Automation leads to improvements in Ohio deferred compensation projects.

• Author: Overly, Keith

[ILLUSTRATION OMITTED]

The Ohio Deferred Compensation on Ohio Business Gateway program won a 2008 GFOA Award for Excellence in Government Finance.

The Ohio Deferred Compensation Program, which administers the 457 plan for all state and local government employees in Ohio, was able to increase the security of its data while reducing errors and the overall cost of operations. The key was increasing automation. During a review of its security policies and practices, transmitting sensitive data and funds via the U.S. Postal Service was identified as a potential problem. As a result, the program began researching its options to increase automation of data and deferral payments.

LOOKING AT INCREASED AUTOMATION

The program had just completed a comprehensive review of its physical and electronic security policies and practices, including an independent security audit, to enhance the protection of participant data and to prevent identity theft. During this review, transmitting sensitive data and checks through the U.S. Postal Service was identified as a potential opportunity for identity theft.

Program officials thought that increasing automation would have other benefits, in addition to improving security. The program had always prided itself on being cost conscious, and reducing or eliminating postage expenses would be another way to lower expenses. Automation could also eliminate data entry reduce mathematical errors, and make sure none of the data employers require would be overlooked.

In 2006, the Ohio Deferred Compensation Program began researching options to increase automation of data anal deferral payments. The initial thought was that the program would develop its own transactional employer Web site to collect data and funds. But after some additional research, the program approached the Ohio Business Gateway (OBG) about the possibility of using its site. The program was familiar with OBG because it used the OBG site to file its own employee state income tax withholdings.

WORKING WITH THE OHIO BUSINESS GATEWAY

The OBG is a nationally recognized, collaborative initiative of state and local government agencies anal an important part

of Ohio's digital government strategy. OBG Electronic Filing offers Ohio businesses a time- and money-saving online filing and payment system that helps simplify business' relationship with government agencies.

Ohio businesses can use OBG Electronic Filing to submit selected filings, registrations, and payments with the State's Department of Taxation, Bureau of Workers' Compensation, Department of Job and Family Services, and Department of Commerce. Local governments also work with OBG Electronic Filing, enabling businesses to file and pay...