Kansas Department of Administration

FY 2010

10-a-001 - 2010 Private Vehicle Mileage (June 29, 2009) (Supersedes 09-A-001)
INFORMATIONAL CIRCULAR NO. 10-A-001 Supersedes:09-A-001
DATE: June 29, 2009
SUBJECT: 2010 Private Vehicle Mileage
EFFECTIVE DATE: July 1 ,2009
CONTACT:

Shirley Gilchrist

Ginnie Schirmer

Joy Duncan

Lance Gagelman

(785) 296-2882

(785) 296-7021

(785) 296-7011

(785) 296-2255

(shirley.gilchrist@da.ks.gov)

(ginnie.schirmer@da.ks.gov)

(joy.duncan@da.ks.gov)

(Lance.Gagelman@da.ks.gov)

APPROVAL: Image of approval signature.
SUMMARY:

FY 2010 Privately Owned Vehicle Mileage Reimbursement Rates

 

As authorized by K.S.A.75-3203a, the Secretary of Administration has fixed the private vehicle maximum* mileage reimbursement rates for FY 2010 at:

32¢ per mile for privately owned motorcycle

55¢ per mile for privately owned automobile

$1.10 per mile for privately owned airplane (based on air miles rather than highway miles)

*If a mode of transportation is available and is less costly than transportation by privately owned conveyance, mileage payments for use of a privately owned conveyance shall be limited to the cost of that other mode of transportation. (K.A.R. 1-18-1a (d)(1)).

 

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10-a-002 - FY 2010 Subsistence Rates (June 29, 2009) (Supersedes 09-A-002)
INFORMATIONAL CIRCULAR NO. 10-A-002 Supersedes:09-A-002
DATE: June 29, 2009
SUBJECT: FY 2010 Subsistence Rates
EFFECTIVE DATE: July 1, 2009
A & R CONTACT:

Shirley Gilchrist

Ginnie Schirmer

Joy Duncan

Lance Gagelman

(785) 296-2882

(785) 296-7021

(785) 296-7011

(785) 296-2255

(shirley.gilchrist@da.ks.gov)

(ginnie.schirmer@da.ks.gov)

(joy.duncan@da.ks.gov)

(lance.gagelman@da.ks.gov)

APPROVAL: Image of approval signature.
SUMMARY:

FY 2010 Meal Allowance and Lodging Rates

 

As authorized by K.S.A.75-3207a, the Secretary of Administration has fixed the rates for FY 2010 at:

Meal Allowance:

In-state $9.50 per quarter-day
Out-of-state, regular $9.50 per quarter-day
Out-of-state, designated high-cost geographic area $10.25 per quarter-day
Out-of-state, special designated high-cost geographic areas $13.25 per quarter-day
International $14.00 per quarter-day or actual expenses not to exceed $90.00 per day


Reduced Meal Allowance:

If the cost of meals is included within the cost of registration fees or other fees and charges paid by the agency or supplied without cost by another party, the meal allowance should be reduced as follows:

  Breakfast Lunch Dinner
In-state $9.00 $ 10.00 $19.00
Out-of-state, regular $9.00 $10.00 $19.00
Out-of-state, designated high-cost geographic area $ 9.50 $11.00 $20.50
Out-of-state, special designated high-cost geographic area $12.50     $14.00     $26.50
International $13.50 $14.50 $28.00

 

Same Day Meal Allowance:

The rates as established in accordance with K.A.R. 1-16-18(c)(3) are the same as indicated in the table above for reduced meal allowance.

Lodging Expense Limitations:

In-state $77.00
Out-of-state, regular $98.00
Out-of-state, designated high-cost geographic area $143.00
Out-of-state, special designated high-cost geographic area $158.00
International Actual
Conference lodging qualified under K.A.R. 1-16-18a(e) Actual

 

K.S.A. 75 3207a(f) provides that the daily lodging expense limitations established above may be exceeded by the lesser of either: (1) an additional 50% of the applicable lodging expense limitation, or (2) the actual lodging expense incurred.

These lodging limits continue to be applied to the lodging rate before taxes. Thus, the amount reimbursed or paid for lodging expenses may exceed the established lodging limitation by as much as the amount of associated taxes.

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10-a-003 - Revenue and Expenditure Sub-object Codes (July 10, 2009)
INFORMATIONAL CIRCULAR NO. 10-A-003  
DATE: July 10, 2009
SUBJECT: Revenue and Expenditure Sub-object Codes
EFFECTIVE DATE: July 1, 2009
A & R CONTACT:

Gail Barnhart

(785) 296-3404

(gail.barnhart@da.ks.gov)

APPROVAL: Image of approval signature.
SUMMARY:

Change to Expenditure Sub-object Code 2230, and Deleting Expenditure Sub-object Code 2290, 3998, 5540 and Revenue Sub-object Code 1015, 1217, 1552, 2128

 

Effective July 1, 2009 the description of expenditure sub-object 2230 is being changed to include binding as follows:

  • 2230 Other Vendor Printing, Binding, Duplicating, Blue-Printing and Reproducing – non-capital

In addition, several sub-object codes have been deemed no longer useful. Effective July 1, 2009, the following expenditure sub-object codes are being closed:

  • 2290 Other Vendor Printing and Binding – non-capital
  • 3998 Labor Charges Associated with the Purchase of Parts – BPC Purchase
  • 5540 Senior Pharmacy Assistance Program (Agency 039 only)

Effective July 1, 2009, the following revenue sub-object codes are being closed:

  • 1015 Motor Vehicle – State General Fund
  • 1217 Metropolitan Culture District Retailers Sales Tax (Fund 7682)
  • 1552 Severance Tax on Salt 
  • 2128 Non-occupational Licenses, Permits and Registrations – Dark Goose Fees (Agency 710 only)

These changes will be reflected in the Uniform Receipt Classification Revenue Sub-object Codes filing (PPM No. 6,002) and the Uniform Expenditure Classification Expenditure Sub-object Codes filing (PPM No. 7,002) on the Division of Accounts and Reports web site: http://www.da.ks.gov/ar/ppm/.

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10-a-004 - STARS, STARS ADHOC REPORTING SYSTEM, AND SOKI3+ HISTORICAL DATA AT SMART GO-LIVE (July 30,2009)
INFORMATIONAL CIRCULAR NO. 10-A-004  
DATE: July 30, 2009
SUBJECT: STARS, STARS ADHOC REPORTING SYSTEM, ANDSOKI3+HISTORICAL DATA AT SMART GO-LIVE
EFFECTIVE DATE: July 1, 2009
CONTACT:

Dan Escher

Randy Kennedy

(785) 296-6943

(785) 296-2125

(dan.escher@da.ks.gov)

(randy.kennedy@da.ks.gov)

APPROVAL: Image of approval signature.
SUMMARY:

Instructions for Accessing Historical Data of Retired Central Systems

 

Upon the implementation of the Statewide Management Accounting and Reporting Tool (SMART) on July 1, 2010, the Statewide Accounting and Reporting System (STARS), the STARS Ad-Hoc Reporting System (ADHOC), and the State of Kansas Interactive Internet Interfunds ( SOKI3+) will be retired from service.

