Repayment agreements are agreements between the State and a municipality, public authority, or other third party. Generally, repayment agreements provide for the repayment of amounts expended from appropriations as advances by the state, and the terms of the repayment agreements are detailed in the appropriation language for the state funds being advanced. Pursuant to Section 40-a of the State Finance Law, “no part of any appropriation made as an advance shall be available for expenditure until a written repayment agreement is entered into…” and advances must be repaid to the State. Repayment agreements can also be established for the repayment of past-due debt. See XI.7.C Deferred Payment Arrangements for additional information.

In many cases, the repayment agreement provides for both the advance/payment of funds by the State and the terms of the repayment to the State. In these cases, although there is only one contractual agreement, the agency must create two SFS transactions: one for the expenditure/advance and one for the repayment to the state.

Contract Prefix 

Repayment agreement New York State Contract IDs must begin with an “F” prefix and are created in the Customer Contracts Module. An advance/payment agreement associated with a Repayment agreement is created as a Procurement Contract in the Purchasing Module. This payment agreement should be assigned the same New York State Contract ID as the repayment agreement, but with a “C” prefix instead of an “F” prefix. For example, C654321 would represent the advance/payment agreement corresponding to repayment agreement F654321. (See XI.2.B Contract Numbering for additional information.)

Process and Transaction Preparation:

Repayment agreements are created in the Customer Contracts Module and require a New York State Customer ID. See XI.7 Revenue and Repayment Agreements for additional information.

Repayment Agreement transactions cannot be bulkloaded into the Customer Contracts Module. All agencies, both Online and Bulkload, must create Repayment Agreement contract transactions directly in the Customer Contracts Module of the SFS using an “F” prefix and the appropriate Audit Type. For additional instruction on this topic, visit the job aids published to SFS Coach. SFS Coach is accessible from the SFS home page after logging in with your SFS user ID and password. The associated payment agreement is created in the Procurement Module with a “C” prefix. For transactions subject to OSC approval, users submit both agreements and required documents to OSC.

Once an agency has determined whether a repayment agreement is subject to prior approval by OSC (see XI.2.A Thresholds for more information), the agency selects the appropriate Audit Type. The SFS uses the Audit Type to determine whether the transaction will be routed to OSC for prior approval, and if so, to which audit team in the OSC Bureau of Contracts (BOC) it will be directed. For transactions subject to OSC approval, users will submit the agreement and required procurement record documents to OSC through the Electronic Documents Submission System (EDSS).

For additional instruction on this topic, visit the job aids published to SFS Coach Training. SFS Coach Training is accessible from the SFS home page after logging in with your SFS user ID and password. For transactions subject to OSC approval, users submit it with the agreement (contract) and required documents to OSC.

For Repayment Agreement transactions submitted through the Electronic Documents Submission System (EDSS), document files should be uploaded and placed in one of the following four categories:

• Transaction Identifying Documents
• Contract / Amendment
• Procurement Documents / Support Documents
• Vendor Responsibility and Integrity

Attached is a Documentation Order Guide for Procurement Contracts and Amendments. Submitting your contract or amendment in this order will assist in OSC’s review.

Guide to Financial Operations

REV. 09/27/2024