The student employee Retirement/FICA derivation process occurs in ordinary
EDB file maintenance, monthly periodic maintenance, and SIS (Student
Information System) maintenance, triggered by a variety of actions listed
in the Service Request document for this release.  The key changes in r1682
are:

- The addition of two triggers for re-derivation: change to a distribution
DOS code, and the beginning or ending of an appointment in the current or
prior month during monthly periodic maintenance.
- A modification of the criteria for student FICA exemption and
Unemployment Insurance coverage in accordance with IRS requirements.  Per
the Service Request:

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     The major difference from the previous revenue procedure is the more
stringent definition   regarding work schedules.  The IRS states that as an
employee's actual number of hours worked "approaches" 40 hours per week, it
is more likely that the "services" aspect of the employee/employer
relationship outweighs the employee's "educational" aspect.  As a result,
the student is ineligible for the exemption.

Although the final regulations do not define the threshold at which an
employee's hours of work would become predominant, IRS examples indicated
80% as not eligible for the exception and outside counsel for the
University agrees with the interpretation.
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Testing for the 80% rule consists of examining appointments that are not
WOS or by-agreement.  If there is at least one day during the month when
the employee's total appointment percentage is less than 80%, and the
employee meets the other criteria (appropriate Student Status code, etc)
then the student is eligible for the exemption.

A one-time program, PPO1682A, is provided with which to re-derive FICA, UI,
and DCP values according to the new rules and produce an audit report of
the changes.  It can be run in a non-update mode, and I suggest that we do
that before committing to the actual EDB update, in particular for
Hastings, which does not process SIS files.

Release changes unrelated to the IRS requirements consist of masking the
first five digits of SSN and birth date year values in all of the reports
associated with the "Student/FICA update" process and in the PPP445 report
listing students approaching work study limits.

There are no table updates.

Installation of r1682, including the one-time EDB update, is date mandated
to occur prior to the first compute with checks dated in February.  For
ASUCLA that means before the January S2 compute, and for all other sites it
means before the January MO compute.  May we have your ok to proceed?

   bvb