DRAFT

DepARtment of TreaSURY

non--INFORMATION TECHNOLOGY Capital Programming

(cp) process

planning guide

MAY 2004

Table of Contents

Executive Summary 3

Section 1---Introduction 4

Section 2---Process Review 7

Section 3---Planning and Selecting Phase 7

Section 4---Managing Phase 9

Section 5---Evaluating Phase 12

Appendix A---PROSIGHT Data Entry/Investment phases 13

Appendix B---Generic Treasury Budget/PROSIGHT Timeline 14

Appendix C---Exhibit 300 Assessment Tool 15

Appendix D---CP Assessment Tool 21

Appendix E--- References and Helpful Sources 24

Appendix F--- Exhibit 300...
.........................................................................................25

Executive Summary

NON-INFORMATION TECHNOLOGY Capital Programming Process Guide

Background

Treasury's Non-Information Technology Capital Programming (CP) process
guide provides for a disciplined, integrated approach to manage capital
assets. It is designed to ensures that all non-information technology
capital investments align with the mission and support business needs
while minimizing risks and maximizing returns throughout the
investment's lifecycle. The CP guide is predicated on an interrelated
planning, managing, and evaluating process, to ensure achieving each
asset's performance and lifecycle goals. Execution of the process is
intended to foster compliance with existing statutes and guidance, e.g.
OMB guidance. This guide establishes the processes and procedures that
will be used by the Department of the Treasury and the bureaus. Each
bureau is required to establish or update its own processes and
procedures to be consistent with this guide.

The Key Components

Critical to an organization achieving its mission and objectives, is the
necessary infrastructure that is provided by non-information technology
assets. Treasury, in conjunction with the bureaus, is engaged in an
effort to maintain and support a comprehensive non-information
technology capital investment analysis and decision-making environment.
This environment consists of three key components: executive
decision-makers, supporting tools, and repeatable processes.

**Executive Decision-Makers**---Members of the Treasury Capital
Investment Review Board (CIRB) or the equivalent are the primary
executive decision-makers. At the bureau level, non-information
technology capital investments are overseen by an Investment Review
Board (or equivalent group). The Department of the Treasury will
establish a cross-functional team(s) to support the Treasury\'s CIRB's
decisions and oversee investments through their life cycle. Supporting
the CIRB is a Non-Information Technology Investment Review Board (NIRB)
which is assisting in overseeing the capital investments.

**Supporting Tools**---Treasury and the bureaus will use ProSight as its
investment management tool for non-information technology assets.

**Recurring Processes**---The CP process is Treasury's primary process
for (1) deciding which assets to invest and include in its portfolio and
(2) assessing the asset's contributions to the organization. This guide
describes the CP process, as summarized below.

Treasury Non-Information Technology Capital Programming (CP) Process
Guide

This guide identifies the processes and activities necessary to ensure
that the department's non-information technology capital assets are
planned, cost-effective, properly managed, and support the missions and
business goals of the organization.

**CP Phases**

The CP is a process that incorporates three phases for the Treasury's
non-information technology capital investments: Planning and Selecting,
Managing, and Evaluating. Applicable to the Department and the bureaus,
these phases are:

**Planning and Selecting Phase**---This is perhaps the most critical
phase of the process. During this process existing assets are assessed
to determine capacity. This phase will identify performance gaps and
define requirements.

Defined requirements are used to create alternatives for the asset and
in selecting the asset most appropriate for the organization's needs.
During this phase, it will be determined, during a review of
alternatives, if assets are to be acquired or rehabilitated to achieve
program goals. In addition, investment analyses are conducted and the
full business case is developed.

**Managing Phase**---This phase is geared towards analyzing assets, in
operation and collecting information on the capital asset's performance
including: its earned value, schedule, cost and project performance.
This phase assists in determining how well the organization is managing
its assets. This phase is used to develop operational and maintenance
plans. Through this work, the organization ensures that the assets are
implemented in a disciplined, well-managed, and consistent manner,
through timely oversight, quality control, and executive review.

**Evaluating Phase**---This phase applies to assets that have been
acquired and are being deployed. A review should be conducted to assure
that the asset is performing effectively, \[which is part of the
continuation from the evaluation phase.\] The results of the review are
to be compared to expectations to assess investment performance. This is
done to assess the asset's impact on mission performance, and identify
utilization rate. It is also used to determine if the asset should
continue in use, undergo modifications, improvements or be disposed.

**This Guide**

Specifically, this guide will:

-   Provide relevant definitions. (Section 1)

-   Define the following terms, as a means to describe the department's
    expectations for how bureaus are to classify their assets:

-   Project

-   Initiative

-   Major

-   Non-Major

-   Establish a high level CP process for the Department as well as the
    bureaus. (Sections 2 through 5)

-   Describe the recurring process, including a general timeline of when
    these activities should take place and how they relate to the
    Treasury and OMB budget cycle; describe the purpose and activities
    relating to "baselining."

-   Define the criteria for assessing capital asset plans and business
    cases (Exhibit 300), and the non-information technology capital
    programming processes.

-   Establish FASA V Reporting requirements. (Described in Section 5).

-   Explain the relationship between the earned value table in ProSight
    and FASA V requirements and how earned value data is used.

-   Require quarterly updates in ProSight and reporting to Treasury.

Section 1 - Introduction

Purpose

This guide describes the Treasury's CP Process. It outlines a framework
for Treasury and its bureaus to manage its investment portfolio. This
investment management process allows optimization of the benefits from
the allocation of limited non-information technology capital resources,
and comply with statutory laws and guidance.

Legislative Background and Associated Guidance

Several statutes require Federal agencies to revise their operational
and management practices to achieve greater mission efficiency and
effectiveness. These laws include:

-   Federal Managers Financial Integrity Act of 1982

-   The Chief Financial Officer (CFO) Act of 1990

-   The Government Performance and Results Act (GPRA) of 1993

-   The Federal Acquisition Streamlining Act (FASA), Part V, of 1994

-   The Paperwork Reduction Act (PRA) of 1995

-   The Clinger-Cohen Act (CCA) of 1996

-   Federal Financial Management Improvement Act of 1996

Beyond the legislative background, there is guidance from the Office of
Management and Budget (OMB), the General Accounting Office (GAO),
General Services Administration (GSA) and others.

Scope

All Treasury bureaus are to comply with this CP guide.

Roles and Responsibilities

The following decision-making bodies and personnel are key to an
effective CP process:

**Key Decision-Makers**---Treasury and the bureaus have a governance
process with designated approval groups responsible for ensuring that
existing and proposed investments meet Treasury's strategic, business,
and production objectives.

**Capital Investment Review Board (CIRB)**---The purpose of the Board or
its equivalent is to implement an investment review process that support
budgeting for Treasury\'s non-information technology capital
investments, and to ensure the regular monitoring and proper management
of these investments, once funded. A major result of this investment
review process will be a regularly updated investment portfolio, based
on an analysis of alternatives, which supports the Treasury strategic
plan.

**Non Information Technology Investment Review Board (NIRB)** -- The
purpose of the Board is to support the CIRB in monitoring and managing
these assets. The NIRS makes an independent assessment of planned
investments and portfolio composition and presents the recommendations
to the CIRB.

**Bureau Investment Review Board (IRB)**---The Bureau IRB or equivalent
exists to oversee and prioritize bureau-specific non-information
technology investments. The CIRB and Treasury offices use the Bureau IRB
analysis and decision-making for their own discussions, recommendations
and decisions.

**Chief Procurement Officer**---The Chief Procurement Officer (CPO) or
equivalent Procurement Executive must review the acquisition strategy of
each major investment. The CPO is also responsible for reporting
compliance with FASA V to OMB.

**Chief Financial Officer**---The Chief Financial Officer (CFO) must
review the cost goal of each major investment. The CFO is also
responsible for reporting financial management information to OMB as
part of the President's Budget, as well as complying with legislative
and OMB-defined responsibilities as they relate to non-IT capital
investments.

**Asset Management Officer (Organization or equivalent)** ---The Asset
Management Organization is responsible for working with the other
offices, the IRB and the NIRB, to manage investments and comply with
legislative and OMB-defined responsibilities as they relate to
non-information technology capital investments.

**Budget Officer**---The Budget Officer has responsibility for
developing the President's Budget submission. As the non-IT Capital
Asset Plans and Business Cases (Exhibit 300s) are considered parts of
the President's Budget, these exhibits need to be coordinated with the
Budget Director and their staff.

**Strategic Planner**---The Strategic Planner is responsible for the
organization's strategic plans, annual performance plans and reports.
Treasury investments, particularly major investments must be associated
with one or more of the organizational strategic goals and should be
included in the organization's annual performance plan, so coordination
is critical. Further, major investments must have defined performance
goals and metrics that relate to business improvements. The development
of performance goals and metrics should be coordinated with the
strategic planning office.

**Decision Support Team (DST)**---Responsible for assessing how well
potential major investments meet a predetermined set of non-information
technology capital programming decision criteria and providing
recommendations to the IRB. The DST provides the necessary analysis for
IRB discussion and decisions. This group is typically composed of
representatives from the Asset Management organization, CFO, and
business organization. Areas of expertise should include real or
personal property, budget, among other areas.

**Other Committees and Councils**---Bureaus may, at their discretion,
charter other groups to support the CP process. These may include groups
responsible for reviewing and approving all major acquisition or
rehabilitation requests as well as other review boards and committees.

Definition of Key Terms

**[Project]{.smallcaps}**---An activity wherein an asset is acquired and
implemented. A project has a defined start and end date.

**[Investment]{.smallcaps}**---An asset for which budgetary resources
(i.e., appropriations, working capital funds, etc.) are requested.

**[Initiative]{.smallcaps}**---The business case "package" or OMB
Exhibit 300 included as part of a budget submission.

"**[Major]{.smallcaps}**"

A "**Major**" must meet at least one of the following criteria:

-   Total life cycle costs greater than \$10 million

-   Land, structures and equipment that have an estimated useful life of
    two years or more. Examples of assets, include but are not limited
    to: office buildings, furniture, motor vehicles, airplanes,
    dormitories. These assets require an investment of \$1,000,000 or
    more each year

-   The project or initiative directly supports the President\'s
    Management Agenda items

-   Significant cross-agency impact

-   Significant Congressional interest

-   Mandated by legislation or executive order, or identified by the
    Secretary as mission critical

-   Is a project relevant to a Critical Infrastructure Program (CIP)
    function or asset

-   Treasury strategic or mandated asset

These investments are considered to be major and will be reported to OMB
on the 300 report.

"**[Non-Major]{.smallcaps}**"

A "**Non-Major**" is that which is not considered "major".

Section 2 -- process overview

The CP is a dynamic process in which investments are continually
monitored throughout the lifecycle. Sustained investments and those that
are terminated or delayed are evaluated to assess the impact on future
proposals and to benefit from any lessons learned. The CP contains three
primary phases (Planning and Selecting, Managing and Evaluating).

Bureaus will be conducting all phases, more or less simultaneously and
on a recurring basis. Each phase is overseen by an investment review
board. This ensures that each investment receives the appropriate level
of managerial review and that coordination and accountability exist.

**Planning and Selecting Phase**. Provides a process for defining
requirements and assessing a proposed project's support of Bureau and
Treasury strategic and mission needs. Projects are selected that best
support the organization's mission.

**Managing Phase.** Ensure investments are performed in disciplined,
well-managed, and consistent process.

**Evaluating Phase.** Ensure that a project is being assessed for its
impact on mission performance and determination of its utilization rate.

