11000     GENERAL
(Revised 5/87)

Various statutes provide that specific state agencies may furnish services to employees. The rates for meals, laundry, dry cleaning, and rent of living quarters are established by the State Board of Control. Collections for services to employees will be remitted to the State Treasury for credit to the support appropriation current at the time the employee received the service (in the case of meal tickets, at the time of purchase) unless otherwise specified by law.

Employees of the agency furnishing maintenance services may pay for such services by payroll deductions. Anyone who is not on the payroll of the agency furnishing maintenance services must pay cash for the services unless his employing agency and the central office of the agency furnishing the services have negotiated an agreement approved by the Fiscal Systems and Consulting Unit, Department of Finance.

The usual payroll deduction procedure in maintenance is described herein. Briefly, this procedure permits ledgerless accounting for employee maintenance charges, thereby eliminating the maintenance of individual employee ledger accounts and the recording of charges and credits thereon. (See SAM Section 11074.)

Agencies that offer services to employees, the total charge for which does not ordinarily vary from month to month, may, by agreement with the State Controllers Office, use a fixed deduction for maintenance by filing Report of Miscellaneous Changes, Std. Form 606. (See Section 47.1 of Controller's Payroll Manual.)

11021     MEALS
(Revised 5/75)

Board of Control Rule 868 specifies the circumstances under which individuals other than inmates, patients, or wards may eat at state agencies. A meal ticket is required for each meal eaten at a state institution except as otherwise specifically provided by Rule 868. Every meal ticket will be signed upon presentation at the dining room by the user.

Agencies will collect sales tax on meals and food products sold, except for such sales at schools exempted from the tax under Section 6363 of the Revenue and Taxation Code.

Accountability for meal tickets will be established at the time they are received form the State Printer by recording the receipt of tickets in memorandum accounts. Unissued and canceled meal tickets will be safeguarded against theft.

11022     EMPLOYEE MEAL TICKET BOOKS
(Revised 2/71)

Employee meal ticket books sold either for cash or for payment by payroll deduction will be reported on Report of Meal Ticket Sales, Std. Form 520. (See SAM Section 11024.)

11022.1      CHARGE SALES OF EMPLOYEE MEAL TICKET BOOKS 
(Revised 2/71)

Each employee purchasing meal ticket books by payroll deduction will acknowledge receipt of the meal ticket books and authorize a payroll deduction for their cost by signing a Meal Ticket Book Pay Roll Deduction Notice, Std. Form 5l7. This form will be the accounting office charge document. Only ticket selling units located away from the accounting office need to prepare duplicate copies. These copies will serve as their record of meal ticket book charge sales and will be retained for subsequent audit.

11022.2     CASH SALES OF EMPLOYEE MEAL TICKET BOOKS
(Revised 2/71)

Cash receipts and Meal Ticket Book Pay Roll Deduction Notice, Std. Form 517, will not be prepared for cash sales of employee meal ticket books. Cash received from sale of employee meal ticket books will be turned in to the accounting office on the day of sale. (See Sam Section 11024.)

11023      GUEST MEAL TICKETS
(Revised 2/71)

Except as specifically authorized by Board of Control Rule 868 (b), all guest meal tickets will be sold for cash and will be reported on Report of Meal Ticket Sales, Std. Form 520. (See SAM Section 11024.) Cash receipts will not be written for guest meal ticket sales. Cash received from sale of guest meal tickets will be turned in to the accounting office on the day of sale.

Persons specifically authorized by Board of Control Rule 868 (b) to receive meals free of charge will be issued guest meal tickets without charge. Books of guest meal tickets to be issued without charge will be registered on a columnar sheet by book number as they are issued to persons authorized to issue them. The register will show the date, book number, and name and title of the person to whom they are issued. Individual tickets will not be registered; however, they will be signed prior to presentation at the dining room by the individuals to whom they are finally issued.

