GWAMP/FIRST

Tools for improving the Integrity of your Accounting and Financial Data

November 5, 2008

Discussion Points

What does GWAMP do?

What is FIRST?

How they will work together to improve the integrity of federal financial and budget data

Government-Wide Accounting Modernization Project

Key basis: capture the fund symbol at the time of every payment and collection transaction

Multi-year redesign of Federal Government Central Accounting process

Affects every federal agency; over 1,700 reporting locations (domestic and foreign)

Supports the President’s Management priorities

GWA Modernization ProjectKey Goals and Vision

Provide effective financial reporting and reconciliation processes

Eliminate current redundant reporting

Provide Standardized processes and data elements to manage FBWT

Current Issues with Accounting Data processes

Lack of Common Structures

Lack of Common Understanding

Lack of Consistent Reporting

Redundant reporting and time-consuming reconciliations

Timeliness and Accuracy

Governmentwide Accounting (GWA)

Author:Project:Revision:Status:Version:

FMS and DO ArchitectsCentral Fiscal Operations Segment Architecture07/10/2008Draft3.7

As-Is: IT Architecture

IPAC

GWA Modernization

Project (GWAMP)

CASH TRACK

FPAsFRBNY

Legend

Core System

Feeder System

Enterprise Service

To Be Retired

Agency(Organization )

GFRS

GOALS II/ IAS

GOALS II/ CITRIX

STAR

IFCS

FACTS II

FACTS I

TSS RSS FPS ASAPRO Payment

Systems

EFTPS

FRB CA$HLINK

PATAX / TIP

FEDTAX II

FR-ETA

CA$HLINK II

RRBLink

SAM

PACER

TCIS

ExpectedConcentration Data

Investment Data

Concentration Data

Cash Position &Forecasting Data

Concentration &Cash Activity Data

Accounting, Account,& Organizational Data

PaymentAccounting Data

AgencyTransaction Data

TGAData

Account InfoAgency Transaction Data

Intragovernmental Transfer of Funds

Agency Transaction

Data

OMBOrg. Info., Balances,

Net Outlays,

Central Summary General Ledger File

Adjusted TrialBalance

(ATB) Data

Agency Transaction Data,Account and Organizational Info,

Account balances

ALC Data

AccountBalances

& Org. Info.

Account & Org. Info.

Sta

tem

ent o

f Diff

eren

ce

ConfirmationOf Payments

Agency Trial Balances

Fiduciary TrialBalance Data

Feed

back

IntragovernmentalTransfer of Funds

Agency Transaction Data

Agency Financial & Statement Data

TRACS

AgencyTransaction

Data

Account &Org. Info.

Raw TrialBalance DataOrigination Data / Info

Account & Org Data

ALC

Dat

a

Payment Data

Accounting, Account, and Organizational Data

Acct. Statement

Governmentwide Accounting (GWA)

Author:Project:Revision:Status:Version:

FMS and DO ArchitectsCentral Fiscal Operations Segment Architecture07/10/2008Draft3.7

To-Be: IT Architecture

Legend

Core System

Feeder System

Enterprise Service

Agency(Organization )

Intragovernmental Transfer of Funds

Forecasting Info

Investment System

TCMS

TRS

TRACS

FRBNY

TGA Data

Cash Position

Data

Investment Activity

IPAC

GWA Modernization Project

(GWAMP)

CASH TRACK /Future Forecasting

System

PAM

ASAP Agency Transaction Data

Transcripts / Cash Activity Data

Intragovernmental Transfer of Funds

FPAs

Large DollarNotification (LDN)

AuthorityTransactionData, Acct. Statement

SAM

FIRST(GFRS, GTAS, SID)Agency Transaction,

Account Balances, &Organizational Data

OMB

AgencyBalance

Data

Account &Organizational

Data

Accounting, Account, andOrganizational Data

TCIS

PACER

PaymentAccounting Data

ALCData

Agency Financial Statement Data, ATB

Account Information

Deposit Data

AgencyTransaction Data

DetailedAccounting

Data

ALCData

FIRST

Current StovepipesU

ndis

burs

ed T

rial-b

alan

ce r

epor

ts…

224

– S

tate

men

t of

Tra

nsac

tions

2108

FACTS I IFCS IRAS GFRS THOR

FACTS IISTAR

Stovepipes

P&

F

133

A Consistency Problem

FMS collects financial and budget data through many systems today (FACTS I and II, IRAS)

Data from separate stovepipe systems is inconsistent.

We are using inconsistent data to prepare important financial documents for the U.S. Government. No one should be proud of that.

