INDIANAPOLIS | Indiana State Auditor Tim Berry will not miss floppy disks.

Starting Sept. 16, the state's bill payer will move to an all-electronic system for managing the state's money. That means the existing process, where agencies record money owed on 3.5-inch disks and physically bring those disks to the auditor so he can cut a check, will be no more.

"You don't want to know," Berry said, chuckling, when asked how many disks the auditor's office had to deal with.

The new PeopleSoft computer program puts all the state's accounts in the same format across different agencies. The state will be able to manage its money better, because officials will know exactly where the money is at any given time, said Ryan Kitchell, director of the state's budget office.

Indiana first bought the financial management software in 1998, but agencies were not initially required to use it. Berry, an Indianapolis Republican, said he was frustrated as state treasurer from 1999 to 2006 having to deal with several different money-management systems, so he made a unified system a priority when he was elected state auditor.

Implementing a unified financial system has cost the state $140 million since 1998, Kitchell said.

"We're not surpassing the best in the world, but we're certainly getting up to the standard for an organization of this size," Kitchell said.

No state payments will be made on Sept. 14 and 15 before the system "goes live" on Sept. 16. State payments to schools, which are normally distributed on the 15th of the month, will be paid early this month, Kitchell said.