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Overview

Mission Statement

To assist customer agencies in meeting their mission by providing responsive, customer-focused, 

cost-effective financial management and administrative support services.

Program Summary by Budget Activity

Dollars in Thousands

Budget Activity FY 2010 FY 2011 FY 2012 FY 2010 to FY 2012

Actual Estimated Estimated $ Change % Change

 Financial Management Administrative Support Services $93,046 $94,592 $98,732 $5,686 6.1%

 Information Technology Services $73,858 $74,006 $146,600 $72,742 98.5%

Total Resources $166,904 $168,598 $245,332 $78,428 47.0%

Total FTE 973 1,012 1,190 217 22.3%

* The increase in Information Technology Services is due to the FMS-BPD data center consolidation (Fiscal IT). 

FY 2012 Priorities

 Maintain outstanding operational service to customer agencies.

 Continue to identify and implement operational efficiencies with the goal of achieving subinflationary price increases.

 Promote and maximize shared services benefits in support of Treasury and government-wide 

initiatives.

 Consolidate data center operations with the Financial Management Service (FMS) to increase 

efficiency of combined IT assets.

 

 Participate in government-wide forums and support good government through maintaining 

and enhancing compliance and accountability.

 Continue to assess and report our performance and provide timely feedback to customers.

 Enhance human capital strategies to recruit, develop and provide for a challenging, rewarding 

and values based work environment.
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Table of Contents

Overview ........................................................................................................................................ 1

Mission Statement....................................................................................................................... 1

Program Summary by Budget Activity....................................................................................... 1

FY 2012 Priorities....................................................................................................................... 1

Section 1 – Purpose ....................................................................................................................... 2

1A – Description of Bureau Vision and Priorities...................................................................... 2

1B – Program History and Future Outlook ................................................................................. 3

Section 2 – Budget Adjustments and Appropriation Language............................................... 6

2.1 – Budget Adjustments Table ................................................................................................. 6

2A – Budget Increases and Decreases Description..................................................................... 6

Section 2 – Budget Adjustments and Appropriation Language............................................... 7

2.2 – Operating Levels Table ...................................................................................................... 7

2.3 – Resource Detail Table ........................................................................................................ 8

2B – Appropriations Language and Explanation of Changes..................................................... 8

2C – Legislative Proposals.......................................................................................................... 8

Section 3 – Budget and Performance Plan ................................................................................. 9

3.1 – Budget by Strategic Outcome ............................................................................................ 9

3.2.1 Financial Management Administrative Support Services Budget and Performance Plan . 9

3.2.2 Information Technology Services Budget and Performance Plan ................................... 11

Section 4 – Supporting Materials .............................................................................................. 12

4A – Human Capital Strategy Description................................................................................ 12

4.1 – Summary of IT Resources Table...................................................................................... 13

4B – Information Technology Strategy..................................................................................... 14
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Section 1 – Purpose

1A – Description of Bureau Vision and Priorities

The Treasury Franchise Fund’s (The Fund) vision is to be a leader in providing responsible, 

effective administrative support services through commitment to service, efficient operations, 

openness to change and values based behavior. The Fund provides accounting, procurement, 

travel, human resources, and information technology (IT) services through the Bureau of the 

Public Debt (Public Debt), Administrative Resource Center (ARC). Services are provided to 

more than 70 federal customers, including most of the Department of the Treasury, on a 

reimbursable, fee-for-service basis. In FY 2010, 971 FTE are dedicated to servicing customers 

and are expected to generate over $180 million in earned revenue.

A major focus of The Fund is achieving sub-inflationary price increases for customers. The 

Fund leverages customer base expansion to help achieve economies of scale that support this 

priority. In addition, The Fund continues to identify and implement process improvement 

initiatives ranging from technology to staffing. Finally, other service efficiencies have resulted 

from changes such as implementing standard service level agreements that include a minimum of 

one year notice of service cessation clause. This extended notice period reduces the risk 

associated with loss of business, thus reducing reserve requirements and reserve charges to 

customers. 