Three types of inconsistencies

1. Inconsistent data in Agency Statements vs. the Financial Report of the U. S. Government. (Solution: GFRS)

2. Inconsistent data in agency financial statements vs. agency monthly reporting to Treasury and Warrant and NET transactions (Solution: FIRST)

3. Agency financial statement data not consistent with USSGL guidance (Solution: FIRST)

What is FIRST? The FIRST Initiative addresses the problems.

The name “FIRST” represents an investment comprised of three systems:

FIRST

SID(USSGL Database)

GTAS(Trial Balance

Reporting System)

GFRS(Financial StatementReporting System)

New Layout

Approach

Out with: FACTS I, FACTS II, IFCS, IRAS and as many stovepipes as we can eliminate

In with: One quarterly trial balance for each TAS. (budgetary and proprietary accounts combined, beginning and ending balances)

In with: Strong edits that check against central accounting data, USSGL rules, budgetary vs. proprietary rules

In with: Instant feedback

GTAS Key Concepts

Replace FACTS I, FACTS II, IFCS and the input part of IRAS

Collect USSGL-based trial balances with budgetary and proprietary data

Reduce number of agency reports Validate and edit incoming trial balances Support the Financial Report of the U.S.

Government with trial balances

Government-Wide Accounting and Reporting

Inbound to Treasury—Outbound From Treasury

•Statement of Transactions•Statement of Accountability•FACTS 1, FACTS II, IFCS, IRAS, GFRS

•Statement of Transactions•ATM Transactions• IPAC Transactions• ITEMS IN THIS COLUMN (INPUTS) ARE NOT CONSISTENT

•Daily Treasury Statement•Monthly Treasury Statement•Treasury Bulletin•Treasury Combined Statement•Financial Report of the U.S. Government

•Central accounting data to MAX• ITEMS IN THIS COLUMN (OUTPUTS) ARE NOT CONSISTENT

Authority Transaction Module:What it is and how it can help with

financial reports

Borrowing from Treasury

Non-Expenditure Transfers

Warrants Journal Voucher

Appropriation Warrants

Authority Transaction Module:What it is and how it can help with

financial reports

FMS is sharing central accounting data on warrants and transfers in a format that is useful for financial statement preparers (UCAD).

FMS is realigning elimination categories, FR line items, and USSGL accounts for consistency.

Ineffective Edits

IRAS Reports

IRAS compares agency reporting and notifies both parties of mismatches.

Agencies review their own data and claim they are correct.

The out of balance condition remains. Minimal progress is made.

IRAS Reports

Improved Editing

GTAS ReportsGTAS Reports

Trial Balances are compared to the amounts in STAR which is approved by both agencies and can be rejected if different.

STAR/GWA

Not this…

FMSFMS

...but this

AuthoritativeSource

New Process Flow

Agency Accounting Systems

Financial Report of the U. S. Government

OMBOMBTreasury Treasury ReportingReporting

PresidentPresident

+ US StandardGeneral Ledger =

Adjusted TrialBalances

Central Accounting

System

AND

Financial Statements

GTAS GFRS

FMS 2108 SF 133

Edits & Validations

Some things we need before full benefits are realized: BETC

Acronym for Business Event Type Code, BETC refers to an 8-character code that indicates the type of activity being reported (e.g. receipt, disbursement, etc.)

BETC determines the transaction effect on the Treasury Account Symbol’s Fund Balance with Treasury

BETC replaces transaction codes and standard sub-classes but at a more intuitive level of detail.

Sample BETC

Code Activity Transaction Trans Subaffect on TAS Code Class

DISB Gross Disbursement D (decrease) 61 --

COLL Offsetting Collection C (increase) 71 --

INVTSEC Investment in Treasury D (decrease) 61 88 Securities

REDTSEC Redemption of Treasury C (increase) 71 98 Securities

String TAS Format

Description of Data Element within the string Example

The Sub-level Prefix (if populated) is the first two characters of the TAS separated from the rest of the TAS by parenthesis. The Sub-level Prefix represents a programmatic breakdown of the account for Treasury publication purposes.

(01)

The Agency Identifier - Treasury Agency Code of the Agency Owner. (01)14

If authority for the Account has been transferred from the Agency Owner to another agency, the Agency Owner will move to the third element of the TAS. The Co-Owner will move to the second position immediately before the Agency Owner, separated by a hyphen.

(01)14-11

The Fiscal Year, if presented, will contain a two-character year field, a five character multi-year field (two years separated with a ‘/’), or a single alpha character.

