FY 2009

DATE:	June 18 , 2008
SUBJECT:	Private Vehicle Mileage
EFFECTIVE DATE:	July 1 ,2008
CONTACT:	Shirley Gilchrist Ginnie Schirmer Vicky Swaim Joy Duncan	(785) 296-2882 (785) 296-7021 (785) 296-2255 (785) 296-7011	(shirley.gilchrist@da.ks.gov) (ginnie.schirmer@da.ks.gov) (vicky.swaim@da.ks.gov) (joy.duncan@da.ks.gov)
APPROVAL:
SUMMARY:	FY 2009 Privately Owned Vehicle Mileage Reimbursement Rates

As authorized by K.S.A.75-3203a, the Secretary of Administration has fixed the private vehicle mileage reimbursement rates for FY 2009 at:

• 30.5¢ per mile for privately owned motorcycle
• 50.5¢ per mile for privately owned automobile
• $1.07 per mile for privately owned airplane (based on air miles rather than highway miles)

These rates reflect an increase in the privately owned automobile rate only.

KEO:rk

DATE:	June 18 , 2008
SUBJECT:	FY 2009 Subsistence Rates
EFFECTIVE DATE:	July 1 ,2008
A & R CONTACT:	Shirley Gilchrist Ginnie Schirmer Vicky Swaim Joy Duncan	(785) 296-2882 (785) 296-7021 (785) 296-2255 (785) 296-7011	(shirley.gilchrist@da.ks.gov) (ginnie.schirmer@da.ks.gov) (vicky.swaim@da.ks.gov) (joy.duncan@da.ks.gov)
APPROVAL:
SUMMARY:	FY 2009 Meal Allowance and Lodging Rates

As authorized by K.S.A.75-3207a, the Secretary of Administration has fixed the rates for FY 2009 at:

Meal Allowance:

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:

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:

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.

KEO:rk

DATE:	December 18 , 2008
SUBJECT:	Procedures for filing 2008 Form 1099 Information Returns
EFFECTIVE DATE:	Immediately
A & R CONTACT:	Melissa Wesley	(785) 296-7291	(Melissa.Wesley@da.ks.gov)
APPROVAL:
SUMMARY:	Procedures for Filing 2008 Form 1099 Information Returns

Agencies of the State of Kansas are considered to be a single payer by the Internal Revenue Service (IRS) and payment information is required to be filed by one transmitter. In addition, federal laws and regulations require the filing of information returns to be submitted by magnetic media or electronically. In order to comply with the reporting requirements of the IRS and to avoid the assessment of penalties, the Division of Accounts and Reports will transmit all 2008 calendar year 1099 information returns for the State of Kansas electronically.

Some payments by state agencies are IRS reportable but are either not included in the Statewide Accounting and Reporting System (STARS) or the IRS required data is not provided by STARS. These payments require unique reporting procedures. Such expenditures include certain interest payments, State Fair premiums and purchases of real property.

Locally administered interest payments exceeding $10 are to be reported on Form 1099-INT. An example of these payments is interest paid from trust funds to clients by institutions like the Department of Social and Rehabilitation Services and the Department of Corrections.

IRS regulations require the State of Kansas to report on Form 1099-S any purchases of real property exceeding $600. Additional requirements for this form include a description or address of the property and the closing date of the purchase transaction. (Rental and construction costs are not to be included).

State Fair premiums are to be reported on form 1099-MISC.

Procedures for handling 1099 information returns for calendar year 2008 are as follows:

1. Agencies that have made expenditures, as described, will be responsible for the preparation and delivery of the appropriate 1099 form to the payees prior to January 31, 2009. Do not mail forms directly to the IRS or to the Kansas Department of Revenue. 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 address below, and the Division of Accounts and Reports will submit this information to the IRS.
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.

For those agencies with expenditures to report, and fewer than 20 records, you may use the DA-43 form ( http://www.da.ks.gov/ar/forms/ ) or you may submit a text file or 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 9, 2009. 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

Historically, the Division of Accounts and Reports has also produced the 1099s for these types of transactions for the following agencies: Kansas Veterans Home, Juvenile Justice Authority, SRS, Parsons State Hospital and Training Center, and Larned State Hospital. If the agencies listed wish to continue this practice, please contact Melissa Wesley to coordinate. If agreed to, the text file, or Excel files, or DA-43 need to be received by the Division of Accounts and Reports by January 19, 2009 to ensure the 1099s are distributed by the January 31, 2009 deadline. When submitting a text file, an Excel file, or a DA-43 listing, and the Division of Accounts and Reports is to produce the 1099s, 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.

Please note that the February 9, 2009 remittance date is only available to those agencies that produce their own 1099s, and have the Division of Accounts and Reports to file the informational return with the IRS. If the Division of Accounts and Reports both produces the 1099s and files the informational return for the agency, the January 19th date 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 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.

All alphabetic characters in the Name, Address, City, and State fields need to be capitalized.

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).