Another Fund priority is to support Treasury and government-wide initiatives by providing 

timely, high quality, cost effective, and value added administrative support services. This 

requires continual assessment of services offered to market demands and adherence to The 

Fund’s “good government” vision. This vision ensures compliance with applicable rules and 

regulations, promotes cost savings through efficient and standardized service delivery while 

maintaining high customer satisfaction. Standardized internal business processes, and 

implementing customers consistent with the defined target are two specific means used by The 

Fund to support the vision. Specifically, during FY 2012, The Fund plans to consolidate data 

center operations with those of the FMS to increase utilization and efficiency of the combined IT 

assets. This consolidation supports the Office of Management and Budget's (OMB) E-gov data 

center consolidation guidance.

A major operational priority is to assess and report on service delivery performance and provide 

customers with timely performance feedback in areas in which The Fund and customers must 

work together to successfully perform administrative services. This includes improving and 

creating new Shared Service Provider (SSP) performance metrics and benchmarks and providing 

standardized feedback to customers on performance. The Fund will place additional focus in FY 

2011 on establishing cost metrics. Performance feedback is critical to customers’ ability to 

improve the efficiency of their own operations, which will lower the level of effort required to 

support them and maximize the benefits achieved through shared services.

Another operational priority is enhancing its shared service solution to better support customers 

in a SSP role. The Fund continues efforts to improve shared solutions including:

 Upgrade of Oracle E-Business Suite to Release 12 (FY 2012)
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 Upgrade of E-Travel Solution – GovTrip – to version 2.0 (FY 2010)

 Upgrade of E-Procurement Solution – Procurement Request Information Systems 

Management (PRISM) – to version 6.5 (FY 2010)

In addition, the information technology business line implemented infrastructure changes 

necessary to serve the role of a Trusted Internet Connection Access Provider (TICAP) for 

Treasury. The Fund received authority to operate the upgraded infrastructure in January 2010 

and was designated as Treasury's TICAP in May 2010. Application migrations into the upgraded 

infrastructure were completed in FY 2010. Through completion of these enhancements, The 

Fund will continue to work with customers to identify additional platform and service 

improvements in FY 2012. 

As significant budgetary resources are used for salaries and benefits, human capital strategies 

such as recruiting and retention efforts are always a high priority. Our goal is to recruit high 

quality, dedicated employees that care about the success of The Fund and its customers. 

Additionally, The Fund focuses on development processes to educate and train staff on new 

responsibilities as federal stewards, and providing a challenging, rewarding and values based 

work environment. Emphasis is placed on information sharing demonstrated by regular town 

hall meetings and the presentation of customer feedback to employees.

1B – Program History and Future Outlook

Program History 

The Government Management Reform Act of 1994 (GMRA) authorized the establishment of six 

Franchise Fund programs within the Federal Government. The franchise concept was built on 

OMB’s twelve operating principles for business-like organizations, including provider 

competition, customer’s voluntary exit, full cost recovery, initial capitalization and performance 

measurement and benchmarking.

In 1996, OMB designated the Department of the Treasury as one of the six Executive Branch 

agencies authorized to establish a franchise fund program. The Fund began operations in 1997 

with six Franchise Business Activities (FBA), less than 80 FTE and earned revenue of $38 

million.

In FY 2009, The Fund worked with FMS to migrate Treasury Agency Services (TAS) from The 

Fund, successfully transitioned Federal Consulting Group (FCG) to another federal host and 

substantially closed out the FedSource business activity. In FY 2010 and thereafter, 

administrative and IT support are the only services that are provided by The Fund. 

During FY 2009 and FY 2010 The Fund enhanced its infrastructure by migrating Oracle EBusiness Suite platforms to a commercial hosting provider. As planned, two of the platforms 

were successfully migrated in FY 2009, and the final platform was migrated in FY 2010. 

