You are here: XII. Expenditures > 6. Unique Payment Situations > B. Paying for the Purchase of Land

XII.6.B
Paying for the Purchase of Land


SECTION OVERVIEW AND POLICIES

 

This section informs New York State agencies how to process vouchers and identifies documentation required to make payment to the property owner for land acquisition.

Real property is sometimes voluntarily sold to the State or acquired involuntarily by eminent domain. Agencies enter into contracts with individuals or entities to acquire land. These contracts are approved by both the Office of the Attorney General (OAG) and the Office of the State Comptroller (OSC). The OAG researches the title for the land and certifies that the payee is entitled to payment.

All purchases of land must be assigned a Special Use Vendor ID in the Vendor File for all claimants to the contract to receive payment and appropriate 1099 tax reporting. The agency must request a Special Use Vendor ID from the Bureau of State Expenditures’ Vendor Management Unit (VMU). The VMU will assign regular Vendor IDs starting with “06” for land purchase transactions. Agencies will use the assigned Special Use Vendor ID to submit a contract for the land purchase if applicable to OSC’s Bureau of Contracts for approval.

Once the contract is certified by the OAG, Agencies are required to process all purchases of land voucher payments through the Statewide Financial System and submit all documentation to support the land purchase to OSC’s Bureau of State Expenditures (BSE) for contract liquidation and payment processing. BSE will ensure all documentation is received and accurate prior to approving the land claim voucher for payment.

There are special procedures related to record retention, federal reporting, and interest payment calculations when processing vouchers for land purchases. OSC is responsible for maintaining the deeds for all State property. To fulfill the requirement agencies must submit all documents to OSC prior to payment.

For more information on record retention requirements specific to payments for the purchase of land, see Section 3 - Record Retention - Accounts Payable Vouchers and Land Claims of this Chapter.

In addition, the State of New York will produce the IRS Form 1099-S to send to the seller of the land for federal reporting purposes.

 

Process and Document Preparation:

 

  1. Complete AC 1366-S Claim for Payment – Purchase of Land or Property.

Refer to Section 5 - Agency Payment Preparation and Submittal of this Chapter for instructions on how to obtain a Special Use Vendor ID.

Refer to Section 5 - Agency Payment Preparation and Submittal of this Chapter for instructions on how to submit a regular voucher.

  1. The following tables list the unique coding to use when processing a voucher for the purchase of land, the real estate tax reimbursement, the interest on the purchase, and involuntary eminent domain. Agencies must use the defined regular voucher field coding for all other fields.

 

Unique Coding for the Purchase of Land

 

Legacy Bulk Load Field Name PeopleSoft
Bulk Load
Field Name
SFS Field Name SFS Voucher Coding
T302-VEND-LOC-ID TVOH-VEND-LOC-ID Location Use the VMU assigned Location for the Claimant
T302-VEND-ADDRESS_SEQ TVOH-VEND- ADDRESS_SEQ Address Sequence Use the VMU assigned Address ID for the Claimant
T302-INT-ELIG TVOH-INT-ELIG Late Charge Option Not Applicable
T302-CHECK-ROUTE TVOH-CHECK- ROUTE Handling Code L – Purchase of Land
T302-IRS-CD TVOL-IRS-CD Withholding Class Legacy Bulk Load - Blank

PeopleSoft Bulk Load – Blank


SFS – Select the withholding link on the Invoice Information tab and uncheck withholding.

 

 

 

 

 

 

 

T302-DESCRIPTION

 

 

 

 

 

 

 

TVOH-

COMMENTS

 

 

 

 

 

 

 

Comments

Property Address/Property
City/Property State/Property Zip/Property
Description/Primary Residence Indicator


Note: It is important to include all front slashes (/) to separate each piece of information.

Required Data Defined:

Property Address - Street Address (30 character limit)

Property City - City (20 character limit)

Property State - State (2 character limit)

Property Zip - Zip (9 character limit)

Property Description and/or Contract ID - Map and Parcel Numbers and/or assigned “W” contract number (26 character limit)

For Example:
10 MAIN STREET/ALBANY/NY/12236/W123456 TAX MAP 123/
T304-OBJECT-GROUP TVOD- ACCOUNT Account Code 60701

 

Unique Coding for the Real Estate Tax Reimbursement

 

Legacy Bulk Load Field Name Bulk Load
Field Name
SFS FieldName SFS Voucher Coding
T302-VEND-LOC-ID TVOH-VEND-LOC-ID Location Use the VMU assigned Location for the Claimant
T302-VEND-ADDRESS_SEQ TVOH-VEND- ADDRESS_SEQ Address Sequence Use the VMU assigned Address ID for the Claimant
T302-INT-ELIG TVOH-INT-ELIG Late Charge Option Not Applicable
T302-CHECK-ROUTE TVOH-CHECK-ROUTE Handling Code T – Real Estate Tax Reimbursement
T302-IRS-CD TVOL-IRS-CD Withholding Class Legacy Bulk Load - Blank

PeopleSoft Bulk Load – Blank

SFS – Select
the withholding link on the Invoice Information tab and uncheck withholding.

