CAR Newsletter - March 2023

Volume 33 | No. 9 | Fiscal Year 2023 | March 10, 2023

PAYROLL

• Employee Name and Social Security Number Entries in Workday
• Searching for Individuals by Social Security Number
• Social Security Number Changes
• Employees Remote or Teleworking - Primary Location Outside of Oklahoma
• Deceased Employee Payroll Processing and Reporting
• Processed before a Reversal is Completed

ACCOUNTING

• Submit 340 Fund Summarized Transaction Timely
• OMES Form 11 and 11a
• Accounting System Access (PeopleSoft)
• Treasury Offset Program (TOP)

FINANCIAL REPORTING UNIT

• GASB 96 Reporting

AGENCY NEWS

• PeopleSoft Upgrade & Code Freeze 
• Shift from NTT DSO Portal to Service Now Computer Ordering

PROCUREMENT

• REMINDER - 2023 Fiscal Year End Timelines Announced
• REMINDER - Prior Fiscal Year(s)' Funded Requisitions and Purchase Orders
• Statewide eProcurement Solution Project Update
• PeopleSoft Functionality Change 
• Governor’s Executive Order 2023-04

TRAINING

• Payroll Law
• Form W-9 & 1099 Regulatory Compliance Update
• Form 94P – Understanding and Completing the Form Correctly

When entering a new employee’s name and Social Security Number or updating a current employee’s name, please verify the name and SSN being entered is exactly as it appears on the employee’s Social Security card. This is critical in reporting not only the W-2 wages at year-end but the Affordable Care Act required health offer/coverage information. If the name and SSN does not match the Social Security Administration records, the employee’s wages may not be credited to their Social Security account. Additionally, if the name and SSN do not match, the employee may not be reported correctly for ACA purposes which could result in an IRS letter to the employee for possible lack of health coverage or an IRS letter to the agency for not offering coverage.

Beginning Sept. 8, 2007, the Social Security Administration updated the Social Security card.  The number holder’s name will always be printed on two lines, with the last name printed directly below the first and middle names. If you receive a prior version from an employee and are unsure, please ask the employee to verify the first, middle, and last names.

A search by Social Security Number (SSN) will provide information for the correct individual if the person already exists in Workday.  Searching by name or any other criteria can cause an agency to identify a person that isn’t truly the one they want. To search by SSN, go to the search bar and enter People History – Prism, enter the nine-digit SSN without dashes. (ID:123456789). Click “OK”.

If an incorrect Social Security Number has been entered into Workday, please contact the OMES Service Desk to have the number corrected.  DO NOT create another employee in the system; this will only compound the issue.  Employees with multiple EmplIDs must have data combined onto the one correct record, which requires many corrections and changes in the Workday system.

Agencies continue to increase the number of state employees who work remotely and need to be cognizant of withholding and reporting requirements for these employees. Employees that work remotely outside of Oklahoma requires the state, as the employer, to withhold and submit income taxes to that state and report unemployment and other wages/taxes, as applicable. If an agency has employees working outside of Oklahoma, the work location will need to be updated to the state where the employee is physically working. The employee tax elections will need to be timely updated to reflect the new tax jurisdiction for income tax and unemployment withholding/reporting purposes.

Please help communicate these requirements to agency HR, recruiting and onboarding personnel as many tasks are performed or initiated by them. Although OMES central payroll processes the actual  payments and reports to the other states, agency personnel must be familiar with the requirements for any state in which employees are hired. Please contact OMES Central Accounting and Reporting at payrollreporting@omes.ok.gov with any questions concerning employees working out of state.

Note: This does not apply to Institutions Higher Education.

Agencies must complete Form DER, Deceased Employee Reporting, when an employee has passed away and payments are made after the date of death. The form is on the OMES website under CAR Forms. Complete all forms and send to OMES/CAR payroll, payrollreporting@omes.ok.gov  (attention Alicia Reel) as soon as possible after all payments have been processed. Submission of this form will ensure year-end reporting is correct.

Amounts paid in the year of death are reported on the W-2 for Social Security and Medicare only. The amount that would have been reported as federal and state wages is required to be reported on a 1099-MISC to the individual(s) who received the payment(s). Payments made in the year after the date of death are not subject to Social Security and Medicare and are not reported on the W-2. The amount that would have been reported as federal and state wages is reportable on a 1099-MISC to the individual(s) who received the payment(s).

