# Presentation: 786884

## FACTS II and the Budget

- Teresa A. Tancre, CGFM
- Budget Review and Concepts Division
- Office of Management and Budget
- Fall 2006

**Budget Concepts**

- FY08
- Budget

**MAX A-11 Review Class**

- SF 133
- Schedule P
- FMS 2108

- FACTS
- II

## Overview

- FACTS II
- US Standard General Ledger (USSGL)
- SF 133
- Program and Financing Schedule (schedule P)
- Relationship of  OMB accounts and Treasury Appropriation Fund Symbols (TAFS)
- MAX A-11 (schedule P lines edit-checked against FACTS II data)
- FACTS II revision window (OMB Circulars A-11 & A-136)
- Key dates for agencies
- Crosswalk from the FY 2006 SF 133 Format to Schedule P in the FY 2008 Budget
- Additional miscellaneous information

**Budget Concepts**

## What is the purpose of FACTS II?

- Federal Agencies' Centralized Trial-Balance System II
- is a computer program that allows agencies to submit one set of accounting data.
- This data includes mostly budgetary information that is required for the:
- Report on Budget Execution and Budgetary Resources (SF 133),
- Year-End Closing Statement (FMS 2108), and
- much of the initial data that will appear in the prior year column of the Program and Financing (P&F) Schedule of the President's Budget.

**Budget Concepts**

## What is the purpose of US Standard General Ledger (USSGL)?

- The United States Standard General Ledger (USSGL) provides a uniform Chart of Accounts and technical guidance to be used in standardizing Federal agency accounting.
- The USSGL Supplement (released annually) is composed of five major sections:
- Chart of Accounts
- Account Descriptions
- Accounting Transactions
- USSGL Attributes
- Report Crosswalks

**Budget Concepts**

## How does FACTS II reporting relate to the SF 133 (Report on Budget Execution and Budgetary Resources)?

- Agencies report a combination of USSGL accounts and attribute domain values to get the budgetary accounting data crosswalked to the appropriate lines of SF 133 via FACTS II.
- There are twelve FACTS II attributes on the USSGL to    SF 133 crosswalk.
- Examples of FACTS II attributes used to crosswalk budgetary accounting data are authority type, reimbursable flag, TAFS status, and transaction partner.

**Budget Concepts**

## How does FACTS II reporting relate to the budget Program and Financing schedule (Schedule P)?

- Agencies report a combination of USSGL accounts and attribute domain values to get the budgetary accounting data crosswalked to the appropriate lines of schedule P via FACTS II.
- There are twenty FACTS II attributes on the USSGL to    SF 133 crosswalk.
- Examples of FACTS II attributes used to crosswalk budgetary accounting data are authority type, BEA category, TAFS status, transfer to/from, fund type, and transaction partner.

**Budget Concepts**

## Treasury Reporting Requirements Account Structure

**Budget Concepts**

- Salaries and expenses
-      12-1600

- Department of Agriculture: Animal and Plant Health Inspection Service
-                                           005-32-1600

- Annual
- 12-06-1600   12-03-1600
- 12-05-1600   12-02-1600
- 12-04-1600	 12-01-1600

- Each Budget account may contain multiple Treasury accounts, while each Treasury account may contain multiple periods of availability

- OMB Account

- Treasury Account

- Treasury Appropriation
- Fund Symbol (**TAFS**)

- MAX A-11 reporting by agency budget

- FACTS II reporting    by agency accounting

- Agricultural Quarantine Inspection User Fee Account
-      12-5161

- No-year
- 12-X-5161

- 12-5518

- No-year
- 12-X-1600

- Multi-year
- 12-06/07-1600
- 12-05/06-1600
- 12-04/05-1600

## Treasury Reporting Requirements Account Structure

**Budget Concepts**

- Perishable Agricultural Commodities Act fund
- 12-5070

- Department of Agriculture: Agricultural Marketing Service
- 005-45-5070

- No-year
- 12-X-5070

- Each Budget account may contain multiple Treasury accounts, while each Treasury account may contain multiple periods of availability

- OMB Account

- Treasury Account

- Treasury Appropriation
- Fund Symbol (**TAFS**)

- MAX A-11 reporting by agency budget

- FACTS II reporting    by agency accounting

- Payment to Perishable Agricultural Commodities Act Fund
-      12-0270

## What Budget Schedule P lines are required to tie to FACTS II actuals in MAX A-11?

- The following lines will be edit-checked in MAX A-11:
- Total new obligations (line 1000)
- Unobligated balance carried forward, start of year (line 2140)
- Resources available from recoveries of prior year obligations (line 2210)
- Unobligated balance expiring or withdrawn (line 2398)
- Unobligated balance carried forward, end of year (line 2440)
- Discretionary appropriation (line 4000)
- Discretionary appropriation (special fund) (line 4020)
- Discretionary reduction – Appropriation permanently reduced (line 4035)
- Discretionary advance appropriation (line 5500)
- Discretionary Spending Authority from offsetting collections (cash) (line 5800)
- Discretionary change in uncollected customer payments from Federal sources (line 5810)

**Budget Concepts**

## What Budget Schedule P lines are required to tie to FACTS II actuals in MAX A-11 ? (continued)

- The following lines will be edit-checked in MAX A-11:
- Mandatory appropriation (line 6000)
- Mandatory Spending Authority from offsetting collections (cash) (line 6900)
- Mandatory change in uncollected customer payments from Federal sources (line 6910)
- Obligated balance, start of year (line 7240)
- Adjustments in expired accounts (line 7340)
- Obligated balance, end of year (line 7440)
- Offsetting collections from Federal sources (cash) (line 8800)
- Offsetting collections from interest on Federal securities (line 8820)
- Offsetting collections from interest on uninvested funds (line 8825)
- Offsetting collections from non-Federal sources (line 8840)
- Offsetting collections from offsetting governmental collections (from non-Federal sources) (line 8845)
- Portion of offsetting collections (cash) credited to expired accounts