*To help bureaus develop or refine their non-IT capital planning
processes and procedures, Treasury has developed a short assessment
tool. This is found in Appendix D.*

Section 3 - PLANNING AND SELECTING Phase

Purpose

The Planning and Selecting phase is used to assess a proposed
investment's support of the organization's strategic and mission needs
and to provide initial information to decision-makers. During this phase
the business/mission needs are identified and relationships to the
organization's strategic planning efforts are established. During this
phase the alternative investments are assessed and the investment that
is most appropriate and best suited to meet the organization\'s needs is
selected.

Process

During the Planning and Selecting phase, a determination is made if
there is a gap in the current performance and expected or planning
performance of the capital asset. If there is a gap or if a new mission
need has been established, a mission analysis and corresponding
development of the Mission Needs Statement are closely linked to the
strategic planning process of the organization and sponsor. Following
mission analysis, requirements are defined to further develop the
proposed solution. Alternatives are identified that could serve as
suitable solutions. Evaluation criteria are defined, and individual
projects are evaluated in terms of ensuring that functional requirements
can be met; that there is suitability with the existing portfolio, and
that performance can be measured by the factors of cost, schedule, and
project. During this phase, a completed Capital Asset Plan and Business
Case (OMB Exhibit 300) is generally created in ProSight. The process is
concluded when a project selection is made.

[The Cycle]{.underline}

The [Planning and Selecting]{.underline} Phase focuses on new project
decisions.

New investments require appropriate justifications. Major new projects
will use the OMB Exhibit 300 format in ProSight. The effort to complete
these requirements should include the appropriate bureau staff and
management officials. Normally, the effort to develop or update the
project justification documents occurs in late winter or early spring.
For instance, efforts to develop new Exhibit 300s or update them could
start as early as February and run through the Summer. The effort
culminates in a series of internal reviews that conclude around June of
each year in time for the Treasury budget submission. However, prior to
the submission of the non-IT Portfolio to Treasury, the following must
be completed by the bureau:

-   CPO Review and Approval

> The CPO reviews the project's cost, schedule and performance goals as
> well as the acquisition strategy. The CPO provides any comments and/or
> questions to the business sponsor. The sponsoring organization and
> Asset Management Organization will work with the CPO to address the
> issues and furnish details as requested, and sends an updated package
> to the CPO. The CPO forwards their assessment to the IRB.

-   CFO Review and Approval

> The CFO reviews the project based on the established criteria. The CFO
> provides any comments and/or questions to the business sponsor and
> Asset Management Organization. The sponsoring organization and Asset
> Management Organization will work with the CFO to address the issues
> and furnish details as requested, and sends an updated package to the
> CFO. The CFO forwards their assessment to the IRB.

-   DST Review -- Scoring Criteria

> The DST reviews the project documentation for compliance with the
> organization's strategic, legislative, and budgetary goals as well as
> compliance with Circular A-11. Risk analysis and risk mitigation
> strategies should be finalized by this point and assessed by the DST.
> The DST uses standard criteria to objectively compare investments.

-   IRB Review and Approval

> The IRB reviews recommendations, analysis, ranking and documentation
> for the proposed portfolio. It may ask for additional information or
> do its ranking of investments. The IRB will make the portfolio
> decision. Decisions are included in the budget submission to Treasury
> and OMB. This step is tied to the Managing Phase activities, discussed
> in the Section 5.

Selection Criteria

Treasury has developed a template to assess and rank projects. Low
scoring initiatives warrant immediate attention and corrections, and
often should not be funded. The template is based on the current OMB
Exhibit 300, and may be found in Appendix C. A current OMB Exhibit 300
is found in Appendix F. (Highlighted sections on the Exhibit 300
indicate changes from last year' s form)

Bureaus may also develop their own selection criteria, which can be
included in ProSight.

Documentation, Use of ProSight

ProSight will be updated to reflect IRB, NIRB, CIRB, and OMB decisions.
Key areas that need to be updated include cost, milestone and
performance data.

ProSight will also be updated at least quarterly to reflect actuals.

*Appendix A contains additional detail on how ProSight* *is used through
the Planning and Selecting, Managing, and Evaluating stages. Appendix B
highlights what time of the year certain activities are performed in
Treasury.*

Baselining Decisions

Initiatives are expected annually to report project progress against a
baseline. The baseline includes cost, schedule and performance goals.

The President's Budget establishes the new or revised baseline for each
initiative. If the initiative was previously reported, OMB will consider
changes to the existing baseline. Decisions on proposed changes will be
communicated with the President's Budget. These changes will be
reflected in the Capital Asset Plans and Business Case (Exhibit 300) and
other documents.

This baseline reflects what OMB tracks during later fiscal years.

Section 4 - MANAGING Phase

Purpose

The objective of the Managing Phase is to ensure, through timely
oversight, quality control, and executive review, that projects are
acquired as well as assets are managed in a disciplined, well-managed,
and consistent manner. The Managing Phase is also characterized by
decisions to continue, modify, or terminate projects or dispose of
implemented assets. Further this phase is identified with outlining the
operational and maintenance plans needed.

-   Assets acquired are controlled for earned value, schedule, cost, and
    project performance. Through this analysis, the organization ensures
    that the projects are developed in a disciplined, well-managed, and
    consistent manner, through timely oversight, quality control, and
    executive review.

```{=html}
<!-- -->
```
-   On-going assets are primarily managed for cost and performance goals
    and measures. During this phase the IRB assesses the assets to
    ascertain their continued effectiveness in supporting mission
    requirements, evaluate the cost of continued maintenance support,
    and considers replacement or disposal options.

-   On-going assets require operating and maintenance plans and
    schedules to ensure proper performance and utilization. Such efforts
    must be undertaken to meet or extend the expected life of the asset.

Although new projects are selected annually, the Managing Phase is an
ongoing activity. It requires the continuous monitoring of projects
through the acquisition lifecycle. The organization reviews occur before
the annual budget preparation process. Additionally, periodic summary
reviews are completed based on the review schedule completed during the
Planning and Selecting Phase.

Once the investment enters the Managing Phase, the DST will monitor the
investment throughout acquisition and report investment status to the
investment's sponsors and oversight groups.

Process

The ability to adequately monitor projects and on-going assets relies
heavily on the outputs from effective investment execution, management
activities and reporting systems. The Asset Management Organization, in
coordination with the CFO, develops a master milestone review calendar
for evaluation and approval by the IRB. The CFO maintains a managing
review schedule for all projects and assets in the organization's
investment portfolio and monitors investments quarterly. The IRB
conducts in-depth reviews of projects or assets at their discretion or
if the cost, schedule, or performance varies more than 10 percent from
expectations.

FASA V and Earned Value

The Federal Acquisition Streamlining Act, Part V (FASA V) requires
agencies to annually report to OMB and Congress on the state of their
investment portfolio, specifically: on average, 90% of the investments
are on schedule, on budget and meeting performance goals. If specific
investments are not meeting these requirements, the agency head, by law,
must institute corrective actions or terminate the project or asset.

ProSight has been developed to enable bureaus to collect, maintain and
report up-to-date cost and schedule information and calculate earned
value.

ProSight provides the ability to track cost and schedule information.
The earned value table created in ProSight includes a work breakdown
structure, as well as planned, actual, and target cost and schedule
information. From the information collected within this table, earned
value and several other project management variables, such as cost and
schedule variances, are automatically calculated by the system. This
earned value information will also be reported in the Capital Asset Plan
and Business Case (Exhibit 300).

The bureau IRB will use this information as part of the managing
activities. If done right, the bureau has several opportunities during
the fiscal year to identify problems and order corrections or cancel the
project.

Reporting FASA V Requirements to the Department

Bureaus will use ProSight as part of their non-IT capital planning and
investment control activities for all investments reported to Treasury
and OMB through the annual budget submission.

Much of the data resides, and should be maintained, in ProSight.

Bureaus will provide the Department access to the quarterly results
within one month after the conclusion of each quarter. The Asset
Management office will summarize quarterly results for use by the
Assistant Secretary for Management, Capital Investment Review Board,
Non-Information Technology Investment Review Board and other Treasury
offices.

Fourth quarter results will be used by Treasury's Office of Procurement
to respond to OMB and Congress on FASA V.

Assessing Developing Projects

Through the Managing Phase, the organization determines it still has a
valid business case to continue the project acquisition. If the case
continues to be valid, the organization will assess the project's
progress against planned cost, schedule, performance and technical
baselines. The primary purpose of this assessment is to ensure the
project is on schedule and to help identify issues or deficiencies that
require corrective action. In some instances, where the business case
may no longer exist or be as strong, or if significant changes to the
cost, schedule, and technical baselines are required, it may also be
necessary to re-assess the project.

The key questions that the organization should regularly ask are:

-   Is there still a need for the project?

-   Does the project meet and will it continue to meet its planned cost,
    schedule baselines?

The organization should apply applicable screening criteria to determine
whether the project has met expectations, and identify any deficiencies
and corrective actions needed.

Annual Investment Review (Developing Projects and On-Going Assets)

Each year the investment will undergo a comprehensive review during the
annual investment review. The IRB will use the results of these more
detailed reviews during preparation of the Bureau's investment
portfolio. The CFO should be an active participant in this review
process. In preparation for the annual investment review, major
investments in the Managing Phase should prepare a Capital Asset Plan
and Business Case (Exhibit 300) and any other information the IRB
determines to be useful. Some critical information that needs to be
considered annually include the following:

-   Actual cost, schedule and performance vs. baseline

-   Validated/updated Cost Benefit Analysis

-   Risks

-   Security

-   Accessibility for persons with disabilities (Section 508)

-   Presidential and Secretarial priorities.

Annual Portfolio Decisions

To support annual portfolio management decision efforts, the
organization should establish an acceptable ratio of high, medium, and
low risk investments to achieve organizational objectives and future
needs. The balance between the various risks of the Operational,
Technical, Financial, and Organizational components are part of
portfolio selection. Additionally, the IRB should take a strategic view.
This view should:

-   Use a broad understanding of the environment and the Bureau's need
    in identifying which investments produce the maximum results.

-   Determine which investments are of particular interest to the Bureau
    (through its strategic goals and policies), Administration, and
    Congress.

-   Consider the results of not selecting the investment.

-   Evaluate mandatory investments in terms of the overall pool and
    whether the investment must be made now or in the future.

Treasury/OMB Timeline

Exhibit 300s will be due to Treasury in June. After the Exhibit 300s are
received, Treasury will pull together a cross-functional team (a DST) to
assess them. Treasury will use a defined scoring approach to rate and
rank all major investments. Results will be provided to the Assistant
Secretary for Management. The Office of Asset Management will also
provide each bureau with the scoring results and identify any remaining
areas in need of improvement prior to the OMB submission.

Between July and August, bureaus will have the opportunity to update
their Exhibit 300s in preparation for the OMB submission.

Approximately mid-August, the Treasury will require that these exhibits
be re-submitted. The same types of bureau activities that occurred
during spring also occur here. The CPO and CFO are involved, as may be a
DST.

Around the beginning of September, Treasury submits the budget to OMB.
This includes the Exhibits 300. OMB conducts internal assessments and
scoring. The result is the OMB Passback, which we receive in mid-to
late-November. Through this Passback, OMB provides Treasury with scoring
results and funding decisions. After Passback, Treasury has one final
opportunity to update and improve the Exhibits.

In January, OMB makes their final decisions on the President's Budget.
These final decisions establish the approved baselines for our non-IT
capital investments.