These systems and/or system data will be available for a period of time after retirement to satisfy agency reporting needs immediately after the close of FY 2010. The remaining sections describe the access that will be provided after the retirement of these systems. Questions regarding STARS or ADHOC should be directed to Dan Escher. Questions regardingSOKI3+ should be directed to Randy Kennedy.

STARS

STARS DAFR Reports. Daily and monthly reports will be generated as normal until the close of FY 2010. Please ensure you are generating the reports you require for FY 2010 recordkeeping and other business purposes. No additional reports will be generated after the close of FY 2010. Agencies are encouraged to take advantage of the online reporting option which can be used to create online reports to download for archive purposes. Please see 'Informational Circular 08-A-004' for more details.

STARS Online Inquiry. The STARS on-line menu system will remain accessible until December 31, 2010 for inquiry purposes only. Users will have no update capability and the data entry menu will be disabled.

STARS Daily (DA) and Monthly (MO) Transaction Datasets. These datasets and any other datasets received by agencies will be created as scheduled through the close of FY 2010. Agencies receiving these datasets are encouraged to retain them as required for internal reporting and archive purposes.

STARS Transactional Data. Agencies may request STARS transactional data on a fiscal year basis for years FY 2001-2010. Each year will be placed in the agency online report folder for downloading. Agencies can access their online report folder as instructed in 'Informational Circular 08-A-004'.

Agencies are strongly encouraged to only request transactional data for specific purposes and not for general archiving. The Department of Administration will archive this historical data for an indefinite number of years with a decision on final disposition and availability to be made at a future date.

Agencies requesting historical data will be provided a data layout and dataset name to retrieve the data from their online report folder at the time the request is made.


STARS AD-HOC REPORTING SYSTEM

ADHOC and all of its inquiry functions will remain accessible until December 31, 2010. As a reminder, no FY 2011 data created in SMART will be available in ADHOC.


SOKI3+

The SOKI3+ system will be available on an inquiry-only basis after the close of FY 2010 until December 31, 2010. After this date, requests for SOKI3+ historical data or documents will be made to the Division of Accounts and Reports.

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10-a-005 - Revenue and Expenditure Sub-object Codes (October 16, 2009)
INFORMATIONAL CIRCULAR NO. 10-A-005  
DATE: October 16, 2009
SUBJECT: Revenue and Expenditure Sub-object Codes
EFFECTIVE DATE: October 16, 2009
CONTACT:

Gail Barnhart

(785) 296-3404

(Gail.Barnhart@da.ks.gov)

APPROVAL: Image of approval signature.
SUMMARY:

Change to Revenue Sub-object Code 2400 and 2401; Closing Expenditure
Sub-object 6140

 

Per Lottery’s request, effective October 16, 2009 the description of revenue sub-object 2400 and 2401 is being changed to as follows:

  • 2400 Lottery Revenues – Revenue Level 2: Proceeds received from lottery and expanded lottery act revenues.
  • 2401 Lottery and Expanded Lottery Act Net Accounts Receivable

In addition, expenditure sub-object code 6140 has been deemed no longer useful. Effective October 16, 2009, the following expenditure sub-object code will be closed:

  • 6140 Interest and Service Charges on Certificates of Participation

The changes will be reflected in the Uniform Receipt Classification Revenue Sub-object Codes filing (PPM No. 6,002) and the Uniform Expenditure Classification Expenditure Sub-object Codes filing (PPM No. 7,002) on the Division of Accounts and Reports web site http://www.da.ks.gov/ar/ppm/.

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10-a-006 - Revenue and Expenditure Sub-object Codes (November 16, 2009)
INFORMATIONAL CIRCULAR NO. 10-A-006  
DATE: November 16, 2009
SUBJECT: Revenue and Expenditure Sub-object Codes
EFFECTIVE DATE: July 1, 2010
CONTACT:

Gail Barnhart

(785) 296-3404

(Gail.Barnhart@da.ks.gov)

APPROVAL: Image of approval signature.
SUMMARY:

Close Expenditure Sub-object Code 5570 and 5571; Establish New Revenue Sub-object Code 1124 and 1125

 

Per a request from the Department of Revenue, effective July 1, 2010 the following expenditure sub-object codes will be closed:

  • 5570 Homestead Property Tax Relief Payments (Agency 565 only)
  • 5571 Oil Lease Operator Property Tax Payments (Agency 565 only)

Effective July 1, 2010 two new revenue sub-object codes are being established as follows:

  • 1124 Homestead Property Tax Relief Refunds
  • 1125 Oil Lease Operator Property Tax Refunds

The changes will be reflected in the Uniform Receipt Classification Revenue Sub-object Codes filing (PPM No. 6,002) and the Uniform Expenditure Classification Expenditure Sub-object Codes filing (PPM No. 7,002) on the Division of Accounts and Reports web site http: http://www.da.ks.gov/ar/ppm/.

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10-a-007 - Procedures for filing 2009 Form 1099 Information Returns (December 14, 2009) (Supersedes 09-A-003)
INFORMATIONAL CIRCULAR NO. 10-A-007 Supersedes 09-A-003
DATE: December 14, 2009
SUBJECT: Procedures for filing 2009 Form 1099 Information Returns
EFFECTIVE DATE: Immediately
CONTACT:

Melissa Wesley

(785) 296-7291

(Melissa.Wesley@da.ks.gov)

APPROVAL: Image of approval signature.
SUMMARY:

Procedures for Filing 2009 Form 1099 Information Returns

 

1099 reporting for the State of Kansas is comprised of two processes, the first being the issuance of the 1099 to the payee with the second being the electronic filing of the 1099 informational returns with the Internal Revenue Service (IRS). While most 1099 transactions are recorded in the Statewide Accounting and Reporting System (STARS), and require no additional action by state agencies; there are some payments that occur outside of STARS or the information to be reported to the IRS is not in STARS. These transactions result in unique reporting procedures, and are comprised of the following:

  1. Locally administered interest payments exceeding $10 are to be reported on IRS Form 1099-INT. These payments typically represent interest paid from trust funds to clients of institutions with the Department of Social and Rehabilitation Services and the Department of Corrections.
  2. Purchases of real property exceeding $600 are required to be reported on IRS Form 1099-S (Do not include rental or construction costs). Additional information required by this form includes a description or address of the property and the closing date of the purchase transaction.
  3. State Fair premiums are to be reported on Form 1099-MISC.

Agencies which have the transactions discussed above are responsible for the preparation and delivery of the appropriate 1099 form to the payee prior to January 31, 2010. To meet this reporting requirement, agencies can prepare and mail their own 1099s, or if the Division of Accounts and Reports has provided this service in prior years for the agency, the agency can request the Division of Accounts and Reports to perform this service again this year. The Division of Accounts and Reports has provided this service in past years to the following agencies: Kansas Veteran’s Home, Juvenile Justice Authority, SRS, Parsons State Hospital and Training Center, and Larned State Hospital. If the agencies listed wish for Accounts and Reports to provide this service for 2009 1099s, please contact Melissa Wesley to coordinate.