Overall, The Fund was able to hold FY 2011 costs at levels commensurate with FY 2010, thus 

resulting in true cost reductions for its customers. These economies were the result of 

transitioning hosting of Oracle E-Business Suite to a commercial provider and further 

implementation of standardized business practices. 
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The Fund's key challenge is maintaining high service and customer satisfaction levels while 

pursuing cost reduction and containment initiatives such as transitioning customers to the 

standardized service delivery model. 

Future Outlook

In FY 2012, The Fund will maintain its commitment to excellence and continue to meet all 

strategic goals and benchmarks. The Fund continues to look for measured and controlled growth 

opportunities to expand existing service lines or add other value added, in-demand administrative 

services.

As a SSP, The Fund plays an important role in achieving the current administration’s goals of 

improving efficiency, cost effectiveness, and accountability within the federal sector. This is 

attributable to demonstrated successes in reducing duplication, providing accurate and timely 

financial management information and providing responsive support for government-wide 

initiatives.

The Fund’s estimated FY 2012 FTE and earned revenue are 1,190 and $245 million, 

respectively.

Demonstrated Success – Eliminating Duplication

Shared Platform and Services

The Fund reduces the number of federal administrative systems by providing access to an 

integrated system platform for accounting, travel, procurement, human resources, and 

information technology services. In addition, as a SSP, The Fund provides many customers with 

value added services, such as transaction processing and financial reporting.

The Fund was designated by the Office of Management and Budget (OMB) as a Center of 

Excellence for Financial Management Line of Business (FMLoB) and a Shared Services Center 

for Information Systems Security Line of Business (ISSLoB). In addition, The Fund has critical 

supporting roles in the Human Resources Line of Business (HRLoB) and Public Key 

Infrastructure (PKI) SSP designations of the Department of Treasury.

The Fund currently provides:

 31 organizations with accounting services

 35 organizations with travel services

 36 organizations with procurement services

 32 organizations with human resource services

 17 organizations with information technology services

Providing shared services to federal customers results in cost savings and improved quality and 

compliance. Savings are achieved through consolidated buying power and cost sharing 

opportunities in the areas of operations and maintenance, enhancements and upgrades. Improved 

quality and compliance is achieved through The Fund’s service model and standardized business 

processes that align with applicable laws, rules and regulations.
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Specifically, during FY 2012, The Fund plans to consolidate data center operations with those of

the FMS to increase utilization and efficiency of the combined IT assets. This consolidation 

supports the Office of Management and Budget's (OMB) E-gov data center consolidation 

guidance. Furthermore, in FY 2011, The Fund plans to consolidate two Oracle E-Business Suite 

environments. This consolidation is expected to result in further annual system hosting and 

maintenance cost savings. 

Demonstrated success –Timeliness and Accuracy

The Fund provides timely and high quality services in the area of financial reporting. Using The 

Fund’s Oracle E-Business Suite platform, federal managers have timely financial management 

information available for decision-making. 

Internally, there is no better test for the accuracy and quality than annual financial statement and 

internal control audits. The Fund has received 14 consecutive unqualified audit opinions. In 

addition, The Fund undergoes a Type II SAS-70 audit annually and has received 8 consecutive 

unqualified opinions. The SAS-70 results enhances customer confidence in The Fund’s systems 

and services and reduces agencies annual financial statement audit costs. 

Demonstrated Success – Responsiveness

The Fund has demonstrated the ability to respond timely to government-wide priorities. For 

example, increased emphasis on information security led The Fund’s information technology 

service line to become a leader in the federal government. On behalf of Treasury, The Fund 

hosts and maintains PKI SSP infrastructure and is an OMB designated shared service center for 

the ISSLoB. 

During FY 2010, The Fund completed infrastructure changes necessary to serve the role of a 

Trusted Internet Connection Access Provider (TICAP) for Treasury in response to OMB's 

government-wide internet security initiative.