Section 5---EvaluatING Phase

Purpose

The purpose of the Evaluating Phase is to compare actual to expected
results after a project acquisition is completed. This is done to assess
the project's impact on mission performance, identify any investment
changes or modifications that may be needed, and revise the investment
management process based on lessons learned. The Evaluating Phase is
intended to 'close the loop' on the investment management process by
comparing actuals against estimates in order to assess the performance
and identify areas where decision-making can be improved. The phase will
address the execution of the operation and maintenance plans; i.e.,
whether the asset\'s useful life has been shortened substantially. Also
to be considered is the execution of the disposal plan as well.

The Evaluate Phase focuses on project outcomes:

-   Determining whether the project met its performance, cost, and
    schedule objectives. If it didn't, why?

```{=html}
<!-- -->
```
-   Determining the extent to which the capital programming process
    improved or hampered the project outcome.

The outcomes are measured by collecting performance data, comparing
actual to projected performance and conducting a review to determine the
project's efficiency and effectiveness in meeting or not meeting
performance and financial objectives. The organization conducts the
review and results are reported to the IRB to provide a better
understanding of initiative performance and assist the sponsor and the
Asset Management organization in directing any necessary adjustments.

Process

In the Evaluating Phase, the processes associated with planning should
be reviewed to determine whether the benefits to be derived from the
asset were accurately predicted. The review should also address the
ability of the asset to meet goals associated with the organization\'s
and Treasury\'s strategic mission. The costs associated with day-to-day-
operations and maintenance are to be assessed, and for determining
future acquisition strategies. During the review of the capital
programming process, evaluations should be undertaken of the decisions
made, to identify lessons learned in order to avoid repeating past
mishaps.

[Appendix A - ProSight Data Entry/investment phases]{.mark}.

Planning and Select Phase

-   Create the new investment.

-   Add the investment to your agency's *Investment Portfolio*.

-   Designate the investment as *Major,* or *Non-Major.*

-   Ensure that points of contact such as the Functional Manager and
    Project Sponsor are kept updated within the *300 Complete
    File/Form*.

-   Add supporting information to the *Workbook* for the investment,
    such as preliminary budget estimates and spreadsheets and the
    Investment Review submission package.

-   Add any new or revised documentation that supports the initiative to
    the *Workbook*.

-   Complete the *Performance Measures* information.

-   Complete the *Planned Cost and Schedule Information*.

-   Complete the Exhibit 300 (Only Majors will be reported to OMB)

-   Complete the *Select Scoring Scorecard Information* located in the
    *300 Analysis Worksheet*.

Managing Phase

-   Add any new or revised documentation that supports the investment to
    the *Worksheet*. This supporting material may be attached to the
    Exhibit 300 submission to OMB.

-   Update and maintain the *Performance Measures* information.

-   Review investment history and background information to support
    assignment of individual scores located in the General Information
    folder and in the investment's *Worksheet*.

Evaluating Phase

-   Finalize the project development-specific *Performance Measures*
    information.

-   Add any new or revised documentation that supports the project to
    the *Worksheet.*

-   

Appendix B -- Generic Treasury Budget/PROSIGHT TIMELINE

  ---------------------------------------------------- ------------------
  Prepare budget within bureau                         April/May

  Portfolio reviews and decisions using updated        April-June
  ProSight data                                        

  Send to Treasury                                     June

  Treasury review budget                               June-August

  Update ProSight to reflect 3^rd^ quarter results and July
  actuals for on-going initiatives                     

  Update existing ProSight initiatives/Develop Exhibit June-August
  300s for new initiatives                             

  Treasury budget office passback                      August

  Initial ProSight submittal to Treasury               June

  Exhibit 300 Passback from Asset Management office to July
  bureaus                                              

  Exhibit 300s updated                                 August

  All Exhibit 300s are eFiled,                         September

  Treasury submits budget to OMB                       September

  Update ProSight to reflect 4^th^ quarter results and October
  actuals for on-going initiatives                     

  OMB passback                                         Late November

  OMB final allowance                                  Mid December

  ProSight updated                                     November-January

  Update ProSight to reflect 1^st^ quarter results and January
  actuals for on-going initiatives                     

  Budget Decisions are entered into "greens"           January

  Final Exhibit 300s updated completed, eFiled, and    January
  submitted to OMB                                     

  Budget sent to Congress                              Early February

  All initiatives in President's Budget updated to     February
  reflect final decisions and baselined                

  Congressional briefs prepared                        February/April

  Update ProSight to reflect 2^rd^ quarter results and April
  actuals for on-going initiatives                     

  ProSight calendar rolled to next FY                  April

  Congressional briefings/budget passed                April/October
  ---------------------------------------------------- ------------------