For agencies requesting Accounts and Reports to produce and mail the 1099s, agencies will need to prepare a text file, or Excel file, or DA-43. The file or listing needs to be received by the Division of Accounts and Reports by January 18, 2010 to ensure the 1099s are distributed by the January 31, 2010 deadline. Please indicate on the email or cover letter submitted with the electronic file or listing that the Division of Accounts and Reports produces the 1099s.

For those agencies preparing and mailing their own 1099s to payees, the procedures for handling 1099 information returns for calendar year 2009 are as follows:

  1. Prepare and delivery of the appropriate 1099 form to the payees prior to January 31, 2010. Do not mail the 1099 forms directly to the IRS or to the Kansas Department of Revenue; the Division of Accounts and Reports will provide an electronic file containing the 1099 information to the federal and state taxing authorities. The payer's FEIN to use for the State of Kansas is 48-1124839.
  2. Agencies reporting applicable purchases of real property may submit the IRS and /or the State of Kansas copies of the 1099-S forms to the Division of Accounts and Reports (at the address provided below), and Accounts and Reports will then submit this information to the taxing authorities.
  3. If any agency finds it necessary to issue a corrected information return, the payee should be provided a copy as soon as possible. The IRS copy of the corrected form (marked "corrected") should be forwarded promptly to the Central Accounting Services Section of the Division of Accounts and Reports.

Since the State of Kansas is classified as a single payer entity by the IRS (all payments by state agencies are reported under one FEIN) and federal law and regulations require the filing of 1099 information returns by magnetic media or electronically, it is the responsibility of the Division of Accounts and Reports to transmit all 2009 calendar year 1099 informational returns to the IRS electronically. To aid the Division of Accounts and Reports with the electronic filing requirements, agencies reporting the expenditures discussed above, and with fewer than 20 records, may use the DA-43 form (http://www.da.ks.gov/ar/forms/ ), or may submit a text file, or may submit an Excel file. If you have 20 or more records, please submit the records in a text file or in an Excel file following the format shown in the attached NON-STARS 1099 Record Layout form. All electronic files or listings for ‘1099 information reporting only’ need to be received by February 8, 2010. Please email all electronic files to Melissa.Wesley@da.ks.gov and mail any paper listings to:

Division of Accounts and Reports
Central Accounting Services Section
900 SW Jackson, Room 351-S, LSOB
Topeka, Kansas 66612-1248

Attention: Melissa Wesley

Please note that the February 8, 2010 deadline is only available to those agencies that produced and mail their own 1099s, and the Division of Accounts and Reports just files the informational return with the IRS. If the Division of Accounts and Reports produces and sends the 1099s for the agency, the January 18, 2010 deadline is applicable. 

When submitting data via a text or Excel file, please be sure to follow the formatting instructions, which include:

No hyphens or dashes in the Vendor Number field, entry is the nine digit FEIN or SSN,

Just record and capitalize the first name, middle initial, last name in the Name field (i.e. Mr. John C. Smith would be reported as JOHN C SMITH), do not include forms of address (Mr., Ms., etc), or punctuation (i.e. periods or commas), or any other special characters.

No hyphens or dashes in the Zip Code field, just report the five (left justify) or nine digit 
zip code, (i.e. 66612-1248 would be reported as 666121248),

No dollar signs or decimals, in the amount field, just report the amount (i.e.
$3,312.48 would be reported as 000000331248).

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Attachment: 1099 FORMATS - NON-STARS 1099 RECORD LAYOUT xls 

10-a-008 - 2010 Private Vehicle Mileage (December 31, 2009) (Supersedes 10-A-001)
INFORMATIONAL CIRCULAR NO. 10-A-008 Supersedes:10-A-001
DATE: December 31, 2009
SUBJECT: 2010 Private Vehicle Mileage
EFFECTIVE DATE: January 1 ,2010
CONTACT:

Shirley Gilchrist

Ginnie Schirmer

Lance Gagelman

(785) 296-2882

(785) 296-7021

(785) 296-2255

(shirley.gilchrist@da.ks.gov)

(ginnie.schirmer@da.ks.gov)

(Lance.Gagelman@da.ks.gov)

APPROVAL: Image of approval signature.
SUMMARY:

Reduced FY 2010 Privately Owned Vehicle Mileage Reimbursement Rates

 

The IRS reduced the privately owned automobile mileage effective January 1, 2010.  As required by K.S.A. 75-3203a(c)(1), the Secretary of Administration has reduced the private vehicle maximum* reimbursement rate for FY2010 effective January 1, 2010 to: 

  • 50¢ per mile for privately owned automobile                  

The following remain unchanged:

  • 32¢ per mile for privately owned motorcycle
  • $1.10 per mile for privately owned airplane (based on air miles rather than highway miles)

*If a mode of transportation is available and is less costly than transportation by privately owned conveyance, mileage payments for use of a privately owned conveyance shall be limited to the cost of that other mode of transportation. (K.A.R. 1-18-1a (d)(1)).

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10-a-009 - Transitioning Encumbrances to SMART (February 4, 2010)
INFORMATIONAL CIRCULAR NO. 10-A-009 Supplemented by 10-a-011
DATE: February 4, 2010
SUBJECT: Transitioning Encumbrances to SMART
EFFECTIVE DATE: Immediately
A & R CONTACT:

Randy Kennedy

(785) 296-2125

(Randy.Kennedy@da.ks.gov)

APPROVAL: Image of approval signature.
SUMMARY:

Encumbrances: Preparing for SMART

 

In July 2010, outstanding STARS encumbrances will be converted to SMART. Encumbrances in SMART will be equivalent to STARS contingent encumbrances that reserve appropriation/limitation, but not cash. There will be no equivalent to the STARS firm encumbrance in SMART. Vendor specific encumbrances will convert as Purchase Order (PO) encumbrances and non-vendor specific encumbrances will convert as General Ledger (GL) encumbrances.

Prior to June 30, 2010, any existing firm (Transaction Code 854 or 891) encumbrances in STARS must be converted to contingent encumbrances or be cancelled.

In preparation for conversion to SMART, it is necessary to review and clean up STARS encumbrances. On February 2, 2010, we distributed the annual listing of prior year encumbrances to aid in this endeavor. 

If you anticipate prior year DA118’s carrying over to SMART and the remaining balances can be identified to a specific vendor, you should submit a DA107 to cancel the DA118 and replace it with a new DA107 using transaction code 864 and the appropriate vendor number. These transactions should be batched together. This will allow those encumbrances to convert to Purchase Order encumbrances in SMART.

