to the Comptroller that transactions comply with State Finance Law and the documents are accurate and complete, the expenditure or other obligation is supported by sufficient legislatively authorized funds, is made in accordance with the Department's legislative mandates and funding authority, and complies with all applicable laws, regulations, policies and procedures.  Annually, Department Heads are asked to review and confirm employees (1) they have authorized them to access, process and approve transactions in enterprise systems on their behalf and (2) any other individual who can approve obligations and expenditures (execute contracts, approve payroll, incur obligations, authorize payments, etc.) on behalf of a Department Head even if said individual does not access enterprise systems themselves.

The purpose of this memo is to update CFOs and MMARS Liaisons on departments’ utilization of the Commonwealth’s Prompt Payment Discount (PPD) program during the first 9 months of FY2013.  For the third quarter of FY2013, an additional $1,887,934 of PPD were taken by over 110 departments.  Prompt payment discounts have and will continue to help maximize your department’s line item spending power.

This memo announces the FY2013 Internal Control Questionnaire (ICQ).  The ICQ application is located on our intranet site, Comptroller Intranet.  See the attached Instructions for Completing the FY2013 Internal Control Questionnaire for details.  Departments should complete the ICQ on or before May 8, 2013.  Auditors, and staff from the Comptroller’s Quality Assurance Bureau review ICQ responses and may contact departments to follow up on specific answers.  Department management is responsible for implementing and maintaining effective internal controls.  The ICQ’s Representations Section confirms this for the Commonwealth.

The Commonwealth’s FY2012 Single Audit has been completed.  This year we have noted fewer recurring themes to the findings prepared by KPMG LLP, the independent audit firm.  These are described below to allow departments to consider whether changes are needed in preparation for the FY2013 Single Audit, which will be starting soon.

This memo notifies departments of important information related to use of Debt Collection Services by State Department Billing Entities.  

The purpose of this memo is to update CFOs and MMARS Liaisons on departments’ utilization of the Commonwealth’s Prompt Payment Discount (PPD) program during the first half of FY2013.  For the second quarter of FY2013, an additional $1,798,109 of PPD were taken by over 110 departments.  Prompt payment discounts have and will continue to help maximize your department’s line item spending power.

HR/CMS must be updated to comply with a number of IRS and DOR requirements regarding employer responsibilities for tax year 2013.  This memo highlights the requirements and the necessary department actions to be compliant, including recent changes in state and federal taxation.

The memo serves as the notice that mid-year inventory of GAAP Capital Assets is underway.  Several MMARS reports can be accessed through DocDirect to assist with this effort.  Every department must return a form confirming the review is complete.

The purpose of this memo is to advise departments as to the late penalty interest rate for January 1, 2013 – June 30, 2013.

This memo confirms the actions that will occur for Federal Income Tax reporting to the Internal Revenue Service (IRS), Social Security Administration (SSA) and for State Income Tax reporting to the Department of Revenue (DOR) for all 1099 reportable payments made from MMARS.  This also serves as a reminder to departments that the Office of the Comptroller (CTR) is the Commonwealth’s Tax Clearinghouse.

Please make sure the information in this memo is conveyed to relevant staff in your department.

This memo provides departments with instructions and important processing dates for year-end tax reporting and payroll processing.

Due to announced 9C reductions to Fiscal Year 2013 budgetary accounts, most Departments are evaluating the impact and considering adjustments to previously executed contracts.  This memo provides Departments with the procedures for suspending, amending or terminating contract actions that will be necessary to stay within their 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).

Enterprise systems provide access to sensitive data and allow users to process transactions.  Annually, Department Security Officers are asked to review individuals that have access to these systems to ensure that they have correct and appropriate access.

The Statewide Enterprise Systems Security Policy requires Department Security Officers to certify security access to enterprise systems annually.  This certification is due at the end of the calendar year.  Department Heads provide this approval at the end of the Fiscal Year, thus a formal review is performed every six months.

The purpose of this memo is to update CFOs and MMARS Liaisons on departments’ utilization of the Commonwealth’s Prompt Payment Discount (PPD) program in FY2012 and the first quarter of FY2013.  For the first quarter of FY13 an additional $2,074,250 of PPD were taken by over 110 departments.  Prompt payment discount savings are now approaching $8 million annually!  Prompt payment discounts have and will continue to help maximize your department’s line item spending power.

This memo announces the Drug-Free Workplace Certification for Departments Receiving Federal Grants for federal fiscal year 2013.

This memo announces a Competitive Grant/ISA Program for the Funding of Auditors or Program Integrity Infrastructure.

The purpose of this memo is to provide CFOs and MMARS Liaisons with updated information on the Prompt Payment Discount program and to continue to support departments to pursue further growth in discount earnings being successfully achieved by Departments.  The departments’ utilization of the Commonwealth’s Prompt Payment Discount (PPD) program during FY2012 was excellent with more opportunities for agencies to increase discount earnings in fiscal year 2013.

This memo provides guidance and information regarding the Office of the Comptroller’s MMARS chargeback for FY2013 to support the operation of the financial accounting and reporting system for the Commonwealth.

The purpose of this memo is to advise departments as to the late penalty interest rate for July 1, 2012 – December 31, 2012.

The FY 2013 General Appropriation Act, Chapter 139 of the Acts of 2012, has been signed.  This memo announces that July 10, 2012 is the official “opening date” of the accounting system.  A deadline of July 27, 2012 is established for the alignment of encumbrances and expenditures with the enacted budget.

The FY13 Interim Budget has been signed.  This memo offers guidance on operating under an interim budget.

The purpose of this memo is to notify departments of the approved fringe benefit and payroll tax rates for FY2013.  The U.S. Department of Health and Human Services has approved the fringe rate of 25.98% and a payroll tax rate of 1.29%. 

The purpose of this memo is to advise departments of the fringe benefit and payroll tax rates proposed for FY2013.