11024     REPORT OF MEAL TICKET SALES
(Revised 1/78)

Each ticket selling unit will, on each day that meal tickets are sold or returned for credit, report the following information on Report of Meal Ticket Sales, Std. Form 520:

1. The total value of guest meal ticket and employee meal ticket book sales.
2. The total value of guest meal ticket and employee meal ticket book sales for cash.
3. The total value of employee meal ticket books sold for payment by payroll deduction.
4. The total value of unused meal tickets returned by the purchaser for credit or refund.

Meal ticket selling units will prepare Std. Form 520 and will attach to it the original copies of Meal Ticket Book Payroll Deduction Notice, Std. Form 517, and Report of Miscellaneous Changes, Std. Form 606.

Only ticket selling units located away from the accounting office need to prepare and retain duplicate copies of Std. Form 520. These copies, when properly receipted by the cashier or accounting office, will serve as (1) a receipt for cash turned in to the cashier or accounting office from sale of employee meal ticket books (See SAM Section 11072.1 pertaining to Cash Payments) and guest meal tickets, (2) a receipt for unused meal tickets returned for credit or refund, and (3) an inventory control document to substantiate the sale of employee meal ticket books and guest meal tickets.

The accounting office's file of original Std. Form 520 will be retained to support journal entries for postings to the appropriate General Ledger accounts for (1) cash sales of employee meal tickets books and guest meal tickets, (2) all issuances of meal tickets, and (3) cancellation of unused meal tickets.

11026     MEAL TICKET CANCELLATION
(Revised 2/71)

A purchaser may return any unused meal tickets for refund or credit. (See SAM Section 11073) The returned meal tickets will be stamped to show cancellation and the date they are canceled. Canceled meal tickets will be retained for audit in the chronological order of cancellation. Unused meal tickets returned for refund or credit will be reported on Report of Meal Ticket Sales, Std. Form 520.

11027      CERTIFICATION FOR LOST OR DESTROYED MEAL TICKETS
(Revised & Renumbered 2/65)

A purchaser may be given credit or a refund for the purchase price of meal tickets that are lost or destroyed. The purchaser will sign, under the penalties of perjury, a completed Lost Meal Ticket Certificate similar to the illustration below. A responsible official designated by the person in charge of the institution will approve the Lost Meal Ticket Certificate after checking its reasonableness.

Lost Meal Ticket Certificates will be retained for audit in the chronological order of issuance. Lost Meal Ticket Certificates need not be registered. The file of original copies of Lost Meal Ticket Certificates will be retained by the accounting office.

LOST MEAL TICKET CERTIFICATE

Date_______________   

Name of Institution:_________________________________________
   
Identification of Tickets:

Book No._________   Purchase Price__________  Purchase Date__________
   
Description of Loss:

Approximate Date Lost or Destroyed____________________________ 
 
Number of Tickets Used__________   Number of Tickets Lost or Destroyed_______
   
Value of Tickets Lost or Destroyed $________________
 
Briefly describe circumstances of the loss or destruction and efforts made to recover tickets:

__________________________________________________________________________________________

__________________________________________________________________________________________

__________________________________________________________________________________________

__________________________________________________________________________________________ 
 
If the above tickets are found subsequent to the date of this certification, the tickets will be turned in for attachment to this certificate.
I hereby certify under the penalties of perjury that the above information is true and correct to the best of my knowledge.

______________________  
Signature of Purchaser

APPROVED:

_____________________  
Signature

_____________________________  
Title of Institution Official
 

11028     DESTRUCTION OF CANCELED MEAL TICKETS AND LOST MEAL TICKET CERTIFICATES
(Revised 5/87)

Canceled meal tickets and Lost Meal Ticket Certificates will be destroyed quarterly. A listing of the items destroyed, together with a statement signed by the officer who witnessed the destruction, will be forwarded to Department of Finance, Financial and Performance Accountability.

11030     LIVING QUARTERS 
(Renumbered 2/65)

11031      GENERAL
(Renumbered 5/69)

The method of determining employees' priorities to living quarters will be established by each institution or central office of the department that has living quarters to rent. Living quarters will be rented to employees at rates established by State Board of Control Rules.

Agencies that rent living quarters to employees will maintain the following records:

Form No.
 518 

Name of Form 
House or Room Charge Notice 

Order of File 
Active 
Alphabetic 

Inactive
Chronologically

Keys to rooms will be controlled by the employee who makes room assignments.

