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Office of the Chief Financial Officer

Office Work Instruction

Agency Financial Management

Policy Formulation

Approved by:

Arnold G. Holz

Chief Financial Officer

# DOCUMENT HISTORY LOG

+---------+--------+--------+-----------------------------------------+
| Status  | Do     | Eff    | Description                             |
|         | cument | ective |                                         |
| (Ba     |        |        |                                         |
| seline/ | Re     | Date   |                                         |
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| Re      |        |        |                                         |
| vision/ |        |        |                                         |
|         |        |        |                                         |
| Ca      |        |        |                                         |
| nceled) |        |        |                                         |
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| B       |        | 1/7/00 |                                         |
| aseline |        |        |                                         |
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1.  **Purpose**

> The purpose of this procedure is to document the process steps to be
> followed in the formulation of Agencywide financial management policy.

2.  **Scope and Applicability**

    1.  This OWI covers Agencywide financial management policy
        formulation performed in Code BF and issued in the Financial
        Management Manual (FMM).

2.2 All NASA Centers are required to comply with the FMM.

3.  **Definitions**

    1.  [AO]{.underline} Action Officer

> [BF Mgmt]{.underline} Code BF Management. For the purpose of this OWI,
> Code BF Management includes the Branch Chiefs of both Code BFB & BFZ.
>
> [CFO]{.underline} Chief Financial Officer
>
> [Code B]{.underline} Office of the CFO
>
> [Code BF]{.underline} Financial Management Division
>
> [Code BFB]{.underline} Accounting, Reporting & Analysis Branch
>
> [Code BFZ]{.underline} Policy, Planning & Quality Assurance Branch
>
> [Director BF]{.underline} Director, Financial Management Division
>
> [FMM]{.underline} Financial Management Manual. The FMM communicates
> matters involving the financial management discipline under the
> purview of the Director, Financial Management Division, NASA
> Headquarters.
>
> [OIG]{.underline} Office of Inspector General
>
> [QCL]{.underline} Quality Control Liaison. The person responsible for
> the development and maintenance of the FMM.
>
> [TL]{.underline} Transmittal Letter
>
> [WA]{.underline} Webpage Administrator. A functional duty assigned
> within Code BF by the Director BF.

4.  **References**

**NASA CFO website Resource Library**

<http://ifmp.nasa.gov/codeb/library/library.htm>

General Accounting Office (GAO) Comptroller General Decisions

Code of Federal Regulations (CFR)

Treasury Financial Manual (TFM)

