United States Department of Agriculture

Research, Education, and Economics

**ARS  CSREES  ERS  NASS**

***Bulletin***

**Title:** Prohibition on Using PCMS Purchase Cards or Convenience
Checks to Acquire Telecommunications

**Number:** 03-001

**Date:** November 24, 2003 **Expiration:** November 24, 2004

**Originating Office:** Infrastructure Branch, Office of the Chief
Information Officer, ARS

**Distribution:** ARS Headquarters, Areas, and Locations; CSREES; ERS;
and NAL

Attached is the USDA/OCIO AGAR Advisory 58 dated October 3, 2003.
Explanation of the policy along with associated ARS/CSREES/ERS/NAL TMACO
(Telecommunications Mission Area Control Officer) policy and procedures
are provided below. Any questions, please contact the TMACO, Brenda
Katulski, at 301-504-1100 or <bkatulski@ars.usda.gov>

# USDA/OCIO Policy

Effective November 1, 2003, PCMS purchase cards and convenience checks
can no longer be used for the purchase of:

-   Any "recurring" telecommunications services

-   Any "non-recurring" telecommunications services over \$350

-   Any telecommunications supplies or equipment whose total amount
    ordered is over \$350

Please see the advisory for definitions of covered telecommunications
services, supplies, and equipment.

# Exceptions To The USDA/OCIO Policy

There are two exceptions to this policy:

1\. Even though the policy is effective November 1, 2003, USDA/OCIO will
allow USDA agencies a one-month grace period (November 1 -- November 30,
2003) to establish the appropriate NFC or government contract accounts
to pay for their future invoices for telecommunications services,
supplies, and equipment covered under this policy. Invoices for
telecommunications services, supplies, and equipment covered under this
policy that were ordered prior to November 1 may be paid by PCMS
purchase card or convenience check during the one month grace period to
ensure that payment is made on time. This is permissible as long as a
new account has been, or will soon be, established at NFC or through a
government contract and will be used to pay the next month's invoice.
However, invoices for telecommunications services, supplies, and
equipment covered under this policy that are ordered after November 1
must be paid by the appropriate NFC or government contract account.

2\. Purchases necessitated by emergencies. An emergency is defined as an
unplanned event that:

-   could cause death or significant injury to employees or the public;

-   could shut down or disrupt operations;

-   could cause physical or environmental damage

Per the USDA/OCIO TNSMP (Telecommunications Network Stabilization and
Migration Program) established in April 1997, agencies are required to
plan for their telecommunications services and equipment in order to
support their agency mission critical program initiatives. This policy
was incorporated into the ARS ARMPS process. CSREES, ERS, and NAL have
similar processes in place. Therefore, failure to plan for a
telecommunications requirement (covered services, supplies, and
equipment) does not constitute an emergency.

In addition, PCMS purchase cards and convenience checks can not be used
to pay for covered telecommunications services, supplies, and equipment
ordered from a government contract even if the contract or related AGAR
allows for purchase cards and/or convenience checks to be used for
payment.

**Objectives of the USDA/OCIO Policy**

The objectives are as follows:

-   Provide an easier way for the Dept and the agencies to account for
    the inventory, payment, and total expenditures of their
    telecommunications services, supplies, and equipment

-   Establish specific payment methods for each covered
    telecommunications service, supply, equipment

-   Support migration of payment of covered telecommunications recurring
    services to TELE

-   Support migration of payment of covered telecommunications
    non-recurring services, supplies, and equipment to PRCH

**Ordering Procedures For Telecommunications Services, Supplies, and
Equipment Covered Under This Policy**

In lieu of AGAR Advisory 58 guidance on Page 3, Acquisition of Covered
Telecommunications Resources, the ordering procedures below should be
followed instead. The reasons for disregarding the AGAR paragraph is as
follows: 1) It falsely states that all covered telecommunications
services, supplies, and equipment should be requested via the TMACO or
DAR. In reality, there are different contacts depending on the type of
service, supply, and/or equipment to be ordered and 2) The paragraph
implies that the FTS2001 contract is a main contract vehicle for these
covered telecommunications items. In reality, the FTS2001 contract only
covers some of the items and there are other contracts and direct
ordering for the other items. The chart below provides the correct
information for each covered item.