NOTE: Please let recipients know that they will be issued a 1099-MISC at year-end and that the amounts will be reported to the IRS and OTC. This will assist them in tax planning.

Note: This does not apply to Institutions Higher Education.

The recommended best practice is that a replacement payroll warrant should not be processed until the incorrect warrant has been reversed. Processing another payroll before the desired reversal is complete may cause balance issues for Social Security, Medicare and unemployment wages and taxes.

Additionally, completing the reversal first allows reversed time to either be processed through payroll again, or if needed, time can be corrected and then processed again.

If an agency chooses to run a payroll before the reversal is complete, the agency is responsible for verifying the Social Security, Medicare and unemployment wages and taxes are correct on the replacement payroll warrant. The amounts should be manually calculated as if the reversal had been completed and verified to the system-calculated amounts. If different, please contact the OMES Service Desk and a member will assist you.

Agencies that are processing 340 fund transactions outside of the statewide accounting system must submit the summarized entry to record the transactions the day the payments are processed.  The agency should have available ALLOT budget prior to making the payment.  If there are cash issues, the accounting team will work with you to resolve these.  The submission should be sent to accounting@omes.ok.gov.

As a reminder, the Clearing and ASA reconciliations must be submitted to OMES by the 20^th of the month.  While the form is not due until the 20^th, any amounts that are required to be submitted to the Statewide General Revenue fund must be transferred by the 10^th of the month.

Agencies must submit the reconciliations on the current form that is available on the OMES website.

Additions or changes to user’s access in the Statewide Accounting System should be requested by sending an email to the OMES Service desk (servicedesk@omes.ok.gov).  It is usually best if the request comes from the agency security rep, but if it comes from anyone else, the security team will reach out to the agency security rep for approval. 

Please be clear on the access you are requesting.  If this is for a new user, and they can mimic an existing user, the request can be to mimic a specific userID.  It is best if you can provide the PS userID as there can be multiple users with similar IDs.

Agencies must send a request to deactivate a user.  When an employee leaves the agency submit a service desk ticket as quickly as possible.  Until the user is inactivated, they still have access to the system even if they do not have a state computer.

If an agency wants to review a comprehensive list of financial system users and their access, send a request to accounting@omes.ok.gov and we will send you a list of current users and their access.

While the instances of offsets have decreased, the state is still experiencing some offset issues.  Please look at the article in the February 2022 newsletter for detailed information.  The link to the February 2022 newsletter can be found at https://oklahoma.gov/omes/services/accounting-reporting/car-newsletters/archives.html .

This article provides detailed information about the notifications that agencies might receive.  If you receive any of these notices, please email that to the accounting group at accounting@omes.ok.gov .  Additionally, if you believe your agency’s funds have been captured as part of TOP, send that information to the accounting group as well.

The GASB 96 standard goes into effect in FY 23. The requirements of this standard are similar to those of GASB 87. It requires Subscription Based Information Technology Arrangements (SBITA) subject to the GASB 96 provisions to be capitalized. This makes it necessary for CAR's financial reporting unit to collect detailed information on the SBITA lease agreements. Financial reporting analysts have e-mailed lease templates and instructions to the general fund agencies. Interagency agreements between general fund agencies are not reportable.  If you have not received this packet, please contact your financial reporting analyst.

This upgrade will provide your financial team with an improved new mobile user experience including fluid features, enhanced dashboards, added navigation search functionality and more:

• Fluid tiles.
• Dashboard Analytics.
• Added the Review Navigation Search Updates utility.

In preparation for the upgrade, OMES will place a code freeze in the PeopleSoft system on any modification that require application development or any design changes. The freeze will go into effect Monday, April 3. Submissions received via ServiceNow will be notified of code freeze, however if deemed an emergency, proper justification can be submitted by OMES State Finance, IS, or Purchasing divisions for review. If you have any questions regarding the freeze, contact Tanner Wallace at tanner.wallace@omes.ok.gov.

On March 15, 2023, OMES Information Services will be launching a shift from the NTT DSO portal to the new ServiceNow computer ordering widget, aka COW, for all your device ordering needs.

