Year End Closing Payments Issues

Year End Closing Payments Issues Fiscal Year 2008

Inactive Vendor Number • Vendor No. inactivated for document carried in Stars document file • Tops Contact: Contact General Services Purchasing • and have the vendor no. changed on the contract. When you have the contract changed, call Cora Lee Daugherty in Accounts and she will change the vendor no. on the payment. (741-0520)

Inactive Vendor Number • Non-Tops Contract: Contact Deborah Woodall in Division of Accounts for instructions (741-6509)

Inactive Vendor Number Purchase Order: The Division of Accounts will generally activate the vendor # nightly and allow the payment to process. The vendor no. will be inactivated the next morning.

Liquidated Encumbrance • Purchase Order Balance is Zero • TOPS Contract Balance is Zero • F&A Service Contract balance is Zero

Payment Process For Liquidated P/O • Key the payment information as usual in TOPS • Write liquidated P/O across invoice • Write Liquidated P/O in “Change Information” section of DV batch sheet. • Pay in FY 09 • F&A Accounts will fix the payment

Payment Process For Liquidated Contract • The F&A Policy 6 provides instructions • See Complete instructions on Internet Web Page (www.state.tn.us/finance/act/policy6.pdf) • Contract had sufficient balance when liquidated • Goods and services received in contract period

Policy 6 Payment Requirements For Liquidated Contract • Complete Policy 6 Late Contract Payment Request. Contract Information and approvals. • Payment $ 10,000 or Less: Approval by Dept Head and Fiscal Officer • Payment >$10,000 but < $100,000 add F&A Comm. through Budget approval • Payment > $100,000 add Comptroller of Treas. + all other state officials on orig. Ct.

Contract Payments Outside Scope of Policy 6 • Services rendered after contract ended • Contract ended, contract balance is zero, but services rendered in contract period • Agency wants to extend term or balance of the contract after it ended. • Goods purchased without authority and outside scope of purchasing regulations

Contract Payments Outside Scope of Policy 6 • Require: • New contract • Contract amendment • Purchase authority • The Office of Contract Review must approve based on circumstances for services or • General Services Purchasing must approve for commodities.

Payments Against Accrued Liabilities • A/L will be reversed in Fiscal Yr. 09 as a credit to expenditures. • Payments will be paid as 09 transactions with normal TC 126, 100, 102, 103 • The net effect of A/L expenditure in FY09 is zero • The process is simplified, no special TCs or tracking invoices

Payments Against Accrued Liabilities • If A/L is underestimated, the underestimate will be recorded against FFY09; no special action by agency • Any A/L overestimates for funds 11, 21, and 25, will be monitored for budgetary impact.

TOPS Payment Issues • All P/O in TOPS for 2008 set to print by June 30.

Year-end Payment Processing Quick Reference • After July 1, 08 limited use of FY 08 • Payment of temporary travel advances

Old DV Batches on STARS • Review the old batches and • If payments are valid, send to Accounts for processing or • If not valid Agency delete or send an email to Accounts to delete when batch is marked complete

Duplicate Payments • Financial Data Access System (FDAS) Report • is available to all agencies to help identify duplicate payments (Tonya Vanterpool is the contact in Accounts.)

Year End Closing Payments Issues