At fiscal year-end 2010, agencies will have the option of submitting either vendor specific DA107 encumbrances or DA118’s. The DA118 operator id’s will now be DA118/DA107 operator id’s. They will allow either Transaction Code 892 with no vendor number or Transaction Code 864 for vendor specific encumbrances (TC 854 and 891 will not be allowed). DA107, DA101, DA146 and DA47 encumbrances will convert to Purchase Order encumbrances in SMART. An informational circular will be issued with updated year-end encumbrance procedures. Existing DA118 encumbrances will be converted to GL encumbrances in SMART and will require the following procedures for payment in SMART:

  • The agency will need to reduce the GL encumbrance by the amount to be paid to the vendor.
  • The agency will be required to create a prior fiscal year requisition by entering it into SMART. SMART will apply the current budget date on the requisition. After the requisition has processed through workflow approvals and sourced to a Purchase Order, the agency should review and update, if necessary, the PO, then put it on hold. The PO will carry the same current budget date as the requisition. The agency should then contact Accounts and Reports staff to change the budget date to the prior year budget date. Accounts and Reports staff will make the change, notify the agency, and the agency will remove the hold. The PO will be run through budget check, and be dispatched via the scheduled batch processes.
  • The agency will then enter a voucher in SMART for payment.
  • As long as the PO is copied into the voucher, and the voucher is matched, budget checked and approved, the system should pick up the voucher for payment and process it in the next available Pay Cycle using the prior year budget date.

While agencies have the option to continue utilizing the DA-118, you are highly encouraged to utilize the DA-107 encumbrance when the vendor is known. Since these encumbrances will convert to Purchase Orders in SMART, the process noted above for changing the budget date will not be required for the encumbrances that convert to Purchase Orders during cutover.

10-a-010 - Processing P-Card Transactions during SMART Implementation (March 3, 2010)
INFORMATIONAL CIRCULAR NO. 10-A-010  
DATE: March 3, 2010
SUBJECT: Processing P-Card Transactions during SMART Implementation
EFFECTIVE DATE: Immediately
CONTACT:

Tim Hund

(785) 368-6347

(Tim.Hund@da.ks.gov)

APPROVAL: Image of approval signature.
SUMMARY:

Special Procedures for Processing P-Card transactions during SMART Implementation

 

Special procedures are required for processing P-Card transactions during SMART implementation.

Transactions included on P-Card Billing Received in June 2010

P-Card transactions included on your agency’s regular P-Card billing received from UMB Bank (UMB) in the month of June 2010 (i.e., transactions posted to P-Card accounts in VISA through the 15th workday of June, which is June 21) and any other historic unpaid amounts that are due to UMB will not be electronically loaded into SMART for reconciliation and payment.

  • Pay in STARS by June 29, 2010, or
    • Historic unpaid amounts that are due to UMB must be encumbered to assure that previous fiscal year funds are available to settle old debts.

Note: If an agency does not remit payment for historic unpaid amounts due to UMB, UMB may retain the agency’s annual rebate for the BPC, up to the amount of the historic unpaid amount that is due to UMB.

  • Encumber with a Form DA-107 in STARS by June 29, 2010, if not paid in STARS. Use UMB as the vendor
    • The encumbrance will be converted to a Purchase Order (PO) in SMART and will be paid with a voucher in SMART. (The voucher will link to the PO.)

June P-Card Transactions Subsequent to the P-Card Billing Received in June 2010

P-Card transactions posted in VISA during the June 22 through June 30 period will be electronically uploaded, reconciled and paid in SMART, regardless of whether it is to be paid with fiscal year 2010 or 2011 funds.

  • Encumber funds with a Form DA-107 in STARS by June 29, 2010, if payment is to be  made with 2010 funds. Use the merchant as the vendor on the DA-107.
    • The encumbrance will be converted to a Purchase Order (PO) in SMART and linked to the P-Card transaction(s) during reconciliation. SMART will generate a voucher for reconciled transactions.
    • When calculating encumbrance amounts, we suggest that agencies contact UMB in advance to request a report of transactions that posted in VISA during the June 22 through June 25 period and then estimate amounts that will post in VISA during the June 28 through 30 period.

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10-a-011 - Year-end encumbrances (March 8, 2010) (Supplements 10-A-009)
INFORMATIONAL CIRCULAR NO. 10-A-011 Supplements10-a-009
DATE: March 8, 2010
SUBJECT: Year-end encumbrances
EFFECTIVE DATE: Immediately
A & R CONTACT:

Randy Kennedy

(785) 296-2125

(Randy.Kennedy@da.ks.gov)

APPROVAL: Image of approval signature.
SUMMARY:

Processing DA107s in lieu of DA118s

 

Because of the transition to SMART, it is strongly suggested that agencies submit vendor specific DA107s rather than DA118s for the 2010 year-end. Your DA118 operator ID has been altered to be a DA118/DA107 operator ID. This will allow you to use transaction code 864 in addition to 892. These sign-ons are available for use immediately. Please submit DA107 batches separate from DA118 batches.

Transaction code 864 requires a vendor number and suffix. The DA107 numbering scheme can either use the DA118 format or the DA107 format. The DA107 format is P710xxxx, where the 1st character can be A, B or C, the next three characters are fixed, and the last four are your choice. The DA118 format is PA900XXX or P0900XXX with the first character A, B or C, the next four characters A900 or 0900, and the last three are your choice.

If you have submitted your DA118s as datasets in the past, you can contact me and I will supply you with the IN record layout for DA107 encumbrances. Since this is a new process, it is preferable that you initially transmit a small batch to confirm the fields are formatted properly.

If you have keyed on-line DA118s in the past, you can key online DA107s. DA107s are keyed just like payment vouchers, except the batch type is 3, and the DISB-METH field is blank. Use F3 to enter the description. Note that the voucher will print DA120 at the top left rather than DA107.

 KEO:rk

10-a-012 - Intangible Assets (April 28, 2010)
INFORMATIONAL CIRCULAR NO. 10-A-012  
DATE: April 28, 2010
SUBJECT: Intangible Assets
EFFECTIVE DATE: April 28, 2010
CONTACT:

Martin Eckardt

(785) 296-2661

(Martin.Eckardt@da.ks.gov)

  Gail Barnhart (785) 296-3404 (Gail.Barnhart@da.ks.gov)
APPROVAL: Image of approval signature.
SUMMARY:

GASB 51 Reporting Intangible Assets

 

For the fiscal year 2010 Comprehensive Annual Financial Report (CAFR), the Division of Accounts and Reports must implement Governmental Accounting Standards Board Statement Number 51 (GASB 51), Accounting and Financial Reporting for Intangible Assets. GASB 51 now requires the State to capitalize intangible assets. Examples of intangible assets include computer software, easements, water rights, timber rights, patents, and trademarks. GASB defines intangible assets as having all of the following:

  • Lack of physical substance (i.e. software, right of way)
  • Nonfinancial nature (i.e. not cash, investment, receivables, etc.)
  • Initial useful life of greater than one year

One of the items that need specific attention is the capitalization of internally developed intangible assets (developed in-house by agency personnel or third-party contractor on behalf of the agency). Internally developed intangible assets should be capitalized if the following has occurred:

  • Agency knows the specific objective of project and nature of service capacity it should have when completed.
  • Agency has demonstrated technical feasibility of successful service capacity when completed.
  • Agency has demonstrated intention, ability and presence of effort to complete.

