Retention of Accounting Records. In accordance with City contract requirements, Providers must retain all contract related financial records, including auditors’ reports, for six (6) years after the final invoice of the contract is paid; Providers are subject to audit/or investigation for such an additional period. Bookkeeping Practices and Procedures Providers must maintain separate accounting records for funds received through each contract with DYCD. Accounting records must be established and maintained in accordance with Generally Accepted Accounting Principles. It is essential that the Provider maintain accurate, complete and permanent books and records, available for inspection by a DYCD staff member or its designee. DYCD staff and its representatives will conduct both announced and unannounced site visits to Providers during the contract term to ensure that the books and records are being appropriately maintained. Timesheets Timesheets must be completed for all full and part-time employees. Each timesheet must be signed and dated by the employee and the employee’s supervisor. The Executive Director’s timesheet must be reviewed and approved by a member of the Board of Directors. Electronic timesheets may be maintained if they are certified as accurate by the signature of the Executive Director or a senior level management designee. Cost Allocation Cost allocation is the distribution of one cost across multiple funded contracts. A cost allocation methodology identifies the type of expenses that are being claimed, and establishes a basis for allocating costs to business units or cost centers based on an appropriate allotment of such cost. ❖ Requirement: Each Provider must develop a written cost allocation plan. The plan must include an explanation of its methodology detailing the basis used in allocating cost to its various DYCD programs. Time distribution records must reflect an after-the-fact determination of the actual activity of each employee. Cost allocation is established on the premise that Providers maintain an adequate accounting system and accounting records to document costs and support claims. Allocation methods and distribution of cost must be based on a generally accepted accounting practice prescribed by OMB Super Circular regulatory guidance and in accordance with Generally Accepted Accounting Practice. Refer to Office of Management and Budget for guidance: 2 CFR Chapters I, and Chapter II, Parts 200, 215, 220, 225, and 230 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards and promptly made available to DYCD or its contracted CPA firms. ❖ Approach: When allocating cost to a particular contract the following must be considered: • Allowable direct costs that apply to only one program must be charged directly to that program or contract and cannot be cost allocated. • Allowable direct costs that can be identified across multiple programs must be pro- rated using a base most appropriate to the particular cost being pro-rated. • Allowable indirect costs (cost that benefit all programs and cannot be identified to a specific program) are allocated to programs, grants, etc., using a base that results in an equitable distribution. • A Provider is not allowed to charge more than 100% of a cost across programs. ❖ Documentation: Regardless of the cost allocation method used, expenses claimed must be supported by documentation of cost distribution showing the benefit each program received. Please note that approval of a DYCD budget does NOT constitute approval of a Provider’s cost allocation plan and method used. A reasonable cost allocation plan must be presented to show the basis used to allocate the amounts incurred in each of the funded programs. The basis applied cannot be based on the budgeted amount; rather it must be based on the benefit derived by each program from that particular expense, (e.g. time, space, usage, etc.). ❖ Audit: All expenses submitted for reimbursement are subject to an audit to assess whether the expenses are allowable and reasonable based on the cost allocation method used. Unreasonable cost allocations will result in disallowed costs. See Section Eleven for additional details on audit requirements. Compliance with the Requirements of the Non-profit Revitalization Act of 2013 DYCD expects all funded Providers to be in compliance with the new requirements of the New York Not-for-Profit Corporation Law, as mandated by the Non-Profit Revitalization Act (the Act) signed into law in New York in 2013 and subsequent amendments passed in 2016. Compliance with the requirements of the Nonprofit Revitalization Act is subject to verification by DYCD or its contracted audit firms. There are many publicly available resources to help Providers understand the new governance requirements of New York law (which go beyond the points highlighted here); DYCD can suggest possible resources, if necessary. For further information please visit the New York Attorney General's Charities of Bureau website: xxxx://xxx.xxxxxxxxxxxx.xxx. ❖ Conflict of Interest In particular (and without limitation), DYCD expects all funded not for profit Providers to maintain and follow a conflict of interest policy as required by the act S 715-A Conflict of Interest Policy, ❖ Whistleblower Compliance Requirements Providers with 20 or more employees and in the prior year annual revenue in excess of $1,000,000 are required to have a whistleblower policy in accordance with the Non-Profit Revitalization Act S-715-B Whistleblower Policy. ❖ Audit Requirement Providers are required to be in compliance with the requirement to file an independent certified public accountant's audit or review report to the Charities of Bureau and submission to DYCD. See section eleven for further detail on audit requirements. Employees Personnel Files Employees’ personnel files must include of all pertinent documents used in the hiring process. The hiring documents must include at the minimum, the following documents: ▪ Employment Application ▪ I-9 Employment Eligibility Verification ▪ Authorized working papers for individual under 18 ▪ Job Description ▪ W-4 form ▪ Resume ▪ Copy of Educational Degree, Diplomas or Certificate ▪ Background Check ▪ Personnel Action Form
Appears in 3 contracts
Samples: First Modification, First Modification, www.nyc.gov
