DETERMINING WHEN A CONTRACT AMENDMENT IS SUBJECT TO OSC REVIEW
Original Contract Was Subject To OSC Review
A contract amendment must be submitted to the New York State Office of the State Comptroller’s (OSC) Bureau of Contracts (BOC) for review if the original contract was subject to OSC review and if any terms and conditions are modified by the amendment. Following are examples of terms and conditions that when modified would result in an amendment transaction that is subject to OSC review:
Budget adjustments (refer to SFL Article 11-B for Grant budget adjustments)
Amendments that result in changes not contemplated in the original agreement may require additional justification, supporting documentation and/or a contract reporter exemption request, depending on the scope of changes.
Original Contract Was Not Subject To OSC Review
An amendment to a contract not originally subject to OSC review must be submitted to BOC when the amendment will increase the Contract Maximum to meet or exceed OSC’s review threshold (see Section 2.A - Thresholds of this Chapter for additional information). Additionally, subsequent transactions that modify the terms and conditions of such an agreement will also require BOC review.
Contact the appropriate BOC Audit Team for guidance, if needed, on determining if an amendment is subject to OSC review (see Chapter I, Section 5 - OSC Bureau Contact Information of this Guide for additional information).
CREATING A PROCUREMENT CONTRACT AMENDMENT IN THE STATEWIDE FINANCIAL SYSTEM (SFS)
To route a procurement contract amendment to BOC for review, an agency must create a new contract version in the Statewide Financial System (SFS) Procurement Contracts Module.
The version created in the SFS must include:
selection of an Audit Type that requires BOC review; and
change(s) made to one or more of the following Contract Header Fields
- Contract Maximum
- Begin Date
- Expire Date
- New York State Contract Description Field
The NYS Contract Description Field in SFS
The NYS Contract Description field should be updated to capture and summarize modifications to the agreement. If no other Contract Header fields are changed, modification to the NYS Contract Description field (in conjunction with an Audit Type requiring OSC review) systematically routes the amendment to OSC for review. Access SFSSecure to find job aids containing additional guidance on Audit Types.
Procurement Contract Line Changes
Changes to procurement contract lines should not be sent to OSC for review and approval, unless the changes in procurement contract lines are the result of changes to terms and conditions. Changes to procurement contract lines that result in reducing pre-encumbrance below the required funds reservations are not allowed.
CREATING A REVENUE CONTRACT AMENDMENT IN THE STATEWIDE FINANCIAL SYSTEM (SFS)
To route a revenue contract amendment to BOC for review, an agency must create an amendment in the Statewide Financial System (SFS) in the Customer Contracts Module.
PLEASE NOTE: The Customer Contracts Module does not allow the Contract Header to be updated to reflect an amended Revenue Contract start date later than the current start date or an end date earlier than the current end date. In these cases, the revised contract period (both start and end date) must be included in the NYS Contract Description Field in order for OSC to review the transaction. In addition, every subsequent amendment will require the revised contract period entered in the NYS Contract Description.
Generally, agencies are required to submit the following contract amendment documents to OSC for review:
Transmittal cover letter
Additional signature pages, if needed
o Vendor responsibility documentation, if required
o Additional justification
BOC routes these documents to the appropriate audit team based on the Audit Type on the STS/AC 340-S. When BOC receives the contract documents with the STS/AC 340-S on top, routing of transactions to the appropriate audit team is quick and efficient; when the STS/AC 340-S is interspersed among other transaction documents, it impedes BOC’s ability to quickly process and route the transactions to the appropriate audit team. Similarly, when vendor responsibility documentation is required, those documents should be kept together so they can be given to BOC’s VendRep audit team.
After a contract amendment is approved by OSC, the signed signature page(s) are returned to the agency. It is the agency’s responsibility to attach the signature page(s) to the proper contract documents (see Section 2.E – Agency Submission of Contract of this Chapter for additional information).
Procurement Contract amendment transactions which require a funds reservation may be submitted with the funds reservation amount identified on the bottom of the STS or AC 340-S (see Section 2.C - Contract Funds Reservation of this Chapter for additional information). As part of OSC’s review, the contract requisition is checked to verify that adequate funds have been reserved.
Guide to Financial Operations