In this new ServiceNow system, you can expect a better selection of device options, in-depth support from the OMES IS End User team and the ability to order individual accessories without ordering a full setup.  Another huge advantage is that agency purchasing staff is automatically alerted when orders are submitted, and this can all be done in the same platform used to submit IT requests.

To showcase the new platform and assist employees with understanding the new process, OMES IS is offering training for all state employees beginning March 6, 2023, as well as user guides and training videos to be made available on the OMES Service Desk webpage.  See the March 6, 2023 announcement regarding training dates and times.

The 2023 fiscal year end timelines for OMES Central Purchasing and OMES Construction and Properties were announced via a CPO Announcement on Jan. 24, 2023.  

The Central Purchasing timelines for the submittal of current fiscal year 2023 requisitions are as follows: 

• March 1, 2023 – Requisitions with complex specifications or lengthy evaluation expectations.
• March 23, 2023 – Requisitions with straightforward specifications and evaluation criteria.
• May 15, 2023 – Change orders for contract renewals. It is important the renewal request is submitted to OMES Central Purchasing through an ePro requisition a minimum of 30 days in advance of the expiration of the current contract period. Current CP forms are available on the website under the Central Purchasing Library.

If an agency decision is made to cancel or not renew a contract, be sure to review the contract terms to determine the required time period for notice of cancellation or non-renewal to the supplier. Notify Central Purchasing in writing a minimum of 15 days prior to the time frame noted in the contract for the notice. For example, if the contract term requires a 30-day notice to the supplier for non-renewal, the written notice of the agency decision not to renew must be received by Central Purchasing 45 days prior to the end of the current contract period.

The Construction and Properties deadlines for the submittal of current fiscal year 2023 requisitions are as follows:

• May 1, 2023 – Requests for any construction project to be publicly bid, whether over or under $100,000.00 in value. Please make sure bid documents are fully executed, as incomplete bid documents may delay the bid schedule and not allow a timely award.*
• June 1, 2023 – Requests for projects $100,000.00 and below for award on agency solicited quotes. Provide a complete package of required procurement documents as outlined in CAP Form M800. Requests for the Value Added Programs are also due at this time.
• June 1, 2023 – Contract renewals, which require a Project Requisition Checklist CAM/CAP-FORM M701 and a signed purchase order. Current forms are available on our website under Forms. Don’t forget to reference the original CAP project number (formerly the DCS number) on the M701. If you choose to cancel your contract, notify CAP in writing no less than 40 days before the end of the current time period on the contract.

Effective Nov. 1, 2022, the new bond threshold for construction projects is $100,000.00.

See your agency primary CPO for the full CPO Announcement.

Central Purchasing requests your cooperation and assistance in reviewing and closing requisitions and purchase orders with prior fiscal year(s) funding. This request also includes prior fiscal year(s) purchase order lines on multi-year purchase orders. Purchase orders dated prior to Dec. 31, 2020, are to be reviewed, closed and dispatched first and should be closed by May 1, 2023. It is important to make sure you dispatch after you close the purchase order or purchase order line. PO Close Steps PO close steps were included with the CPO Announcement sent to all CPOs January 24, 2023.

Additional functionality in PeopleSoft for Strategic Sourcing and Supplier Contracts was implemented with a roll out Feb. 20, 2023. All agencies will be required to use the new functionality, so CPOs keep an eye out for training opportunities which will be announced in the coming weeks.

Base requisition functionality will become view only effective April 1, 2023. Agencies will be able to look up requisition information but will no longer be able to enter a base requisition or make changes to existing base requisitions. All requisitions will be entered through ePro. End user ePro training is available to all agencies, and we encourage you to reach out to procurement.training@omes.ok.gov for more information.  Additionally, please review your internal agency processes to make any necessary process updates.

On Feb. 28, 2023, Governor Stitt issued Executive Order 2023-04, outlining actions to be taken by OMES Central Purchasing to ensure state agencies are complying with the Central Purchasing Act. We encourage state agencies to review the executive order.  Additional information will be sent out via CPO Announcements to the agency CPOs as well as updates in future CAR newsletters.

Live online seminars presented by Fred Pryor Seminars

For more information, please visit their website.

Live online webinar presented by myCPE

For more information, please visit their website.

Live on teams or in person at the agency presented by Jean Hayes

For more information, please contact Jean Hayes at 405-522-6300 or payrollreporting@omes.ok.gov.