11033     CHARGES FOR LIVING QUARTERS 
(Renumbered 2/65)

Each occupant, including those paying cash, will sign and date two copies of House or Room Charge Notice, Std. Form 518, upon occupying quarters. The occupant again will sign and date both copies of the same Std. Form 518 to discontinue the charge when changing or vacating quarters and when changes in the rental rate are effected. A new set of Std. Form 518 will be completed and signed by the occupant when new rent rates are established or when the employee is assigned new quarters. When living quarters will be or have been occupied for only a part of a month, the charge for the partial month will be computed and entered on both copies of the Std. Form 518.

Agencies that use a fixed deduction for maintenance will not use this procedure for individual employees. Deductions under this alternate procedure are made on a continuing basis by the State Controller's Office (See SAM Section 11000). Agencies will review payrolls to assure that the State Controller's Office starts making the deductions. Thereafter, agencies will assume that the State Controller's Office will continue to make such deductions until they initiate a further change.

11040     LAUNDRY AND DRY CLEANING SERVICE 
(Renumbered 2/65)

11041     GENERAL 
(Renumbered 2/65)

Certain institutions are authorized by Board of Control Rules and Regulations to furnish household or personal laundry service to their employees.

11042     FIXED MONTHLY CHARGE FOR LAUNDRY SERVICE 
(Revised & Renumbered 2/65)

Board of Control Rule 867.1 requires that a fixed monthly rate be charged for laundry service furnished to employees of certain institutions. Employees of these institutions that receive these services, including those paying cash, will sign two copies of a Laundry Charge Notice similar to that illustrated below when first requesting laundry service. These forms are not obtainable from Central Stores, Office of Procurement. Employees again will sign both copies of the same Laundry Charge Notice to discontinue the fixed monthly charge for laundry service. The original copy of the Laundry Charge Notice will be the accounting charge document. The duplicate copy will be retained by the laundry as its authorization to furnish laundry service to the employee.

Laundry Charge Notice

11050     OTHER AUTHORIZED SERVICES 
(Revised & Renumbered 2/65)

Authorized services to employees for other than meals, living quarters, laundry and dry cleaning services will be recorded on an appropriate charge notice similar to those illustrated below. These forms are not available from Central Stores, Office of Procurement. Each such charge notice will contain a statement authorizing a payroll deduction. Employees requesting such services, including those paying cash, will sign two copies of the charge notice each time a service is requested. The original copy of the charge notice will be the accounting office charge document. The duplicate copy will be retained by the servicing unit as its authorization to furnish the service. A triplicate copy may be prepared, used as a control document during the servicing operation, and given to the employee when the service has been completed.

11061     CHARGE NOTICE CARDS
(Renumbered 2/65)

Each institution service unit, except service units furnishing meals, will maintain in a current file the original copies of charge notice cards signed by employees (1) who are currently being furnished services and (2) who have been furnished services since the last cut-off date for forwarding charge notices to the accounting office for payroll deduction. (See Section 11062)

11062     END OF MONTH PROCEDURES
(Renumbered 2/65)

Immediately after the cut-off date for submitting employee maintenance charges and credits to the accounting office each servicing unit will:

1. Determine the total amount of employee maintenance charges and the number of charge notices involved.
2. Determine the total amount of employee maintenance credits issued and the number of credit notices involved.
3. Forward to the accounting office the original copies of the charge and credit notices (each assembled in alphabetical order), the adding machine tapes resulting from 1 and 2 above, and a transmittal notice. The transmittal notice will contain the following information:
   1. Servicing unit, date, and type of service furnished; such as laundry service, quarters, etc.
   2. Total amount of employee maintenance charges and the number of charge notices involved.
   3. Total amount of employee maintenance credit issued and the number of credit notices involved.
   4. Signature of the employee preparing the transmittal notice.

11071     CLASSIFICATION OF REIMBURSEMENTS 
(Renumbered 2/65)

Appropriation reimbursements for services to employees will be reported on Budget Report, Std. Form 584, by types of services as follows: (1) meals, (2) rental of living quarters, and (3) all other miscellaneous services combined. This will be accomplished by keeping separate estimated reimbursement allotment-expenditure accounts for each of these three types of services.

