Business Process Standardization Reimbursables

1
Business Process Standardization - Reimbursables

• Presented byDianne Copeland

2
FMLoB Vision and Goals
3
FMLOB Vision Framework
4
Common Government-wide Accounting Classification
(CGAC)

• Goal Develop a common accounting classification
  structure, including an applicable set of
  definitions, that all Federal agencies new
  financial management systems use.
• The common accounting code structure will
  accommodate both standard government-wide and
  critical agency-mission-specific accounting data
• Approach Obtain concurrence on definition and
  format for every element
• Initiated efforts to align data with multiple
  sources, particularly to align a number of
  different sources for agency codes
• Encouraged central agencies to begin eliminating
  disparities within their systems

5
Business Process Standardization

• Goal Develop a standard set of business
  practices for core financial management functions
  (funds control, payables management, receivables
  management, reporting, reimbursables) to be
  adopted by all federal agencies. The
  document/model will include
• Sequenced activities for core business processes
• Data objects participating in a business activity
• Relationships among the objects as they exist in
  the actual business activities
• Data elements and definitions used by these
  objects
• Business rules governing these objects

6
Reimbursable Standard BusinessProcess

• Reimbursable Definition (for standard business
  process development)
• Reimbursements are sums received as payment
  or advance payment for goods or services
  furnished to another Federal government account.
  If authorized by law, these sums are credited
  directly to specific appropriation and fund
  accounts. These amounts are deducted from the
  total obligations incurred (and outlays) in
  determining net obligations (and outlays) for
  such accounts. Reimbursements are offsetting
  collections. Treasury serves as the banker for
  reimbursable transactions between appropriations.

7
Reimbursable Standard BusinessProcess

• Not included
• Fiduciary Transactions
• Bureau of the Public Debt (BPD) investments and
  borrowings Federal Financing Bank (FFB)
  borrowings Department of Labor (DOL) Federal
  Employee Compensation Act (FECA) transactions
  and Office of Personnel Management (OPM) employee
  benefit transactions
• Transfers
• Non-expenditure transfers
• Transfer of authority to obligate
• Transfers to carry out the purpose of the
  receiving account, for example to shift resources
  from one purpose to another
• Transfers to carry out the purpose of the parent
  account
• Transfers via SF-1151

8
Reimbursable Standard BusinessProcess

• Not included
• Borrowing Authority
• Borrowing authority is a type of budget authority
  that permits obligations and outlays to be
  financed by borrowing, usually from Treasury
• Typically provided in laws that authorizes
  business-like operations and require the
  borrowing to be repaid, with interest, out of the
  business proceeds

9
Reimbursable Standard BusinessProcess

• Development Approach
• FSIO Core/planning/strawman team
• Focus Group
• Selected reps from agencies, Buy-Sell, OMB and
  Treasury
• Additional specific SME resources as required
• Weekly half-day meetings beginning June 3
• Drafting approx one sub-process every 2 weeks
• Working Group
• Wider group volunteer Agency representatives
• Review meeting and period of formal comment of
  sub-processes produced by Focus Group
• Expected date of first Working Group meeting
  July 8, 2008

10
Reimbursable Standard BusinessProcess

• Focus Group Participants
• DOD IRS
• OMB DOI
• OPM DOJ
• Treasury FMS EDUCATION
• USDA FSIO
• VA GSA

11
Reimbursable Standard BusinessProcess

• Reimbursable Authority
  
  Apportionment Request Continuing Resolution
• Establish Inter-Agency Agreement
  
  Terms Conditions Transfer of Funds, Billing
  requirements, Performance, Transfer of Property
• Sign Inter-Agency Agreement including
  Buyer/Seller activities Policy for recording
  Advances To/From Others Unearned Reimbursements

12
Reimbursable Standard BusinessProcess

• Place, Accept, Receipt of Order including
  Buyer/Seller activities Policy and recording
  Unfilled Customer Orders
• Work In Progress including Buyer/Seller
  activities
  Standard factors for labor costs methodology
  (direct, indirect) Performance criteria defined
  in IAA
• Record and Manage Receivable including
  Buyer/Seller activities Policy for revenue
  expense recognition (including accruals)

13
Reimbursable Standard BusinessProcess

• Manage Receivable including Buyer/Seller
  activities
  Manage Billing Determine standard billing
  requirements (timing, frequency)
• Collections including Buyer/Seller activities
  
  IPAC Collection of Receipts (including offset)
• Return of Goods Services
  
  Remediation
  
  Contingent Liabilities

14
Reimbursable Standard BusinessProcess

• Transfer of Property Accounting Policy and
  Recording of transferred property (inventory,
  capitalization, depreciation)
• IAA Closeout

15
Document Library and Points of Contact

• FSIO and FMLoB documents on the web site
• www.fsio.gov
• Questions fsio_at_gsa.gov
• FSIO main number
• 202.219.0526
• Dianne E. Copeland
• FSIO DirectorGeneral Services AdministrationOff
  ice 202-219-0550    Fax [phone]
• E-Mail dianne.copeland_at_gsa.gov