<table>
<colgroup>
<col style="width: 7%" />
<col style="width: 5%" />
<col style="width: 5%" />
<col style="width: 5%" />
<col style="width: 2%" />
<col style="width: 13%" />
<col style="width: 10%" />
<col style="width: 2%" />
<col style="width: 3%" />
<col style="width: 6%" />
<col style="width: 6%" />
<col style="width: 1%" />
<col style="width: 3%" />
<col style="width: 10%" />
<col style="width: 1%" />
<col style="width: 11%" />
</colgroup>
<tbody>
<tr class="odd">
<td colspan="16">Appendix C – Exhibit 300 Assessment Tool</td>
</tr>
<tr class="even">
<td colspan="5"><h4 id="bureau">Bureau</h4></td>
<td colspan="3"><h4 id="project-id">Project ID</h4></td>
<td colspan="3"><h4 id="project-name">Project Name</h4></td>
<td colspan="5"><h4 id="date-reviewed">Date Reviewed</h4></td>
</tr>
<tr class="odd">
<td colspan="5"></td>
<td colspan="3"><h2 id="section"></h2></td>
<td colspan="3"></td>
<td colspan="5"></td>
</tr>
<tr class="even">
<td colspan="16"><h4 id="completeness-scoring-criteria">Completeness
Scoring Criteria</h4></td>
</tr>
<tr class="odd">
<td><h2 id="score">Score</h2></td>
<td colspan="2"><h2 id="factor">Factor</h2></td>
<td colspan="4"><h2 id="points">4 points</h2></td>
<td colspan="3"><strong>3 points</strong></td>
<td colspan="3"><strong>2 points</strong></td>
<td colspan="2"><strong>1 point</strong></td>
<td><strong>0 points</strong></td>
</tr>
<tr class="even">
<td></td>
<td colspan="2"><strong>I.A – Project Description</strong></td>
<td colspan="4">Description addresses: (1) project description and CP
status; (2) assumptions; (3) supporting information; (4) IRB review (p.
1); (5) CFO review (p. 1); (6) PE review (p. 1); and (7) a complete
summary of spending; (8) Project Manager review (p. 1) (9) New or
Renovated Building</td>
<td colspan="3">The project description addresses 7-8 of 9
criteria.</td>
<td colspan="3">The project description addresses 5-6 of 9
criteria.</td>
<td colspan="2">The project description addresses 3-4 of 9
criteria.</td>
<td>The project description addresses none of 9 criteria.</td>
</tr>
<tr class="odd">
<td></td>
<td colspan="2"><strong>I.B - Justification</strong></td>
<td colspan="4">The investment: (1) supports mission and strategic goals
and objectives; (2) supports strategic goals of the PMA; (3) considered
alternatives in public and private sector; (4) explains why these
alternatives were not selected; (5) identifies customers; (6) identifies
stakeholders; (7) is a multi-agency initiative (if applicable), and
identifies organizations affected; and (8) will reduce costs or improve
efficiencies; (9) other assets that interface</td>
<td colspan="3">The investment meets 6-7 of 9 justification
criteria.</td>
<td colspan="3">The investment meets 4-5 of 9 justification
criteria.</td>
<td colspan="2">The investment meets 2-3 of 9 justification
criteria.</td>
<td>The investment meets none of 9 justification criteria.</td>
</tr>
<tr class="even">
<td></td>
<td colspan="2"><strong>I.C – Performance Goals and Measures
*</strong></td>
<td colspan="4">The performance information provided includes: (1)
strategic goal(s); (2) existing baseline; (3) planned and (4) actual
performance improvement [new projects: N/A]; (5) planned and (6) actual
performance metric [new projects: N/A]; and (7) Treasury’s/bureau’s
performance plan inclusion (p. 1).</td>
<td colspan="3"><p>New proj.: The inv. meets 3 of 4 perf. criteria.</p>
<p>On-going proj.: The investment meets 5-6 of 7 performance
criteria.</p></td>
<td colspan="3"><p>New proj.: The inv. meets 2 of 4 perf. criteria.</p>
<p>On-going proj.: The investment meets 3-4 of 7 performance
criteria.</p></td>
<td colspan="2"><p>New proj.: The inv. meets 1 of 4 perf. criteria.</p>
<p>On-going proj.: The investment meets 1-2 of 7 performance
criteria.</p></td>
<td><p>New proj.: The inv. meets none of 4 perf. criteria.</p>
<p>On-going proj.: The investment meets none of 7 performance
criteria.</p></td>
</tr>
<tr class="odd">
<td></td>
<td colspan="2"><strong>I.D – Program Management</strong></td>
<td colspan="4">A (1) program manager and (2) contracting officer are
assigned to the project, an (3) integrated project team has been formed
and skill set listed, and a (4) sponsor/owner has been identified.</td>
<td colspan="3">The project meets 3 of the 4 program management
criteria.</td>
<td colspan="3">The project meets 2 of the 4 program management
criteria.</td>
<td colspan="2">The project meets 1 of the 4 program management
criteria.</td>
<td>The project meets none of 4 program management criteria.</td>
</tr>
<tr class="even">
<td></td>
<td colspan="2"><strong>I.E – Alternatives Analysis *</strong></td>
<td colspan="4">The alternatives analysis addresses: (1) description of
three alternatives and results of feasibility/performance/ benefits; (2)
results of life-cycle cost analysis, including assumptions; (3) chosen
alternative and ROI; (4) quantitative benefits (if any); (5) financial
summary, net present value by year and payback period.</td>
<td colspan="3">The alternatives analysis addresses 4 of 5
criteria.</td>
<td colspan="3">The alternatives analysis addresses 3 of 5
criteria.</td>
<td colspan="2">The alternatives analysis addresses 2 of 5
criteria.</td>
<td>The alternatives analysis addresses 0-1 of 5 criteria.</td>
</tr>
<tr class="odd">
<td></td>
<td colspan="2"><strong>I.F - Risk Inventory and Assessment
*</strong></td>
<td colspan="4">The risk assessment (1) identifies a minimum of 11 risk
categories, and addresses (2) date identified, (3) area of risk, (4)
description, (5) probability, (6) strategy for mitigation, and (7)
current status; (8) Date of risk management plan</td>
<td colspan="3">The risk inventory and assessment addresses 6-7 of 8
criteria.</td>
<td colspan="3">The risk inventory and assessment addresses 4-5 of 8
criteria.</td>
<td colspan="2">The risk inventory and assessment addresses 2-3 of 8
criteria.</td>
<td>The risk inventory and assessment addresses none of 8 criteria.</td>
</tr>
<tr class="even">
<td></td>
<td colspan="2"><strong>I.G – Acquisition Strategy</strong></td>
<td colspan="4">The acquisition strategy addresses: (1) the number of
contracts and type of contract; contribution to achieving cost,
schedules and performance goals; innovative contract provisions; (2)
their relationship to each other; (3) type of contract(s), and (4) for
cost reimbursement contracts, defines risk; (5) financial incentives;
(6) use of competition; (7) date of acquisition plan; and (8) Section
508 compliance; (9) use of commercially available or COTS, or
modification if not using COTS; (10) acquisition cost</td>
<td colspan="3">The acquisition strategy addresses 7-8 of 10
criteria.</td>
<td colspan="3">The acquisition strategy addresses 5-6 of 10
criteria.</td>
<td colspan="2">The acquisition strategy addresses 3-4 of 10
criteria.</td>
<td>The acquisition strategy addresses 1-2 of 10 criteria.</td>
</tr>
<tr class="odd">
<td></td>
<td colspan="2"><strong>I.H – Project and Funding Plan *</strong></td>
<td colspan="4"><p>The project and funding plan addresses: (1)
performance-based system (earned value management system);</p>
<p>[for new projects] (2) cost; (3) schedule; and (4) planned work;</p>
<p>[for on-going projects] (2) original baseline; (3) proposed baseline
changes; (4) planned work; (5) actual work accomplished; (6) cost and
schedule variance; (7) performance variance; (8) estimated cost at
completion; (9) corrective actions; (10) agency head concurrence to
continue.</p></td>
<td colspan="3"><p>For new projects: The project funding plan addresses
3 of 4 criteria.</p>
<p>For on-going projects:</p>
<p>The project and funding plan addresses 7-9 of 10 criteria.</p></td>
<td colspan="3"><p>For new projects: The project funding plan addresses
2 of 4 criteria.</p>
<p>For on-going projects:</p>
<p>The project and funding plan addresses 4-6 of 10 criteria.</p></td>
<td colspan="2"><p>For new projects: The project funding plan addresses
1 of 4 criteria.</p>
<p>For on-going projects:</p>
<p>The project and funding plan addresses 1-3 of 10 criteria.</p></td>
<td><p>For new projects: The project funding plan addresses none of 4
criteria.</p>
<p>For on-going projects:</p>
<p>The project and funding plan addresses none of 10 criteria.</p></td>
</tr>
<tr class="even">
<td></td>
<td colspan="2"><strong>II.A – Enterprise Architecture *</strong></td>
<td colspan="4">The project: (1) is identified in the bureau EA,
including the Transition Plan, or addresses plans for completing the
bureau EA; (2) conforms to the bureau EA/Treasury EA/Framework (TEAF),
including the EA principles; (3) identifies lines of business (LoB) of
Federal Business Architecture (FBA) ; (4) describes support for FBA LoB;
(5) was approved by EA Review committee; (6) requires process
simplification/ reengineering; (7) requires organizational
restructuring; (8) describes project LoBs; (9) describes implications
for bureau business architecture; (10) identifies types of data used;
(11) addresses data at Federal, State and Local level; (12) addresses
legal implications of data transfer; (13) addresses OMB A-16 geospatial
data requirements (if applicable); (14) addresses relationship to the
application and technology layers of the EA; and (15) hardware,
applications, and infrastructure requirements are included in EA
Technical Reference Model (TRM).</td>
<td colspan="3">The project meets 10-12 of the 15 enterprise
architecture criteria.</td>
<td colspan="3">The project meets 7-9 of the 15 enterprise architecture
criteria.</td>
<td colspan="2">The project meets 4-6 of the 15 enterprise architecture
criteria.</td>
<td>The project meets 0-3 of the 15 enterprise architecture
criteria.</td>
</tr>
<tr class="odd">
<td></td>
<td colspan="2"><strong>II.B – Security and Privacy *</strong></td>
<td colspan="4">The project addresses: (1) how security is provided and
funded; (2) the total dollar amount allocated to security; (3) meeting
GISRA, OMB and NIST requirements; (4) an up-to-date security plan; (5)
an approved certification and accreditation process; (6) tests for
effectiveness of management, operational, and technical security
controls; (7) system user training; (8) incident handling capability;
(9) contractor security procedures (if applicable); (10) privacy
protection; (11) handling of personal information; (12) if a Privacy
Impact Assessment was conducted; (13) support for homeland security (p.
1); (14) inclusion in GISRA review (p. 1) and (15) inclusion in Project
Matrix review (p. 1).</td>
<td colspan="3">The project meets 10-12 of the 15 security and privacy
criteria.</td>
<td colspan="3">The project meets 6-9 of the 15 security and privacy
criteria.</td>
<td colspan="2">The project meets 3-5 of the 15 security and privacy
criteria.</td>
<td>The project meets 0-2 of the 15 security and privacy criteria.</td>
</tr>
<tr class="even">
<td></td>
<td colspan="2"><strong>II.C – Government Paperwork Elimination Act
(GPEA)</strong></td>
<td colspan="4">If the project is GPEA related, (1) it is included in
Treasury’s GPEA plan, and (2) the date of the bureau GPEA plan is
provided. (3) Any applicable OMB PRA control numbers are provided.</td>
<td colspan="3">The project meets 2 of the 3 GPEA criteria.</td>
<td colspan="3">The project meets 1 of the 3 GPEA criteria.</td>
<td colspan="2">The project meets none of the 3 GPEA criteria.</td>
<td>The project meets none of the 3 GPEA criteria.</td>
</tr>
<tr class="odd">
<td></td>
<td colspan="15"><h3 id="total-completeness-score-maximum-of-44">Total
Completeness Score (Maximum of 44) </h3>
<h3
id="note-all-of-the-following-factors-indicated-with-an-above-must-score-a-minimum-of-3-points-in-order-for-this-exhibit-300-to-be-referred-to-omb-i.c-performance-goals-and-measures-i.e-alternatives-analysis-i.f-risk-inventory-and-assessment-i.h-project-and-funding-plan-ii.a-enterprise-architecture-and-ii.b-security-and-privacy.">*Note:
All of the following factors (indicated with an “*”above) must score a
minimum of 3 points in order for this Exhibit 300 to be referred to OMB:
I.C Performance Goals and Measures, I.E Alternatives Analysis, I.F Risk
Inventory and Assessment, I.H Project and Funding Plan, II.A Enterprise
Architecture, and II.B Security and Privacy. </h3>
<h3
id="note-non-information-technology-assets-will-be-scored-on-the-same-rating-scale-as-information-technology-assets.-sections-pertaining-to-part-ii-of-exhibit-300-which-does-not-pertain-to-non-it-assets-will-receive-a-score-of-5-to-allow-comparative-assessments-of-both-non-it-and-it-investments.">**Note:
Non-information technology assets will be scored on the same rating
scale as information technology assets. Sections pertaining to Part II
of Exhibit 300 which does not pertain to non-IT assets, will receive a
score of 5 to allow comparative assessments of both non-IT and IT
investments.</h3>
<p>36 – 44 = Level 5: Well documented</p>
<p>27 – 35 = Level 4: Few areas that need strengthening</p>
<p>18 – 26 = Level 3: Areas that need much work to solidify and
quantify</p>
<p>9 – 17 = Level 2: Many areas that are not documented</p>
<p>0 – 8 = Level 1: Lacks documentation throughout</p></td>
</tr>
<tr class="even">
<td colspan="16"><h4 id="business-case-scoring-criteria">Business Case
Scoring Criteria</h4></td>
</tr>
<tr class="odd">
<td colspan="2"><strong>Score</strong></td>
<td colspan="2"><h5 id="factor-1">Factor</h5></td>
<td colspan="2"><strong>4 Points</strong></td>
<td colspan="3"><strong>3 Points</strong></td>
<td colspan="3"><strong>2 Points</strong></td>
<td colspan="2"><strong>1 points</strong></td>
<td colspan="2"><strong>0 Points</strong></td>
</tr>
<tr class="even">
<td colspan="2"></td>
<td colspan="2"><strong>I.C – Performance Goals</strong></td>
<td colspan="2">Performance goals are provided for the agency, are
linked to the annual performance plan, the project discusses the agency
mission and strategic goals, and performance measures are provided.</td>
<td colspan="3">Performance goals are provided for the agency, are
linked to the annual performance plan, the project discusses the agency
mission and strategic goals, and performance measures are provided yet
work remains to strengthen the PG.</td>
<td colspan="3">Performance goals exist, but linkage to the agency
mission and strategic goals id weak.</td>
<td colspan="2">Performance goals are in their initial stages and are
not appropriate for the type of project. Much work remains to strengthen
the PG.</td>
<td colspan="2">There is no evidence of PG for this project.</td>
</tr>
<tr class="odd">
<td colspan="2"></td>
<td colspan="2"><strong>I.D – Program Management</strong></td>
<td colspan="2">Program is very strong and has resources in place to
manage it.</td>
<td colspan="3">Program has some weak points in the area of PM and
agency is working to strengthen PM.</td>
<td colspan="3">Much work remains in order for PM to manage the risks
for this project.</td>
<td colspan="2">There is some understanding of PM for this project but
it is very rudimentary.</td>
<td colspan="2">There is no evidence of PM.</td>
</tr>
<tr class="even">
<td colspan="2"></td>
<td colspan="2"><strong>I.E – Alternatives Analysis</strong></td>
<td colspan="2">AA includes three viable alternatives, alternatives were
compared consistently, and alternative chosen provides benefits and
reasons.</td>
<td colspan="3">AA includes three viable alternatives, however work
needs to continue in terms of alternatives chosen and the accompanying
analysis.</td>
<td colspan="3">AA includes less than three alternatives and overall
analysis needs strengthening.</td>
<td colspan="2">AA includes weak AA information overall, significant
weaknesses exist.</td>
<td colspan="2">There is no evidence that an AA was performed.</td>
</tr>
<tr class="odd">
<td colspan="2"></td>
<td colspan="2"><strong>I.F – Risk Management</strong></td>
<td colspan="2">Risk assessment was performed for all mandatory elements
and risk is managed throughout the project.</td>
<td colspan="3">Risk assessment addresses some of the risk, but not all
that should be addressed for this project.</td>
<td colspan="3">Risk management is very weak and does not seem to
address or manage most of the risk associated with the project.</td>
<td colspan="2">Risk assessment was performed at the outset of the
project, but does not seem to be part of the program management.</td>
<td colspan="2">There is no evidence of a risk assessment plan or
strategy.</td>
</tr>
<tr class="even">
<td colspan="2"></td>
<td colspan="2"><strong>I.G – Acquisition Strategy</strong></td>
<td colspan="2">Strong acquisition strategy (AS) that accommodates
Section 508 as needed, and contracts and statements of work (SOWs) are
performance based.</td>
<td colspan="3">Contracts and SOWs are performance based with very few
weak points that agency is strengthening.</td>
<td colspan="3">Much work remains to solidify and quantify the AS.</td>
<td colspan="2">There is an AS, but no clear implementation
strategy.</td>
<td colspan="2">There is no evidence of an AS.</td>
</tr>
<tr class="odd">
<td colspan="2"></td>
<td colspan="2"><strong>I.H – Performance Based Management
System</strong></td>
<td colspan="2">Agency uses the required Earned Value Management System
(EVMS) or ANSI standard and project is earning the value as planned for
cost, schedule, and performance goals.</td>
<td colspan="3">Agency uses the required EVMS and it is within the
variance levels for two of the three criteria, and needs work on the
third issue.</td>
<td colspan="3">Agency uses required EVMS but the process within the
agency is very new and not fully implemented, or there are weaknesses
for this individual project’s EVMS information.</td>
<td colspan="2">Agency seems to re-baseline rather than report
variances.</td>
<td colspan="2">There is no evidence of a performance based management
system.</td>
</tr>
<tr class="even">
<td colspan="2"></td>
<td colspan="2"><strong>II.A – Enterprise Architecture</strong></td>
<td colspan="2">Enterprise Architecture (EA) includes this project and
EA is actively used in the management of this project.</td>
<td colspan="3">EA includes this project but there are weak points at
one or more layers (business, data, application, technology) of the EA
that need work.</td>
<td colspan="3">EA does not seem to be driving this project and there is
no real strategy to do so.</td>
<td colspan="2">While the agency has an EA Framework, it is not
implemented in the agency and does not include this project.</td>
<td colspan="2">There is no evidence of a comprehensive EA in the
agency.</td>
</tr>
<tr class="odd">
<td colspan="2"></td>
<td colspan="2"><strong>II.B - Security</strong></td>
<td colspan="2">Security issues for the project and all questions are
answered, detail is provided about the individual project throughout the
life cycle to include budgeting for security.</td>
<td colspan="3">Security information for the project is provided but
there are weaknesses in the information that need to be corrected.</td>
<td colspan="3">Security information for the project is provided but
fails to answer the minimum requirements.</td>
<td colspan="2">Security information points to an overall agency
security process with little to no detail at this project level.</td>
<td colspan="2">There is no security information provided for this
project.</td>
</tr>
<tr class="even">
<td colspan="2"></td>
<td colspan="2"><strong>Life Cycle Cost Formulation</strong></td>
<td colspan="2">Life cycle (LC) costs seem to reflect formulation that
includes all of the required resources and is risk-adjusted to
accommodate items addressed in the risk management (RM) plan. It appears
that the project is planned well enough to come in on budget.</td>
<td colspan="3">LC costs seem to reflect formulation of some of the
resources and some of the issues as included in the risk-adjusted
strategy, but work remains in order to ensure that LC costs are
accurately portrayed.</td>
<td colspan="3">LC costs seem to reflect formulation of the resources,
but are not risk-adjusted based upon the RM plan.</td>
<td colspan="2">LC costs seem to include some of the resource criteria
and are not risk-adjusted.</td>
<td colspan="2">LC costs do not seem to reflect a planned formulation
process.</td>
</tr>
<tr class="odd">
<td colspan="2"></td>
<td colspan="2"><strong>Supports the President’s Management Agenda
Items</strong></td>
<td colspan="2">This is a collaborative project that includes multiple
agencies, state, local, or tribal governments, uses e-business
technologies and the project is governed by citizen needs. Project also
supports the Federal Business Architecture (FBA) published by OMB. If
project is a steady state project, then an e-Gov strategy review is
underway and includes all of the necessary elements.</td>
<td colspan="3">This is a collaborative project that includes multiple
agencies, state, local, or tribal governments, uses e-business
technologies, though work remains to solidify these relationships.
Project also supports the FBA published by OMB, though work remains to
solidify the linkage. If project is a steady state project, then an
e-Gov strategy review is underway, but needs work in order to strengthen
the analysis.</td>
<td colspan="3">This is not a collaborative project, though it could be
and much work remains to strengthen the ties to the President’s
Management Agenda (PMA). If a steady state project and no e-Gov strategy
is evident, this project will have a difficult time securing continued
or new funding from OMB.</td>
<td colspan="2">This is not a collaborative project and it is difficult
to ascertain support for the PMA items. If steady state project, no
e-Gov strategy was performed or is planned.</td>
<td colspan="2">There does not seem to be any link to the PMA items and
no e-Gov strategy.</td>
</tr>
<tr class="even">
<td colspan="2"></td>
<td colspan="14"><h4
id="total-business-case-bc-score-maximum-of-40">Total Business Case (BC)
Score (Maximum of 40)</h4>
<p>33 – 40 = Level 5: Strong documented BC</p>
<p>25 – 32 = Level 4: Very few weak points, but still needs
strengthening</p>
<p>17 – 24 = Level 3: Much work remains to solidify and quantify the BC.
BC has the opportunity to either improve or degrade very quickly</p>
<p>9 – 16 = Level 2: Significant gaps in the required categories</p>
<p>0 – 8 = Level 1: Inadequate in every category of the required
BC</p></td>
</tr>
<tr class="odd">
<td colspan="16"><h6 id="comments">Comments</h6>
<p><strong>Completeness:</strong></p>
<p>Business Case:</p>
<p><strong>Programmatic Review:</strong></p></td>
</tr>
</tbody>
</table>