Office of Management and Budget (OMB) Circulars

Office of Management and Budget (OMB) Federal Budget Publications

Financenet Home Page

Federal Accounting Standards Advisory Board (FASAB) Statements

United States Code

Executive Orders

**NASA Other**

<http://nodis.hq.nasa.gov/Nodis1.1/Welcome.htm>

NASA Policy Guidance

NASA Policy Directives

NASA Handbooks

# Financenet Financial Management Laws & Regulations

<http://www.financenet.gov/financenet/fed/legis/legislat.htm>

### Joint Financial Management Improvement Program (JFMIP) Reports 

<http://www.financenet.gov/financenet/fed/jfmip/reports.htm>

### Federal Acquisition Regulation 

<http://www.arnet.gov/far/>

### NASA Federal Acquisition Regulation Supplement

<http://ec.msfc.nasa.gov/msfc/procref.html>

### Federal Travel Regulations

<http://policyworks.gov/org/main/mt/homepage/mtt/mtthp.htm>

### United States Office Of Personnel Management Payroll Regulations

<http://www.opm.gov/index.htm>

Office of Management & Budget Bulletins & Circulars & the Federal
Register

<http://www.whitehouse.gov/OMB>

5.  ![](media/image2.wmf)**Flowchart**

6.  **Procedure**

+-----+------------+---------------------------------------------------+
| ##  | #          | ## Action                                         |
|  St | # Actionee |                                                   |
| ep  |            |                                                   |
+-----+------------+---------------------------------------------------+
| 6.0 |            | A new/revised law, regulation, or information     |
|     |            | concerning a change to financial management       |
|     |            | practices is identified.                          |
+-----+------------+---------------------------------------------------+
| 6.1 | BF Mgmt    | Determine the need to revise the FMM. New or      |
|     |            | revised laws or regulations could result in the   |
|     |            | need for NASA to develop or change policy in the  |
|     |            | FMM. In addition, BF Mgmt could identify the need |
|     |            | to change or clarify policy as a result of        |
|     |            | questions, issues, or comments from staff,        |
|     |            | Centers, independent auditors, OIG, or other      |
|     |            | sources.                                          |
+-----+------------+---------------------------------------------------+
| 6.2 | BF Mgmt    | Determine AO to write or revise language in the   |
|     |            | FMM. Define general policy requirement and        |
|     |            | provide it to AO.                                 |
+-----+------------+---------------------------------------------------+
| 6.3 | AO         | Responsible for identifying specific policy       |
|     |            | requirements and drafting policy language for     |
|     |            | inclusion in the FMM. The AO should ensure that   |
|     |            | the policy incorporates laws and regulations (see |
|     |            | Reference documents in Section 4) and addresses   |
|     |            | issues. Issues are identified based on research,  |
|     |            | guidance from management, and the experience,     |
|     |            | education, and judgement of the AO. The AO will   |
|     |            | provide this policy language to the QCL.          |
+-----+------------+---------------------------------------------------+
| 6.4 | QCL        | The QCL takes the policy language received from   |
|     |            | the AO and prepares it in the form of a draft FMM |
|     |            | and TL. In addition, the QCL reviews the policy   |
|     |            | for clarity and consistency. The QCL will work    |
|     |            | with the AO to ensure all issues are resolved and |
|     |            | changes incorporated in the draft FMM. When       |
|     |            | changes are made to the draft FMM, the electronic |
|     |            | version will be saved with the same file name to  |
|     |            | ensure that only the latest version is utilized.  |
|     |            | The QCL will ensure that comments or feedback     |
|     |            | from other Codes or the Centers have been         |
|     |            | obtained and incorporated as directed by BF Mgmt. |
+-----+------------+---------------------------------------------------+
| 6.5 | BF Mgmt    | Review draft FMM and TL. Provide concurrence or   |
|     |            | non-concurrence. In the event of BF Mgmt          |
|     |            | nonconcurrence, issues will be identified and     |
|     |            | comments provided to the QCL; action proceeds to  |
|     |            | step 6.6. If BF Mgmt concurs but indicates that   |
|     |            | formal concurrence from other Codes or the        |
|     |            | Centers is necessary action proceeds to step 6.6. |
|     |            | If BF Mgmt concurs and other necessary            |
|     |            | concurrences (as determined by BF Mgmt) have been |
|     |            | obtained, action proceeds to step 6.7.            |
+-----+------------+---------------------------------------------------+
| 6.6 | QCL        | Analyze and resolve reviewer issues, incorporate  |
|     |            | changes, and obtain any required concurrences (as |
|     |            | directed by BF Mgmt). Revise and resubmit via     |
|     |            | steps 6.4 and 6.5.                                |
+-----+------------+---------------------------------------------------+
| 6.7 | Director   | Review the proposed Final FMM and TL. If the      |
|     | BF         | Director BF does not approve, issues will be      |
|     |            | identified and comments provided to the QCL;      |
|     |            | action reverts to step 6.6. If the Director BF    |
|     |            | approves and signs the Final FMM and TL, action   |
|     |            | proceeds to step 6.8.                             |
+-----+------------+---------------------------------------------------+
| 6.8 | WA         | The WA is notified once the Final FMM and TL is   |
|     |            | signed by the Director BF. The WA obtains an      |
|     |            | electronic version of the FMM and from the QCL    |
|     |            | and uploads it to the CFO Web page. An electronic |
|     |            | mail notification is also sent out. The TL is     |
|     |            | filed in Code BF files.                           |
+-----+------------+---------------------------------------------------+
|     |            |                                                   |
+-----+------------+---------------------------------------------------+

**7. Quality Records**

+---------+-----+-------+---------+-----------+----------------------+
| Record  | Ow  | Loc   | Record  | Schedule  | R                    |
| Identif | ner | ation | Media:  | Number    | etention/Disposition |
| ication |     |       | Ele     | and Item  |                      |
|         |     |       | ctronic | Number    |                      |
|         |     |       | or Hard | (NPG      |                      |
|         |     |       | Copy    | 1441.1)   |                      |
+---------+-----+-------+---------+-----------+----------------------+
| FMM     | BF  | CFO   | Ele     | Schedule  | **Permanent**. Close |
|         |     | We    | ctronic | 9         | set of directives or |
|         |     | bpage |         |           | publications when    |
|         |     |       |         | Item 3A   | superseded or        |
|         |     |       |         |           | obsolete. Transfer   |
|         |     |       |         |           | to NARA in 5 year    |
|         |     |       |         |           | blocks when 10 years |
|         |     |       |         |           | old.                 |
+---------+-----+-------+---------+-----------+----------------------+
| TL      | BF  | BF    | H       | Schedule  | **Permanent**. Close |
|         |     | Files | ardcopy | 9         | set of directives or |
|         |     |       |         |           | publications when    |
|         |     |       |         | Item 3A   | superseded or        |
|         |     |       |         |           | obsolete. Transfer   |
|         |     |       |         |           | to NARA in 5 year    |
|         |     |       |         |           | blocks when 10 years |
|         |     |       |         |           | old.                 |
+---------+-----+-------+---------+-----------+----------------------+
| Ele     | BF  | BF    | H       | Schedule  | **Permanent**. Close |
| ctronic |     | Files | ardcopy | 9         | set of directives or |
| Mail    |     |       | \*      |           | publications when    |
| Notif   |     |       |         | Item 3A   | superseded or        |
| ication |     |       |         |           | obsolete. Transfer   |
|         |     |       |         |           | to NARA in 5 year    |
|         |     |       |         |           | blocks when 10 years |
|         |     |       |         |           | old.                 |
+---------+-----+-------+---------+-----------+----------------------+

\* The electronic mail is an electronic media. However, a hardcopy of
the electronic mail is printed out and stored in BF files since there is
no central repository or storage mechanism for electronic mail.