New Mexico
Taxation and Revenue Department
Revenue Accounting &
Collection Standalone
Project Management Plan
(PMP)
Executive Sponsor – Dona Cook
Business Owner – Wanda Helms, Phil salazar
Project Manager –Loretta Silva
Original Plan Date
Revision Date: Revision: 2.0
February 20, 2008
12:30:52 PM
Project Management Plan
table of contents
About This Document vii
Revision History vii
1.0 Project Overview 8
1.1 Introduction 8
1.2 Current State 9
1.3 Future State 10
1.4 Need 11
2.0 Scope 11
2.1 Project Justification 11
2.2 Project Objectives 12
2.2.1 Business Objectives 12
2.2.2 Technical Objectives 13
2.3 Deliverables 13
2.3.1 Project Management Deliverables 13
2.3.1.1 Project Management Plan 13
2.3.1.2 Implementation Specifications 13
2.3.2 Product Deliverables 13
2.3.2.1 Installation of Revenue Accounting software for Group A Taxes in Development Environment (NMD) 13
2.3.2.2 Acceptance of Revenue Accounting software for Group A Taxes in Test Environment (NMT) 14
2.3.2.3 Acceptance of Revenue Accounting software for Group A Taxes in pre-production environment (NMS) 14
2.3.2.4 Acceptance of Revenue Accounting software for Group A Taxes in production environment (NMP) 14
2.3.2.5 Installation of Revenue Accounting software for Group B Taxes in Development Environment (NMD) 14
2.3.2.6 Acceptance of Revenue Accounting Software for Group B Taxes in Test Environment (NMT) 14
2.3.2.7 Acceptance of Revenue Accounting software for Group B Taxes in pre-production environment (NMS) 15
2.3.2.8 Acceptance of Revenue Accounting software for Group B Taxes in production environment (NMP) 15
2.3.2.9 Installation of Revenue Accounting software for Group C Taxes in Development Environment (NMD) 15
2.3.2.10 Acceptance of Revenue Accounting Software for Group C Taxes in Test Environment (NMT) 15
2.3.2.11 Acceptance of Revenue Accounting software for Group C Taxes in pre-production environment (NMS) 16
2.3.2.12 Acceptance of Revenue Accounting softaware for Group C Taxes in production environment (NMP) 16
2.3.2.13 Installation of Revenue Accounting software for CRS Upgrade (version 6) in Development Environment (NMD) 16
2.3.2.14 Acceptance of Revenue Accounting Software for CRS Upgrade (version 6) in Test Environment (NMT) 16
2.3.2.15 Acceptance of Revenue Accounting software for CRS Upgrade (version 6) in pre-production environment (NMS) 17
2.3.2.16 Acceptance of Revenue Accounting softaware for CRS Upgrade (version 6) in production environment (NMP) 17
2.3.2.17 Installation of Collection Standalone software in Development Environment (NMD) 17
2.3.2.18 Acceptance of Collection Standalone software in test environment (NMT) 17
2.3.2.19 Acceptance of Collection Standalone software in pre-production environment (NMS) 17
2.3.2.20 Acceptance of Collection Standalone software in production environment (NMP) 18
2.3.2.21 Collection Agency Interface Design Specification 18
2.3.2.22 Installation of Collection Agency Interface Functionality in Development Environment (NMD) 18
2.3.2.23 Acceptance of Collection Agency Interface Functionality in Test Environment (NMT) 18
2.3.2.24 Acceptance of Collection Agency Interface Functionality in Pre-Production Environment (NMS) 19
2.3.2.24 Acceptance of Collection Agency Interface Functionality in Production Environment (NMP) 19
2.3.3 Deliverable Approval Authority Designations 19
2.3.4 Deliverable acceptance Procedure 21
3.0 Overall Strategy 21
3.1 Project Management Life Cycle 21
3.2 Detailed Project Planning and Tracking 22
3.3 Critical Success Factors 22
3.4 Project Logistics 22
3.5 Product Life Cycle Model 23
3.6 Technical Strategy 24
4.0 Project Organization 24
4.1 Stakeholders 24
4.2 Customers 24
4.3 Project Team 25
4.3.1 Project Team Organizational Breakdown Structure 25
4.3.2 Project Team Roles and Responsibilities 27
5.0 Project Management and Controls 27
5.1 Staffing Planning and Acquisition 27
5.2 Assumptions 27
5.3 Constraints 28
5.4 Dependencies 28
5.4.1 Mandatory Dependencies 28
5.4.2 Discretionary Dependencies 28
5.4.3 External Dependencies 29
5.5 Risk Management 29
5.5.1 Risk Management Strategy 29
5.5.2 Project Risk Identification 30
5.5.3 Project Risk Analysis 30
5.5.4 Project Risk Mitigation Approach 30
5.5.5 Risk Reporting and Escalation Strategy 30
5.5.6 Project Risk Tracking Approach 30
5.6 Independent Verification and Validation – IV&V 34
5.7 Scope Management Plan 35
5.8 Issue Management 36
5.8.1 Internal Issue Escalation and Resolution Process 36
5.8.2 External Issue Escalation and Resolution Process 37
5.9 Procurement Management Plan 37
5.10 Change Control 39
5.10.1 Change Control Process 39
5.10.2 Change Control Board (CCB) 40
