Susan Fanelli, Deputy Director Emergency Preparedness Office, CDPH Local Health Department Submission, Certification, Proposal & Assessment Checklist September

Susan Fanelli, Deputy Director Emergency Preparedness Office, CDPH

Local Health DepartmentSubmission, Certification, Proposal &

Assessment Checklist

September 2014

CDPH Indirect Cost Rate Process

Financial Management Branch, CDPH


Training Objectives

1

• Provide an overview of new process for LHDs to submit their Indirect Cost Rate (ICR) including:

Submission, Certification & Proposal

LHD ICR Assessment, Checklist, and Crosswalk

•Review Submission Requirements and Timeline

•Review Available Resources



• Year that ICR proposal is for

2

LHD ICR Submission FormIdentifies:

• LHD Contact for questions

1. Submitted for use in FY: 20 /

Based on the most recent independently audited financials for FY: 20 /

2. LHD Contact for ICR: First & Last Name: Title/Position:

LHD Contact Email: @

LHD’s Contact Phone:



• Personnel Services • Total Allowable Direct Costs

3

LHD ICR Submission FormIdentifies ICR options

3. Identify the ICR methodology that the LHD will use for CDPH contracts, unless otherwise designated/ restricted by federal

grant requirements. Select ONE method (EITHER A or B) from above (percentage MUST

match ICR Worksheet):

A. Total Personnel Costs (Salaries, Wages & Fringe Benefits): %

** OR **

B. Total Allowable Direct Costs: %



4

LHD ICR Submission FormCertification of Proposal

By filing this certification I have noticed that this information will be used by CDPH programs to verify the LHD's ICR. This rate will be used to approve the maximum ICR allowed by CDPH policy as indicated below, unless otherwise designated by State or Federal funding restrictions and/or requirements. I further certify that the costs used to calculate the ICR are based on the most recently available independently audited actual financials.

• 25% cap for ICR calculated based on Total Personnel (Salaries, Wages and Fringe Benefits)

• 15% cap for ICR calculated based on Total Allowable Direct CostsAgency / Department Official: __________________________

Title / Position:

_________________________

Signature:

_____________________________

Date:

_________________________



LHD Auditor CertificationAuditor Certification

Auditor Controller (or Designee):

____________________________________________________________Print Name

____________________________________________________________Title/Position

____________________________________________________________Signature

5



ICR Checklist and Assessment

6

• Requires Explanation/JustificationDirect to CDPH and in either ICR or CCAP

Costs not listed

May be disallowed

• If in ICR or County Cost Allocation Plan Add



ICR Checklist and Assessment

7

If Charged Direct to CDPH

Explanation/Justification Required Specify CDPH Program/Project(s)

Charged “Direct” Specify Different Circumstances



8

2015/16 LHD ICR ProposalICR Checklist and Assessment


Column 1 Column 2 Column 3 Column 4 Column 5Typical Central Service Costs Departmental/

Agency Indirect Cost (Y/N)

Departmental/Agency Direct Cost (Y/N)

Designated as Indirect Cost in

Approved Countywide

Cost Allocation Plan ? (Y/N)

Assessment Clarifications and Comments

INSTRUCTIONS•This column lists budget items that are frequently incorporated into a Department/Agency indirect rate or Countywide Cost Allocation Plan. Some items include specific information to address in the Assessment Clarifications and Comment Cell.•If a budget item that your Department/Agency includes in the Indirect Cost Rate or Countywide Cost Allocation Plan is not listed, add it to the list. •The meaning of Central Service Cost Terms is to conform to 2 CFR Part 200 definitions found at htt ps://www.federalregister.gov/articles/2013/12/26/2013-30465/uniform-administrative-requirements-cost-principles-and-audit-requirements-for-federal-awards

INSTRUCTIONS• Enter “Yes” if the budget item in Column 1 is included in your Department or Agency's Indirect Cost Rate• Enter “No” if it is not included.

INSTRUCTIONS• Enter “Yes” if the budget item in Column 1 is charged as a direct cost by your Department or Agency.• Enter “No” if is not charged as a direct cost.

INSTRUCTIONS • Enter “Yes” if the budget item in Column 1 is identified as an indirect cost in your Countywide Cost Allocation Plan.• Enter “No” if the budget item in Column 1 is not identified as an indirect cost in your Countywide Cost Allocation Plan.

INSTRUCTIONS• Use this column to clarify responses (e.g. clarify budgeting Administrative and Support staff as a Direct Cost; to clarify how Space/Rent/Lease are budgeted, etc.) • "Yes" Indirect and "No" Direct responses need to specify under what circumstances this is "Yes" and what circumstances it is "No." • "Yes" Indirect and "Yes" Direct responses need to specify under what circumstances these costs are indirect and when they are direct.