11072.1     CASH PAYMENTS
(Renumbered5/87)

An employee who signs a charge notice authorizing a payroll deduction for maintenance service and who later pays cash for all or part of this service will be provided with a receipted copy of Miscellaneous Deduction Change Report, Std. Form 650. (See SAM Section 11073.1). Cash payments of this type will be accepted only for maintenance service charges not yet forwarded to the State Controller's Office for payroll deductions.

Cash received as a result of (1) cash payments for maintenance services authorized by payroll deductions, (2) cash sales of employee meal ticket book, and (3) cash sales of guest meal tickets will be recorded in the General Cash Receipts Register. The General Cash Receipts Register will contain a column titled "Appropriation Reimbursements–Services to Employees, Account No. 8100".  The total of this column will be credited to Account No. 8100, Appropriation Reimbursements.

11072.2     PAYROLL DEDUCTIONS 
(Renumbered10/85)

The net amount to be deducted for maintenance charges from an employee's salary, after taking into consideration any credits issued, will be reported monthly to the Personnel/Payroll Services Division, State Controller's Office in accordance with the State Controller's Payroll Procedures Manual.

Agencies normally will release payroll warrants to other than separating employees even though an amount is due the State for employee maintenance. This amount usually represents services charged to the employee but not yet deducted by the State Controller.

11072.21     SEPARATING EMPLOYEES 
(Renumbered5/87)

Payroll warrants for separating employees will be checked to see if all maintenance charges have been deducted by the State Controller's Office. If, after considering any deduction taken in computing the warrant concerned, it is determined that the employee owes for services, his warrant will be deposited for credit to the agency's general checking account in the centralized State Treasury System and a general cash check for the correct net pay will be given to the employee. The amount remaining for maintenance deductions in Account No. 1110, General Cash, will be included in the next remittance to the State Treasury.

The warrant for maintenance deductions will be accounted by the same entry as any other collection of a reimbursement account receivable. (See Section 11072.1)

The State Controller's Payroll Procedures Manual should be referred to for additional information regarding maintenance deductions.

11072.22     STANDARD PAYROLL DEDUCTION FOR TEMPORARY EMPLOYEES FOR MEAL AND LODGING
(Revised 5/87)

A standard monthly payroll deduction for meals and lodging will be made from the salaries of temporary employees who normally eat three meals a day at work camp facilities. No refunds will be made for meals not eaten or lodging not used by the employee during the month. (Board of Control Rule 868(c)). When salary payments are made for periods of less than one month, the deduction for meals and lodging will be at the rate prescribed by Board of Control Rule 868(c).

11073.1     CREDITS 
(Revised 5/87)

Agencies will issue Miscellaneous Deduction Change Report, Std. Form 650, to allow employees credit for (1) lost or destroyed employee meal tickets, (2) unused maintenance services such as unused employee meal tickets, (3) erroneous charges for maintenance services, and (4) cash payments made by employees for maintenance services which originally were authorized by payroll deductions notices. All transactions of this type will be credited to Account No. 1312__, Accounts Receivable–Reimbursements, Services to Employees.

Credits issued will be applied to the employee's current maintenance charges or held to be applied to the employee's future maintenance charges if the employee is expected to have maintenance charges in the near future. Employees who do not have current maintenance charges and who are not expected to have maintenance charges in the near future will file a request for refund. (See Section 11073.2)

Miscellaneous Deduction Change Report, Std. Form 650, will be prepared in three copies. All copies will be signed by a designated institution official and by the employee requesting the credit or refund. The original will be the accounting office credit document. The duplicate will be retained by the unit issuing the credit for subsequent audit. The triplicate will serve as the employee's receipt.

11073.2     CLAIMS FOR REFUNDS 
(Revised 5/87)

Agencies will schedule a claim for refund for lost or destroyed employee meal tickets, unused employee meal tickets, unused maintenance services, and erroneous maintenance charges for those employees who (1) have no current maintenance charges or have insufficient maintenance charges and (2) who are no expected to have maintenance charges in the near future to which the credit can be applied.