(01)14-11X

(01)14-1101

(01)14-1101/02

The Main Account Number represents the type of Fund and the purpose of the account within that Fund. (01)14-11X0300 The Sub-Account Symbol Identifies an available receipt or other Treasury-defined subdivision of the main account. Valid ranges are 1 - 999 and are presented immediately following the Main Account Number separated by a '.'. There will be no leading zeroes in this field.

(01)14-11X0300.1

* This format is to be used in IPAC only. Serves as temporary standard format until Component format is implemented.

And another thing we need: CGAC Component TAS Format

Field Name and Description Size Example

Sub-level Prefix - if populated, is a programmatic breakdown of the account for Treasury publication purposes. If Sub-level Prefix does not apply, it shall be two spaces.

2 01

Agency Identifier – Agency Identifier of the Account Owner. Current 2 digit department codes will be right justified and zero filled.

3 014

Allocation Transfer Agency Identifier - the agency identifier of the agency receiving funds through an allocation transfer. If Department Transfer does not apply, it shall be spaces. Current 2 digit department codes will be right justified and zero filled.

3 011

Beginning Period of Avail – In annual and multiyear accounts, identifies the first year of availability under law that an appropriation account may incur new obligations. If single/annual year account, shall be same as Ending Period of Avail. No X or F accounts.

4 2001

2001

Ending Period of Avail - In annual and multi-year funds, identifies the last year of funds availability under law that an appropriation account may incur new obligations.

4 2001

2002

Availability Indicator – Identifies no-year “X” accounts, suspense/clearing “F” accounts, Treasury’s Central Summary General Ledger “A” account, and merged-surplus “M” accts.

1 X

Main Account - represents the type of Fund and the purpose of the account within that Fund. 4 0300

Sub-Account - Identifies an available receipt or other Treasury-defined subdivision of the main account 3 001

What are the TAS Changes?

Elimination of Standard Subclasses – replaced by BETC. Example: Subclass “88” replaced by BETC “INVTSEC” “(88)20x1234” replaced by “20x1234 INVTSEC” Former Subclass field renamed to “Sub-level Prefix” – only

used for programmatic breakdowns of the TAS for Treasury publication purposes; have a unique meaning or unique need for sub-classification that is NOT based on transaction types or business events.

Example: Sub-level prefix “15” on 20x8005 represents “Refunds of Taxes”

Sub-level prefix “16” on 20x8005 represents “Admin Expenses”

Both sub-level prefixes of this TAS have same business event of DISB, but are presented on different tables of the Monthly Treasury Statement

What are the TAS Changes?

• Expansion of Dept Agency Codes – from 2 to 3• Current 2 digit department codes will be right justified and

zero filled• Standardized names: From “Dept Regular” to “Agency

Identifier”• From “Dept Transfer” to “Allocation Transfer Agency Identifier”

• Expansion of Fiscal Year –

• String-based GWA TAS expands FY to 2 characters;• Multi-year is 5 characters (2 years separated with a slash)

• Component-based GWA TAS expands FY to 4 characters each

• Beginning FY and Ending FY each have separate fields

• Alpha characters (X, F) are also in separate field

FMS transition to CGAC

GTAS goes FIRST!

3rd quarter FY 2011, GTAS accepts data in CGAC format only!

Other FMS applications will accept in both formats for an undetermined amount of time.

Governmentwide Benefits

Faster classification to correct fund symbol Streamline reporting requirements on agencies Standardization of accounting and reporting in

agencies Improved quality of financial information Ease of use of the USSGL for agencies Logical, long range approach that attacks core

problems (i.e., intragov eliminations & budgetary vs. proprietary data consistency)

FIRST Status

Phased development and release approach Phase 1: Put the USSGL on a database

(Complete) Phase 2: Build interfaces from GTAS to

GFRS, OMB, GWAMP (In-progress) Phase 3: Build GTAS (web-based, easy-to-

use reporting tool)

Agency Implementation Timeline

• Implemented initial IPAC GWA Reporters

• Implemented TDO limited Payments GWA reporters

• Began to work to identify collection pilots

• Continued roll out of IPAC GWA Reporters

• Implemented ATM

• Begin working with Collection Pilot agencies

• Partial 224 Transition

• Continued IPAC GWA Reporter roll out

• Implement Collection Pilot agencies

• Identify a full GWA Reporter (Payments,collection, IPAC)

• Implement GWA Initiated view

• Work to move additional Collection pilots to production

• Begin Identifying potential TDO Payment ALC’s pilots

• GTAS Agency & FSIO testing

2010 2011

• All FMS Systems enabled to Capture TAS/BETC

• GTAS Production