5.11 Project Timeline 40
5.12 Project Budget 40
5.12.1 Budget Tracking 44
5.13 Communication Plan 44
5.13.1 Communication Matrix 44
5.13.2 Status Meetings 45
5.13.3 Project Status Reports 45
5.14 Performance Measurement (Project Metrics) 45
5.15 Quality Objectives and Control 45
5.16 Configuration Management 45
5.16.1 Version Control 45
5.16.2 Project Repository (Project Library) 46
6.0 Project Close 46
6.1 Administrative Close 46
6.2 Contract Close 46
6.3 IV&V Final Report 47
7.0 Glossary 48
7.1 Acronyms and Abbreviations 48
7.2 Definitions 48
APPENDIX A--Project Schedules 54
APPENDIX B--Risk Management 55
APPENDIX C--Issue Management 59
APPENDIX D--Change Control 62
APPENDIX E--Acceptance Management 66
List of Figures
List of Appendices
Appendix A: Project Schedule
Appendix B: Risk Management
Appendix C: Incident Report Form & Summary Spreadsheet
Appendix D: Change Control
Appendix E: Acceptance Management
About This Document
This document is a template that provides the industry accepted guidelines to plan, execute, control, and close a project. This document will need to be tailored and customized to the needs of the project; however special care should be considered if major sections are “tailored out”.
1. “Tailoring” is the process that modifies the structural components of the template to the needs of a specific project. As an example, the Project Manager may have a standard appendix that does not apply to the project.
2. Customization is the mechanical task of inserting customer or project logos, deliverable identifiers, names, and so on, into a copy of the template. The copy then becomes the live version of the Project Management Plan for the project and will need to be updated, as project conditions require.
3. Any level of tailoring can be applied to the template, as long as the PMO is advised. This notification has several purposes:
a. It allows Quality Assurance to adjust checklists and questionnaires,
b. It allows the Program Management Office (PMO) to adjust its oversight and QA activities to the project’s plan,
c. It allows the PMO to advise the project team of the potential effects and risks that may occur if materials are omitted, and
d. It serves as a trigger for possible improvement of the template by the PMO.
4. Any highlighted text indicates that there are some brief instructions for the completion of that section.
i
This is a controlled document, refer to the document control index for the latest revision
Revision: Revenue Accounting & Collection Standalone PMP v2.0
Project Management Plan
Revision History
Revision Number / Date / Comment /1.0
2.0 / 2/20/08
i
This is a controlled document, refer to the document control index for the latest revision
Revision: Revenue Accounting & Collection Standalone PMP v2.0
Project Management Plan
1.0 Project Overview
1.1 Introduction
This project serves four purposes: 1) to convert from a Front-End Revenue Accounting model to a Back-End Revenue Accounting model for all taxes processed by the Taxation & Revenue Department (TRD); 2) to upgrade Combined Reporting System (CRS) Back-End Revenue Accounting from GenTax® version four to GenTax® version six; 3) to implement Collection Standalone functionality within GenTax®; and, 4) to implement a Collection Outsourcing interface.
Two revenue accounting models exist in GenTax® – the Front-End revenue accounting model and the Back-End revenue accounting model. The Front-End revenue accounting model can be used to track cash and the resulting disposition as they are processed by the system. For example, the amounts applied to tax, penalty and interest are recorded against each payment. The current system relies heavily on Front-End revenue accounting to record amounts received by Program type and is effective for tracking total cash, but is lacking in distribution reporting detail.
The Back-End revenue accounting model is used to track detailed information about monies in GenTax® distributed into revenue accounts. The Back-End model provides greater revenue detail about the actual disposition of revenue in the system. Converting to the Back-End revenue accounting model will improve reporting and online access to distribution information and will provide a more robust, accurate, and trusted revenue accounting scheme for all taxes.
CRS accounts are currently utilizing the Back-End revenue accounting model, but must be upgraded from GenTax® version four to GenTax® version six in order to take advantage of all the latest reporting features available in GenTax® version six. This upgrade will provide better reporting and distribution detail than the current version allows.