Below is a list of covered telecommunications services, supplies, and
equipment under this policy that you may need to order and the
appropriate person or group to initiate the order process through. In
addition, the appropriate government contract or NFC payment system to
pay for these covered telecommunications services, supplies, and
equipment is also listed (see the Payment Procedures section for further
guidance). If you are interested in ordering a telecommunications
service, supply, or equipment and you are not sure what type it falls
under as listed below, please contact the TMACO, Brenda Katulski, at
301-504-1100 or <bkatulski@ars.usda.gov> for further guidance.

+----------------------+------------+--------+--------------+--------+
| **TYPE OF            | **CONTACT  | **CON  | **CONTACT    | **GOV  |
| SE                   | NAME**     | TACT** | E-MAIL**     | CO     |
| RVICE/SUPPLY/EQUIP** |            |        |              | NTRACT |
|                      |            | *      |              | OR NFC |
|                      |            | *TELEP |              | SY     |
|                      |            | HONE** |              | STEM** |
+----------------------+------------+--------+--------------+--------+
| Audio and/or Net     | Maureen    | 301-50 | <mharris@a   | F      |
| Conferencing         | Harris     | 4-1088 | rs.usda.gov> | TS2001 |
+----------------------+------------+--------+--------------+--------+
| Cabling/Inside       | Tom        | 301-50 | <thouston@a  | PRCH   |
| Wiring               | Houston    | 4-1062 | rs.usda.gov> |        |
|                      |            |        |              |        |
|                      | Glenn      | 301-50 | <jonesg@a    |        |
|                      | Jones --   | 4-6228 | rs.usda.gov> |        |
|                      | ARS/BA     |        |              |        |
|                      | Only       |        |              |        |
+----------------------+------------+--------+--------------+--------+
| Calling Cards        | Maureen    | 301-50 | <mharris@a   | F      |
|                      | Harris     | 4-1088 | rs.usda.gov> | TS2001 |
+----------------------+------------+--------+--------------+--------+
| Cellular Service &   | Tony       | 301-50 | <tkoontz@a   | TELE   |
| Equip                | Koontz     | 4-1097 | rs.usda.gov> | --     |
|                      |            |        |              | Rec    |
|                      | Glenn      | 301-50 | <jonesg@a    | urring |
|                      | Jones --   | 4-6228 | rs.usda.gov> | S      |
|                      | ARS/BA     |        |              | ervice |
|                      | Only       |        |              |        |
|                      |            |        |              | PRCH   |
|                      |            |        |              | --     |
|                      |            |        |              | N      |
|                      |            |        |              | on-Rec |
|                      |            |        |              | urring |
|                      |            |        |              | S      |
|                      |            |        |              | ervice |
|                      |            |        |              | &      |
|                      |            |        |              | Equip  |
+----------------------+------------+--------+--------------+--------+
| Data Equipment --    | Tom        | 301-50 | [thous       | PRCH   |
| Routers/Servers/B    | Houston    | 4-1062 | ton@ars.usda |        |
| ridges/Hubs/Switches |            |        | .gov](mailto |        |
| Only                 | Glenn      | 301-50 | :bkatulski@a |        |
|                      | Jones --   | 4-6228 | rs.usda.gov) |        |
|                      | ARS/BA for |        |              |        |
|                      | Hub        |        | <jonesg@a    |        |
|                      | s/Switches |        | rs.usda.gov> |        |
|                      | Only       |        |              |        |
+----------------------+------------+--------+--------------+--------+
| Data                 | A          | N/A    | N/A          | PRCH   |
| Equipment/Products   | ppropriate |        |              |        |
| except for           | Vendor     |        |              |        |
| Routers/Servers      |            |        |              |        |
+----------------------+------------+--------+--------------+--------+
| Local Voice Service  | Gary       | 202-72 | <            | FTSP   |
| for ARS in DC        | Furgerson  | 0-6687 | gfurgerson@a |        |
|                      |            |        | rs.usda.gov> |        |
+----------------------+------------+--------+--------------+--------+
| Local Voice Service  | Tony       | 301-50 | <tkoontz@a   | FTSP   |
| for ARS/HQ and AFM   | Koontz     | 4-1097 | rs.usda.gov> |        |
| in MD                |            |        |              |        |
+----------------------+------------+--------+--------------+--------+
| Local Voice Service  | Glenn      | 301-50 | <jonesg@a    | FTSP   |
| for ARS/BA           | Jones      | 4-6228 | rs.usda.gov> |        |
+----------------------+------------+--------+--------------+--------+
| Local Voice Service  | Ouida King | 202-69 | <oking@a     | FTSP   |
| for CSREES           |            | 0-1352 | rs.usda.gov> |        |
+----------------------+------------+--------+--------------+--------+
| Local Voice Service  | Gary       | 202-72 | <            | FTSP   |
| for ERS              | Furgerson  | 0-6687 | gfurgerson@a |        |