Claims for refunds will be for the amount of refund requested less any amount due for current maintenance services. (See Section 11073.1) The claim will be scheduled against the appropriation current as of the date the room was vacated for rental refunds or the refund request date, if the refund does not include a rental refund. The claim will be supported with an invoice similar to that illustrated on page 11073.2 (Cont. 1).

EMPLOYEE'S REQUEST FOR REFUND

TO:  (Name of State Agency)                                                Date_______________
   
Unused portion of meal book number______:______tickets $................... 
 at (unit price)

Unused portion of rent for room number_________ . (date) .......................  
to (date) at $ (rate) per month.

Other (explain fully)___________________________         .......................
       
________________________________________________     
  
                                                                                          Total $.......................
 
 Less amount due (Name of State Agency) for maintenance
 services before applying the above credits.
  
                                                               Net Amount Claimed $......................
 
                                                                         _____________________ 
                                                                           Signature of Claimant

If immediate payment is necessary, such as when an employee is separating from state service, the agency may reimburse the employee by a revolving fund check and reimburse the revolving fund by State Controller's claim schedule. In order to avoid duplicate refunds to employees, the Miscellaneous Deduction Change Report, Std. Form 650, for which a refund by revolving fund check is made, will be noted by writing or stamping across its face the following notation: "Refund by Revolving Fund Check No. ______ in the amount of $ ______. "

All claims scheduled for refunds will be debited to Account No. 1312, Accounts Receivable–Reimbursements, Services to Employees.

11073.3     CORRECTION OF CHARGES AND CREDITS 
(Revised 5/87)

Charge or credit notices still held by the service unit may be corrected by lining through the incorrect amount and placing the correct amount above it. Such corrections will be initialed both by the employee to whom the charge or credit pertains and the service unit supervisor.
Amounts shown on charge and credit notices submitted to the accounting office will not be altered in any way. All such overcharges and undercharges for maintenance services, including services paid for by cash, will be corrected as follows:

1. Overcharges: Overcharges for employee maintenance services will be corrected by issuing Miscellaneous Deduction Change Report, Std. Form 650, for amounts overcharged. The notation "Correction of Overcharges for (type of service), Date (date of service) 19__" will be written or stamped across the face of all copies of Miscellaneous Deduction Change Report, Std. Form 650, issued for this purpose.
   Servicing units may, in lieu of a credit notice, reduce the current month charge to adjust for a previous month overcharge to an employee provided the reverse side of the adjusted charge notice is noted to show the amount of the overcharge adjustment and the month during which the overcharge occurred and is signed by the service unit employee. However, in no event will the charge notice be adjusted to result in a minus charge. If the adjustment for the previous month overcharge will result in a minus charge for the current month, the overcharge will be corrected by preparing a credit notice as outlined above.
2. Undercharges: Undercharges for employee maintenance services will be corrected by issuing charge notices of the type normally used by the service unit requesting the additional charge. The notation "Correction of Undercharge for (type of service), Date (date of service), l9__" will be written or stamped across the face of all copies of charge notices issued for this purpose.

All charges and credit notices issued will affect Account No. 1312, Accounts Receivable–Reimbursements, Services to Employees.

11074     ACCOUNT NO. 1312, ACCOUNTS RECEIVABLE–REIMBURSEMENTS, SERVICES  TO EMPLOYEES
(Revised 5/87)

Agencies that have reimbursements receivable for services to employees will maintain Account No. 1312, Accounts Receivable–Reimbursements, Services to Employees.

Agencies will not maintain individual employee maintenance receivable accounts. Account No. 1312, will show the total amount of appropriation reimbursements receivable from all employees for services rendered. Individual charge notices will be prepared for each service for each employee. (See specific service.) These charge notices serve both as the original charge documents and later, when filed in the accounting office, as the subsidiary detail supporting Account No. 1312.

11074.1     SOURCE OF POSTING
(Revised 5/87)

Account No. 1312, Accounts Receivable–Reimbursements, Services to Employees will be debited with the total of the original meal ticket book charge notices, the total of house or room charge notices, the totals of the charge notices for specialized services, and the amounts of claim schedules submitted for refunds to employees.