For internally developed intangible assets, expenditures incurred subsequent to meeting the above criteria should be capitalized. For internally generated software, only capitalize theapplication development stage of internally generated software. GASB 51 defines three stages of software development as:

  • Preliminary project stage – includes conceptual formulation, evaluation of alternatives, determined existence of needed technology, and final selection of software made. Do not capitalize. Expense as occurs.
  • Application development stage – includes software configuration and software interfaces, coding, installation to hardware and testing, including parallel processing phase. Expenditures in the application stage should be capitalized only if 1) the expenditures were incurred subsequent to the completion of the preliminary stage and 2) management implicitly or explicitly authorizes and commits to funding the software project. All costs should be recorded as construction in progress until the system is usable. Labor costs should be capitalized, however, general administration costs and overhead costs should not be capitalized (AICPA SOP98-1).
  • Post-implementation/operation stage – includes application training, data conversion (beyond that needed to make the system operational) and software maintenance. Do not capitalize. Expense as occurs.

Data conversion should be considered an activity of the application development stage only to the extent it is determined to be necessary to make the computer software operational for use. Otherwise, data conversion should be considered an activity of the post-implementation/operation stage. Costs associated with internally generated computer software should be applied based on the nature of the activity, not the timing of its occurrence.

Software updates should only be capitalized only if it meets the threshold and one of the following applies:

  • Software is able to perform tasks that it was previously incapable of performing.
  • Software increases efficiency of computer software.
  • Software extends the useful life.

For CAFR reporting, we have established a threshold of $250,000 for intangible assets (including software). Agencies still have stewardship responsibilities for all intangible assets less than $250,000, however, these items will not be reported in the CAFR or form DA-87. For those agencies with Federal funds, you should be aware that the Federal threshold is currently set at $5,000.

Retroactive reporting is required for intangible assets acquired July 1, 1980 or later, except those with indefinite useful lives and internally generated intangible assets. For indefinite useful lives intangibles and internally generated intangible assets, reporting is required to begin with fiscal year 2010 expenditures. As in previous years, Accounts and Reports will provide agencies form DA-87 with the beginning balances as provided for FY 2009. To assure we are recording these transactions correctly in the CAFR, for FY 2010 we have inserted a worksheet to reconcile changes due to GASB 51. If your agency has any intangible assets that are not software, please provide a description of the asset on the form DA-87.

Should you have any questions, please contact Gail Barnhart at (785) 296-3404 (Gail.Barnhart@da.ks.gov), Fatima Gilbert (785) 296-2127 (Fatima.Gilbert@da.ks.gov) or Leroy Charbonneau at (785) 296-2130 (Leroy.Charbonneau@da.ks.gov).

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10-a-013 - Vendor Numbers (April 28, 2010)
INFORMATIONAL CIRCULAR NO. 10-A-013
DATE: April 30 , 2010
SUBJECT: Vendor Numbers
EFFECTIVE DATE: June 5, 2010

CONTACT:

Velvet Guy (785) 296-7917 (velvet.guy@da.ks.gov)
Shelly Flint (785) 296-6912 (Shelly.Flint@da.ks.gov)
Fax (785) 296-6841  
APPROVAL: Image of approval signature.
SUMMARY:

Transitioning Vendor Records from STARS to SMART

 

STARS

The vendors in STARS at the end of day on June 4 will be converted to SMART. June 5, and thereafter, agencies will not have access to add or change vendors in STARS. At that point Accounts and Reports will begin dual maintenance of STARS and SMART vendors. This is a very labor intensive process, so please make every effort to input your vendors by the end of the day on June 4.

If you have a new vendor (not in STARS), submit a W9 to Accounts and Reports to add the vendor to STARS and SMART. If you have a new address (for an existing vendor in STARS), submit a TM 21 and a copy of the invoice (or other documentation showing change), i.e. a letter from company, mailing envelope, etc.

For agencies that upload vendors via data-set, please attempt to complete them on or before June 4. If you find it necessary to upload vendor datasets in the period June 5 through June 29, then in addition to transmitting the file in the usual manner for entry into STARS, you will also need to complete an EXCEL template with all the relevant SMART Vendor data elements and E-mail it to Velvet.Guy@da.ks.gov and Shelly.Flint@da.ks.gov so those records can be entered in SMART. If you need a copy of this template, contact Shelly or Velvet.

SMART

On July 1 for fiscal year 2011, agencies will be responsible for entering new vendors in SMART. Vendor records may be entered online unless your agency has been previously approved to use an interface for this purpose. When you enter the vendor you must have a W-9 in hand (W-8 for foreign vendors), and must retain it at your site. In SMART you will affirm that you have the W-9 in hand. The vendor will be in ”unapproved” status until it is approved by Accounts and Reports. Please review Policy and Procedure File 11,749 Vendor Numbers (this in the process of being revised for SMART.

Any changes to SMART vendors, including new addresses, will be entered by Accounts and Reports. Please submit a SMART Vendor Maintenance Form (the form name and number is still in development) and a copy of the invoice (or other documentation showing change) to Accounts and Reports, i.e. a letter from company, mailing envelope, etc.

10-a-014 - Closing of Fiscal Year 2010 and Opening of Fiscal Year 2011 (April 28, 2010) (Supersedes 09-A-005)
INFORMATIONAL CIRCULAR NO. 10-A-014 (supersedes 09-a-005)
DATE: April 30 , 2010
SUBJECT: Closing of Fiscal Year 2010 and Opening of Fiscal Year 2011
EFFECTIVE DATE: Immediately
CONTACT:

Roger Basinger

(785) 296-8083

(Roger.Basinger@da.ks.gov)

  Central Accounting Services Section    
  Steve Banning (785) 296-7059 (Steve.Banning@da.ks.gov)
  Payroll Services Section    
  Lucinda Anstaett (785) 296-4151 (Lucinda@treasurer.state.ks.us)
  Office of the State Treasurer    
APPROVAL: Image of approval signature.
SUMMARY: Schedule of accounting events relevant to the close of fiscal year 2010 in STARS,
the implementation of the new SMART system, and the opening of fiscal year
2011 in SMART

 

This Informational Circular provides the scheduled dates for the closing of fiscal year 2010 and beginning fiscal year 2011. Additional information concerning fiscal year end closing, DA-107 (preferred) and DA-118 List of Outstanding Obligations instructions is contained in the Division of Accounts and Reports Policy and Procedures Manual filing nos. 14,002 and 14,003 (also see Informational Circulars 10-A-009 and 10-A-011) . The Policy and Procedural Manual is located at http://da.ks.gov/ar/ppm/ppm01001.htm Other web resources available for fiscal year end processing information can be found at http://da.ks.gov/ar/yearend/default.htm.