Retention of Accounting Records. In accordance with City contract requirements, Providers must retain all contract related financial records, including auditors’ reports, for six (6) years after the final invoice of the contract is paid; Providers are subject to audit/or investigation for such an additional period. Bookkeeping Practices and Procedures Providers must maintain separate accounting records for funds received through each contract with DYCD. Accounting records must be established and maintained in accordance with Generally Accepted Accounting Principles. It is essential that the Provider maintain accurate, complete and permanent books and records, available for inspection by a DYCD staff member or its designee. DYCD staff and its representatives will conduct both announced and unannounced site visits to Providers during the contract term to ensure that the books and records are being appropriately maintained. Timesheets Timesheets must be completed for all full and part-time employees. Each timesheet must be signed and dated by the employee and the employee’s supervisor. The Executive Director’s timesheet must be reviewed and approved by a member of the Board of Directors. Electronic timesheets may be maintained if they are certified as accurate by the signature of the Executive Director or a senior level management designee. Cost Allocation Cost allocation is the distribution of one cost across multiple funded contracts. A cost allocation methodology identifies the type of expenses that are being claimed, and establishes a basis for allocating costs to business units or cost centers based on an appropriate allotment of such cost. ❖ Requirement: Each Provider must develop a written cost allocation plan. The plan must include an explanation of its methodology detailing the basis used in allocating cost to its various DYCD programs. Time distribution records must reflect an after-the-fact determination of the actual activity of each employee. Cost allocation is established on the premise that Providers maintain an adequate accounting system and accounting records to document costs and support claims. Allocation methods and distribution of cost must be based on a generally accepted accounting practice prescribed by OMB Super Circular regulatory guidance and in accordance with Generally Accepted Accounting Practice. Refer to Office of Management and Budget for guidance: 2 CFR Chapters I, and Chapter II, Parts 200, 215, 220, 225, and 230 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards and promptly made available to DYCD or its contracted CPA firms. ❖ Approach: When allocating cost to a particular contract the following must be considered: • Allowable direct costs that apply to only one program must be charged directly to that program or contract and cannot be cost allocated. • Allowable direct costs that can be identified across multiple programs must be pro- rated using a base most appropriate to the particular cost being pro-rated. • Allowable indirect costs (cost that benefit all programs and cannot be identified to a specific program) are allocated to programs, grants, etc., using a base that results in an equitable distribution. • A Provider is not allowed to charge more than 100% of a cost across programs. ❖ Documentation: Regardless of the cost allocation method used, expenses claimed must be supported by documentation of cost distribution showing the benefit each program received. Please note that approval of a DYCD budget does NOT constitute approval of a Provider’s cost allocation plan and method used. A reasonable cost allocation plan must be presented to show the basis used to allocate the amounts incurred in each of the funded programs. The basis applied cannot be based on the budgeted amount; rather it must be based on the benefit derived by each program from that particular expense, (e.g. time, space, usage, etc.). ❖ Audit: All expenses submitted for reimbursement are subject to an audit to assess whether the expenses are allowable and reasonable based on the cost allocation method used. Unreasonable cost allocations will result in disallowed costs. See Section Eleven for additional details on audit requirements. Compliance with the Requirements of the Non-profit Revitalization Act of 2013 DYCD expects all funded Providers to be in compliance with the new requirements of the New York Not-for-Profit Corporation Law, as mandated by the Non-Profit Revitalization Act (the Act) signed into law in New York in 2013 and subsequent amendments passed in 2016. Compliance with the requirements of the Nonprofit Revitalization Act is subject to verification by DYCD or its contracted audit firms. There are many publicly available resources to help Providers understand the new governance requirements of New York law (which go beyond the points highlighted here); DYCD can suggest possible resources, if necessary. For further information please visit the New York Attorney General's Charities of Bureau website: xxxx://xxx.xxxxxxxxxxxx.xxx. ❖ Conflict of Interest In particular (and without limitation), DYCD expects all funded not for profit Providers to maintain and follow a conflict of interest policy as required by the act S 715-A Conflict of Interest Policy, ❖ Whistleblower Compliance Requirements Providers with 20 or more employees and in the prior year annual revenue in excess of $1,000,000 are required to have a whistleblower policy in accordance with the Non-Profit Revitalization Act S-715-B Whistleblower Policy. ❖ Audit Requirement Providers are required to be in compliance with the requirement to file an independent certified public accountant's audit or review report to the Charities of Bureau and submission to DYCD. See section eleven for further detail on audit requirements. Employees Personnel Files Employees’ personnel files must include of all pertinent documents used in the hiring process. The hiring documents must include at the minimum, the following documents: ▪ Employment Application ▪ I-9 Employment Eligibility Verification ▪ Authorized working papers for individual under 18 ▪ Job Description ▪ W-4 form ▪ Resume ▪ Copy of Educational Degree, Diplomas or Certificate ▪ Background Check ▪ Personnel Action Form
Appears in 2 contracts
Samples: First Modification, www1.nyc.gov