1C – Industry Outlook

There is a positive outlook for shared services in the federal government. The Fund anticipates 

further growth in this sector due to OMB’s Line of Business (LoB) initiatives and increased 

budget constraints.

There is tremendous synergy between the business model established by the Treasury several 

years ago and recent OMB initiatives. Each model supports the concept of sharing costs across 

agencies to reduce each entity’s cost burden, especially capital investments in systems. In 

addition, most of the Lines of Business use competition to keep the costs of service providers to 

a minimum and to allow customer agencies to shop around for the service provider that best 

satisfies their needs.
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Section 2 – Budget Adjustments and Appropriation Language

2.1 – Budget Adjustments Table

Dollars in Thousands

Treasury Franchise Fund FTE Amount

FY 2010 Actual 973 $166,904

FY 2011 Estimated 1,012 $168,598

Changes to Base:

Maintaining Current Levels (MCLs): - $2,877

Maintaining Current Levels - $2,877

Efficiencies, Savings & Base Reductions: - ($1,732)

Efficiency Savings - Productivity Improvements - ($1,732)

Subtotal FY 2012 Changes to Base - $1,145

Total FY 2012 Base 1,012 $169,743

Program Changes:

Program Decreases: - ($499)

Business Alignment - ($499)

Program Increases: 178 $76,088

IT Consolidation Growth 178 $76,088

Subtotal FY 2012 Program Changes 178 $75,589

Total FY 2012 Estimated 1,190 $245,332

2A – Budget Increases and Decreases Description

Maintaining Current Levels (MCLs) ......................................................+$2,877,000 / +0 FTE

Maintaining Current Levels +$2,877,000 / +0 FTE 

Funds are requested for inflation adjustments in non-labor expenses such as GSA rent, postage, 

supplies and equipment and health benefits and the increase in Federal Employee Retirement 

System participation. No inflation adjustment is requested for pay in FY 2012.

Efficiencies, Savings & Base Reductions .................................................-$1,732,000 / +0 FTE

Efficiency Savings - Productivity Improvements -$1,732,000 / +0 FTE 

The Franchise Fund will realize efficiency savings from productivity improvements.

Program Decreases .......................................................................................-$499,000 / +0 FTE

Business Alignment -$499,000 / +0 FTE

Business Alignment

Program Increases ..............................................................................+$76,088,000 / +178 FTE

IT Consolidation Growth +$76,088,000 / +178 FTE 

During FY 2012, The Fund plans to consolidate data center operations with those of the FMS to 

increase utilization and efficiency of the combined IT assets.
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Section 2 – Budget Adjustments and Appropriation Language

2.2 – Operating Levels Table

Dollars in Thousands

Treasury Franchise Fund FY 2010 Obligated FY 2011 Estimated FY 2012 Estimated

FTE 973 1,012 1,190

Object Classification

11.1 - Full-time permanent $66,909 $72,259 $89,426

11.3 - Other than full-time permanent $596 $0 $0

11.5 - Other personnel compensation $94 $0 $0

11.6 - Overtime $1,255 $1,058 $1,393

11.7 - Other Personnel Compensation $1,490 $1,879 $2,329

12 - Personnel benefits $20,421 $21,756 $29,528

13 - Benefits for former personnel $168 $0 $0

21 - Travel and transportation of persons $1,129 $1,421 $1,774

22 - Transportation of things $9 $37 $38

23.2 - Rental payments to others $56 $0 $0

23.3 - Communication, utilities, and misc 

charges $933 $3,157 $5,183

25.2 - Other services $6,527 $18,561 $47,826

25.3 - Other purchases of goods and 

services from Govt. accounts $38,819 $28,822 $29,605

25.4 - Operation and maintenance of 

facilities $79 $0 $0

25.7 - Operation and maintenance of 

equip $12,126 $9,453 $20,732

26 - Supplies and materials $488 $1,359 $1,691

31 - Equipment $12,852 $7,237 $9,043

32 - Land and structures $0 $0 $5,457

Total Budget Authority $166,904 $168,598 $245,332

Budget Activities:

Financial Management Administrative 

Support Services $93,046 $94,592 $98,732

Information Technology Services $73,858 $74,006 $146,600

Total Budget Authority $166,904 $168,598 $245,332
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2.3 – Resource Detail Table

Dollars in Thousands

2B – Appropriations Language and Explanation of Changes 

The Fund receives no appropriated funds from Congress.