K.S.A. 75-3002 establishes the state fiscal year as commencing of the first day of July in each year and closing on the thirtieth day of June of the succeeding year. To allow state agencies time to process as much old year business as possible, the old year records normally remain open through the second Monday of July (PPM no. 14,002). However, the SMART implementation will require the cutoff date for fiscal year 2010 to be Tuesday, July 6th. From July 1st through July 6th, the Statewide Accounting and Reporting System (STARS) will only process fiscal year 2010 business; all fiscal year 2011 transactions will be processed in the new SMART system.

Fiscal year 2011 appropriation transactions will be loaded via interface from IBARS to SMART prior to July 1, 2010, with expenditure transactions in SMART ready to commence on July 1, 2010.

The workload for both your agency and the Division of Accounts and Reports is greatly increased during the final STARS fiscal year end closing and the opening of the new fiscal year with the SMART implemetation. We ask that you use the following reminders and guidelines to help facilitate the fiscal year end processing.

SPECIAL ITEMS

Budget Worksheet data from STARS will be electronically submitted to the Division of the Budget by August 6th for converting to SMART values and then loading into the IBARS system.

The dates provided in this document that relate to fiscal year closing and opening activities will be revised, as necessary, by the Division of Accounts and Reports. Any revisions to payroll encumbrances or other processing dates will be issued as a SHARP message to subscribers of the SHARP list serve. After issuance, SHARP messages are also posted on the SHARP Customer Service Website at http://www.da.ks.gov/SHARP/documents/message.htm. Revisions to STARS processing dates will be sent via email to all users.

SYSTEM AVAILABILITY

Normal hours of availability:

STARS - 7:00 a.m. to 6:00 p.m. Monday through Friday; 24 hours on holidays and Saturdays, unless a special STARS cycle is requested; Sundays from 1:00 p.m. through Monday, unless otherwise noted on the STARS News screen. STARS will not be available to agencies after July 6th.

SHARP - 7:00 a.m. to 6:00 p.m. on Monday through Friday and 1:00 p.m. to 6:00 p.m. on Saturday and Sunday. The cutoff for receiving SHARP interface files is 5:00 p.m.

SOKI3+ system - available 24 hours a day except for a maintenance period between 6:00 p.m. and 7:00 p.m. daily. SOKI3+ system will not be available to agencies after July 6th.

SMART – 7:00 a.m. to 6:00 p.m. Monday through Friday, weekend availability will be announced.

GENERAL ITEMS

Fiscal year 2010 documents receive a higher processing priority than fiscal year 2011 document during the concurrent processing period.

The cutoff for dataset transactions into STARS for fiscal year 2010 will be at 12:00 noon on June 29, 2010. The last day to enter STARS on-line transactions is July 6, 2010, with 12:00 noon being the cutoff time for payment vouchers, and 6:00 p.m. being the cutoff time for DA118s and DA107s. After that date, STARS will be closed to all agency users, and the closing of the STARS system will begin on July 9th.

STARS transactions characterized as emergency payments requiring immediate attention during this time should be batched separately and sent to the attention of Randy Kennedy, Division of Accounts and Reports, Central Accounting Services Section, 900 SW Jackson, Room 351-S, Topeka, Kansas.

State agencies should review the May monthly reports and process the necessary corrections through the SOKI3+ journal voucher system before June 30th.

Transactions for fiscal year 2010 will be processed in STARS. Transactions for fiscal year 2011 will be processed in SMART.


STARS ITEMS

During the concurrent processing period, STARS batch sheets for fiscal year 2010 transactions should have an effective date of ‘06/30/10’ and BFY of 2010. Although it is preferred that the batch date be ‘6/30/10’, any batch date can be used to avoid using duplicate batch numbers for the same batch date as long as the effective date is ‘6/30/10’ and the BFY is 2010.

Final STARS cash balances will be recorded in SMART on July 18th. In order to allow agencies to process transactions beginning July 1st in SMART, cash balances will be recorded, and those balances will be adjusted at a later time to reflect the STARS closing cash balances.

SOKI3+ITEMS

During the concurrent processing period, only fiscal year 2010 documents may be processed in the SOKI3+ system; fiscal year 2011 transactions will be processed in the SMART system.

Tuesday, July 6, 2010, will be the last day for fiscal year 2010 transactions to be loaded into the SOKI3+ system. After July 6, 2010, agencies should not enter any transactions into the SOKI3+ system.

The scheduled dates for closing fiscal year 2010 and beginning fiscal year 2011 are as follows:

DATE ITEM
March 8 Agencies may begin entering on-line DA-107 and DA-118 transactions.
June 1 Annual review of housing, food service and other employee maintenance rates (DA-171).
June 4 Last day for agencies to add vendors directly toSTARS. Effective June 5th, agencies must submit TM21s and or W-9s to Central Accounting Services to have vendors added to the STARS system.
June 7 ConvertSTARSVendor Table toSMART. Begin dual maintenance ofSTARSandSMARTVendor Tables. See Informational Circular 10-A-013.
June 8 LoadSMARTchartfield values. Begin dual maintenance ofSTARSandSMARTchartfield tables.
June 10 Manual entry of Merchant IDS in SMART by State Treasurer’s Office. Begin dual maintenance of Merchant ID data.
June 14

Preliminary fiscal year 2011 Central Chart of Accounts is available to agencies on the Accounts and Reports website http://da.ks.gov/ar/genacct/CoA/Default.htm. The release of the Chart of Accounts is contingent upon a fiscal year 2011 budget being passed in a timely manner.