 

 

 

 

 

 

 

 

 

 

T302-DESCRIPTION

 

 

 

 

 

 

 

 

 

 

TVOH-
COMMENTS

 

 

 

 

 

 

 

 

 

 

Comments

Property Address/Property City/Property State/Property
Zip/Property
Description/Primary Residence Indicator

 

Note: It is important to include all front slashes (/) to separate each piece of information.

Required Data Defined:

Property Address - Street Address (30 character limit)

Property City – City (20 character limit)

Property State – State (2 character limit)

Property Zip – Zip (9 character limit)

Property Description and/or Contract ID - Map and Parcel Numbers and/or assigned “W” contract number (26 character limit)

For Example:

10 MAIN STREET/ALBANY/NY/12236/W123456 TAX MAP 123/

T304-OBJECT-GROUP TVOD-
ACCOUNT
Account Code 60701

 

Unique Coding for the Interest Payment


Legacy Bulk
Load Field Name
Bulk Load Field Name SFS FieldName SFS Voucher Coding
T302-VENDLOC-ID TVOH-VEND-LOC-ID Location Use the VMU assigned Location for the Claimant
T302-VEND-ADDRESS_SEQ TVOH-VEND-ADDRESS_SEQ Address Sequence Use the VMU assigned Address ID for the Claimant
T302-INT-ELIG TVOH-INT-ELIG Late Charge Option Not Applicable
T302-CHECK-ROUTE TVOH-CHECK-ROUTE Handling Code Blank
T302-IRS-CD TVOL-IRS-CD Withholding Class Blank






T302-DESCRIPTION






TVOH-
COMMENTS






Comments
Property Address/Property City/Property State/Property Zip/Property Description/Primary Residence Indicator

Note:
It is important to include all front slashes (/) to separate each piece of information.

Required Data Defined:

Property Address - Street Address (30 character limit)

Property City – City (20 character limit)

Property State – State (2 character limit)

Property Zip – Zip (9 character limit)

Property Description and/or Contract ID - Map and Parcel Numbers and/or assigned “W” contract number (26 character limit)

For Example:
10 MAIN STREET/ALBANY/NY/12236/W123456 TAX MAP 123/
T304-OBJECT-GROUP TVOD-
ACCOUNT
Account Code 58402

 

Unique Coding for Involuntary Eminent Domain

(Funds Placed on Deposit)


Legacy Bulk Load Field Name Bulk Load Field Name SFS Field Name SFS Voucher Coding
T302-VEND-LOC-ID TVOH-VEND-LOC-ID Location Use the VMU assigned Location for the Claimant
T302-VEND-ADDRESS_SEQ TVOH-VEND-ADDRESS_SEQ Address Sequence Use the VMU assigned Address ID for the Claimant
T302-INT-ELIG TVOH-INT-ELIG Late Charge Option Not Applicable
T302-CHECK-ROUTE TVOH-CHECK-ROUTE Handling Code Blank
T302-IRS-CD TVOL-IRS-CD Withholding Class Legacy Bulk Load - Blank

PeopleSoft Bulk Load – Blank

SFS – Select the withholding link on the Invoice Information tab and uncheck withholding.
T302-DESCRIPTION TVOH-
COMMENTS
Comments Property Address/Property City/Property State/Property Zip/Property Description/Primary Residence Indicator

Note: It is important to include all front slashes (/) to separate each piece of information.

Required Data Defined:

Property Address - Street Address (30 character limit)

Property City – City (20 character limit)

Property State – State (2 character limit)

Property Zip – Zip (9 character limit)

Property Description and/or Contract ID - Map and Parcel Numbers and/or assigned “W” contract number (26 character limit)


For Example:

10 MAIN STREET/ALBANY/NY/12236/W123456 TAX MAP 123/

T304-OBJECT-GROUP TVOD-
ACCOUNT
Account Code 60701


  1. Ensure the correct Claimant Location and Address Sequence Number is entered on each voucher.

  2. For payments of property involuntarily obtained under eminent domain, the voucher processed to hold the funds used to pay the claimant at a future point in time must total zero dollars. The Location used will direct payment to the designated eminent domain sub-fund.

  3. Submit the voucher for payment electronically into the SFS.

  4. Send all paper documentation to the BSE for payment approval:

    Office of the State Comptroller
    110 State Street
    Mail Drop 10-4
    Albany, NY 12236

    Include the following documentation


  5. Effective August 1, 2014, payments resulting from an eminent domain judgment or an Eminent Domain Procedure Law section 701 award must be processed by the originating agency. The voucher must be processed in SFS using the Unique Coding for the Purchase of Land detailed above and all necessary documentation must be submitted to the Bureau of State Expenditures.

  6. The following documentation must be submitted when processing a Payment resulting in an eminent domain:

  1. All purchase of land vouchers are audited to ensure the payment amounts are distributed in accordance with the OAG’s pay letter.

  2. The Bureau of State Expenditures will make adjustments or redirect payments to the affected parties per the OAG’s pay letter as necessary.

For questions regarding the processing or payment of vouchers for the purchase of land, please contact the Bureau of State Expenditures’ Customer Service Help Desk at (518) 474-4868, or by email addressed to stexpend@osc.state.ny.us.

 

 

Guide to Financial Operations
REV. 01/23/2017