|                      |            |        | rs.usda.gov> |        |
+----------------------+------------+--------+--------------+--------+
| Local Voice Service  | A          | N/A    | N/A          | TELE   |
| outside the Wash     | ppropriate |        |              | --     |
| Metro Area for ARS   | voice      |        |              | Rec    |
|                      | service    |        |              | urring |
|                      | contact    |        |              | S      |
|                      | depending  |        |              | ervice |
|                      | on your    |        |              |        |
|                      | location   |        |              | PRCH   |
|                      | situation; |        |              | --     |
|                      | i.e.,      |        |              | N      |
|                      | local      |        |              | on-Rec |
|                      | telephone  |        |              | urring |
|                      | company,   |        |              | S      |
|                      | u          |        |              | ervice |
|                      | niversity, |        |              |        |
|                      | state      |        |              | FTSP - |
|                      | office,    |        |              | For    |
|                      | GSA switch |        |              | GSA    |
|                      | manager    |        |              | Only   |
+----------------------+------------+--------+--------------+--------+
| Local Data Service   | Brenda     | 301-50 | <bkatulski@a | TELE   |
|                      | Katulski   | 4-1100 | rs.usda.gov> | --     |
|                      |            |        |              | Rec    |
|                      |            |        |              | urring |
|                      |            |        |              | S      |
|                      |            |        |              | ervice |
|                      |            |        |              |        |
|                      |            |        |              | PRCH   |
|                      |            |        |              | --     |
|                      |            |        |              | N      |
|                      |            |        |              | on-Rec |
|                      |            |        |              | urring |
|                      |            |        |              | S      |
|                      |            |        |              | ervice |
+----------------------+------------+--------+--------------+--------+
| Long Distance        | Brenda     | 301-50 | <bkatulski@a | F      |
| Service for Voice    | Katulski   | 4-1100 | rs.usda.gov> | TS2001 |
| and Data             |            |        |              | or     |
|                      |            |        |              | TELE   |
|                      |            |        |              | --     |
|                      |            |        |              | Rec    |
|                      |            |        |              | urring |
|                      |            |        |              | S      |
|                      |            |        |              | ervice |
|                      |            |        |              |        |
|                      |            |        |              | F      |
|                      |            |        |              | TS2001 |
|                      |            |        |              | or     |
|                      |            |        |              | PRCH   |
|                      |            |        |              | --     |
|                      |            |        |              | N      |
|                      |            |        |              | on-Rec |
|                      |            |        |              | urring |
|                      |            |        |              | S      |
|                      |            |        |              | ervice |
+----------------------+------------+--------+--------------+--------+
| Radio Frequency      | Maureen    | 301-50 | <mharris@a   | Gre    |
| Service & Equip      | Harris     | 4-1088 | rs.usda.gov> | enbook |
|                      |            |        |              | --     |
|                      |            |        |              | Rec    |
|                      |            |        |              | urring |
|                      |            |        |              | &      |
|                      |            |        |              | N      |
|                      |            |        |              | on-Rec |
|                      |            |        |              | urring |
|                      |            |        |              | S      |
|                      |            |        |              | ervice |
|                      |            |        |              |        |
|                      |            |        |              | PRCH   |
|                      |            |        |              | --     |
|                      |            |        |              |        |
|                      |            |        |              | Equip  |
+----------------------+------------+--------+--------------+--------+
| Remote Dial-up       | Maureen    | 301-50 | <mharris@a   | F      |
| Internet Access      | Harris     | 4-1088 | rs.usda.gov> | TS2001 |
+----------------------+------------+--------+--------------+--------+
| Satellite Service &  | Tony       | 301-50 | <tkoontz@a   | TELE   |