2 CFR Part 200 guidePublic Health Department Administrative and Support Staff• Compensation of administrative and support staff is considered direct labor on a project or program for time devoted and identified specifically to the performance of that project or program. • Compensation of administrative and support staff is considered indirect labor for the time/cost incurred for a common or joint purpose benefitting more than one cost objective and not readily assignable to the cost objectives specifically benefitted. • Upon request, provide an organizational chart to clarify the role of administrative and support staff in order for CDPH to determine if these costs are appropriately assigned to direct vs. indirect costs.

Does your health department use a time coding system and time studies to capture and validate compensation for administration and support that is considered a direct cost?

Audit

Auditor-Controller

County Administrator/County Executive OfficerCounty Counsel

Defense and Prosecution of Criminal and Civil Proceedings, and Claims (these costs are generally unallowable, but may be claimable under rare circumstances and in accordance with 2 CFR Part 200 principles. Please explain in column 5)Depreciation and Use Allowances (Depreciation is generally unallowable, but may be claimable under rare circumstances and in accordance with 2 CFR Part 200 principles. Please explain in column 5)

Duplication/Printing (Publication and Printing Costs)

Equipment and Other Capital Expenditures ($5,000 or more for a single item)

Equipment Maintenance, Operations and Repairs


9

2015/16 LHD ICR ProposalICR Schedule


Description of Costs Total LHD Costs Total Excludable LHD

CostsTotal LHD Allowable

Direct Costs LHD Allowable Indirect Costs Difference

Agency Allowable Indirect Costs

(A) (B) (C) (D) ( E ) (F)=(B)-(C+D+E) (G)

Salaries & Benefits (Sal&Ben)

Salaries $ - 0 N/A

Benefits $ - 0 N/A

Other Salaries & Benefits $ - 0 N/A

Total Salaries & Benefits $ - $ - $ - $ - $ - N/A

Operating Expenses (OE&E)

Duplication / Printing $ - 0 $ -

Equipment ($5k or more per item) $ - 0 $ -

Equipment Maintenance, Operations & Repairs $ - 0 $ -

Facilities Maintenance, Operations & Repairs $ - 0 $ -

Rental Costs of Buildings and Equipment $ - 0 $ -

Utilities $ - 0 $ -

Information Technology $ - 0 $ -

Telecommunication Costs $ - 0 $ -

Insurance $ - 0 $ -

Memberships, Subscriptions, and Professional Activity Costs $ - 0 $ -

Motor Pool $ - 0 $ -

Travel $ - 0 $ -

Office Supplies (Materials & Supplies) $ - 0 $ -

Postage $ - 0 $ -

Professional Services Contract $ - 0 $ -

Public Relations / Advertising $ - 0 $ -

Purchasing $ - 0 $ -

Security $ - 0 $ -

Training $ - 0 $ -

Personnel Services or Human Resources $ - 0 $ -

Risk Management $ - 0 $ -

Audit $ - 0 $ -

Auditor-Controller $ - 0 $ -

County Administrator $ - 0 $ -

Agency Expenses $ - 0 $ -

County Counsel $ - 0 $ -

Treasurer - Tax Collector $ - 0 $ -

Adjustments $ - 0 $ -

Defense and Prosecution of Criminal and Civil Proceedings $ - 0 $ -

Depreciation and Use Allowances $ - 0 $ -

Fines and Penalties $ - 0 $ -

Gains and Losses on Disposition of Depreciable $ - 0 $ -

Idle Facilities and Idle Capacity $ - 0 $ -

Rearrangement & Alteration Costs (Facilities) $ - 0 $ -

Reconversion Cost (Facilities) $ - 0 $ -

$ - 0 $ -

$ - 0 $ -

$ - 0 $ -

$ - 0 $ -

$ - 0 $ -

$ - 0 $ -

Total Operating Expenses $ - $ - $ - $ - $ -

Total Expenditures $ - $ - $ - $ - $ -

Other Costs


10

2015/16 LHD ICR ProposalICR Crosswalk


County Description of Costs County Cost 2 CFR Part 200 Description of Cost

(A) (B) (C)


Salaries

Benefits

Other Salaries & Benefits

Total Salaries & Benefits $ - $ -


Duplication / Printing

Equipment ($5k or more per item)

Equipment Maintenance, Operations & Repairs

Facilities Maintenance, Operations & Repairs

Rental Costs of Buildings and Equipment

other

Utilities

Information Technology

Telecommunication Costs

Insurance

Memberships, Subscriptions, and Professional Activity Costs

Motor Pool

Travel

Office Supplies (Materials & Supplies)

Postage

Contract

Public Relations / Advertising

Purchasing

Security

Training

Personnel Services or Human Resources

Risk Management

Audit

Auditor-Controller

County Administrator

Agency Expenses

County Counsel

Treasurer - Tax Collector

Adjustments

Defense and Prosecution of Criminal and Civil Proceedings

Depreciation and Use Allowances

Fines and Penalties

Gains and Losses on Disposition of Depreciable

Idle Facilities and Idle Capacity

Rearrangement & Alteration Costs (Facilities)

Reconversion Cost (Facilities)

Other Costs - 1

Other Costs - 2

The line items in Column A, can be changed to match the General Ledger.


