Presentation on theme: "Transfer Payment Agency Training Session"— Presentation transcript:
1Transfer Payment Agency Training Session MCSS/MCYS Hamilton - Niagara RegionFebruary 6th, 2013
2Agenda Introduction Ellen Stevenson Overview of Changes TPBP Sam CurtinBudget Submission Heather WenkYear-to-Date Quarterly Reporting Daina TustianInfrastructure Surveys Training Laurie BrittonYear-End Reconciliation Angela SongMinistry Policies Andrew AarlahtAllocated Central Administration Cheryl PintoService Description Schedules Cheryl Pinto\Sam Curtin
3Overview of Changes 2013/14 Transfer Payment Budget Package Sam Curtin
4Overview of Changes Document designed for Excel 2010 One document to create MCSS or MCYS budgetEnhanced recording of program related contentStandardized categories for operating expendituresReconciliation (TPAR) incorporatedStaffing details – changes + NOCReporting on non-ministry revenue by programNew colours!
5Changes to the “Updates-Mise a jour” Worksheet 2013-14 Dropdown menu to select Ministry. This will enable the ministry specific detail codes.
6Changes to the SubCon-DemCon Worksheet 2013-14 The word “Subsidy” is being replaced with “Funding”New column added for program details
7Changes to Staff-Personnel Worksheet 2013-14 Agencies will need to provide Total Hours and Head Count of Staff. FTE will be a calculated.Program Staff will now be listed as “Line Personnel”. Agencies will be required to select the National Occupation Codes from the drop down menu in addition to the Union information.New section added for program related descriptionBenefits are now divided into Statutory and Other categoriesProgram Administration is now being called as “Management and Operational Support (MOS)”Only for Year-end, agencies will need to provide “Compensated Absences” information. This amount is that portion of the salary which is paid for vacations, leaves etc. It will remain part of the total salaries but will be also be reported separately
8NOC- Community and Social Services Occupations NOC Code NOC GroupPsychologistsSocial Workers4153 Family and Related Counsellors4160 Policy and Program Researchers, Consultants and Officers4212 Social, Community and Youth Service WorkersEarly Childhood Educators, Assistants and Related WorkersInstructors of Persons with Disabilities4412 Home Support Workers and Related Occupations5125 Translators, terminologists and interpreters
9Changes to Expend-Depenses Worksheet 2013-14 This section continues from Staffing tabDOE Expenditure categories are now hard coded and aligned with the Chart of Accounts. This worksheet will be one of the input sheets for the Budget Summary sheet
10Expenditures Worksheet Changes for 2013-14 Enhanced reporting on TPA personnel (staffing details)During budget submission:NOC codes by positionDuring Q4 reporting:Actual headcount and # of hours worked for each positionTotal amount of Compensated AbsencesReporting on program expenditures:ODOE: standard categories mapping to 3 parent categories used in the OPSTransportation & CommunicationServicesSupplies & Equipment
11Changes to Revenue-Recettes Worksheet 2013-14 Agencies will be reporting total funding from other sourcesThis section continues from Staffing tab
14Submission Summary Sheets Updates – Where the proper ministry for the submission is determined (MCSS/MCYS) from drop down boxFace Sheet – Detail codes entered on this sheet with the balance of the data prepopulated from the Staffing/Expenditure/Revenue worksheetsBudget Summary – Populated by the data entered in the Staffing/Expenditure/Revenue worksheetsService Data Summary – Financial & Service Target – Service Specifics
15Submission Detail Sheets (1 for each Ministry Detail Code)Staffing DetailsExpenditure WorksheetsRevenue/Subsidy WorksheetsService Descriptions
16Budget SummaryBudget Summary Worksheet balances with the Ministry Revenue Reconciliation WorksheetMinistry Revenue Reconciliation Worksheet details fiscal and annualized adjustments to the Ministry subsidy
17Budget Submission Forms Review to ensure figures are complete, accurate, and realisticBudget Submission not to exceed annualized subsidy as shown on previous year’s Service ContractRequests for additional funding and/or pressures to be submitted in writing to your Program Supervisor, not entered on the budget submission
18Allocated Central Administration The Ministry target for ACA is 10% of Agency’s Adjusted Gross ExpendituresCosts associated with governing and operating an organizationAny administration costs that can logically be assigned to a program are considered program administration costs
19Service Data Summary Realistic & achievable targets % breakdown by quarter to reflect anticipated expenditures and service deliveryUse numeric information only, Alpha characters are not recognized
20Service/Budget Submission Face Page (SubCon-DemCon Tab) Service Provider’s NameThe first line is reserved for the service provider’s official name as it appears in the “Letters Patent”. The second line can be used to identify the provider’s more common name.Service Provider’s Contact Information and enter TPR #