| Equip                | Koontz     | 4-1097 | rs.usda.gov> | --     |
|                      |            |        |              |        |
|                      | Glenn      | 301-50 | <jonesg@a    | Rec    |
|                      | Jones --   | 4-6228 | rs.usda.gov> | urring |
|                      | ARS/BA     |        |              | S      |
|                      | Only       |        |              | ervice |
|                      |            |        |              |        |
|                      |            |        |              | PRCH   |
|                      |            |        |              | --     |
|                      |            |        |              |        |
|                      |            |        |              | N      |
|                      |            |        |              | on-Rec |
|                      |            |        |              | urring |
|                      |            |        |              | S      |
|                      |            |        |              | ervice |
|                      |            |        |              | &      |
|                      |            |        |              | Equip  |
+----------------------+------------+--------+--------------+--------+
| Secure Telephone     | Maureen    | 301-50 | <mharris@a   | TELE   |
| Service & Equip      | Harris     | 4-1088 | rs.usda.gov> | --     |
|                      |            |        |              |        |
|                      |            |        |              | Rec    |
|                      |            |        |              | urring |
|                      |            |        |              | S      |
|                      |            |        |              | ervice |
|                      |            |        |              |        |
|                      |            |        |              | PRCH   |
|                      |            |        |              | --     |
|                      |            |        |              | N      |
|                      |            |        |              | on-Rec |
|                      |            |        |              | urring |
|                      |            |        |              | S      |
|                      |            |        |              | ervice |
|                      |            |        |              | &      |
|                      |            |        |              | Equip  |
+----------------------+------------+--------+--------------+--------+
| Software for E-Mail, | Gary Rich  | 301-50 | <grich@a     | PRCH   |
| Groupware, Fax, etc. |            | 4-1052 | rs.usda.gov> |        |
+----------------------+------------+--------+--------------+--------+
| Telephone Systems    | Tony       | 301-50 | <tkoontz@a   | PRCH   |
| for ARS              | Koontz     | 4-1097 | rs.usda.gov> |        |
|                      |            |        |              |        |
|                      | Glenn      | 301-50 | <jonesg@a    |        |
|                      | Jones --   | 4-6228 | rs.usda.gov> |        |
|                      | ARS/BA     |        |              |        |
|                      | only       |        |              |        |
+----------------------+------------+--------+--------------+--------+
| Telephone Systems    | Ouida King | 202-69 | <oking@a     | PRCH   |
| for CSREES           |            | 0-1352 | rs.usda.gov> |        |
+----------------------+------------+--------+--------------+--------+
| Telephone Systems    | Gary       | 202-72 | <            | PRCH   |
| for ERS              | Furgerson  | 0-6687 | gfurgerson@a |        |
|                      |            |        | rs.usda.gov> |        |
+----------------------+------------+--------+--------------+--------+
| Toll-Free #s &       | Brenda     | 301-50 | <bkatulski@a | F      |
| Networks             | Katulski   | 4-1100 | rs.usda.gov> | TS2001 |
+----------------------+------------+--------+--------------+--------+
| Video Service &      | Tony       | 301-50 | <tkoontz@a   | F      |
| Equipment            | Koontz     | 4-1097 | rs.usda.gov> | TS2001 |
|                      |            |        |              | or     |
|                      | Glenn      | 301-50 | <jonesg@a    | TELE   |
|                      | Jones --   | 4-6228 | rs.usda.gov> | --     |
|                      | ARS/BA     |        |              | Rec    |
|                      | only       |        |              | urring |
|                      |            |        |              | S      |
|                      |            |        |              | ervice |
|                      |            |        |              |        |
|                      |            |        |              | PRCH   |
|                      |            |        |              | --     |
|                      |            |        |              | N      |
|                      |            |        |              | on-Rec |
|                      |            |        |              | urring |
|                      |            |        |              | S      |
|                      |            |        |              | ervice |
|                      |            |        |              | &      |
|                      |            |        |              | Equip  |
+----------------------+------------+--------+--------------+--------+
| Voice Mail           | Tony       | 301-50 | <tkoontz@a   | TELE   |
|                      | Koontz     | 4-1097 | rs.usda.gov> |        |
+----------------------+------------+--------+--------------+--------+