11

2015/16 LHD ICR ProposalICR Crosswalk - Example


County Description of Costs County Cost 2 CFR Part 200 Description of Cost

(A) (B) (C)


Salaries 4,625,899 Salaries

Benefits 2,563,957 Benefits

Total Salaries & Benefits 7,189,856


Communications - Radio 6,240 Telecommunication Costs

Communications - Telephone 120,729 Telecommunication Costs

Mobile Communication Devices 15,428 Telecommunication Costs

Insurance 2,754 Insurance

Delivery & Freight Charges 981 Postage

Maintenance - Equipment 49,598 Equipment Maintenance, Operations & Repairs

Maintenance - Computer Equipment 6,545 Equipment Maintenance, Operations & Repairs

Maintenance - Software 44,901 Equipment Maintenance, Operations & Repairs

Medical Dental & Lab Support 189,173 Office Supplies (Materials & Supplies)

Professional Dues 463 Memberships, Subscriptions, and Professional Activity Costs

Membership Dues 20,271 Memberships, Subscriptions, and Professional Activity Costs

Misc Expense 154 Other

PC Acquisition 52,509 Information Technology

Printing 42,018 Duplication / Printing

Laundry/Dry Cleaning 1,095 Other

Other Supplies 1,654 Office Supplies (Materials & Supplies)

Office Supplies & Expense 36,658 Office Supplies (Materials & Supplies)

Postage 37,706 Postage

Operating Materials 775 Office Supplies (Materials & Supplies)

Prof/Spec Svcs-Purchased 423,932 Professional Services Contract

Prof/Spec Svcs-County 29,904 Professional Services Contract

Publications & Legal Notices 4,207 Information Technology

Countywide System Charges 22,050 Rental Costs of Buildings and Equipment

Rents & Leases - Auto 118 Rental Costs of Buildings and Equipment

Rents & Leases - Bldgs & Improvements 106,986 Other

Special Dept Expense - 1099 Reportable 62 Other

Recording Fees 84 Other

Special Dept Expense 27,881 Training

Training 14,410 Travel

Travel & Transportation 2,466 Travel

Mileage 11,179 Travel

Lodging 4,200 Travel

County Vehicle Mileage 45,531 Motor Pool

Program Meals 2,004 Other

Meals/Food Purchases 2,392 Other

Utilities 12,147 Utilities

Transportation for Client 1,060 Travel

Support & Care of Persons 141,520 Professional Services Contract

Supp & Care-Med Dental & Lab Supplies 2,093 Office Supplies (Materials & Supplies)

Operating Transfer Out 239 Other

Operating Transfer Out-Capital Imprvmt 550,000 Rearrangement & Alteration Costs (Facilities)

I/T County General Fund -414,393 Adjustments


Submission DocumentsLHD ICR Certification & Proposal (CDPH 2345)

• Certification: Signatures Required, Page 1• Proposal: Signatures Required, Page 3

ICR Checklist and Assessment (Excel)• Signature Required

Additional Documentation• Countywide Cost Allocation Plan• ICR Summary Spreadsheet (See Sample)

12



Electronically:[email protected]

13

November 14, 2014:LHDs submit ICR Certification and Proposal

Submission Timeline


mailto:[email protected]


November 2014: CDPH reviews ICR Documents

January 2015: CDPH posts each LHD ICR

July 1, 2015: Posted ICR will be applied to all contracts, agreements and grants with July 1, 2014 start dates.

14

CDPH Timeline



2015/16• State Fiscal Year (FY) 2015/16 LHD ICR capped at 15% of

Total Personnel Costs • Salaries/Wages + Fringe Benefits

2016/17 & Beyond• FY 2016/17 LHD ICR capped at 10% of Total Personnel

Costs• Salaries, Wages & Fringe Benefits

15

If LHD does not Submit



• Utilize approved ICR for each LHD agreement (from posting on website)

• Review direct program budget to ensure that there is no overlap with items within the ICR; if there is overlap ensure that there is a legitimate reason.

• Verify that the Indirect Rate for subcontracts is applied to the first $25,000 for each subcontract.

16

Role of CDPH Contract Managers



• Programs should seek to understand:

• How do budgeted items support the activities in the Scope of Work?• Where is the program housed?• What method is used to allocate and track the cost to an individual

program?• Are there joint costs that benefit multiple programs?

17

Role of CDPH Contract Managers



• CDPH Contract Bulletin 13-07• Internal Certification of Indirect Cost Rate

Proposal• Indirect Cost Rate Checklist & Assessment• FAQ on ICR Method• Sample Backup Documentation: ICR

Summary• Questions: [email protected]

18

Recap of Resources


mailto:[email protected]


Questions?

19