  -----------------------------------------------------------------------
  Appendix D -- CP Assessment Tool

  -----------------------------------------------------------------------

+--------+--------------------------------------------------+---------+
| ##     | #### Factor {#factor-2}                          | #### C  |
| # Scor |                                                  | omments |
| e {#sc | **(Score indicates to what extent the bureau CP  |  {#comm |
| ore-1} | process satisfies the factor)**                  | ents-1} |
|        |                                                  |         |
| **2 -- |                                                  |         |
| F      |                                                  |         |
| ully** |                                                  |         |
|        |                                                  |         |
| **1 -- |                                                  |         |
| Parti  |                                                  |         |
| ally** |                                                  |         |
|        |                                                  |         |
| **0 -- |                                                  |         |
| None** |                                                  |         |
+--------+--------------------------------------------------+---------+
|        | 1 -- Investment Review Board (IRB)               |         |
|        |                                                  |         |
|        | 1.1 -- Bureau has an executive level IRB with a  |         |
|        | written charter, which meets on a regular basis  |         |
+--------+--------------------------------------------------+---------+
|        | 1.2 -- Uses the budget process as the driver     |         |
+--------+--------------------------------------------------+---------+
|        | 1.3 -- Includes business line executives         |         |
+--------+--------------------------------------------------+---------+
|        | 1.4 -- Includes CIO, CFO, PE, BO and COO         |         |
+--------+--------------------------------------------------+---------+
|        | 1.5 -- Has a business planning council, which    |         |
|        | meets on a regular basis, and that sets          |         |
|        | strategic direction for the IRB                  |         |
+--------+--------------------------------------------------+---------+
|        | 1.6 -- Bureau is using published CP procedures   |         |
+--------+--------------------------------------------------+---------+
|        | 2 -- Planning Phase                              |         |
|        |                                                  |         |
|        | 2.1 -- Identifies mission need or needs of       |         |
|        | organization                                     |         |
+--------+--------------------------------------------------+---------+
|        | 2.2 -- Conducts mission analysis and develops    |         |
|        | Mission Needs Statement or general needs         |         |
|        | statement                                        |         |
+--------+--------------------------------------------------+---------+
|        | 2.3 -- Links Mission Needs Statement to bureau's |         |
|        | and/or Treasury's strategic plan                 |         |
+--------+--------------------------------------------------+---------+
|        | 2.4 -- Develops proposed solution concept        |         |
|        | (objectives, evaluation criteria, concept        |         |
|        | alternatives, and alternative analysis approach) |         |
+--------+--------------------------------------------------+---------+
|        | 2.5 -- Develops preliminary business case with   |         |
|        | budget estimates and cost benefit analysis       |         |
+--------+--------------------------------------------------+---------+
|        | 3 -- Selecting Phase                             |         |
|        |                                                  |         |
|        | 3.1 -- Has a process in place for screening new  |         |
|        | initiatives                                      |         |
+--------+--------------------------------------------------+---------+
|        | 3.2 -- Establishes time guidelines and assigns   |         |
|        | responsibility for scoring and selecting         |         |
|        | investments                                      |         |
+--------+--------------------------------------------------+---------+
|        | 3.3 -- Clearly defines data required for initial |         |
|        | project submission                               |         |
+--------+--------------------------------------------------+---------+
|        | 3.4 -- Costs, benefits and risks of planned      |         |
|        | investments                                      |         |
|        |                                                  |         |
|        | 3.4.1 -- Has developed and published standard    |         |
|        | benefit, cost and risk criteria                  |         |
+--------+--------------------------------------------------+---------+
|        | 3.4.2 -- Requires that an analysis, based on     |         |
|        | standardized criteria, is submitted for each new |         |
|        | initiative                                       |         |
+--------+--------------------------------------------------+---------+
|        | 3.4.3 -- Requires that all relevant project      |         |
|        | costs are included                               |         |
+--------+--------------------------------------------------+---------+
|        | 3.4.4 -- Uses structured benefits and cost       |         |
|        | analysis studies                                 |         |
+--------+--------------------------------------------------+---------+
|        | 3.4.5 -- Reports full life-cycle costs for       |         |
|        | on-going assets                                  |         |
+--------+--------------------------------------------------+---------+
|        | 3.4.6 -- Reports phased life-cycle costs for     |         |
|        | projects/assets                                  |         |
+--------+--------------------------------------------------+---------+
|        | 3.4.7 -- Requires risk assessments addressing    |         |
|        | technical, strategic, and security issues        |         |
+--------+--------------------------------------------------+---------+
|        | 3.4.8 -- Uses return on investment (ROI)         |         |
|        | techniques                                       |         |
+--------+--------------------------------------------------+---------+
|        | 3.5 -- Requires the bureau chief enterprise      |         |
|        | architect to certify a new project               |         |
+--------+--------------------------------------------------+---------+
|        | 3.6 -- Has an established methodology to score   |         |
|        | and develop priorities for non-IT investments,   |         |
|        | ensuring that selected projects support bureau   |         |
|        | strategic and performance plans, and enable      |         |
|        | business effectiveness, efficiency, and          |         |
|        | productivity gains                               |         |
+--------+--------------------------------------------------+---------+
|        | 3.7 -- Has defined thresholds for capital        |         |
|        | program planning                                 |         |
+--------+--------------------------------------------------+---------+
|        | 3.8 -- Includes non-IT infrastructure in the     |         |
|        | investment portfolio                             |         |
+--------+--------------------------------------------------+---------+
|        | 3\. -- Has a structured and re-occurring method  |         |
|        | for selecting investments                        |         |
+--------+--------------------------------------------------+---------+
|        | 3.12 -- Uses a standard business case reporting  |         |
|        | format, and manages CP data electronically       |         |
+--------+--------------------------------------------------+---------+
|        | 4 -- Managing Phase                              |         |
|        |                                                  |         |
|        | 4.1 -- Has oversight mechanism ensuring          |         |
|        | consistent monitoring of non-IT initiatives      |         |
+--------+--------------------------------------------------+---------+
|        | 4.2 -- Project information collected is          |         |
|        | sufficient to make a cancel/continue/accelerate  |         |
|        | decision                                         |         |
+--------+--------------------------------------------------+---------+
|        | 4.3 -- Uses an earned value management system    |         |
|        | (EVMS)                                           |         |
+--------+--------------------------------------------------+---------+
|        | 5 -- Evaluating Phase                            |         |
|        |                                                  |         |
|        | 5.1 -- Compares achieved results against         |         |
|        | investment plans generated during the control    |         |
|        | phase                                            |         |
+--------+--------------------------------------------------+---------+
|        | 5.2 -- Conducts post reviews                     |         |
+--------+--------------------------------------------------+---------+
|        | 5.3 -- Includes customers in the investment      |         |
|        | evaluation process                               |         |
+--------+--------------------------------------------------+---------+
|        | 5.4 -- Evaluates projects against each other     |         |
|        | within the portfolio                             |         |
+--------+--------------------------------------------------+---------+
|        | 5.5 -- Conducts periodic reviews, (ensure        |         |
|        | positive ROI; and re-assess an investment's      |         |
|        | business case, technical compliance)             |         |
+--------+--------------------------------------------------+---------+
|        | 5.6 -- Applies lessons learned to applicable     |         |
|        | areas of the CP process                          |         |
+--------+--------------------------------------------------+---------+
|        | 6 -- Project Management                          |         |
|        |                                                  |         |
|        | 6.1 -- Has a systematic bureau project           |         |
|        | management process                               |         |
+--------+--------------------------------------------------+---------+
|        | 6.2 -- Has strong qualified project managers     |         |
+--------+--------------------------------------------------+---------+
|        | 6.3 -- Uses control data from the business cases |         |
|        | and life cycle documentation to monitor project  |         |
|        | performance                                      |         |
+--------+--------------------------------------------------+---------+
|        | 6.4 -- Each project has executive buy-in and     |         |
|        | buy-in is periodically demonstrated              |         |
+--------+--------------------------------------------------+---------+
|        | 6.5 -- All aspects of the business case are      |         |
|        | monitored                                        |         |
+--------+--------------------------------------------------+---------+
|        | 7 -- Portfolio Management                        |         |
|        |                                                  |         |
|        | 7.1 -- Defines goals and objectives; clearly     |         |
|        | articulates what the portfolio is supposed to    |         |
|        | achieve                                          |         |
+--------+--------------------------------------------------+---------+
|        | 7.2 -- Understands, accepts, and makes           |         |
|        | tradeoffs; determines how much to invest in one  |         |
|        | thing as opposed to something else               |         |
+--------+--------------------------------------------------+---------+
|        | 7.3 -- Identifies, eliminates, minimizes, and    |         |
|        | diversifies risks; selects a mix of investments  |         |
|        | that will avoid undue risk, will not exceed      |         |
|        | acceptable risk tolerance levels, and will       |         |
|        | spread risks across projects and initiatives to  |         |
|        | minimize adverse impacts                         |         |
+--------+--------------------------------------------------+---------+
|        | 7.4 -- Monitors portfolio performance;           |         |
|        | understands the progress that the portfolio is   |         |
|        | making toward the achievement of the goals and   |         |
|        | objectives                                       |         |
+--------+--------------------------------------------------+---------+
| *\     | 7.5 -- Achieves a desired objective; has the     |         |
| *      | confidence that the desired outcome will likely  |         |
|        | be achieved given the aggregate of investments   |         |
|        | that are made                                    |         |
+--------+--------------------------------------------------+---------+
|        | 8 -- Requires sufficient project information to  |         |
|        | allow compilation of a capital asset plan (OMB   |         |
|        | Exhibit 300)                                     |         |
+--------+--------------------------------------------------+---------+
|        | 9 -- Uses the ProSight System                    |         |
+--------+--------------------------------------------------+---------+
|        | 10 -- Bureau CP process is integrated with the   |         |
|        | budget process and has been used for at least    |         |
|        | one full budget cycle                            |         |
+--------+--------------------------------------------------+---------+
|        | ## Total Score (Maximum of 112)                  |         |
|        |                                                  |         |
|        | 91 -- 108 = Level 5: Integrated planning and     |         |
|        | investment management processes are in place to  |         |
|        | focus on                                         |         |
|        |                                                  |         |
|        | strategic outcomes                               |         |
|        |                                                  |         |
|        | 68 -- 90 = Level 4: Focus is on examining        |         |
|        | business outcomes of investments and lessons     |         |
|        | learned,                                         |         |
|        |                                                  |         |
|        | including post-implementation reviews and        |         |
|        | feedback                                         |         |
|        |                                                  |         |
|        | 45 -- 67 = Level 3: The investment portfolio is  |         |
|        | completed through portfolio-oriented management, |         |
|        |                                                  |         |
|        | including investment analysis and portfolio      |         |
|        | performance evaluation and                       |         |
|        |                                                  |         |
|        | improvement; i.e."planning & selecting",         |         |
|        | "managing," & "evaluating" phases are used       |         |
|        |                                                  |         |
|        | 22 -- 44 = Level 2: Investment management has    |         |
|        | been built with processes in place such as       |         |
|        | investment                                       |         |
|        |                                                  |         |
|        | review board, proposal selection, and project    |         |
|        | oversight; i.e. \"plan ,select" "manage\"        |         |
|        |                                                  |         |
|        | phases installed                                 |         |
|        |                                                  |         |
|        | 0 -- 21 = Level 1: Investment management         |         |
|        | awareness created, but processes are ad hoc and  |         |
|        | unstructured                                     |         |
+--------+--------------------------------------------------+---------+
| *      |                                                  |         |
| *Comme |                                                  |         |
| nts:** |                                                  |         |
+--------+--------------------------------------------------+---------+