# Payment Procedures For Telecommunications Services, Supplies, and Equipment Covered Under This Policy

In lieu of AGAR Advisory 58 guidance on Page 3, Payment for Covered
Telecommunications Resources, the payment procedures below should be
followed instead. The reasons for disregarding the AGAR paragraph are as
follows: 1) USDA/OCIO incorrectly stated that FFIS is a payment option.
They will be amending that part of the policy in the near future to
exclude FFIS and 2) USDA/OCIO is currently drafting new policy that will
further define which payment systems should be used for which covered
telecommunications services, supplies, and equipment. The procedures
below are in line with the expected new policy.

Identify the appropriate government contract or NFC payment system that
should be used for the telecommunications services, supplies, and or
equipment you would like to purchase using the ordering chart listed
above. Blanket Purchase Agreements (BPAs) may not be used for covered
telecommunications services. Purchase cards used by Contracting Officers
whose transactions flow to PRCH can be used if PRCH is mentioned as a
payment option listed in the ordering chart above.

**If FTS2001,** you do not have to establish an account for payment. The
TMACO works with each of the agencies and ARS/AFM/FMD at the beginning
of each FY to establish each agency's NFC FFIS management fund account
to pay for all of the agency's FTS2001 services for the whole FY. All
FTS2001 services you order will be paid by your agency's NFC FFIS
FTS2001 management fund account.

**If FTSP,** work with the Wash Metro Area contact (Tony, Glenn, Gary,
or Ouida) or the local GSA switch manager to order off an existing
account or to establish a new account, if necessary. The Wash Metro Area
contacts work with the agencies they service and ARS/AFM/FMD at the
beginning of each FY to establish the funding for each of the agency's
accounts. All FTSP services you order with them will be paid by the
appropriate agency account. If you are a field location ordering
services from the local GSA switch manager, the manager will assist you
in ordering off an existing agency account or establishing a new
account. Your location is responsible for re-newing the funding for this
account each FY. The local GSA switch manager can provide guidance on
this process.

**If Greenbook,** you do not have to establish an account for payment.
Your agency is billed for the service to one greenbook account.

**If PRCH,** prepare an AD-700 and follow your current agency procedures
for processing the AD-700.

**If TELE,** follow the procedures listed below to establish a new
account:

1.  If you do not have a TUMS login ID and password, contact your agency
    security officer to obtain them. TUMS is an on-line NFC system for
    establishing new TELE accounts and modifying existing ones
    electronically in lieu of a hard copy AD-474. NFC no longer accepts
    hard copy AD 474s.

2.  Prior to accessing TUMS, complete your order with the vendor and
    obtain an account number. For local voice service, the vendor will
    usually use one of your main telephone numbers to establish your
    account with them. For other kinds of services, the account numbers
    with those vendors vary.

3.  Ask the vendor to send two copies of the invoices -- one to you for
    your review and one to NFC for payment from your TELE account (NFC,
    Attn: Misc Pay Section, PO Box 60000, New Orleans, LA 70160). If the
    vendor will not send two copies and does not have an on-line billing
    system that you can access for review, then you will need to decide
    whether you want the invoice to go directly to NFC or to you. If to
    you, then you will be responsible for sending it to NFC upon receipt
    so that it will be paid on time thereby avoiding late fees or
    interest charges.

4.  Once you have received your TUMS login ID and password, go to
    [www.nfc.usda.gov](http://www.nfc.usda.gov/) and select the TUMS
    icon on the right-hand side under Application Launchpad.

5.  Enter your login ID and password

6.  Under service category, select commercial telephone

7.  Under account action, select add a new account

8.  Enter the account number (see 2 above). It is very important to
    enter the correct account number because NFC will not be able to
    process invoices from your vendor if the account number on the
    invoices and the account number you enter here do not completely
    match.

9.  Select agency name

10. Select submit

11. Select the T&A contact point for your office/location from the drop
    down list provided. If you cannot identify your T&A contact, please
    contact the TMACO, Brenda Katulski, at 301-504-1100 or
    <bkatulski@ars.usda.gov> for assistance.

12. Select the service type. Telephone services apply to all local voice
    service, long distance voice service, and secure telephone service.
    Wireless services applies to all cellular and satellite services.
    Leased or dedicated telephone lines apply to all local dedicated
    circuits used for data or video. Other Misc Telephone applies to
    maintenance/management services. Telephone credit card should not be
    selected because all calling cards should be ordered through
    FTS2001.

13. Enter vendor name

14. Select billing cycle -- normally monthly

15. Enter billing date -- date service started or will start

16. Enter service location address -- where service is ordered for the
    location or for someone that works at the location

17. Enter service dollar limit and toll dollar limit, if applicable.
    Service limit (total monthly bill for everything) should be the
    maximum amount that you want NFC to pay without notifying the T&A
    contact point to get approval to pay the bill. The same thing
    applies to toll limit, which is the total monthly bill for all
    telephone calls. Your limit amounts should be just slightly above
    what you expect to pay in these areas each month. (Note: These
    limits apply only to each monthly invoice. Any charges, including
    interest, that carry over from previous invoices that were not paid
    the month they were due will be placed in the arrears amount owed.
    To pay any portion of the arrears amount, NFC's Misc Pay Section
    must be contacted and given permission to pay.)

