Code of Massachusetts Regulations › 815 CMR - COMPTROLLER'S DIVISION › Title 815 CMR 8.00 - Contingent Contracts For Non-tax Revenue Maximization › Section 8.02 - Definitions

Current through Register 1525, July 5, 2024
Base Revenue and Maximized Revenue
.
				The term base revenue refers to the amount of revenue, federal or from any
				other sources, that is estimated or budgeted to occur without any special
				assistance or advice from outside parties. In most cases the calculation and
				measurement of base revenue is a function of existing operational plans of the
				department. The term maximized revenue refers to the increment of revenue,
				federal or from any other source, that is estimated or budgeted to occur
				because of special efforts or projects and is to be in addition to the base
				revenue. Contingency contracts may be employed to promote the accomplishment of
				both base revenue and maximized revenue.
Office of the Comptroller
. The Office
				established pursuant to M.G.L. c. 7A and authorized to administer contingency
				contracts to promote the efficiency and effectiveness of federal entitlement
				and other programs and to determine the necessity, appropriateness and
				reasonableness of present and future expenditures for operations which qualify
				for federal financial participation or other reimbursement pursuant to M.G.L.
				c. 29, § 29E. The Office of the Comptroller is also a department.
Contingency Contract
. A contract
				executed by one or several state departments with other parties pursuant to
				815 CMR 8.00. In a contingency
				contract, the amount of compensation paid to other parties is directly linked
				to and paid from the attainment of increased revenue. Contracts under
				815 CMR 8.00 may have a
				duration up to but no longer than 36 months.
Department
. An entity of the state
				government recognized by the Office of the Comptroller as a legally defined
				component unit of the government. Department recognition is demonstrated by the
				establishment of department codes and financial accounting records on the MMARS
				as determined by the Comptroller. Pursuant to its enabling statute and subject
				to appropriation and other special laws or agreements, a department may operate
				programs, either directly through its own organization or through other state
				departments or organizations, in a manner that allows federal financial
				participation and other reimbursement.
Evaluation Criteria and Selection
				Committee
. These are additional elements of an RFP that
				demonstrate specific steps to promote competitive interest and result in a
				contingency contract under terms most beneficial to the Commonwealth.
Federal Revenue or Federal Financial
				Participation
. In the context of
				815 CMR 8.00, these terms have
				the same meaning and refer to the flow of funds from the federal government to
				the state government. In most cases there are specific federal laws and
				specific federal regulations with companion operational terms and conditions
				that must be satisfied by the state in order to qualify for and receive federal
				revenue. In many cases, the federal revenue represents a portion of the total
				program cost, and the state may choose to incur originally the entire program
				cost and subsequently apply the federal revenue as a reimbursement or off set
				to the total program cost. Under this reimbursement model, the federal revenue
				is considered to be the federal share of a total program which qualifies for
				federal financial assistance.
Fiscal Affairs Division (FAD)
. The
				Division within the Executive Office of Administration and Finance with the
				responsibility and authority to plan and direct the statewide budget process.
				The FAD, also referred to as the Budget Bureau, has a special interest in the
				design and implementation of programs in a manner that allows opportunity for
				federal financial participation. The FAD is also a department.
Fiscal Conduit
. An arrangement which
				exhibits the features of supplementation of existing staff or resources to the
				Department typically provided and controlled through the state budget process.
				The identification of a fiscal conduit will be based on the judgement of the
				Office of the Comptroller, and such judgement will include but not be limited
				to criteria such as: a) intention to circumvent the budget process, b)
				similarity between resources normally provided in the state budget process and
				resources provided by the outside party under the contingency contract, and c)
				length of time that such resources are planned and actually used. The Office of
				the Comptroller will take actions as relevant to disapprove and not allow
				fiscal conduit arrangements under
				815 CMR 8.00.
Interdepartmental Service Agreement
				(ISA)
. An arrangement between two or more state departments that
				has many of the features of a contract. All ISA arrangements are governed by
				the Office of the Comptroller under a separate regulation published as
				815 CMR 6.00. It is
				anticipated that many projects involving contingency contracts may also involve
				Interdepartmental Service Agreements.
Massachusetts Management Accounting and Reporting
				System (MMARS)
. The official accounting system for the
				Commonwealth organized and operated by the Office of the Comptroller.
Measurement Basis for Contingency
				Contracts
. The measurement basis for contingency contracts shall
				be specified to establish clearly the difference between that revenue which
				would be received without outside assistance and that revenue expected to be
				received with outside assistance. A measurement basis for contingency contracts
				may be defined and applied to base revenue situations, maximized revenue
				situations, or both situations.
Object Code T09
. An expenditure
				classification category established by the Office of the Comptroller in MMARS.
				This object code will be used for accounting and reporting of all contingency
				contracts executed pursuant to
				815 CMR 8.00.
Request for Proposals
. The Request for
				Proposals (RFP) is a solicitation process organized to stimulate competitive
				interest in the award of a contingency contract.
Revenue
. Income earned by the
				Commonwealth for services provided. Only revenue actually received and
				confirmed by a Treasury cash receipt is available for measuring revenue for
				contingency payments.
Secretariat
. The executive office in
				the executive branch of government established pursuant to M.G.L., chs. 6A and
				7 with responsibility and authority to direct and coordinate the activities of
				specified departments. Many, but not all, departments in the executive branch
				are organized under the supervision of secretariats. In those instances where a
				cognizant secretariat does exist, the secretariat has a special interest in the
				design and implementation of programs in a manner that allows opportunity for
				federal financial participation and other reimbursement. A secretariat is also
				a department.
Single State Agency
. A department
				formally designated by the Governor to the federal government as the one
				cognizant department on behalf of the state in the management of specified
				federally assisted programs. In a few instances there is allowed under the law
				a designation of two "single state agencies". The single state agency has
				authority and responsibility to operate programs, either directly through its
				own organizations or through other state departments or organizations, in a
				manner that complies with both state and federal law.