  -----------------------------------------------------------------------
  Appendix E -- References and Helpful Sources

  -----------------------------------------------------------------------

-   Capital Programming Guide, Office of Management and Budget, July
    1997 <http://www.whitehouse.gov/omb/circulars/a11/cpgtoc.html>

-   Circular No. A-11, Preparing and Submitting Budget Estimates, Office
    of Management and Budget, July 2001
    <http://www.whitehouse.gov/omb/circulars/a11/01toc.html>

-   Circular No. A-131, Value Engineering, Office of Management and
    Budget, May 1993,
    [http://www.whitehouse.gov/omb/circulars/a131/a131.html](http://www.whitehouse.gov/omb/circulars/a131/a1311.html)

-   Circular No. A-109, Major Systems Acquisition, Office of Management
    and Budget, April 1992, (hard copy only)

-   Circular A-94, Discount Rates to be Used in Evaluating
    Time-Distributed Costs and Benefits, Office of Management and
    Budget, 1992
    <http://www.whitehouse.gov/omb/circulars/a094/a094.html>

-   General Accounting Office, Executive Guide - Leading Practices In
    Capital Decision Making, AIMD-99-32.
    [www.gao.gov/special.pubs/ai99032.pdf](http://www.gao.gov/special.pubs/ai99032.pdf)

-   President's Management Agenda
    <http://www.whitehouse.gov/omb/budget/fy2002/mgmt.pdf>

Appendix F -- Exhibit 300

<table>
<colgroup>
<col style="width: 26%" />
<col style="width: 36%" />
<col style="width: 0%" />
<col style="width: 11%" />
<col style="width: 1%" />
<col style="width: 2%" />
<col style="width: 0%" />
<col style="width: 8%" />
<col style="width: 0%" />
<col style="width: 3%" />
<col style="width: 0%" />
<col style="width: 9%" />
</colgroup>
<tbody>
<tr class="odd">
<td colspan="12">Exhibit 300: Part I: Capital Asset Plan and Business
Case (All Assets)</td>
</tr>
<tr class="even">
<td>Date of this Submission</td>
<td colspan="11"></td>
</tr>
<tr class="odd">
<td>Agency</td>
<td colspan="11"></td>
</tr>
<tr class="even">
<td>Bureau</td>
<td colspan="11"></td>
</tr>
<tr class="odd">
<td>Location in the Budget</td>
<td colspan="11"></td>
</tr>
<tr class="even">
<td>Account Title</td>
<td colspan="11"></td>
</tr>
<tr class="odd">
<td>Account Identification Code</td>
<td colspan="11"></td>
</tr>
<tr class="even">
<td>Program Activity</td>
<td colspan="11"></td>
</tr>
<tr class="odd">
<td>Name of Project</td>
<td colspan="11"></td>
</tr>
<tr class="even">
<td>Unique Project Identifier: (IT only)(See section 53)</td>
<td colspan="11">UPI should be created the same for all projects.</td>
</tr>
<tr class="odd">
<td>Project Initiation Date</td>
<td colspan="11"></td>
</tr>
<tr class="even">
<td colspan="3">Project Planned Completion Date</td>
<td></td>
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="12"><p>This Project is: Initial Concept____ Planning____
Full Acquisition____ Steady State____</p>
<p>Mixed Life Cycle____</p></td>
</tr>
<tr class="even">
<td colspan="3"></td>
<td></td>
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">Project/useful segment is funded:</td>
<td colspan="2">Incrementally</td>
<td colspan="2"></td>
<td colspan="2">Fully</td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="2">Was this project approved by OMB for previous Year
Budget Cycle?</td>
<td colspan="3">Yes</td>
<td></td>
<td colspan="2">No</td>
<td colspan="2"></td>
<td colspan="2"></td>
</tr>
<tr class="even">
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">Did the Executive/Investment Review Committee approve
funding for this project this year?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">Did the CFO review the cost goal?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">Did the Procurement Executive review the acquisition
strategy?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">Did the Project Manager identified in Section 1.D review
this exhibit?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3">Is this investment included in your agency’s annual
performance plan or multiple agency annual performance plans?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"><p id="section-1" class="heading"></p></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3"><p>Indicate by corresponding number which homeland
security mission area(s) this project supports?</p>
<p>1 – Intelligence and Warning;</p>
<p>2 – Border and Transportation Security;</p>
<p>3 – Defending Against Catastrophic Threats;</p>
<p>4 – Protecting Critical Infrastructure and Key Assets;</p>
<p>5 – Emergency Preparedness and Response; or</p>
<p>6 – Other.</p></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"><p id="section-2" class="heading"></p></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3">Is this project information technology? (See Section 53
for definition)</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="12"></td>
</tr>
<tr class="even">
<td colspan="12">For information technology projects only:</td>
</tr>
<tr class="odd">
<td colspan="3">a. Is this Project a Financial Management System? (see
section 53.2 for a definition)</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">If so, does this project address a FFMIA compliance
area?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3"></td>
<td colspan="8"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">If yes, which compliance area?</td>
<td colspan="2"></td>
<td colspan="6"></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">b. Does this project implement electronic transactions
or record keeping that is covered by the Government Paperwork
Elimination Act (GPEA)?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">If so, is it included in your GPEA plan (and does not
yet provide an electronic option)?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">Does the project already provide an electronic
option?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"><h6 id="section-3"></h6></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">c. Was a privacy impact assessment performed for this
project?</td>
<td colspan="2">Yes</td>
<td colspan="2"><p id="section-4" class="heading"></p></td>
<td colspan="2">No</td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">d. Was this project reviewed as part of the FY 2003
Federal Information Security Management Act review process?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">d.1 If yes, were any weaknesses found?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"><p id="section-5" class="heading"></p></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3">d.2. Have the weaknesses been incorporated into the
agency’s corrective action plans?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"><p id="section-6" class="heading"></p></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">e. Has this project been identified as a national
critical operation or asset by a Project Matrix review or other agency
determination?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"><p id="section-7" class="heading"></p></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3">e.1 If no, is this an agency mission critical or
essential service, system, operation, or asset (such as those documented
in the agency's COOP Plan), other than those identified as above as
national critical infrastructures?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"><p id="section-8" class="heading"></p></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3">f. Was this project included in a Performance Assessment
Rating Tool (PART) Review?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"><p id="section-9" class="heading"></p></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3">f.1. Does this project address a weakness found during
the PART Review?</td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"><p id="section-10" class="heading"></p></td>
<td></td>
</tr>
<tr class="odd">
<td colspan="3"><mark>g. For IT investments only, are share-in-savings
contracts used to support the investment?</mark></td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"><p id="section-11" class="heading"></p></td>
<td></td>
</tr>
<tr class="even">
<td colspan="3"><mark>h. Is the investment for new or renovated federal
buildings or facilities?</mark></td>
<td colspan="2">Yes</td>
<td colspan="2"></td>
<td colspan="2">No</td>
<td colspan="2"><p id="section-12" class="heading"></p></td>
<td></td>
</tr>
</tbody>
</table>

<table style="width:100%;">
<colgroup>
<col style="width: 24%" />
<col style="width: 8%" />
<col style="width: 8%" />
<col style="width: 9%" />
<col style="width: 8%" />
<col style="width: 8%" />
<col style="width: 9%" />
<col style="width: 8%" />
<col style="width: 0%" />
<col style="width: 8%" />
<col style="width: 8%" />
</colgroup>
<tbody>
<tr class="odd">
<td colspan="11"><p>SUMMARY OF SPENDING FOR PROJECT STAGES</p>
<p>(In Millions)</p>
<p>(Estimates for BY+1 and beyond are for planning purposes only</p>
<p>and do not represent budget decisions)</p></td>
</tr>
<tr class="even">
<td></td>
<td>PY-1 and Earlier</td>
<td><p>PY</p>
<p>2003</p></td>
<td><p>CY</p>
<p>2004</p></td>
<td><p>BY</p>
<p>2005</p></td>
<td><p>BY+1</p>
<p>2006</p></td>
<td><p>BY+2</p>
<p>2007</p></td>
<td colspan="2"><p>BY+3</p>
<p>2008</p></td>
<td><p>BY+4&amp;</p>
<p>Beyond</p></td>
<td>Total</td>
</tr>
<tr class="odd">
<td>Planning:</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
<td></td>
</tr>
<tr class="even">
<td>Budgetary Resources</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td>Outlays</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td>Acquisition :</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td>Budgetary Resources</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td>Outlays</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td>Total, sum of stages:</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td>Budgetary Resources</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td>Outlays</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td>Maintenance:</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td>Budgetary Resources</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td>Outlays</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td>Total, All Stages:</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td>Budgetary Resources</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="odd">
<td>Outlays</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
<tr class="even">
<td>Government FTE Costs</td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td></td>
<td colspan="2"></td>
<td></td>
</tr>
</tbody>
</table>

Note: Government FTE Costs shall include the salaries plus fringe
benefits of 32.85% of the government personnel considered to be direct
and indirect labor in support of this project. This includes the project
management IPT and any other government effort (e.g., programming effort
for part of the overall project development effort) that contributes to
the success of the project.