18. Enter accounting number, % of the bill to be paid from that
    accounting number, and the associated fund code. If less than 100%,
    then enter however many accounting numbers necessary to add up to
    100%.

19. Press the submit button

TUMS is updated daily at 2pm every business day so your new account will
be established that same day if entered before 2pm or at 2pm the next
day. After you have established your TELE account in TUMS, you can use
TUMS to modify your TELE account information and to view account invoice
payment history for the past 3 months.

Another way to review your TELE account is via the NFC Reporting Center,
which allows you print a standard report, or to create a more
personalized report. To access the NFC Reporting Center, you will need
an ID and password. Contact your agency security officer to obtain them.

If you have any questions or problems using TUMS, please contact the NFC
Misc Pay Section at 1-800-421-0323 or <misc@usda.gov>. Also, NFC has
just prepared a TUMS (Telephone & Utilities Maintenance System) manual
that provides far more detail. The manual can be accessed at
http://dab.nfc.usda.gov/pubs/na-pubsmain.html.

**Emergency Payment Procedures For Telecommunications Services,
Supplies, and Equipment Covered Under This Policy Purchased By A
Purchase Card/Convenience Check As Necessitated By An Emergency (see
definition above)**

# 

Agencies must justify these purchases by demonstrating that an emergency
existed and the purchase was necessitated by the emergency. In lieu of
AGAR Advisory guidance on Page 4, Emergencies, the procedures below
should be followed instead. The reason for disregarding the AGAR
paragraph is because all justifications should be sent to the TMACO for
review and comment before being forwarded to USDA/OCIO.

1\. Within seven business days, the purchaser must send the following
information to the TMACO, Brenda Katulski, at <bkatulski@ars.usda.gov>:

a.  Agency contact information regarding this purchase to include name,
    telephone number, and e-mail address;

b.  Agency organizational name and full physical address (no PO Box) of
    location for which the telecommunications services, supplies, or
    equipment were purchased;

c.  Specific description of the telecommunications services, supplies,
    and/or equipment that were purchased;

d.  For each item purchased, provide vendor name, cost, quantity, and,
    if appropriate, manufacturer name and model or version;

e.  Justification for why the purchase was considered an emergency and
    why TELE, PRCH, FTS2001, or FTSP was not used for payment

2\. The TMACO will review the justification statement.

3\. If all of the information requested above was submitted and the
justification supports an emergency as defined by the AGAR Advisory 58,
the TMACO will forward the justification to the USDA Associate Chief
Information Officer for Telecommunications, Jan Lilja, with a statement
of support within seven business days. The agency contact will be copied
on all communications between the TMACO and the USDA/OCIO.

4\. If all of the information requested above was not submitted or the
justification does not support an emergency as defined by the AGAR
Advisory 58, the TMACO will work with the agency contact to complete the
justification statement. The TMACO will then forward the justification
to the USDA Associate Chief Information Officer for Telecommunications,
Jan Lilja, with either a statement of approval/non-approval within seven
business days. The agency contact will be copied on all communications
between the TMACO and the USDA/OCIO. In a case of non-support, the TMACO
will explain to the agency contact in advance why the purchase was not
considered an emergency and the appropriate procedures that need to be
taken to avoid another policy violation.

# USDA/OCIO Planned Monitoring Of Compliance Of The Policy

# 

# Starting December 1, 2003, USDA/OCIO plans to monitor NFC's PCMS system to capture any purchase card/convenience check payments of invoices for telecommunications services, supplies, and equipment that are covered under this policy. They will map the payments to emergency purchase card/convenience check justification statements sent to the USDA Associate Chief Information Officer for Telecommunications (as described in procedures above). USDA/OCIO will contact the associated agency TMACO if a justification statement was not sent or if the justification statement sent did not provide enough information to justify an emergency purchase. If after further investigation, USDA/OCIO determines that a purchase card/convenience check was not used for an emergency purchase, it is possible that the purchase card/convenience checks may be cancelled by USDA/OCIO. Each violation will be dealt with on a case-by-case basis with the possibility (but not guarantee) that leniency may be shown to first time violators.

# 

# Agency procurement personnel are not responsible for monitoring agency compliance to this policy. However, they may be required to handle requests from USDA/OCIO via the TMACO to cancel agency purchase cards/convenience checks.