FAST Enterprises has developed functionality within GenTax®, Collection Standalone, which supports downloading collection information to remote devices. This functionality allows collectors remote access to their cases while in the field. Collectors do not currently have the ability to download collection information for use in out-of-office collection activity. When collectors now work with taxpayers, updates regarding changes to taxpayer information, funds collected or future actions are noted in writing. This prevents updating information in real time as collectors’ are unable to perform this activity until returning to their office. During the time from meeting with a taxpayer to returning to the office, collectors can forget information or lose paper trails.
The Collection Outsourcing feature will allow TRD to pursue taxes owed to the State of New Mexico by giving an external agency accounts that the TRD collectors are not focusing on. Accounts will be outsourced based on criteria defined by the Audit and Compliance Division. Prior to outsourcing, a warning letter will be sent to the taxpayer explaining the outstanding balance will be sent to and external agency for collection if it remains past due. This outsourcing will generate additional revenue for the department.
Benefits expected from these extensions to the GenTax® system would include:
§ Assuring that FDB meets State and Federal Compliance regulations including Government Accounting Standards Bureau Board Statement (GASBS) 33.
§ Adding an addition level of accounting, the distribution entity, to revenue accounting for the purpose of tracking all payments and collections to and from cities, counties and other municipalities.
§ Reducing month-end and year-end report production time.
§ Increasing accuracy in reporting.
§ Providing full audit and tracking functionality.
§ Increasing information provided to distribution entities.
§ Allowing collectors to obtain information remotely.
§ Providing collectors the ability to enter and update collection information on laptops or tablet PCs while in the field. This eliminates written notes or missed information and improves consistency and accuracy as collectors can enter information in real time.
§ Increase the amount of debt collected for the State of New Mexico.
§ Give the taxpayer the opportunity to pay their outstanding balance to the department prior to sending the accounts to an outside collection agency.
Once this set of enhancements is complete, FDB management will have accurate information for reports to the Legislature and to the distribution entities. Collectors will have more information available to them for collecting funds from delinquent taxpayers while working remotely.
1.2 Current State
In June 2005, a State of New Mexico audit found the Financial Distribution Bureau in need of improvements for several areas regarding revenue and CRS accounting and reporting. Most comments were related to State and Federal compliance, audit tracking, accuracy and timeliness of reporting. Specifics included the following.
§ GenTax® revenue accounting reports do not report the deposit date for taxes collected but instead are based on an “evaluation date” (processing date). The FDB does not provide its agency fund beneficiaries (except the State General Fund) with the data needed to recognize revenues in accordance with GASBS 33.
§ The FDB uses multiple sources for reporting; a combination of GenTax® reports, Excel worksheets, actual operating transfers and payment vouchers to record accrued tax revenues, receivables and payables using the modified accrual basis of accounting.
§ The FDB spends a considerable amount of time and effort generating accrued tax revenues, receivables and payables on the modified accrual basis of accounting. The reconciliation of tax revenues received within 60 days after fiscal year end to actual operating transfers and payment vouchers also takes a considerable amount of time to complete. Various state agencies and local governments in New Mexico who receive tax revenues from FDB, including the State General Fund, rely on the financial data of this department to properly recognize the derived revenues on their financial statements. Therefore, the financial statements of these entities could be misstated if the Department does not provide these entities with the data needed to adjust their financial statements for year-end revenue accruals.
Because of the complexity of completing revenue accounting reports, the month-end and year-end close is time intensive and relies on the bureau chief to produce. This has caused problems in the past with timely delivery of reports to the various distribution entities and the Legislature. Issues have also been discovered with the accuracy of data in the reports and the methodologies used to produce them. The current system does not allow for full auditing and tracking. The lack of an additional level of accounting, to the distribution level, results in the FDB having no history of payments to entities.
CRS revenue accounting currently allows tracking at the distribution entity level but does not provide full audit and tracking in the GenTax system. The proposed enhancements also address this functionality.
As of February 2008, three of the four phases of the Backend Revenue Accounting project have been implemented successfully into production. These phases, Group A, B, and C taxes, include all tax programs in GenTax® except for the Combined Reporting System (CRS) which is part of Group D. Group D is in the process of being implemented and is scheduled to be moved into production by end of April 2008.
Concerning the Collection Standalone portion of this project, collectors do not currently have the ability to download collection information for use in out-of-office collection activity. They must rely on non-electronic means of support; i.e., written notes, reminders, etc. When collectors now work with taxpayers, updates regarding changes to taxpayer information, funds collected or future actions are noted in writing. This prevents updating information in real time as collectors’ are unable to perform this activity until returning to their office. During the time from meeting with a taxpayer to returning to the office, collectors can forget information or lose paper trails. Collection Standalone was moved into production on January 21, 2008. Revenue agents have been successfully using the application out in the field and have been able to provide more accurate information to the taxpayers.