21Service/Budget Submission Face Page – Changes (SubCon-DemCon Tab) Ensure that the title of the face sheet indicates Submission.(To set the budget package to a submission use the custom menu located in the toolbar)Ensure that the year is set up correctly to indicate either a fiscal or calendar year(To set the budget package to the correct year use the custom menu located in the toolbar)The word “Subsidy” is being replaced with “Funding”Ministry specific Detail Codes will be entered on the face sheet and will be populated throughout.New column added for program details
22Service/Budget Submission - Budget Summary (SubCon-DemCon tab) These cells are linked to the expenditure worksheet (as before).Ensure ACA is appropriated exactly across detail codes.Do not use decimals.The following error message pops up if ACA across detail codes does not add up.22
23Service/Budget Submission – Ministry Funding Reconciliation (SubCon-DemCon Tab) Previous Year’s Annualized Revenue(O1 populates T1)In-year AdjustmentsAdjustments that take effect next year(if applicable)23
24Staffing Details Worksheet Complete the staffing details forms firstPrepare one page for ACAPrepare one page for each Detail CodeStart your budget submission by entering your first Detail Code on the Face Sheet of the SubCon-DemCon worksheet
25Staff/Personnel Worksheet Include all staff despite the source of fundingEnsure all requested data is completedTotals will automatically populate Expend-Depenses Worksheet & Budget Summary Page (Sub-Con Tab)
26Staffing Details Worksheet - Changes (Staff-Personnel Tab) Agencies will need to provide Total Hours and Head Count of Staff. FTE will be a calculated.New section added for program related descriptionProgram Staff will now be listed as “Line Personnel”. Agencies will be required to select the National Occupation Codes from the drop down menu in addition to the Union information.Benefits are now divided into Statutory and Other categoriesProgram Administration is now being called as “Management and Operational Support (MOS)”Only for Year-end, agencies will need to provide “Compensated Absences” information. This amount is that portion of the salary which is paid for vacations, leaves etc. It will remain part of the total salaries but will be also be reported separately
27Staffing Details Worksheet (Staff-Personnel Tab) Full Time Equivalents (FTE)Total hours / 1 FTE hours per year .(One unit of staff time represents the equivalent of one person working full time for one year.)Identify each unique positionTotal Hours(Total hours worked for the group of positions)National Occupancy Classification(drop down menu for NOC codes).The number of Headcount(A whole number that designates a staff regardless of if they are full or part-time).Gross Total Salaries(Does not include employee’s benefits).Compensated Absences(paid time-off; Only required at YE)The number of hours for each unique position(e.g., 36 hours per week x 52 weeks).Total Benefits (Statutory and Other separately)Union(drop down menu for union name).
28Expenditures Worksheet Complete one page for ACAComplete one page for each Detail CodeInclude all expenditures despite the source of fundingTotals will automatically populate Budget Summary Worksheet
29Expenditure Worksheet - Changes This section continues from Staffing tabExpenditure categories are now hard coded and aligned with the Chart of Accounts. This worksheet will be one of the input sheets for the Budget Summary sheetThis section is not to be completed until the YE Report29
30Service/Budget Submission Budget Summary Page (SubCon-DemCon Tab) Previous Year’s Annualized Revenue(O1 populates T1)In-year AdjustmentsAdjustments that take effect next year(if applicable)30
31Revenue / Subsidy Worksheet Complete one page for each Detail Code (use only if applicable)List details on how revenue is expected to be generatedTotals will automatically populate Budget Summary Worksheet and Ministry Revenue Reconciliation Worksheet
32Revenue Worksheet (Revenue-Recettes Tab) Non-Ministry funding related to the program32
33Service Contract Components Legal Text - If a full blown year: 3-year cycle with years 2 & 3 as amendmentsBudget Schedules – Prepared through submissionFace SheetBudget SummaryMinistry Funding ReconciliationService Data Summary - Service & Financial TargetsService Descriptions
34Service DescriptionsService Description Schedules are required each time a budget submission is requested (annually)When a new funding line is added to the contract/amendmentUpon request of the Program SupervisorAgency to submit one service description for each detail code
35Contract AmendmentsContracts are amended to reflect increases/decreases in financial subsidy or service targets – fiscally and/or annuallyContract Amendments are processed electronically only until the end of the fiscal year – one amendment per ministryWhen there is a change in either funding and/or stats the electronic copy is processed and revised