Account No. 1312, will be credited for the total of the payroll deductions applied by the State Controller's Office and the total amount of credit notices issued for: (1) cash payments by employees for maintenance service charges which were originally authorized by payroll deduction, (2) unused services such as unused employees meal tickets, (3) lost or destroyed meal tickets, and (4) overcharges for employee maintenance services.

11075     ACCOUNTING OFFICE PROCEDURES 
(Revised 5/87)

As the batches of charge and credit notices are received from the different service units after the cutoff date (See Section 11062), the accounting office maintenance deduction clerk will:

1. Verify the transmittal notice received for the total amount of charges, the total amount of credits, and the number of each type of document involved.
2. Determine the net total of the charge and credit documents held in the Maintenance Charge Suspense File from the previous months. (This total must equal the balance of Account No. 1312, Accounts Receivable–Reimbursements, Services to Employees, prior to posting the current month charges and credits.) Identify and retain this tape.
3. Post the total charges and total credits from each service unit (1 above) to Account 1312, Accounts Receivable–Reimbursements, Services to Employees. This can be done by posting directly to Account No. 1312 or by summarizing the totals to be posted on a columnar sheet and posting the summary totals to Account No. 1312.
4. Add together the batch totals from the different service units to arrive at (a) the total charges to employees and (b) the total credits for employees, Identify and retain these adding machine tapes.
5. Inter-file each employee's charge and credit notices with his Controller's Form CD 45, Payroll Roster File Card in the Maintenance Charge Suspense File. The Maintenance Charge Suspense File consists of all charge and credit notices still to be charged or credited to employees for maintenance services. The net total of the charge and credit notices in this file at all times must agree with the balance of Account No. 1312, Accounts Receivable–Reimbursements, Services to Employees. The file should be maintained in alphabetical order by employee.
6. After the charge and credit notices are filed by individual employees,
   1. Determine the net charge for each employee by totaling the charge and credit notice for each employee,
   2. Post to the employee's Form CD 45 the net charge for the employee.
7. After the Forms CD 45 are posted with the employees' net maintenance charges, determine from these cards the total of the net charges for all employees. Identify and retain this adding machine tape.
8. Complete the following balancing operation:
   
   a. Net total of charge and credit documents held in the
   Maintenance Charge Suspense File from previous months
   (6a above)    $_______________________  
   
   b. ADD: total of current month maintenance charges
   received from the different service units (4a above)    _________________________  
   
   Total $___________________  
   
   c. SUBTRACT: total of current month credits received from
   the different service units (4b above)   ________________________ 
   
   d. Net Employee Maintenance Charge Receivable
   (This amount must equal balance of Account No.
   1312 ____ after posting current month charges and
   credits) $___________________  
   
   e. Sum of net charges shown on the Controller's Payroll
   Roster File Cards, CD 45, to be forwarded to the
   State Controller for deduction (7 above) $__________________________  
   
   f. SUBTRACT: total amount of individual employee net
   credit balance:
   
    (Name of Employee)  $________________
   ___________________
    
    ___________________  _________________
     
    ___________________  _________________ _______________________
        
   g. Net Employee Maintenance Charges Receivable
   (The amount must equal line d above) $________________________ 
   
9. Upon completion of the above balancing operation, retain intact the charge and credit documents, adding machine tapes, and the balancing operation documents in the Maintenance Charge Suspense File until the Controller's Report of Applied Maintenance Deductions is received. 
   Upon receipt of the Controller's report, pull from the Maintenance Charge Suspense File:

Should it become necessary to remove a charge or credit notice from the Maintenance Charge Suspense File before receipt of the Controller's Report of Applied Maintenance Deductions, a substitute card clearly marked "Substitute" will be completed and placed in file in lieu of the document removed.

Maintenance charges unapplied by the State Controller's Office will be resubmitted for deduction the following month. As these deductions are made by the State Controller's Office, the documents involved will be removed from the Maintenance Charge Suspense File and filed with the documents of that month in which the deductions are made.