KEO:mw

Attachment: Non-Stars record Layout Form (xls) 

DATE:	January 21, 2009
SUBJECT:	Change to Expenditure Sub-object Code 1430, Military Pay Differential
EFFECTIVE DATE:	January 1, 2009
CONTACT:	Martin Eckhardt Gail Barnhart	(785) 296-2661 (785) 296-3404	(martin.eckhardt@da.ks.gov) (gail.barnhart@da.ks.gov)
APPROVAL:
SUMMARY:	Closing expenditure sub-object code 2698 and establishing expenditure sub-object code 1430 for military pay differential

Effective January 1, 2009, a change is being made to military differential payments per Pub. L No 110-245, the Heroes Earnings Assistance and Relief Tax Act. This act requires military differential pay to be recorded as wages that are exempt from FICA but are subject to Federal taxes. Effective January 1, 2009 military differential payments must be processed through payroll rather than through STARS. To accommodate this change, expenditure sub-object code 2698 will be closed effective December 31, 2008 and expenditure sub-object code 1430 established. The new expenditure sub-object code description is as follows:

• 1430 Military Differential Pay

This change will be reflected in the Uniform Expenditure Classification of 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/. 

KEO:ME:gb

DATE:	April 10, 2009
SUBJECT:	Closing of Fiscal Year 2009 and Opening of Fiscal Year 2010
EFFECTIVE DATE:	Immediately
CONTACT:	Roger Basinger Central Accounting Services Section Steve Banning Payroll Services Section Lucinda Anstaett Office of the State Treasurer	(785) 296-8083 (785) 296-7059 (785) 296-4151	(Roger.Basinger@da.ks.gov) (Steve.Banning@da.ks.gov) (Lucinda@treasurer.state.ks.us)
APPROVAL:
SUMMARY:	Schedule of Accounting Events Relative to Fiscal Year Closing

This Informational Circular provides the scheduled dates for the closing of fiscal year 2009 and beginning fiscal year 2010. Additional information concerning fiscal year end closing 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. 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). For fiscal year 2009 closing the cutoff date will be Monday, July 13, 2009, allowing eight processing days. Between July 1st and July 13th, the Statewide Accounting and Reporting System (STARS) will process old and new fiscal year business concurrently. FY2010 appropriation transactions will be processed in STARS in the nightly batch cycle July 1, 2009. FY2010 appropriations will not be available for on-line expenditure transactions until July 2, 2009.

The workload both at your agency and the Division of Accounts and Reports is greatly increased during the fiscal year end closing period. 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 7th for loading into the Budget Management 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 of STARS is 7A.M. to 6P.M. Monday through Friday; 24 hours on holidays and Saturdays, unless a special STARS cycle is requested; Sundays from 1 P.M. through Monday, unless otherwise noted on the STARS News screen.

SHARP is available from 7A.M. to 6 P.M. on Monday through Friday and 1P.M. to 6 P. M. on Saturday and Sunday. The cutoff for receiving SHARP interface files is 5P.M.

SOKI3+ system is available 24 hours a day except for a maintenance period between 6 P.M. and 7 P.M. daily.

GENERAL ITEMS

FY2009 documents receive a higher processing priority than FY2010 document during the concurrent processing period.

There is a two day period beginning July 20th during which daily transactions may not be processed.

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 year 2009 and 2010 documents must be batched separately.

STARS ITEMS

During the concurrent processing period, STARS batch sheets for FY2009 transactions should have an effective date of ‘06/30/09’ and BFY of 2009. Although it is preferred that the batch date be ‘6/30/09’, any batch date can be used to avoid using duplicate batch numbers for the same batch date as long as the effective date is ‘6/30/09’ and the BFY is 2009.

During the concurrent processing period, STARS edits FY2010 transactions charged to “expenditure only” type accounts against fund level receipts (both FY2009 and FY2010). FY2009 transactions edit only against FY2009 receipts.

The available cash in prior fiscal year “receipts and expenditures” type budget units will not be available to fund FY2010 expenditures until FY2009 is closed and balances carry forward.

In order to check balances in STARS during concurrent processing, agencies will need to remember to make the appropriate selection for “prior month” (PM).

If your agency would like to receive reports for June business after July 1st, you must ensure that a prior month (PM) report request record is entered into STARS. 

SOKI3+ ITEMS

During the concurrent processing period, both FY2009 and FY2010 documents may be processed in the SOKI3+ system; FY2010 interfund vouchers require a BFY of 2010 for both the receipt and expenditure transactions and FY2009 interfund vouchers process as normal. FY 2010 JV documents must use a BFY of 2010 throughout. The operator must choose the appropriate BFY when initiating a JV or receipt voucher during the concurrent processing.

Beginning July 14th through year-end closing, agencies should not release any SOKI3+ transactions with a BFY of 2009. Only transactions with a BFY of 2010 will be processed during this period.

On July 22nd, after year-end processing is complete, any residual BFY 2009 SOKI3+ interfund receipt transactions will need to have the BFY changed to 2010, and any SOKI3+ BFY 2009 unencumbered interfund expenditure transactions will require an encumbrance number and appropriate transaction code changes.

All SOKI3+ transactions not uploaded to STARS on July 14th in the final FY2009 upload will be FY2010 business; any SOKI3+ interfund receipt transactions will need to have BFY 2010 and any SOKI3+ unencumbered interfund expenditure transactions will require an encumbrance number and appropriate transaction code changes.

The scheduled dates for closing FY2009 and beginning FY2010 are as follows: