Mayor’s Office of

Contract Services

Mayor’s Office of

Management and Budget&

Indirect Rate Implementation Briefing

October 7, 2019

Have a Question? help@mocs.nyc.gov

Jennifer Jones Austin, Executive DirectorFederation of Protestant Welfare Agencies

Latonia R. McKinney, Director

NYC Council Finance Division

David Greenberg, Associate Director for Health and

Social Services

Mayor's Office of Management and Budget

Dan Symon, Director Mayor’s Office of Contract Services

Have a Question? help@mocs.nyc.gov

AGENDA

I. Welcome and Introductions

II. Cost Manual and Indirect Rate Funding

Initiative Background

III. Overview of Cost Manual

IV. Workgroups and Outreach

V. Entryways and Timeline

VI. Process

VII. Resources and Technical Assistance

VIII. Key Takeaways and Next Steps

4Mayor’s Office of

Contract Services

Mayor’s Office of

Management and Budget& Have a Question? help@mocs.nyc.gov

City of New York FY20 Indirect Rate Initiative Background

FY20

City Council/Mayoral FY20 initiative to fund indirect

rates for HHS organizations with current City contracts.

FY17

Nonprofit Resiliency Committee

formed.

FY18

$106m Indirect Investment.

FY19

Adopted HHS Cost Manual.

Have a Question? help@mocs.nyc.govMayor’s Office of

Management and Budget&

Cost Manual and Rate Initiative

6Mayor’s Office of

Contract Services

Mayor’s Office of

Management and Budget& Have a Question? help@mocs.nyc.gov

Overview of Cost Manual

• Cost Categories: Direct, Indirect, Allowable, Unallowable

• Commonly Incurred Costs

1. Cost Definitions and Treatment

• Simplified Allocation Methodology

2. Indirect Cost Rate Calculation

• 10% de Minimis

• NICRA

• CPA Letter

3. Indirect Cost Rate Claiming Options

• Answers to common questions

• Help Desk

4. FAQ

nyc.gov/nonprofits

7Mayor’s Office of

Contract Services

Mayor’s Office of

Management and Budget& Have a Question? help@mocs.nyc.gov

Gearing Up: Planning, Outreach and Workgroups

PROVIDER WORKGROUP

• MEETINGS EVERY THREE WEEKS

• SHARING CITDEVELOPMENTS

• FEEDBACK + PLANNING

• FINANCIAL LEADER MEETINGS

• PROCESS TESTING

MOCS HELP DESK

• PROVIDER + AGENCY ASSISTANCE

HHS PROVIDERS

• 10/7 CONVENING

• EMAIL + WEBSITE UPDATES

• TA SESSIONS + WEBINARS

• MANUAL + FAQ

CITY AGENCIES

• 10/7 CONVENING

• FINANCIAL LEADERSHIP MEETINGS

• TECHNICAL ASSISTANCE

• PROCESS TESTING

CPA FIRMS

• CPA BRIEFINGS

• TECHNICAL ASSISTANCE

• FEEDBACK SESSIONS

CIT

• MOCS/OMB CO-LED

• PROVIDER SURVEY

• IMPLEMENTATION PLANNING AND INITIATIVE MANAGEMENT

• COORDINATE WORKGROUPS

• REPORTING

Have a Question? help@mocs.nyc.govMayor’s Office of

Management and Budget&

Entryways and Timeline

9Mayor’s Office of

Contract Services

Mayor’s Office of

Management and Budget& Have a Question? help@mocs.nyc.gov

Provider Entryway Options

10% de Minimis Federal NICRA CPA Rate One-Year (FY20)

Conditional Option

Up to 12%

10Mayor’s Office of

Contract Services

Mayor’s Office of

Management and Budget& Have a Question? help@mocs.nyc.gov

Provider Decision Tree

Submit by 6/30/20

CPA,

NICRA,

or 10%

Ready

by June

2020?

Up to

12% in

FY20?

Yes

CPA, NICRA

10% de minimis

Submit documentation by 12/31/20

1. Decide by Jan 2020

2. Submit Documentation by

12/31/20

Start

Process!

No

Yes

No

11Mayor’s Office of

Contract Services

Mayor’s Office of

Management and Budget& Have a Question? help@mocs.nyc.gov

2019 2020

Entryway Timeline

Action Item Sept Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec Jan Feb Mar

Provider Survey

Agency/Provider CFO

Engagements

Process Testing (V1 & V2)

Rate & Delta Submissions

Conditional: Up to 12%

Amendment Registration

Retroactive to 7/1/2019 Retroactive to 7/1/2020

FY2020 FY2021

2021

Oct 7, 2019

Kick-off Event

Nov 18, 2019

Entryways OpenDeadline to Declare

Conditional Entryway

Deadline to Submit

Certified Rate and

Delta for FY20 Retro

Deadline to Submit

ANY Certified Rate &

Delta for FY21 Retro

Have a Question? help@mocs.nyc.govMayor’s Office of

Management and Budget&

Process

13Mayor’s Office of

Contract Services

Mayor’s Office of

Management and Budget& Have a Question? help@mocs.nyc.gov

Implementation Process

Provider Submits

Entryway Choice Form

Provider Submits Certified

Rate and Delta Documents

CIT Reviews & Accepts Rate

and Delta Documents

City Agencies & Comptroller

Register Amendments

Have a Question? help@mocs.nyc.govMayor’s Office of

Management and Budget&

Resources and Technical Assistance

15Mayor’s Office of

Contract Services

Mayor’s Office of

Management and Budget& Have a Question? help@mocs.nyc.gov

Resources and Technical Assistance

Inform FAQWebsite Webinars MOCS Help

Desk

Cost Manual

Have a Question? help@mocs.nyc.govMayor’s Office of

Management and Budget&

Key Takeaways & Next Steps

17Mayor’s Office of

Contract Services

Mayor’s Office of

Management and Budget& Have a Question? help@mocs.nyc.gov

➢ Designed for and with providers

➢ Read the Cost Manual

➢ Three ways to establish a rate

➢ Centralized process

➢ Generous Timeframes

Key Takeaways

takeaways

Key

RESOURCES

nyc.gov/nonprofits

help@mocs.nyc.gov

18Mayor’s Office of

Contract Services

Mayor’s Office of

Management and Budget& Have a Question? help@mocs.nyc.gov

Next Step

10% de Minimis Federal NICRA CPA Rate One-Year (FY20)

Conditional Option

Next Step: Choose Entryway

Entryways Open on November 18th

NYC.GOV/NONPROFITS