## I. A. Project Description

1\. Provide a brief description of this project and its status through
your capital planning and investment control (CPIC) or capital
programming \"control\" review for the current cycle.

2\. What assumptions are made about this project and why?

3\. Provide any other supporting information derived from research,
interviews, and other documentation.

## I.B. Justification (All Assets)

In order for IT investments to successfully address support of the
President's Management Agenda and justification of the project, the
investment should be collaborative and include multiple agencies, state,
local, or tribal governments, use e-business technologies and be
governed by citizen needs. If the investment is a steady state
investment, then an E-Gov strategy review is underway and includes all
of the necessary elements. If appropriate, this investment is fully
aligned with one or more of the President\'s E-Gov initiatives.

1\. How does this investment support your agency\'s mission and
strategic goals and objectives?

2\. How does it support the strategic goals from the President\'s
Management Agenda?

3\. Are there any alternative sources in the public or private sectors
that could perform this function? 4. If so, explain why your agency did
not select one of these alternatives.

5\. Who are the customers for this project?

6\. Who are the stakeholders of this project?

7\. If this is a multi-agency initiative, identify the agencies and
organizations affected by this initiative.

7.a. If this is a multi-agency initiative, discuss the partnering
strategies you are implementing with the participating agencies and
organizations.

8\. How will this investment reduce costs or improve efficiencies?

9\. List all other assets that interface with this asset\_\_\_\_\_\_.
Have these assets been reengineered as part of this project? Yes\_\_\_,
No\_\_\_.

## I.C. Performance Goals and Measures (All Assets)

In order to successfully address this area of the business case,
performance goals must be provided for the agency, linked to the annual
performance plan, and the investment discusses the agency mission and
strategic goals, and performance measures are provided. These goals need
to map to the gap in the Agency\'s strategic goals and objectives that
this project is designed to fill. They are the internal and external
performance benefits this project is expected to deliver to the agency
(e.g., improve efficiency by 60%, increase citizen participation by 300%
a year to achieve an overall citizen participation rate of 75% by FY
2\_\_\_, etc.). The goals must be clearly measurable project outcomes,
and if applicable, project outputs. They do not include completion date
of the module or project, or general goals, such as, significant,
better, improved that do not have a quantitative or qualitative measure.

Agencies must use Table 1 below for reporting performance goals and
measures for projects through 2004. All IT investments where reporting
includes 2005 and beyond must use table 2.

Table 1

+-----+-------+------+----------+----------+---------+--------------+
| Fis | Stra  | Exis | Planned  | Actual   | Planned | Actual       |
| cal | tegic | ting | Per      |          |         |              |
|     | Go    | Base | formance | Per      | Perf    | Performance  |
| Y   | al(s) | line | Imp      | formance | ormance |              |
| ear |       |      | rovement |          |         | Metric       |
|     | Supp  |      | Goal     | Imp      | Metric  | Results      |
|     | orted |      |          | rovement |         |              |
|     |       |      |          |          |         |              |
|     |       |      |          | Results  |         |              |
+-----+-------+------+----------+----------+---------+--------------+
| 2   |       |      |          |          |         |              |
| 003 |       |      |          |          |         |              |
+-----+-------+------+----------+----------+---------+--------------+
| 2   |       |      |          |          |         |              |
| 003 |       |      |          |          |         |              |
+-----+-------+------+----------+----------+---------+--------------+
| 2   |       |      |          |          |         |              |
| 004 |       |      |          |          |         |              |
+-----+-------+------+----------+----------+---------+--------------+
| 2   |       |      |          |          |         |              |
| 004 |       |      |          |          |         |              |
+-----+-------+------+----------+----------+---------+--------------+

All IT investments must use Table 2 below for 2005 and beyond and are
required to use the FEA Performance Reference Model. PRM Version 1.0,
available at [www.feapmo.gov](http://www.feapmo.gov/), includes detailed
guidance about how to incorporate PRM Indicators into the performance
goals and measures table below. Please use the table below and the PRM
to identify the performance information that pertains to the major IT
Investment. Ensure there is a complete tie-in to the strategic goals and
objectives described in I.B.1.

Table 2

  -------- ------------- ------------- ------------- ---------- -------------- ----------
  Fiscal   Measurement   Measurement   Measurement   Baseline   Planned        Actual
  Year     Area          Category      Indicator                Improvements   Results
                                                                to the         
                                                                Baseline       

  2005                                                                         

  2005                                                                         

  2005                                                                         

  2005                                                                         

  2006                                                                         

  2006                                                                         

  2006                                                                         

  2006                                                                         
  -------- ------------- ------------- ------------- ---------- -------------- ----------

## I.D. Project Management \[All Assets\]

The OMB Circular A-11, Part 7, Capital Programming Guide, and the OPM
Project Management Guidance "Interpretive Guidance for Project Manager
Positions, discuss project management structures, responsibilities, and
qualifications that contribute to successful achievement of cost,
schedule, and performance goals.

  ------------------------------------------------------ ----- ---- ---- ----
  1\. Is there a project manager assigned to the         Yes        No   
  project? If so, what is his/her name?                                  

                                                                         

  1.A. Identify the members, roles, qualifications, and                  
  contact information of the in-house and contract                       
  project managers for this project.                                     

  2\. Is there a contracting officer assigned to the     Yes        No   
  project? If so, what is his/her name?                                  

  3\. Is there an Integrated Project Team?               Yes        No   

  3.A. If so, list the skill set represented.                            

  4\. Is there a sponsor/owner for this project?         Yes        No   

  4.A. If so, identify the sponsor/process owner by name                 
  and title and provide contact information.                             
  ------------------------------------------------------ ----- ---- ---- ----

## I.E. Alternatives Analysis \[All Assets\]

In order to successfully address this area of the business case, you
must include three viable alternatives that were compared consistently,
and alternative chosen provides benefits and reasons. Agency must
identify all viable alternatives and then select and report details on
the top three viable alternatives. The Clinger Cohen Act and OMB
Circular A-94, include minimum criteria to be applied in considering
whether to undertake a particular investment, including criteria related
to the quantitatively expressed projected net, risk-adjusted return on
investment and specific quantitative and qualitative criteria for
comparing and prioritizing alternative investments*.*

1\. Describe the alternative solutions you considered for accomplishing
the agency strategic goals or for closing the performance gap that this
project was expected to address. Describe the results of the
feasibility/performance/benefits analysis. Provide comparisons of the
returns (financial and other) for each alternative.

1.A. Discuss the market research that was done to identify innovative
solutions for this project (e.g., used an RFI to obtain 4 different
solutions to evaluate, held open meetings with contractors to discuss
project scope, etc.,). Also describe what data was used to make
estimates: past or current contract prices for similar work, contractor
provided estimates from RFIs or meetings, general market publications,
etc.

  ------------------ ----------------------------------------------------
  Alternative        Description

  Alternative 1 --   

  Alternative 2 --   

  Alternative 3 --   
  ------------------ ----------------------------------------------------

2\. Summarize the results of your life-cycle cost analysis performed for
each investment and the underlying assumptions.

[]{.mark}

  ------------- ----------------- ------------------ ----------------------
  Cost Elements Alternative 1     Alternative 2      Alternative 3

  Element 1                                          

  Element 2                                          

  Element 3                                          

  Element 4                                          

  Element 5                                          

  Total                                              
  ------------- ----------------- ------------------ ----------------------

3\. Which alternative was chosen and why? Define the Return on
Investment (ROI).

3\. A. Are there any quantitative benefits that will be achieved through
this investment (e.g., systems savings, cost avoidance, stakeholder
benefits, etc)?

3\. B. For alternative selected, provide financial summary, including
Net Present Value by Year and Payback Period Calculations:

  ---------- ------ ------ ------ ------ ------ ------ ------- ------- -------
                                                                       

  YEAR =     FY     FY     FY     FY     FY     FY     FY      FY      FY

                                                                       

                                                                       

                                                                       

                                                                       

                                                                       
  ---------- ------ ------ ------ ------ ------ ------ ------- ------- -------

4\. What is the date of your cost benefit analysis?

## I. F. Risk Inventory and Assessment (All Assets)

In order to successfully address this issue on the business case and
capital asset plan, you must have performed a Risk Assessment at initial
concept, included the mandatory risk elements defined below and
demonstrate active management of the risk throughout the life-cycle of
the investment.

For all investments, both IT and non-IT, you must discuss each of the
following risks and discuss your plans, with milestones and completion
dates, to eliminate, mitigate, or manage the risk. If there is no risk
to the investment achieving its goals from a risk category, say this. If
there are other risks identified, include them. Risk assessments should
be performed at the initial concept stage and then monitored and
controlled throughout the life-cycle of the investment, and should
include risk information from all stakeholders. Risk assessments for all
investments must include 1) schedule, 2) initial costs, 3) life-cycle
costs), 4) technical obsolescence, 5) feasibility, 6) reliability of
systems, 7) dependencies and interoperability between this investment
and others, 8) surety (asset protection) considerations, 9) risk of
creating a monopoly for future procurements, 10) capability of agency to
manage the investment, and 11) overall risk of project failure.

In addition, for IT investments, risk must be discussed in the following
categories 12) Organizational and Change Management, 13) Business, 14)
Data/Info, 15) Technology, 16) Strategic, 17) Security, 18) Privacy, and
19) Project Resources. For security risks, identify under the
description column the level of risk as high, medium, or basic. What
aspect of security determines the level of risk, i.e., the need for
confidentiality of information, availability of information or the
system, reliability of the information or system?

  ------------ ----------- ------------- ------------- ------------ -----------
  Date         Area of     Description   Probability   Strategy for Current
  Identified   Risk                      of Occurrence Mitigation   Status as
                                                                    of the date
                                                                    of this
                                                                    exhibit

                                                                    

                                                                    

                                                                    

                                                                    

                                                                    

                                                                    
  ------------ ----------- ------------- ------------- ------------ -----------

1\. What is the date of your risk management plan?

## I.G. Acquisition Strategy 

In order to adequately address this area of the business case and
capital asset plan you must employ a strong acquisition strategy that
mitigates risk to the federal government, accommodate Section 508 as
needed, and use performance based contracts and (SOWs). If you are not
using performance based contracts and statements of work, your
acquisition strategy should clearly define the risks that prompted use
of other than performance based contracts and SOWs. Finally, your
implementation of the Acquisition Strategy must be clearly defined.

