U.S. Government Standard General Ledger Board and Issues Resolution Committee Meeting Minutes
December 8, 2005
GENERAL ITEMS:
Judy Yuran (FMS) opened the meeting stating that the discussion today would focus on cash held outside Treasury (CIHO) activity and its impact on the USSGL. Judy mentioned that Treasury Financial Manual (TFM) Volume I, Part 2, Chapter 3400, Transmittal Letter No. 608 (T/L 608), provides guidance on CIHO. She added that the TFM guidance makes the old Imprest Fund accounting obsolete unless an agency has a waiver. The FACTS reporting data indicate that agencies are not reporting non-Federal investments and cash held outside the Treasury correctly. If the agency is authorized to conduct CIHO activity, Judy suggested that the agency representatives research their appropriation law and contact their OMB budget examiner to receive an assigned receipt account. In addition, the USSGL transactions lack standard/generic agency transactions for CIHO; therefore, Judy requested that agencies with CIHO activity contact the USSGL Division to discuss agency-specific activity for consideration in USSGL standard accounting transactions.
HANDOUTS
TFM Volume I, Part 2, Chapter 3400, (T/L 608, revised), Accounting for and Reporting on Cash and Investments Held Outside of the U.S. Treasury, dated March 2003
DRAFT - IRC Working Document - CIHO
Investments Flow Chart
SF 224 CIHO Subclass Descriptions
Federal and Non-Federal Security Definitions
Proposed USSGL Accounts dated May 5, 2004
AGENDA ITEMS
Michele Crisman (FMS) reviewed the information from the CIHO handouts.
Agencies must have written legal authority from the U.S. Code to do the following:
Have cash outside of the Treasury;
Buy/sell transactions of non-Federal securities through a third party;
And
Have cash that is not deposited in a Treasury General Account (TGA).
Michele mentioned that the "Draft IRC Working Document - CIHO" is not in scenario format. The transactions are not in context and do not follow an accounting transaction flow that is typical for the USSGL scenarios. Therefore, agencies should review the transactions.
Michele stated that more information and detail is required for the gain/loss transactions. OMB wants to see investments that have been converted from one type of investment to another. It does not want to see turnovers. The USSGL needs to accommodate the OMB requirement.
On the "DRAFT - IRC Working Document - CIHO," transaction number 8A was revised to include more information. Based on today's discussion, the document will be updated and provided to the IRC at a future meeting. Agencies can contact Michele for the most up-to-date version.
The information in this document mirrors the accounting events in TFM Volume I, Part 2, Chapter 3400. The next IRC meeting for CIHO will be January 12, 2006.
David Surti (USDA) requested that tie-points associated with the investment modifications be developed, similar to the proprietary/budgetary tie-point project on which Michele is currently working. David questioned the use of USSGL account 1690, "Other Investments." Judy replied that this account will be researched as part of the investment project.
Teresa Tancre (OMB) mentioned that since agencies are reporting this activity differently, agencies need to look at their legislation. Many agencies do not currently have Treasury special or trust fund receipt accounts established for the non-Federal investment activity. Teresa asked the agency representatives to review their legislation and contact their OMB program examiners to set up the appropriate receipt accounts as soon as possible. Kathy Winchester suggested that agencies review the receipt accounts already established in the FAST Book, Part I, Receipt Account Symbols and Titles.
Audrey Clark (DoD) questioned subclass 44 on the handout. She noted that "budgetary" is in the definition, but transaction numbers 7, 8, 9, and 10 do not show USSGL budgetary accounts. Michele will review this issue.
CLOSING REMARKS:
FACTS II reporting went well. OMB is working on prior-year data flowing to current year. The SF 133 restructure on obligated and unobligated is contributing to the figures being distorted. Materiality rules affect this issue as well. Auditors typically check beginning and ending balances first, so if these balances do not match in the audit, agencies are off to a bad start. Another issue is that agencies are producing financial statements outside of FACTS II reporting, which suggests they are keeping separate books.
ATTENDEES:
Judy Yuran, FMS
Melinda Pope, FMS
Kathy Winchester, FMS
Karen Metler, FMS
Gwen Marshman, FMS
Karl Foltz, FMS
Keith Mertz, FMS
Michele Crisman, FMS
Shade Koletowo, FMS
John Emery, FMS
Teresa Tancre, OMB
Maureen Wheeler, FMS Ag. Ser.
David Surti, USDA
Maryla Engelking, DOD
Audrey Clark, DOD
Teri Escalante, DOD
Al Buck, USAID
Christine Kent, OPM
Grace Kim, Ed.
Michael Shields, Ed
Patrice Cousins, NSF
Teresa Lampkin, DOT
Ruth Jones, DFAS
Shana Dowling, PTO
Denise Robinson, FCC
Nancy Babe, State
Ayana Jackson, State