/s/

Dr. Melinda L. McClanahan

Chief Information Officer

Agricultural Research Service

#### **October 3, 2003**

## 

**AGAR ADVISORY**

**UNITED STATES DEPARTMENT OF AGRICULTURE**\
**OFFICE OF PROCUREMENT AND PROPERTY MANAGEMENT**\
**PROCUREMENT POLICY DIVISION**\
**AGAR ADVISORY NO. 58**

**Prohibition on Using Purchase Cards or Convenience Checks**

**To Acquire Telecommunications**

**INTRODUCTION**: This Agriculture Acquisition Regulation (AGAR)
Advisory has been prepared to inform USDA agencies and offices about a
change to policy governing the use of purchase cards and convenience
checks. Effective November 1, 2003, USDA agencies may no longer use
purchase cards or convenience checks to purchase or to pay for
telecommunications services, supplies, or equipment, except as provided
in this Advisory.

**SUMMARY**: USDA is taking steps to improve its management of
telecommunications resources. In order to improve control over
expenditures for telecommunications, it is necessary to limit the ways
by which telecommunication resources may be acquired. Accordingly, it is
necessary to limit the use of the purchase card and convenience checks
for purchase of, or payment for, telecommunications resources.

In moving authority to purchase small requirements from contracting
offices to individuals who use the supplies or services purchased, the
purchase card program has substantially decentralized decision-making
authority for such purchases. The decentralization has adversely
affected USDA\'s ability to effectively and efficiently monitor
telecommunications acquisition costs and implement and enforce
consistent telecommunications procurement standards.

Departmental Regulation (DR) 5013-6, [Use of the Purchase Card and
Convenience Check,]{.underline} already provides that the purchase card
and convenience check may not be used to acquire major
telecommunications services. The Senior Procurement Executive and the
Chief Information Officer have further determined that the card and
check should be used strictly for emergency use and for purchases of
telecommunications products and non-transmission services not exceeding
\$350.00. DR 5013-6 will be revised to incorporate this change of policy
on the use of purchase cards and convenience checks.

**DEFINITIONS:** [Telecommunications]{.underline} includes the
transmission, emission, or reception of signals, writing, images,
sounds, or intelligence of any nature, by wire, cable, satellite, fiber
optics, laser, radio, or any other electronic, electric,
electromagnetic, or acoustically

AGAR Advisory 58 Page 1 of 4

coupled means. This Advisory addresses the acquisition of products and
services that support telecommunications.

[Telecommunications products]{.underline} include, but are not limited
to: any component of a network involved in the transmission of analog or
digital communications including network routers, bridges, hubs, and Web
servers; telecommunications software such as email, groupware or
facsimile software; and, end-user devices like telephones, wireless
devices and video equipment. Products also include supplies such as
cables, jacks, cords, modems, network interface cards, and more.

[Telecommunication services]{.underline} include, but are not
necessarily limited to: Service Level Agreements (SLAs) for wireline and
wireless carriers; Internet Service Provider (ISP) agreements; contract
services for the planning, design, development, installation, operations
and maintenance of telecommunications networks; and program management
support for telecommunications projects.

[Telecommunications resources]{.underline} are telecommunications
products and/or services.

[Covered telecommunications resources]{.underline} are
telecommunications resources that are covered by this Advisory; i.e.,
resources that may not be acquired with a purchase card or convenience
checks.

The following types of telecommunications resources are not covered by
this Advisory:

1.  Telecommunications accessories and incidental supplies or equipment,
    when the total amount ordered is less than \$350.00; e.g., cords,
    cabling, jacks, wall plates, interface cards, termination plugs,
    antennas, cell phones, cell batteries, and similar items;

2.  Purchase of "one time" telecommunications services when the amount
    of the order is less than \$350.00; e.g., equipment repair.
    ([Note:]{.underline} User fees for service of any duration and
    charges or fees for other recurring services are payments for
    [covered]{.underline} telecommunications resources and may
    [not]{.underline} be paid for with the purchase card or convenience
    check.);

3.  Purchases necessitated by emergencies. An emergency is any unplanned
    event that can cause death or significant injury to employees or the
    public; that can shut down or disrupt operations; or that can cause
    physical or environmental damage, such as national or declared
    emergencies, fire emergencies, hazardous materials incidents,
    storms, communications failure, disaster recovery, and similar
    emergencies. Purchases also may be made on an emergency basis when
    an unforeseen need of compelling urgency for telecommunications
    resources arises; i.e., the Government would be seriously injured if
    it could not immediately obtain telecommunications resources.
    Failure to plan for a requirement does not

AGAR Advisory 58 Page 2 of 4

> constitute an emergency. Use of the purchase card or convenience check
> for emergency purchases must be justified as provided by
> [Emergencies]{.underline}, below.