1\. Will you use a single contract or several contracts to accomplish
this project?

1.A. What is the type of contract/task order if a single contract is
used?

1B. If multiple contract/task orders will be used discuss the type, how
they relate to each other to reach the project outcomes, and how much
each contributes to the achievement of the project cost, schedule and
performance goals. Also discuss the contract/task order solicitation or
contract provisions that allow the contractor to provide innovative,
transformational solutions.

2\. For other that firm-fixed price, performance-based contracts, define
the risk not sufficiently mitigated in the risk mitigation plan, for
that contract/task order, that requires the Government to assume the
risk of contract achievement of cost, schedule and performance goals.
Explain the amount of risk the government will assume.

3\. Will you use financial incentives to motivate contractor performance
(e.g. incentive fee, award fee, etc.)?

4\. Discuss the competition process used for each contract/task order?

5\. Will you use commercially available or COTS products for this
investment?

5.A If not, to what extent will these items be modified to meet the
unique requirements of this investment?

5.B What prevented the use of COTS without modification?

6\. What is the date of your acquisition plan?

7\. How will you ensure Section 508 compliance?

8\. Acquisition Costs:

8.A. For budget year, what percentage of the total investment is for
hardware acquisition?

8.B. For budget year, what percentage of the total investment is for
software acquisition?

8.C. For budget year, what percentage of the total investment is for
services acquisition?

## I.H. Project and Funding Plan

In order to successfully address this section of the business case, you
must demonstrate use of an Earned Value Management System (EVMS) that
meets ANSI/EIA Standard 748, for those parts of the investment that
require development efforts (e.g., prototypes and testing in the
planning phase and development efforts in the acquisition phase) and
show how close the investment is to meeting the approved cost, schedule
and performance goals. Information on EVMS is available at
<http://www.acq.osd.mil/pm>. For those projects in the operations/steady
state phase, you must perform an operational analysis as defined in the
Capital Programming Guide to demonstrate how close the investment is to
achieving the expected cost, schedule and performance goals for this
phase. Program status information in this section must include the both
the contractor's part of the projects overall costs and milestone
requirements as well as the government's costs and milestone
requirements to successfully complete the project phase, segment or
module being reported.

I.H.1. Description of performance-based management system (PBMS):

Name the software program that you are using, or will use, to analyze
contractor provided EVMS information. Describe the process you used to
verify that the contractor\'s project management system follows the
ANSI/EIA Standard 748-A. If the project is operational (steady state),
define the operational analysis system that will be used. If this is a
mixed life-cycle project with both operational and
development/modernization/enhancement (DME) system improvement aspects,
EVMS must be used on the system improvement aspects of the contract and
operational analysis on the operations aspects. Using information
consistent with the work breakdown structure (WBS), provide the
information requested in all parts of this section.

I.H.2. Original baseline (OMB-approved at project outset):

What are the cost and schedule goals for this phase or segment/module of
the project (e.g., what are the major project milestones or events; when
will each occur; and what is the estimated cost to accomplish each one)?
Also identify the funding agency for each milestone or event if this is
a multi-agency project. If this is a multi-agency project or one of the
President\'s E-Gov initiatives, use the detailed project plan with
milestones on the critical path, to identify agency funding for each
module or milestone. (This baseline must be included in all subsequent
reports, even when there are OMB‑approved baseline changes shown in
I.H.3).

+-------------------+----+----+------+-----------------+------------+
| #                 |    |    |      |                 |            |
| ## *Cost and Sche |    |    |      |                 |            |
| dule Goals: Origi |    |    |      |                 |            |
| nal Baseline for  |    |    |      |                 |            |
| a Phase/Segment/M |    |    |      |                 |            |
| odule of Project* |    |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
| Description of    | Sc |    |      | Planned Cost    | Funding    |
| Milestone         | he |    |      |                 | Agency     |
|                   | du |    |      |                 |            |
|                   | le |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
|                   | S  | E  | Dura |                 |            |
|                   | ta | nd | tion |                 |            |
|                   | rt | Da | (in  |                 |            |
|                   | Da | te | d    |                 |            |
|                   | te |    | ays) |                 |            |
+-------------------+----+----+------+-----------------+------------+
|                   |    |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
| 1\.               |    |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
| 2\.               |    |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
| 3\.               |    |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
|                   |    |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
|                   |    |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
| Completion date:  |    |    |      | Total cost      |            |
|                   |    |    |      | estimate at     |            |
|                   |    |    |      | completion:     |            |
+-------------------+----+----+------+-----------------+------------+

I.H.3. Proposed baseline/current baseline (applicable *only* if
OMB-approved the changes):

Identify in this section a proposed change to the original or current
baseline or an OMB-approved baseline change. What are the new cost and
schedule goals for the project (e.g., what are the major project
milestones or events; when will each occur; and what is the estimated
cost to accomplish each one)? Also identify the funding agency for each
milestone or event if this is a multi-agency project. If

this is a new project in the FY 2005 budget year, this section will be
blank for your initial submission.

+-------------------+----+----+------+-----------------+------------+
| ### *Cost and     |    |    |      |                 |            |
|  Schedule Goals:  |    |    |      |                 |            |
| Proposed\_\_\_\_\ |    |    |      |                 |            |
| _ or Current (OMB |    |    |      |                 |            |
| -Approved)\_\_\_\ |    |    |      |                 |            |
| _\_ Baseline for  |    |    |      |                 |            |
| a Phase/Segment/M |    |    |      |                 |            |
| odule of Project* |    |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
| Description of    | Sc |    |      | Planned Cost    | Funding    |
| Milestone         | he |    |      |                 | Agency     |
|                   | du |    |      |                 |            |
|                   | le |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
|                   | S  | E  | Dura |                 |            |
|                   | ta | nd | tion |                 |            |
|                   | rt | Da | (in  |                 |            |
|                   | Da | te | d    |                 |            |
|                   | te |    | ays) |                 |            |
+-------------------+----+----+------+-----------------+------------+
|                   |    |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
| 1\.               |    |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
| 2\.               |    |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
| 3\.               |    |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
|                   |    |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
|                   |    |    |      |                 |            |
+-------------------+----+----+------+-----------------+------------+
| Completion date:  |    |    |      | Total cost      |            |
|                   |    |    |      | estimate at     |            |
|                   |    |    |      | completion:     |            |
+-------------------+----+----+------+-----------------+------------+

## I.H.4 Actual performance and variance from OMB-approved baseline (original or current):

A. This section is always filled in to reflect current status of the
project. It compares the OMB approved baseline and actual results for
this phase, segment, or module of the project. Show for each major
project milestones or events you planned (scheduled) to accomplish and
the cost and what work was actually done and the cost. If this is a new
project in the FY 2005 budget year, this section will be blank for your
initial submission. OMB may ask for latest information during the budget
review process.

  --------------------------------------------------------------------------------------------------------------------
  Comparison of                                                                                               
  OMB-Approved Baseline                                                                                       
  and Actual Outcome for                                                                                      
  Phase/Segment/Module                                                                                        
  of a Project                                                                                                
  ---------------------- -------------- ------ ---------- --------- --------- ------------- ------ ---------- --------
                         OMB-Approved                                         Actual                          
                         Baseline                                             Outcome                         

  Description of         Schedule                         Planned   Funding   Schedule             Percent    Actual
  Milestone                                               Cost      Agency                         Complete   Cost

                         Start Date     End    Duration                       Start Date    End               
                                        Date   (in days)                                    Date              

  1\.                                                                                                         

  2\.                                                                                                         

  3\.                                                                                                         

                                                                                                              

                                                                                                              

  Completion date:                                                            Estimated                       
  OMB-approved baseline:                                                      completion                      
                                                                              date:                           

  Total cost:                                                                 Estimate at                     
  OMB-approved baseline:                                                      completion:                     
  --------------------------------------------------------------------------------------------------------------------

B. Provide the following project summary information from your EVMS
software: As of : [(date)]{.underline}

B.1. Show the budgeted (planned) cost of work scheduled (BCWS):
\$\_\_\_\_\_\_\_\_\_\_\_\_\_\_

B.2. Show budgeted (planned) cost of work performed (BCWP):
\$\_\_\_\_\_\_\_\_\_\_\_\_\_\_

B.3. Show the actual cost of work performed (ACWP):
\_\_\_\_\_\_\_\$\_\_\_\_\_\_\_\_\_\_\_\_\_\_ \_\_\_\_\_\_

B.4. Provide a cost curve graph plotting BCWS, BCWP and ACWP on a
monthly basis from inception of this phase or segment/module through the
latest report. In addition, plot the ACWP curve to the estimated cost at
completion (EAC) value, and provide the following EVMS variance
analysis.

  ------------------------------------------------------------- ---------
  PROJECT SUMMARY (CUMULATIVE)                                  

                                                                Value

  Cost Variance = (BCWP-ACWP) =                                 

  Cost Variance % = (CV/BCWP) x 100% =                          

  Cost Performance Index (CPI) = (BCWP/ACWP) =                  

  Schedule Variance = (BCWP-BCWS) =                             

  Schedule Variance % = (SV/BCWS) x 100% =                      

  Schedule Performance Index (SPI) = (BCWP/BCWS) =              

  Two independent Estimates at Completion (EAC) = ACWPcum =     
  (Performance Factor (PF) X (BAC minus BCWPcum)), where PF1 =  
  1/CPI, and PF2 = 1/(CPI X SPI). =                             

  Variance at Completion (VAC) = (BAC minus EAC) for both EACs  
  above =                                                       

  Variance at Completion % = (VAC/BAC) x 100% for both EACs     
  above =                                                       

  Estimated Cost to Complete (ETC)=                             

  Expected Completion Date =                                    
  ------------------------------------------------------------- ---------

Definitions for Earned Value Management System:

ACWP -- Actual Cost for Work Performed -- What you paid.

BAC -- Budget At Completion -- The baseline (planned) budget for the
project.

BCWP -- Budgeted Cost for Work Performed -- The earned value.

BCWS -- Budgeted Cost for Work Scheduled -- The planned costs.

CPI -- Cost Performance Index -- The ratio of the budgeted to actual
cost of work performed.

CV -- Cost Variance -- The difference between planned and actual cost of
work performed.

EAC -- Estimate At Completion -- The latest estimated cost at
completion.

ETC -- Estimate to Completion -- Funds needed to complete the project.

PF -- Performance Factor -- The cost to earn a dollar of value, or
ACWP/BCWP, or 1/CPI.

SPI -- Schedule Performance Index -- The percent of the project that has
been completed.

SV -- Schedule Variance -- The variance between the actual and planned
schedules.

VAC -- Variance at Completion -- The variance between the baseline and
actual budget at completion.

C. If cost and/or schedule variance are a negative 10 percent or more at
the time of this report or EAC is projected to be 10 percent or more,
explain the reason(s) for the variance(s).

D. Provide performance variance. Explain whether, based on work
accomplished to date, you still expect to achieve your performance
goals. If not, explain the reasons for the variance.

E. For projects using EVMS, discuss the contractor, government, and at
least the two EAC index formulas in I.H.4.B, current estimates at
completion. Explain the differences and the IPT's selected EAC for
budgeting purposes. This paragraph is not applicable to
operations/steady state projects.

F. Discuss the corrective actions that will be taken to correct the
variances, the risk associated with the actions, and how close the
planned actions will bring the project to the original baseline. Define
proposed baseline changes, if necessary.

G. If the project cost, schedule or performance variances are 10% or
greater, has the Agency Head concurred in the need to continue the
program at the new baseline?

Yes\_\_\_\_ No\_\_\_\_