USSGL Board Meeting

May 12, 2016

Government Invoicing

(G-Invoicing)

1

IGT Material Weakness

IGT by the Numbers

G-Invoicing Update

Final Thoughts

Questions

Agenda

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IGT Material Weakness

History of Material Weakness for the U.S. Government

As it has for each of the past 19 fiscal years, the U.S. Government Accountability Office (GAO) issued a disclaimer of opinion on the FY 2015 Financial Report of the U.S. Government. In its report, GAO cited the government's difficulty to "adequately account for and reconcile intra-governmental activity and balances between federal entities" as a material weakness and a major impediment to expressing an opinion.

DoD

Compilation

IGT

Three Primary Impediments

Disclaimer

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IGT Material Weakness

The Issue

“If two federal entities engaged in an intragovernmental transaction do not both record the same intragovernmental transaction in the same year and for the same amount, the intragovernmental transactions will not be in agreement, resulting in errors in the consolidated financial statements.”

 -  FY 2015 U.S. GOVERNMENT ACCOUNTABILITY OFFICE INDEPENDENT AUDITOR’S REPORT

The Simplicity of the IGT Issue:

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Buy/Sell by the Numbers

Total IGT Differences– FY2015 (Year End)

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Buy/Sell by the Numbers

Agency IGT Scorecard and Metrics

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Accurate reporting of buy/sell balances and proper elimination of buy/sell activity depends largely upon....

Buy/Sell Fundamentals

COMMUNICATION

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G-Invoicing is an application which supports the brokering of Intragovernmental Buy/Sell Transactions by Federal Trading Partners

The application will enable users to manage the processing and approval of General Terms and Conditions, Orders and Invoices

Data collected through workflow activities will initiate IPAC transactions to perform fund settlement

G-Invoicing  --  Fact Sheet

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IGT Information Flow

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IPP-IGT - Invoice Processing Platform - Intragovernmental Transactions Buy/Sell Module

Originally implemented in support of DoD

Being re-branded in September 2016 as G-Invoicing

IPAC - Intra-Governmental Payment and Collection System

Settlement mechanism for Buy/Sell transactions

Will operate in conjunction with G-Invoicing to accomplishment the movement of funds

Current System Offerings

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System Development Activities

G-Invoicing 1.0 – September 2016

Separates IPP (E-Invoicing) and IPP-IGT (Buy/Sell)

Rebrands the application to G-Invoicing

Only active Users and GT&C data will be migrated / converted as part of the 1.0 Release

G-Invoicing 2.0 – Summer 2017

Focus will be on enhancements to begin positioning G-Invoicing for a Governmentwide rollout

Continue to address change requests relating to security and enhanced permissions logic to control/limit user data access

Subsequent Releases

Align enhancements by core functions (GT&C, Order, Invoice)

Address requirements to facilitate Agency onboarding and implementation of data standards

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Impact to the IGT Buy/Sell Difference

How will the G-Invoicing Application help to resolve the material weakness relating to IGT Buy/Sell in the Financial Report of the United States Government?

What G-Invoicing will be:

Agreement Broker

Workflow Enabler

Data Exchange Platform

What G-Invoicing will not be:

Not an Accounting System

Not a Procurement System

Not a replacement for talking to your trading partner

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Inter-Agency Agreement (IAA)

FMS Form 7600A – General Terms and Conditions (GT&C)

FMS Form 7600B – Order 

Joint effort by OMB, FSIO / FMLoB, Fiscal Service, CFO Council, and many participating Agencies

Implemented in the IPP-IGT system

Minimum Accounting Data Elements (MADES)

2013 Treasury Financial Manual (TFM)

Chapter 4700, Appendix 10

IGT Policy Standardization

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The Intragovernmental Transactions Working Group (ITWG)

Re-instituted under Fiscal Service’s leadership in August 2015 with the mission to define Federal IGT Buy/Sell Data Standards for Agreements, Orders and Invoices

Upcoming Publication Milestones

Fiscal Service Data Registry Updates – May 2016

GT&C, Order, Invoice

TFM Bulletin – May 2016

New Data Standards and rescission of MADES

TFM  Chapter 4700, Appendix 10 Publication – May 2017 

Intragovernmental Data Standard

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Department of Defense

Partnering with DoD’s Business Integration Office (BIO)

Directly supporting DoD Piloting of the current IPP-IGT System along with continued training and onboarding of users

Ongoing sessions with BIO and their development team to discuss system enhancement requests and data standard alignment

Monthly participation in the  Collaborative Agency Working Group chaired by BIO to discuss progress on G-Invoicing development and the data standards 

Intragovernmental Data Standards Working Group Participants

Commercial Vendors

Establishing a working group to bring together key partners from ORACLE, SAP, and CGI Momentum to share results of our data standardization effort and discuss G-Invoicing rollout strategies

Key Stakeholder Engagement
| BEP    | CIA | DOC  | DoD | DOJ      | DOL  | Education |
|--------|-----|------|-----|----------|------|-----------|
| Energy | EPA | FBI  | GPO | GSA      | HHS  | NASA      |
| NRC    | NSA | ODNI | OPM | Treasury | USDA | VA        |

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2016 Outreach Activities

American Society of Military Comptrollers Professional Development Institute (ASMC PDI) – June

Partnering with DoD at local ASMC PDI sessions as needed

DoD Reimbursable Work Orders (RWO) Day – November

AGA Professional Development Conference – July

Government Financial Management Conference – August 

ITWG – Agency Level Focus Group Sessions – Ongoing 

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Contact Information

	For IGT Program Management and Agency Outreach Support

	Matt Conrad

	Manager, Intragovernmental Branch

	Bureau of the Fiscal Service – Fiscal Accounting

	304-480-1004

matt.conrad@fiscal.treasury.gov

	Keith Jarboe

	IGT Agency Outreach – Project Support Division

	Bureau of the Fiscal Service – Fiscal Accounting

	202-874-7818

keith.jarboe@fiscal.treasury.gov

For Intragovernmental Transactions Working Group Information

IGT@fiscal.treasury.gov

Alex Abshire (alexander.abshire@fiscal.treasury.gov)

Wesley Vincent (wesley.vincent@fiscal.treasury.gov)

https://community.max.gov/x/OYJ1Ng

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Final Thoughts

Remediating the Material Weakness

Ultimate goal is to eliminate IGT differences at the governmentwide level for the Consolidated FR.

“Resolving the intragovernmental transactions problem remains a difficult challenge and will require a strong and sustained commitment by federal entities to timely resolve differences with their trading partners”

- FY 2015 U.S. GOVERNMENT ACCOUNTABILITY OFFICE INDEPENDENT AUDITOR’S REPORT

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Questions

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