**REFERENCES:**

7 CFR 2.25, Delegations of Authority, Chief Information Officer

DR 3300-001, Telecommunications & Internet Services and Use, March 23,
1999

NFC Bulletin TELE 02-2, Telephone and Utilities Maintenance System
(TUMS), October 1, 2002

NFC Procedures, Telephone Vendors System (TELE), Title II, Chapter 3,
Section 3, November 2001

**SPECIFIC ISSUES**:

[Prohibition on Using Purchase Cards or Convenience Checks To Acquire
Covered Telecommunications]{.underline}. Neither the purchase card nor
the convenience check may be used to purchase or to pay for covered
telecommunications resources.

[Revocation of Delegated Authority]{.underline}. Cardholder authority to
purchase covered telecommunications resources using purchase cards or
convenience checks is hereby revoked as of the effective date of this
Advisory.

[Acquisition of Covered Telecommunications Resources]{.underline}.
Covered telecommunications resources shall be requested through agency
Telecommunication Mission Area Control Officers (TMACO) or Dedicated
Agency Representatives (DAR) and acquired in accordance with DR 3300-001
and agency procedures. The FTS2001 GSA contract offers favorable pricing
for telecommunications services. More information about FTS 2001 is
provided in Attachment A. Questions about acquiring telecommunications
should be directed to the agency TMACO or to the DAR.

[Payment for Covered Telecommunications Resources]{.underline}. Agencies
will use the Telephone Vendors System (TELE), the Purchase Order System
(PRCH), the Foundation Financial Information System (FFIS), or Federal
Telephone System Payments (FTSP), as appropriate, to establish payment
for all charges for covered telecommunications resources. TELE and FTSP
are used to pay for recurring telecommunications services, such as user
charges, toll charges, or monthly charges for Internet access or cell
phone service. PRCH and FFIS are used for purchases through a contract
vehicle; e.g., purchases of telecommunications equipment. Use the online
Telephone and Utilities Maintenance System (TUMS) to set up accounts for
telecommunications services in TELE or contact your Designated Agency
Representative (DAR) to set up accounts for toll charges or services
paid through FTSP.

Invoices received at the National Finance Center (NFC) are processed in
TELE within 3 days and scheduled for payment provided: a) the account is
set-up correctly and b) the

AGAR Advisory 58 Page 3 of 4

invoice passes the system edits designed to detect duplicate and/or
erroneous charges. Payment occurs 10 days before the invoice due date.

[Emergencies]{.underline}. Telecommunications resources purchased to
respond to emergencies are not covered telecommunications resources.
Agencies may use the purchase card or convenience checks to acquire
telecommunications resources for emergencies. However, agencies that use
the card or checks for emergency telecommunications purchases must
justify each purchase by demonstrating that an emergency existed and
that the purchase was necessitated by the emergency. Within 15 business
days after the purchase, agencies that used the purchase card or
convenience checks to obtain telecommunications resources on an
emergency basis shall notify the Associate Chief Information Officer for
Telecommunications. Agencies shall justify the purchase and provide the
following information to OCIO:

1.  Specific description of the telecommunications supplies, equipment,
    or services that were purchased;

2.  Cost broken out per item, quantity, manufacturer name and model or
    version;

3.  City and State of office or other location where items or services
    were required;

4.  Why the agency could not use TELE, PRCH, FFIS, or FTSP to pay for
    the required services (if applicable);

5.  Justification for acquisition and why it was impracticable to
    acquire the needed supplies, equipment, or services through the
    supporting telecommunications office; and,

6.  Agency contact information - to include a name, telephone number,
    and e-mail address of the appropriate agency point of contact.

If you have questions or comments regarding this advisory, please
contact Joseph Daragan by phone ((202) 720-5729), fax ((202) 720-8972),
or e-mail
([[joe.daragan@usda.gov).]{.underline}](mailto:(Joseph_Daragan@usda.gov).)

This AGAR Advisory will appear on the USDA World Wide Web site at the
following URL: <http://www.usda.gov/procurement/policy/advisories.html>.

EFFECTIVE DATE: This advisory is effective from November 1, 2003 until
the revision to DR 5013-6 is issued.

**\[END\]**

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