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PROPOSED TRANSFER OF FUNDS
Department: Department of Revenue
Request: Transfer of Funds
Reason: Funds will be used to purchase cigarette tax stamps. The previous vendor no longer provides printing of stamps and there is an increased cost with the new vendor. Annually, cigarette tax generates an estimated $134 million dollars. Also, funds will be used for equipment and computer supplies needed for the Collections, Compliance and Audit divisions. The current equipment being used is more than 5 years old and operates at substantially low speed. Replacement of the outdated desktops is required to efficiently work with CCDOR’s Integrated Tax Processing System (ITPS).
From Account(s): 007- 260, $100,000.00
To Account(s): 007-240, $30,000.00; 007-388, $70,000.00
Total Amount of Transfer: $100,000.00
On what date did it become apparent that the receiving account would require an infusion of funds in order to meet current obligations? What was the balance in the account on that date, and what was the balance 30 days prior to that date?
It became apparent that the receiving account would require and infusion of funds in Q2. The cost of printing the stamps is more than anticipated due to the fact that the original vendor no longer provides these services.
It became apparent that updated computer equipment would be necessary to run the ITPS system at the start of implementation of the project. In Q2 the department recognized that the performances on the existing machines are extremely slow and they are no longer compatible with updated software, additionally the life-cycle of the equipment has ended.
How was the account used for the source of transferred funds identified? List any other accounts that were also considered (but not used) as the source of the transferred funds.
The department identified areas of efficiencies and process improvements that resulted in unused funds. The primary account used for professional services that are no longer required
Identify any projects, purchases, programs, contracts, or other obligations that will be deferred, delayed, or canceled as a result of the reduction in available spending authority that will result in the account that funds are transferred from.
None
If the answer to the above question is “none” then please explain why this account was originally budgeted in a manner that caused an unobligated surplus to develop at this point in the fiscal year.
Originally, the department appropriated funds for a vendor to provide consulting and integration services related to the implementation of our Integrated Tax Processing System. However, the department no longer requires the services of the vendor as we have worked with Bureau of Technology to provide an internal solution that meets the project needs and accomplished the integration necessary between the cashiering and tax processing system.
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