36Contract AmendmentsElectronic file is sent to the agency to be used for quarterly reporting – the file will be sent on the 15th of the month the quarterly reporting is due inA complete Amendment package will be sent during March for sign off by the agency to be returned to the Regional Office by the end of March
37Contract / Amendment Sign-Off Full Blown Contracts will have the Legal Text signed by either:2 signers + 2 witnesses1 signer + 1 witness + sealThe signing of the Legal Text covers the signing of all pertinent schedulesAmendments will have a “one page” sign-off sheet that covers the entire package - same sign-off process as above
40Purpose of YTD Method of collecting ongoing data Agency’s method of reporting their performance in relation to their contractTo identify issues Eg. Pressures or SurplusesIdentify potential requests for realignment of funding40
41YTD Time FramesYear to Date (YTD) Quarterly Reports (QR) must be submitted to the ministry regional office within 30 days after the end of the 1st, 2nd and 3rd quarters, and 45 days after the end of the 4th quarter.41
42Correct VersionBy the 15th of the month of the YTD due date, the Business Services Unit will send each agency their most recent electronic worksheet file for populating the quarterly Report.It is important that you use the file sent in this for populating your quarterly report. The file sent in this includes all updates / amendments made to date as well as reflects your current funding and data status.42
43Reporting Check listEnsure the Submission form has been changed to correct quarterEnsure your Excel security levels are correctSee Tip SheetEnsure the Report Submission date is entered on the YTD face sheetEnter cumulative actuals and year end estimates each quarterno cells are left blankDo not use text in numeric fields (e.g. NULL, N/A or TBD)Do not add, delete or alter the size of rows and columns in the . Spread sheet43
44Significant Variance Explanation & Action Plan (VEAP) Financial VarianceService Target VarianceIn the electronic file, variances are automatically calculated and highlighted if the variances are significant44
45Actual YTD Significant Variance VEAP requiredFinancial or Revenue Target DataTotal Adjusted Gross Expenditure(line G – Service Contract Budget Schedule)> or = $100,000.< $100,000.Financial or Revenue Target Data variance of:+/- $10,000+/- 10%Service Target Data variance of:45
46Projected or Actual YEAR END Significant Variance VEAP requiredFinancial or Revenue Target DataTotal Adjusted Gross Expenditure(line G – Service Contract Budget Schedule)> or = $10,000.< $10,000.Financial or Revenue Target Data variance of:+/- $1,000+/- 10%Service Target Data variance of:+/- 5%46
47VEAPThe Variance Explanation & Action Plan (VEAP) is to be completed if any significant variances have been identified for each service (Ministry Detail Code)Organization Contact PersonPhone NumberTPBE# (relating to detail code showing a variance)Detail Code#The Service Name box is automatically populated once the Detail Code is enteredVariance - Details regarding VarianceImpact on Service & StaffingReason for VarianceThe “Reason for Variance” section is uploaded into the Ministry’s data base. This section must provide an explanation in 100 characters or less “per Line” for each detail code that shows a significant varianceAction Plan47
48Submitting YTD Report HNR.YTDreporting@Ontario.ca For quarters 1, 2, and 3 please use the following assurance statement in the body of your .“I certify that the attached Year-To-Date report and any supporting documents have been reviewed and approved by the appropriate signing authorities for this organization as of the date of this .”Signatures are required for 4th quarter reports only. The signed report will be accepted by fax, PDF, or hard copy, in addition to the electronic excel versionQuarterly reports are to be sent to the Hamilton/Niagara Region Year-To-Date Reporting address below:.48
492013/14 Infrastructure Surveys Training Agency ABC Infrastructure Survey Laurie Britton49
59Urgent/Critical Issues Urgent/Critical issues are defined as some event that prevents programing from continuing at the site location due to health and safety issues such as fire code infractions, Technical Safety and Standards Association orders, etc.Examples might include electrical issues, furnace failure, etc. The location can no longer be inhabited until the issue is fixed.The first step is to look at your options. If you don’t fund the project what will happen? Do you have a mitigation strategy in place? Do you have a capital reserve fund? Is there a Foundation associated with your agency that may be able to provide funding?5959
60Urgent/Critical Issues (Cont’d) If there is absolutely no other funding option, contact your Program Supervisor to discuss the urgency of the issue. Be prepared to provide details of the project and what steps you have taken to secure funding.You must then submit an updated Infrastructure Survey with accurate cost estimates including a detailed breakdown of expenses.The Regional Office will then contact CASB and will be required to submit a briefing note.