**Budget Concepts**

## MAX A-11, Financial Audit, and  FACTS II Revision Window 

**Budget Concepts**

| If an error  is found...  | And if...  | Then...  |
| --- | --- | --- |
| Before MAX A-11 agency lock-out | Financial audit was complete  | Consult with your accounting office.
Correct the amount in MAX A-11.
Ensure that your accounting office revises the amount in FACTS II.  Your accounting office must revise both material and non-material amounts in FACTS II.  The FACTS II revision window is open from November 15 – December 1.
Work with your accounting office to determine the source of the problem and develop a plan to make sure the problem does not recur in the future.  Your accounting office will also need to talk with the financial statement auditors to determine whether your financial statements for the next reporting cycle should be restated or a footnote to the financial statements is required for the changes made in FACTS II. |

## MAX A-11, Financial Audit, and  FACTS II Revision Window - continued

**Budget Concepts**

| If an error  is found...  | And if...  | Then...  |
| --- | --- | --- |
| After MAX A-11 agency lock-out | Financial audit was complete  | Consult with your OMB representative.  OMB will review on a case-by-case basis. |

- NOTE:  The primary purpose of the revision period is to make FACTS II consistent with the amounts in the prior-year column of the Budget.

- NOTE:  Due to timing differences, subsequent changes whether_ material_ or _non-material_ may be made to the budgetary information included in the Budget after the SBR has been published and audited.  All subsequent changes whether _material_ or _non-material_ must be made in FACTS II during the revision period.

- See OMB Circular No. A-11, section 82.15 (c) and OMB Circular No. A-136 section II.4.6.1*** ***

## Key Dates for Agencies 

**Budget Concepts**

- Initial budget submissions to OMB..........................................September 11
- FACTS II closes for 4th quarter, FY 2006....................................October 26
- Agency financial statements due...............................................November 15
- MAX database opens; FACTS II revision window opens......November 15
- Economic assumptions released................................................November 16
- Agency PY lock and FACTS II revision window closes..........December 1
- Final Treasury outlay data loaded into the MAX system.........December 1
- Agency baseline lock (discretionary and mandatory)...........December 15
- Final database: Agency lock-out......................................................January 9
- Transmittal of the FY 2007 Budget...............................................February 5

## What OMB Circular exhibits and web reports can help me reconcile my budgetary data between the SF 133 and Budget Schedule P?

- Exhibit 130K:  Crosswalk from the SF 133 to the Program and Financing Schedule
- Exhibit 130M:  Relationship between Selected SF 133 and Program and Financing Schedule Lines (in millions of dollars)
- OMB web report:  Comparison of Program and Financing (P&F) Schedule in the President’s Budget and a P&F Schedule Created from FY 2005 4th Quarter FACTS II Submissions and Revisions
- Quarterly FY 2006 FACTS II Information – How it Would Crosswalk to the Prior Year (PY) Column of the P&F Schedule

**Budget Concepts**

## How can your agency prepare to meet the requirement to tie actuals to FACTS II?

- Review OMB Circular No. A-11 Section 82.
- Review differences from last year, if any, to prevent them from repeating. Go to _[www.whitehouse.gov/omb/reports](http://www.whitehouse.gov/omb/reports)_
- Plan with your agency’s FACTS II/MAX A-11 users.
- Use the quarterly reports on OMB’s web-site to reconcile outstanding issues prior to certifying 4th quarter FACTS II data.
- In MAX A-11, finish your PY column by the beginning of December, so that you can concentrate on CY and BY later.  The SBR audit plan should take this into account.
- Plan with your agency’s auditors.  “Should” is not the same as “must”. SF 133, SBR, P&F “should” tie and differences should be disclosed in SBR footnote 33.  See guidance.

**Budget Concepts**

## Resources

- _[www.whitehouse.gov/omb/reports](http://www.whitehouse.gov/omb/reports)_
- SF 133 Reports on Budget Execution and Budgetary Resources (with totals for budget agency and budget bureau)
- Quarterly FY 2006 TAFS and amounts and how they would load into Schedule P
- Differences between FACTS II and MAX A-11 FY 2005 actuals (year-end)
- TAFS and amounts loaded into MAX from FACTS II FY 2005 actuals (year-end)
- _[www.whitehouse.gov/omb/circulars/a11](http://www.whitehouse.gov/omb/circulars/a11)_
- OMB Circular No. A-11 (2006) – June 2006

**Budget Concepts**

## Resources (continued)

- _[www.fms.treas.gov/USSGL](http://www.fms.treas.gov/USSGL)_
- USSGL budgetary guidance and contacts for each agency
- _[www.fms.treas.gov/FACTSII](http://www.fms.treas.gov/FACTSII)_
- FACTS II and USSGL info, including deadlines
- FACTS II bulk transfer information
- (bookmark and subscribe for electronic e-mail notification of changes)
- _[www.gao.gov/new.items/d02126g.pdf](http://www.gao.gov/new.items/d02126g.pdf)_
- “Financial Audit Guide: Auditing the Statement of Budgetary Resources” (GAO-02-126G)

**Budget Concepts**

## Questions?

**Budget Concepts**