2C – Legislative Proposals

The Fund has no legislative proposals for FY 2012.

FTE AMOUNT FTE AMOUNT FTE AMOUNT FTE AMOUNT FTE AMOUNT

Budgetary Resources:

Revenue / Offsetting Collections

Administrative Services $85,045 $99,742 $93,799 $98,732 -1.01%

Information Technology Services $63,398 $75,903 $71,443 $146,600 93.14%

Total Revenue / Offsetting Collections 0 $148,443 0 $175,645 0 $165,242 0 $245,332 0.00% 39.67%

 Unobligated balances, Start of year 51,521 61,722 77,766 81,086 31.37%

 Recoveries of prior year obligations 4,410 7,303 6,676 6,744 -7.65%

 Net transfers (includes capital transfers) 3,748 0 0 0 0.00%

Total budgetary resources available 0 $208,122 0 $244,670 0 $249,684 0 $333,162 0.00% 36.17%

Expenses/Obligations

Administrative Services 605 89,933 628 93,046 644 94,592 670 98,732 6.69% 6.11%

Information Technology Services 326 56,467 345 73,858 368 74,006 520 146,600 50.72% 98.49%

Total Expenses / Obligations 931 $146,400 973 $166,904 1,012 $168,598 1,190 $245,332 22.30% 46.99%

Net Results $2,043 $8,741 ($3,356) $0 -100.00%

FY 2011 FY 2010

Actual Actual Estimated FY 2012 Estimated to FY 2012

% Change

FY 2009 FY 2010
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Section 3 – Budget and Performance Plan

This table lists all FY 2012 resources by strategic goal, objective and outcome outlined in the FY 

2007-2012 Treasury Department Strategic Plan. The Treasury Strategic Plan provides a 

description of what the agency intends to accomplish over the next five years.

For detailed information about the FY 2007-2012 Treasury Strategic Plan, please go to: 

http://www.treas.gov/offices/management/budget/strategic-plan/

3.1 – Budget by Strategic Outcome

Dollars in Thousands

Treasury Strategic Outcome FY 2011 

Estimated

FY 2012 

Estimated

Percent 

Change

 A citizen-centered, results-oriented and strategically aligned 

organization 168,598 245,332 45.51%

Total $168,598 $245,332 45.51%

3A - Financial Management Administrative Support Services ($98,731,720 from 

reimbursable programs): The Administrative Services Activity supports OMB’s shared services 

concept and furthers “good government” by standardizing the administrative financial systems 

and processes required to operate federal organizations. 

Value is provided through cost sharing opportunities in systems capital investments as well as 

reduced operating costs through providing consolidated high quality, value added services. The 

Fund, a Center of Excellence for the FMLoB and a support organization for Treasury's HRLoB 

designation, provides administrative support functions with a focus on financial management, 

procurement, travel and human resources. The program has been very successful in meeting its 

mission goals as evidenced by the increasing demand for services and the level of satisfaction 

expressed by customers.

