COMPTROLLER'S SEAL STATE OF CONNECTICUT

STATE OF CONNECTICUT

NANCY WYMAN
COMPTROLLER

OFFICE OF THE STATE COMPTROLLER
55 ELM STREET
HARTFORD, CONNECTICUT 06106-1775

MARK OJAKIAN
DEPUTY COMPTROLLER

MEMORANDUM NO. 2001-36

July 1, 2001

TO THE HEADS OF ALL STATE AGENCIES

Attention: Fiscal and Administrative Officers, Business Managers, Payroll and Personnel Officers
Subject: 2001-2002 Fringe Benefit Cost Recovery Rate

The rates listed on the attached chart are effective July 1, 2001 and should be used for any fringe benefit cost recovery taking place on or after July 1, 2001.

All personal service expenditures from Federal and Private Grants accounted for in the General Fund and any funds other than the General Fund are subject to fringe benefit cost recovery.

The FICA component has been split into two parts, FICA-Social Security and FICA-Medicare. Where appropriate, rates have been established for those classes of employees that contribute to only the FICA-Medicare portion.

Rates have been established for employees covered by the Hazardous Duty Retirement Plan and the Judges/Compensation Commissioners Retirement Plan . Continue to use existing expenditure object coding for payroll purposes. In order that the appropriate fringe benefit rate be applied, a variance is now required when paying employees covered by the Hazardous Duty Retirement Plan, the Judges/Compensation Commissioners Retirement Plan from any funding source subject to fringe benefit cost recovery.

To comply with the requirements necessitated by a change in procedure in paying accrued leave at the death of an employee (See Comptroller's Memoranda No. 2000-34) all accrued leave payments, regardless of the employee retirement plan and reason, must use either expenditure object 01-090 Accrued Sick Leave at Retirement Or Death - Subject to FICA/Medicare, 01-220 Accrued Sick Leave at Retirement or Death - Not Subject to FICA/Medicare, 01-120 Accrued Vacation at Termination, Retirement, or Death - Subject to FICA/Medicare, or 01-190 Accrued Vacation at Death - Not Subject to FICA/Medicare. Prior to making accrued leave payments from any funding source subject to fringe benefit cost recovery to employees who are members of the Hazardous Duty Retirement Plan, Teacher's Retirement System, Alternate Retirement Plan, or Judges/Compensation Commissioner's Retirement System contact the Cost Reporting Unit of the Budget and Financial Analysis Division for the application of the appropriate rate.

All variances approved in 2000-01 or earlier will be deleted for check date August 25, 2000. Variances for 2001-2002 will require a new request.

If there are any questions, please call our Cost Reporting Unit of the Budget and Financial Analysis Division at (860)702-3364.

NANCY WYMAN

STATE COMPTROLLER

NW:RWK

Fringe Benefit Cost Recovery Rates By Expenditure Object -Effective July 1, 2001
Expenditure Fringe Benefit
Object Description Rate
01-010 Full Time 42.29%
---------------and all other codes not listed below-------------
01-020 Temporary 29.42%
01-030 Contractual 7.47%
01-040 Student Labor 0.00%
01-050 Fees 0.00%
01-090 Accrued Sick Leave at Retirement 7.41%
or Death - Subject to FICA/Medicare
01-120 Accrued Vacation at Termination, Retirement, 29.36%
or Death - Subject to FICA/Medicare
01-130 Patient or Inmate Workers 0.00%
01-150 Graduate Assistants - UCONN 12.69%
01-170 Hazardous Duty Pay Differential 42.72%
01-180 Overtime - Temporary Employee 29.42%
01-190 Accrued Vacation at Death - 21.95%
Not Subject to FICA/Medicare
01-220 Accrued Sick Leave at Retirement 0.00%
or Death - Not Subject to FICA/Medicare
01-240 Allowances/Reportable Payments 22.27%
Alternate Retirement Plan
Without FICA/Medicare
01-250 Allowances/Reportable Payments 29.68%
Alternate Retirement Plan
With FICA/Medicare
01-260 Allowances/Reportable Payments 30.66%
Teachers Retirement Without
Medicare
01-270 Allowances/Reportable Payments 32.11%
Teachers Retirement With
Medicare
01-310 thru 01-370 Teachers Retirement System 30.66%
Without Medicare
01-410 thru 01-470 Teachers Retirement Plan With 32.11%
Medicare
01-510 thru 01-570 Alternate Retirement Plan Without 22.27%
FICA/Medicare
01-610 thru 01-670 Alternate Retirement Plan With 29.68%
FICA/Medicare
01-710 thru 01-770 Alternate Retirement Plan With 23.72%
Medicare
01-800 thru 01-850 Lecturers (CSU) 7.47%

01-860

Federal College Work-Study (CSU) 0.00%
01-870 Federal College Work-Study Match (CSU) 0.00%
01-880 Summer Workers (CSU) 7.47%
01-890 Co-operative Ed Students (CSU) 7.47%
01-900 Student/Graduate Interns (CSU) 0.00%
01-920 Interest Penalty - Payroll Awards 0.00%
01-930 Durational Employees-No Benefits-UCONN 29.42%
01-950 Buy Back Option 0.00%
01-960 Foreign Nationals with F-1 or 12.69%
J-1 Visa
01-970 Graduate Assistants (CSU) 0.00%

Fringe benefit cost recovery rates for full time employees of selected retirement plans:

Hazardous Duty With 42.72%
FICA/Medicare
Hazardous Duty Without 35.31%
FICA/Medicare
Judges & Compensation Commissioners 67.23%

Fringe Benefit Rate By Component

SERS Regular Employees 21.95%
Alternate Retirement Plan 9.34%
Teachers Retirement Plan 17.73%
SERS Hazardous Duty 22.38%
Judges/Compensation Commissioners Retirement Plan 46.89%
Unemployment Compensation 0.06%
Group Life Insurance 0.18%
FICA 5.96%
Medicare 1.45%
Medical Insurance 12.69%

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