61Urgent/Critical Issues(Cont’d) The first questions that CASB will ask: Are the clients being displaced? Is the facility being shut down? If the answer to either of these questions is no, the matter is not urgent.This type of request must be submitted as soon as possible after the project has been identified. The sooner we can identify this to CASB, the greater the chance that funds may be made available.The Ministry cannot fund projects after the end of the fiscal year.6161
62Building Condition Assessments This section is relevant to MCYS Transfer Payment Agencies only.MCYS plans to systematically review its asset portfolio through conducting individual BCAs for all assets, including those managed by Transfer Payment agencies over the next 5 years. Approximately 60% of MCYS residential group homes were reviewed in 2011/12.Building Condition Assessments are intended to provide objective, base-line information to be used to form strategies for short and long term maintenance plans.
63Building Condition Assessments(Cont’d) While there is no new funding associated with BCA findings, the report is intended to help agencies become better property managers and maintain/upgrade their facilities in order to better serve Ministry clients. It is important that those agencies who have received a BCA, review the findings in the report and reflect the findings on their Infrastructure Surveys as appropriate.
66Year-End Reconciliation Overview Year-end Reconciliation is a key part of the Transfer Payment Business CycleRequired by Ministry policy and terms of the approved service contractReconcile Ministry’s approved subsidy with service provider’s year-end actual informationIndependent verification of reported information is requiredIdentify net subsidy due to or owed by the Ministry
67Year-End Reconciliation Reports Transfer Payment Annual Reconciliation (TPAR)ODSP Employment Supports ReconciliationOntario Works Reconciliation Report (OWRR)Child Welfare Year-End Reconciliation ReportAnnual Reconciliation Report (ARR) for Children’s Treatment CentresAnnual Information Return (AIR) for Dedicated Supportive HousingPay Equity Reconciliation StatementSmall Waterworks Reconciliation
68Year-End Reporting Requirements Signed original submissionCertified by appropriate officer (i.e. Chief Financial Officer or Treasurer)Certified by Board of DirectorsElectronic submission Audited Financial StatementsSupplementary Information by Program (Detail Code )Review Engagement LetterPost Audit Management Letter68
69Reporting Timelines TPAR due on : July 31st Exceptions: Calendar Year Programs : May 31stChildren’s Treatment Centres (ARR) : June 30thDedicated Supporting Housing (AIR) : August 31st
70TPAR Section I – Certification and Verification Sign HereSign HereReminder: Follow up with fully signed copy if Board meets after July 31st70
71TPAR Section II – Subsidy Reconciliation Ensure ACA Expenditures are properly completed and Total ACA on line 263 balances to ZERO
72TPAR Section III – Financial Flexibility Ensure Financial Flexibility criteria all MET when answering YES or NONote: certain Detail Codes identified as exceptions to Financial Flexibility.Yes or No
73TPAR Section IV – Audited Financial Statement Reconciliation Gross Revenues from ALL sourcesLines 415 and 420 should equal
74TPAR Section IV (cont’d.) Gross Expenditures from ALL sourcesVariance must be reconciled. It cannot be left unexplained.