3.2.1 Financial Management Administrative Support Services Budget and Performance 

Plan

Financial Management Administrative Support Services Budget Activity

Resource Level FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

Actual Actual Actual Estimated Estimated

 Appropriated Resources $0 $0 $0 $0 $0

 Reimbursable Resources $96,952 $89,933 $93,046 $94,592 $98,732

Total Resources $96,952 $89,933 $93,046 $94,592 $98,732

Budget Activity Total $96,952 $89.933 $93,046 $94,592 $98,732
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Measure FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

Actual Actual Target Actual Target Target

Cust. Satisfaction Index - Financial Mgmt 

Admin 

97.0 89.0 80.0 81.0 80.0 80.0

Operating Expense % (E) NA 7% 8% 8% 8% 8%

Key: Oe - Outcome Measure, E - Efficiency Measure, Ot - Output/Workload Measure, M - Management/Cust. 

Satisfaction, DISC - Discontinued, and B - Baseline, and B - Baseline

Description of Performance:

Administrative Services established an outcome measure and target of 80 percent to determine 

performance in satisfying the needs of customer agencies. Annually, The Fund conducts a 

customer satisfaction survey to assess performance within all service lines. For FY 2010, two 

thirds of The Fund’s customers responded to the survey, and an overall customer satisfaction 

rating of 81 percent was achieved. 

Administrative Services has reduced the target for operating expenses as a percentage of total 

expenses from 12 percent to 8 percent due to efficiencies realized in operations. This provides 

franchise management with a measure that encourages efficiency in administrative operations 

and helps to assure services are provided at the lowest possible cost. Administrative Services 

again met this performance measure in FY 2010 with an 8 percent operating expense ratio.

3B - Information Technology Services ($146,600,280 from reimbursable programs): The IT 

Services Activity provides low-cost, shared services to a diverse portfolio of federal customers: 

Treasury bureaus, independent agencies, boards and commissions, and Inspectors General 

organizations. Value is provided through IT infrastructure consolidation and standardized IT 

service delivery in a modern, technically innovative, and secure environment. Customers avoid 

costly, long-term development projects when they take advantage of our shared services and 

environments. Services include information systems security, hosting, and software engineering. 

Additionally, end-user support and professional services are provided to Public Debt and The 

Fund.

The Fund, designated by the OMB as a SSC for Information Systems Security Line of Business 

(ISSLoB), provides agencies with proven Certification and Accreditation (C&A) and Continuous 

Monitoring (CM) services. The Fund delivers information security support to other federal 

agencies, while improving quality, accelerating delivery, and reducing customer costs.

Secure hosting services are provided for production, contingency, and disaster recovery systems, 

and development/and test regions. The Fund has critical supporting roles in the PKI SSP 

designation of the Department of Treasury. The Fund's PKI and directory experience makes 

end-to-end identity management solutions available to customers.
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Rapid Application Development (RAD) techniques and a demonstrated ability to integrate 

commercially available solutions combine to provide high quality software engineering services 

at a competitive price. 

3.2.2 Information Technology Services Budget and Performance Plan

Information Technology Services Budget Activity

Resource Level FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

Actual Actual Actual Estimated Estimated

 Appropriated Resources $0 $0 $0 $0 $0

 Reimbursable Resources $0 $56,467 $73,858 $74,006 $146,600

Total Resources $0 $56,467 $73,858 $74,006 $146,600

Budget Activity Total $0 $56,467 $73,858 $74,006 $146,600

Measure FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

Actual Actual Target Actual Target Target

Cust. Satisfaction Index - Financial Mgmt Admin NA 84.0 80.0 81.0 80.0 80.0

Operating Expense % (E) NA 5% 8% 8% 8% 8%

Key: Oe - Outcome Measure, E - Efficiency Measure, Ot - Output/Workload Measure, M - Management/Cust. Satisfaction, 

DISC - Discontinued, and B - Baseline, and B – Baseline

Information Technology established a management/customer service measure and target of 80 

percent to determine performance in satisfying the needs of customer agencies. Annually, The 

Fund conducts a customer satisfaction survey to assess performance within all service lines. For 

FY 2010, two thirds of The Fund’s customers responded to the survey, and an overall customer 

satisfaction rating of 81 percent was achieved.