June 16 Agencies begin manual conversion of projects, grants and contracts.
June 16 Last day for agencies to send asset conversion files forSMART.
June 18 Informational Circular to all agencies regarding fiscal year rate changes in payroll deductions and contributions. The release of the Informational Circular is contingent upon publication of the budget indices for fiscal year 2011 by the Division of the Budget.
June 19 Begin Employee full publish fromSHaRPtoSMART.
June 21 Load appropriations budget fromIBARStoSMART.
June 21 Accounts and Reports, Payroll Services will insert a new row in theSHaRPdepartment budget tables effective dated June 13, 2010 which reflect a budget end date of June 11, 2011 and fiscal year of 2011. Agencies should refrain from entering any rows in theSHaRPdepartment budget table with an effective-date greater than or equal to June 13, 2010 until after the fiscal year 2011 insert has been completed
June 21 Process payroll off-cycle for Friday June 25, 2010 pay date.
June 21 Load agency operating and project budgets toSMARTby project staff.
June 22 Process payroll encumbrances for Friday, June 25th on-cycle pay date (last fiscal year 2010 on-cycle), and payroll accounting transactions created for true EFT reversals and cancelled checks from the June 21st off-cycle with check date June 25, 2010.
June 23 Last payroll off-cycle for fiscal year 2010. Review any outstanding checks and process paycheck reversals prior to June 23, 2010. Any checks issued in this off-cycle will be dated June 28, 2010 and charged to fiscal year 2010. Any supplemental or paycheck reversal/adjustment transactions entered after this date will be charged to fiscal year 2011.
June 24 Process payroll accounting transactions created for true EFT reversals and cancelled checks and encumbrances from the June 23rd off-cycle.
June 25 Liquidate payroll encumbrances for the Monday, June 21st off-cycle check date of June 25th, and the on-cycle pay date of June 25th.
June 28 First payroll off-cycle for fiscal year 2011. Checks will be dated July 1st.
June 29 Process payroll accounting transactions created for true EFT reversals and cancelled checks from the June 28th off-cycle with check date of July 1st.
June 29 Electronic transmission of fiscal year 2010 expenditure and encumbrance datasets to BDAS must occur by 12:00 noon. Supporting batched documents must be received in Central Accounting Services Section by 5:00 p.m.
June 29 Central Accounting Services Section accepts final expenditure, and DA-118 and DA-107 encumbrance batches by dataset from agencies for fiscal year 2010 until 5:00 p.m. No firm encumbrances are allowed.
June 30 Convert unredeemed warrants from Treasurer’s system toSMART.
June 30 Load Setoff debtor file toSMART.
July 1 SMARTsystem live.
July 1 Fiscal year 2011 transactions accepted for processing; beginning of concurrent processing, Fiscal year 2010 transactions inSTARSand fiscal year 2011 transactions inSMART.
July 1 SOKI3+system transactions for fiscal year 2010 only. Fiscal Year 2011 transactions inSMART.
July 1 Liquidate payroll encumbrances for the June 28th off-cycle with check date of July 1st.
July 1 Final fiscal year 2010 credit card receipts and credit card clearing fund fees and charges (via First Data, American Express, and Discover Card) are processed by the State Treasurer. All First Data, American Express and Discover Card transactions to this date are credited to fiscal year 2010. All First Data, American Express and Discover Card transactions after this date are credited to fiscal year 2011.
July 1 Updates to payroll position pool definitions for fiscal year 2011 must be entered intoSHARPby 6:00 p.m. in order to be reflected in the charges for the on-cycle paychecks dated July 9, 2010 (first on-cycle paychecks charged to fiscal year 2011). Updates should be entered with an effective date of June 14, 2011.
July 2 DA-35 electronic files (prior period funding Payroll adjustments) must be received by 5:00 p.m.
July 6 End dual maintenance of Vendor Tables, chartfields, and Merchant ID data.
July 6 SOKI3+ receipt documents, journal vouchers, and interfund voucher for fiscal year 2010 must be entered by 2:00 p.m. for final fiscal year 2010 transactions. This is the last dateSOKI3+ will be open to agencies. After this date, theSOKI3+system will no longer be used.
July 6 Agencies enteringSTARSpayment vouchers on-line (not dataset) must have final documents for fiscal year 2010 entered by 12:00 noon.
July 6 Agencies entering payment vouchers on-line (not datasets) inSTARSwith a June effective date must have paper documents into the Central Accounting Services Section by 12:00 noon to avoid transactions being deleted fromSTARS. Vouchers processed under delegated audit authority should be released by the agency by 12:00 noon.
July 6 Final fiscal year 2010SOKI3+uploaded to STARS.
July 6 Agencies may enter DA-118s and DA-107s online (not dataset) until 5:00 p.m. No firm encumbrances are allowed.
July 6 Agencies entering DA-118s and DA-107s on-line (not dataset) must have paper documents delivered to the Central Accounting Services Section by 6:00 p.m. to avoid transactions being deleted fromSTARS.
July 6 Final processing of June 2010 transactions expected.
July 7-8 STARS will be open to Central Accounting Services staff only for final clean-up.
July 9 Begin year end closing cycles and processing for monthly and annual reports and statements, processing of closing and opening entries and preparation of opening and closing transactions reports. (STARS available to Central Accounting Services staff only between closing cycles).
July 12 June 2010 monthlySTARSreports expected to be mailed to agencies.
July 13 Fiscal year 2010STARSclosing reports expected to be mailed to agencies.
July 16 Convert open encumbrances fromSTARStoSMART, load supporting appropriation budgets.
July16-18 AdjustSMARTbeginning cash balances with finalSTARScash balances.
July 19 First day to enter voucher against prior year encumbrances inSMART.
August 31 Forms DA-82, Certification of Inventory and DA-87, Annual Capital Asset Reporting and updates to the Master List of Real Property are due in Accounts and Reports.
 
10-a-015 - Management of State P-Card and Travel Card Programs (May 4, 2010)
INFORMATIONAL CIRCULAR NO. 10-A-015
DATE: May 5, 2010
SUBJECT: Management of State P-Card and Travel Card Programs
EFFECTIVE DATE: June 14, 2010
CONTACT:

Tim Hund

(785) 368-6347

(Tim.Hund@da.ks.gov)

APPROVAL: Image of approval signature.
SUMMARY:

Effective June 14, 2010, management of the State P-Card and Travel Card programs will be transferred from the Division of Accounts and Reports to the Division of Purchases

 

With the implementation of SMART, the Department of Administration has been reviewing its statutory directives, along with statewide programs centrally administered, in order to re-organize these functions into the best support organization possible. Two of these areas are the P-Card and Travel Card programs. Effective June 14, 2010, the management of the State Procurement Card (P-Card) and Travel Card programs will be transferred from the Division of Accounts and Reports (A&R) to the Division of Purchases.

  • Tim Hund will continue to be the central P-Card Administrator, but will physically relocate to the Division of Purchases on this effective date. In addition, Jill Martin, Division of Purchases, will be assigned as the backup administrator.
  • P-Card and Travel Card program information currently provided at A&R’s home page will be moved to the Division of Purchases home page.

Tim Hund’s contact information will remain unchanged:

Jill Martin’s contact information is:

  • Email – jill.martin@da.ks.gov
  • Phone – 785-296-3123

In addition, beginning June 14, the Division of Purchases mailing address and FAX are to be used for any P-Card and Travel Card program written correspondence:

Division of Purchases
900 SW Jackson
Landon State Office Building, Room 102N 
Topeka, Kansas 66612-1286
FAX – 785-296-7240

For additional P-Card program changes related to the SMART implementation, see Informational Circular 10-a-010, found at: http://www.da.ks.gov/ar/infocirc/fy2010/ic10a010.htm.

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10-a-016 - Meal Expense Reimbursement (May 13, 2010)
INFORMATIONAL CIRCULAR NO. 10-A-016
DATE: May 13, 2010
SUBJECT: Meal Expense Reimbursement
EFFECTIVE DATE: July 1, 2010
CONTACT:

Shirley Gilchrist

(785) 296-2882

(Shirley.Gilchrist@da.ks.gov)

  Ginnie Schirmer (785) 296-7021 (Ginnie.Schirmer@da.ks.gov)
  Lance Gagelman (785) 296-2255 (Lance.Gagelman@da.ks.gov)
APPROVAL: Image of approval signature.
SUMMARY: Meal Expense Reimbursement for overnight travel – Change from quarterly to a per meal allowance.