75Reporting Partner Facility Renewal Funding (PFR) – (Minor Capital) Funding is approved on regular budgets under DETAIL CODES - A710 MCYS and 8915 MCSSProject actual costs are reported on the monthly report back template.Final reconciliation is performed on TPARInclude all invoices which detail actual dollars spent on the project as approvedThe invoices must match the type of project as approved. Invoices to show the details of each type of work conducted and the cost per unit, including a breakdown of labour and material costsAny variance from the project as approved, must have previous regional office approval in order to be acceptable
76Partner Facility Renewal (PFR) Approval Revisions are highlighted in Yellow76
77Partner Facility Renewal (PFR) Report Back Work Order is not acceptable as PFR supporting document. Actual Invoice copy is required.All projects must be completed by March 31, 2013 per PFR funding approval77
78New for TPAR 2013/14TPAR tabs incorporated in Transfer Payment Budget Package fileSection II – New Expenditures CategoriesSection II – Expenditures and Off-Setting Revenue data pulled from Expenditure and Revenue Worksheet tabsSection IV – Total Equity, Total Assets and Total Debt info requiredStay tuned for future communications78
79Tips and ResourcesKeep a checklist of Year-End Reconciliation submission, including required documents, reporting timelines, follow-up items, etc.Access on-line resource center – Transfer Payment Budget Package external website:Enter username (in lowercase): mcss-mcystpbpContact Ministry staff if any questions
81Ministry Policies Admissible/Inadmissible Expenditures Executive and Allotment ControlsFinancial FlexibilityRecoverable SubsidyRetainable and Non-Retainable RevenuesTransfer Payment Operating Funds - Basis of AccountingYear-End Reconciliation
82Admissible/Inadmissible Expenditures Recording and accounting of expenditures following the ministry's standard, the modified accrual basis of accounting.Admissible expenditures in the calculation of the operating subsidy must be:authorized in accordance with the policies of the Service Provider/Delivery Agent,approved by the ministry, andsupported by acceptable documentary evidence
83Financial Flexibility Transfer Payment Service Providers/Delivery Agents are allowed financial flexibility IN YEAR to move dollars on a ONE TIME basis without approval from the ministry provided that ALL financial flexibility criteria and exceptions are met.The term IN YEAR refers to the funding period identified in the Service Contract or CFSA Approval.MANDATORY REQUIREMENTSThe following four criteria must be MET when applying financial flexibility:Program/Policy Directions and PrioritiesFunding Policies and GuidelinesConditionsRealignment – see EXECUTIVE AND ALLOTMENT CONTROLS
84Executive and Allotment Transfer Control List by Chart of Account codes which control the movement of funding from program to program.Executive Control - high level control, set by Treasury BoardAllotment Control - are set by each MinistryReferenced in the Financial Flexibility Policy
85Recoverable SubsidyFollowing the end of the budget year, each Service Provider/Delivery Agent provides a Year-End Reconciliation Report that identifies any recoverable subsidy.The major components of subsidy recovery are as follows:Identification of Recoverable SubsidyAssessment and Confirmation of Identified Recoverable SubsidyRecovery of Identified Recoverable SubsidyOverpayment
86Retainable and Non – Retainable Revenue Generally, the treatment of revenue is determined by its source or the purpose for which it was received.RETAINABLE REVENUE: If produced from non-ministry funded resources, the excess revenue may be held by the Service Provider for other purposes. NON-RETAINABLE REVENUE: If produced from ministry funded resources, the excess revenue is subtracted from the gross expenditures, which reduces the expenditures eligible for ministry subsidy.
87Transfer Payment Operating Funds – Basis of Accounting Defines record keeping requirements for service providers, outlines ministry reporting requirements, and differentiates between ministry reporting requirements and Audited Financial Statements requirements.Modified accrual accounting forms the basis of funding and is also guided by other ministry policies and program guidelines.Report spending using the modified accrual basis of accounting in ministry provided templates.Ministry reporting is independent from Audited Financial Statement reporting requirements.
88Year – End Reconciliation Year- End Reconciliation ReportsCertificationIndependent VerificationAudited Financial StatementsSupplementary InformationPost Audit Management LetterReporting Timelines
89Things to RememberAll policies can be found at the same web site as the budget package.Review the policies yearly with Finance Staff, Board of Directors and Auditors.These financial policies work together as a connected set.Contact the Ministry for clarification.
91Allocated Central Administration (ACA) Includes governing and operating costsDoes not include program administration costsACA based on entire contractACA allocation should reflect level of activityMinistry target for ACA is 10% of adjusted gross expenditures
93Service Description Schedules (SDS) SDS required with:Full blown contractNew funding line addedWhen service has changedOne SDS per detail codeSDS includes:Ministry completed section includes service objective, service description, service delivery and accountability/ performance measuresAgency completed section includes agency’s plan for achieving identified objectives
94Service Description Schedules (SDS) (contd.) Types of SDS:Agency governance (one per agency)French Language Services (one per contract; should reference all detail codes funded)Pay equity (one per contract; should reference applicable detail codes)Program SDS (one per detail code)CAS/VAW collaboration agreementCross-sectoral referral agreementMaking services work for people (DS program)