 

K.A.R. 1-16-18 has been modified to allow a per meal allowance, rather than a quarter day meal allowance. This will be effective for travel taking place July 1, 2010 and later. The method of determining the meals allowed is shown below.

Meal allowances on the day of departure are reimbursed as follows:

Time of departure Meals allowed
12:01 A.M.-6:00 A.M. breakfast, lunch, and dinner
6:01 A.M. – 12:00 Noon lunch and dinner
12:01 P.M.-6:00 P.M. dinner
6:01 P.M.-12:00 Midnight no meals allowed

Meal allowances on the day in which the employee returns to the official station or domicile are reimbursed as follows:

Time of return Meals allowed
12:01 A.M.-6:00 A.M. no meals allowed
6:01 A.M. – 12:00 Noon breakfast
12:01 P.M.-6:00 P.M. breakfast and lunch
6:01 P.M.-12:00 Midnight breakfast, lunch, and dinner

The meal rates shown below are not the BFY 2011 rates, but are what would have been used if this method was applied in BFY 2010. The BFY 2011 rates will be included in the Budget Indices.

Area Breakfast Lunch Dinner
In-state/border city $9.00 $10.00 $19.00
Out-of-state $9.00 $10.00 $19.00
Out-of-state high-cost $9.50 $11.00 $20.50
Out-of-state special designated high-cost area $12.50 $14.00 $26.50
International $13.50* $14.50* $28.00*

*or actual not to exceed $90 per day

Unless a reduction is made for provided meals, in accordance with K.A.R. 1-16-18, employees are reimbursed for all three meals on days in overnight travel status between the departure and returning days. The same day meal allowance policy, in accordance with K.A.R. 1-16-18(c)(3), remains unchanged.

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10-a-017 - Direct Deposit of Employee Travel & Employee Expense Reimbursements (May 21, 2010) (Supplements 10-p-026)
INFORMATIONAL CIRCULAR NO. 10-A-017 (Supplements 10-p-026)
DATE: May 21, 2010
SUBJECT: Direct Deposit of Employee Travel & Employee Expense Reimbursements
EFFECTIVE DATE: October 1, 2010; Transition period July 1, 2010 – Sept. 24, 2010
CONTACT:

Randy Kennedy

(785) 296-2125

(Randy.Kennedy@da.ks.gov)

APPROVAL: Image of approval signature.
SUMMARY: Implementation of 100% Direct Deposit of Employee Travel & Expense Reimbursements for State of Kansas Employees

 

On May 21, 2010, the Department of Administration announced the implementation of a policy of 100% direct deposit for employee payroll and travel and expense reimbursements effective for all payments made on or after October 1, 2010. Employees who currently receive paper reimbursement warrants can elect to transition to either traditional direct deposit or to a Skylight paycard. The Skylight Paycard Program, currently available for employee payroll processed in SHARP, is being expanded to include SMART employee travel and expense reimbursements.

For those employees currently receiving paychecks via electronic deposit, the SMART Travel and Expense Module will be populated with the employee electronic deposit account information available in SHARP as of June 18, 2010. For employees with multiple SHARP paycheck direct deposit accounts, the account designated as the lowest number (first) priority will be migrated into SMART as the default. The other accounts will be available in SMART so the employee may choose to select a different account as the default for travel and employee expense reimbursements. Agencies can begin making these changes when SMART becomes available on July 1, 2010.

The transition period for electing either direct deposit or the paycard will be July 1, 2010 – September 30, 2010. Employees with existing checking/savings accounts can request direct deposit via completion of a revised version of the DA-184 Authorization For Direct Deposit of Employee Pay form. Currently the DA-184 is used exclusively for SHARP payroll purposes. Effective July 1, 2010, it will be used for direct deposit for both systems and provides employees with the ability to distribute reimbursements to a maximum of nine different bank accounts. For purposes of travel and expense reimbursements, only one bank account can be used.

The Department of Administration has renewed its partnership with Skylight Financial, Inc. (associated with U.S. Bank) to provide Skylight paycards to employees who choose this option. The Skylight paycard is an FDIC insured ATM/debit-based bank account where pay deposits, and now travel and expense reimbursements, can be made.

Detailed information regarding the new paycard contract, the transition to 100% direct deposit, and the use of the revised DA-184 will be issued over the next several weeks. See also Informational Circular 10-p-026

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10-a-018 - Re-encumbering Contracts and Real Estate Lease Agreements (June 8, 2010) (See Purchasing Circular: 11-001)
INFORMATIONAL CIRCULAR NO. 10-A-018 (See Purchasing Circular 11-001)
DATE: June 8 , 2010
SUBJECT: Re-encumbering Contracts and Real Estate Lease Agreements
EFFECTIVE DATE: July1, 2010
FACILITIES CONTACT: Linda Thomas (785) 296-5909 (Linda.Thomas@da.ks.gov)
PURCHASES CONTACT: Linda Gronquist (785) 296-2375 (Linda.Gronquist@da.ks.gov)
CONTACT:

Randy Kennedy

(785) 296-2125

(Randy.Kennedy@da.ks.gov)

APPROVAL: Image of approval signature.
SUMMARY: Procedure for Fiscal Year 2011 transactions to re-encumber previously approved contracts

 

Effective July 1, 2010 for fiscal year 2011, encumbrance documents will no longer be submitted to Accounts and Reports. Following are the procedures for re-encumbering.

Contracts and Real Estate Lease Agreements that were bid by the Division of Purchases: These contracts were converted into SMART and utilize the same Contract number as the Division of Purchases’ Contract number in ProcMan. On and after July 1, agencies may issue SMART-based Purchase Orders (PO) against these contracts using the Requisition-to-PO process. The Requisition should be for the FY11 encumbrance amount and the Line must include the applicable SMART Contract ID. Once the Requisition is approved and budget checked, the PO will be created for the buyer to review. If no notice is needed to be sent to the vendor, the buyer should change the PO dispatch method to Phone, review applicable information, then approve the PO. Once the PO has passed budget check, the encumbrance will be established. Partial payments may be made against the PO throughout the year.

Contracts and Real Estate Lease Agreements that were NOT bid by the Division of Purchases: On and after July 1, the agency should create a new SMART contract using the Supplier Contract Management module. For contracts that are NOT Real Estate Lease Agreements, agencies should attach an electronic copy of the final contract to the contract header. Save the contract in an approved status. Agencies may then issue Purchase Orders against the new contract using the Requisition-to-PO process. The Requisition should be for the FY11 encumbrance amount and the Line must include the new SMART Contract ID. Once the Requisition is approved and budget checked, the PO will be created for the buyer to review. If no notice is needed to be sent to the vendor, the buyer should change the PO dispatch method to Phone, review applicable information, then approve the PO. Once the PO has passed budget check, the encumbrance will be established. Partial payments may be made against the PO throughout the year.

For any PO that has more than one payment, enter the period and amount of the payments in the comment field of the PO, i.e. $x per month.

A circular will be following with new contracts and new real estate lease agreement procedures. 

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