Information Technology has reduced the target for operating expenses as a percentage of total 

expenses from 12 percent to 8 percent due to efficiencies realized in operations. Viewed over 

time, this measure shows that operations can be expanded without dramatically increasing 

expenses.

For detailed information about each performance measure, including definition, verification and 

validation, please go to: http://www.treasury.gov/offices/management/dcfo/accountabilityreports/
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Section 4 – Supporting Materials

4A – Human Capital Strategy Description

The Fund follows the human capital strategy of Public Debt, it's host organization. Public Debt's 

employees are its greatest asset and investment in the workforce is crucial. The bureau is 

recognized throughout the local and surrounding communities as a values-based employer where 

candidates want to work and employees want to stay. According to the report, Best Places to 

Work in the Federal Government 20010, the bureau ranked 6thth out of 224 federal 

agencies. Additionally, Public Debt has consistently improved its overall score in every Best 

Places to Work in the Federal Government survey over the last five years.

As a values-based organization, Public Debt also understands the benefits telework provides for 

enhancing employee morale. Telework has the potential to increase employee productivity and 

provides employees an additional method for balancing work and home life. Moreover, it has 

the added benefits of increasing the recruitment of new employees, retaining the current 

workforce and potentially cutting down on employee absences.

To ensure essential business functions are maintained during office closures due to weatherrelated situations or other emergency events, telework will be integrated into continuity of 

operations plans as an alternative way of conducting business. Several offices are piloting 

telework on a trial basis to ensure functionality of systems in the event of a real-world disaster.

 

Public Debt moved to a performance-based management system for non-supervisory, nonbargaining unit employees at the end of December 2008. The new appraisal system is aligned 

with Public Debt's strategic and annual performance plans. In December 2009, the bureau 

successfully completed the bargaining process to move the remaining non-supervisory 

employees to the same system. The date to transition bargaining unit employees is pending.

The use of statistical analysis continues to be a crucial part of workforce planning and 

deployment. Through FY 2015, 37 percent of Public Debt's permanent employees will be 

eligible for optional retirement. Thanks to the bureau's standing as an employer of choice and 

the large pool of highly qualified candidates in the local community, Public Debt can address the 

anticipated retirements successfully.

A closer analysis of the retirement data reveals 62 percent of Senior Executive Services (SES) 

level employee will be eligible to retire during the same period. Public Debt's SES Candidate 

Development Program concluded in March 2010, at which time, candidates applied for SES 

certification. The candidates, once certified, will be eligible for noncompetitive appointments in 

the Senior Executive Service. By planning ahead, the bureau will be able to counteract the 

potential impact of future SES retirements.
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4.1 – Summary of IT Resources Table

Dollars in Thousands

Information Technology 

Investments % 

Change 

FY 09 to 

10

% Change 

FY10 to 11

% Change 

FY10 to 12

Major IT Investments (Self 

Funded) Budget Activity

FY 2009 

Enacted

FY 

2010 

Actual

FY 2011 

Estimated

FY 2012 

Estimated

Franchise Financial and 

Administrative Services (FFAS)

Administrative 

Services $19,468 $18,626 -4.3% $23,568 26.5% $23,859 28.1%

Government Agency 

Investment Service (GAIS)

Administrative 

Services $0 $0 0.0% $1,508 1/ 100.0% $1,531 1/ 100.0%

Subtotal, Major IT Investments $19,468 $18,626 -4.3% $25,076 34.6% $25,390 1.3%

Non-Major IT Investments $0 $0 0.0% $0 0.0% $0 0.0%

Infrastructure Investments 2/ $31,767 3/ $45,948 44.6% $41,134 -10.5% $43,001 -6.4%

Enterprise Architecture $1,899 4/ $2,503 31.8% $2,861 14.3% $2,947 17.7%

Total IT Investments $53,134 $67,077 26.2% $69,071 3.0% $71,338 6.4%

1/ Represents costs incurred by The Fund that contribute to the GAIS investment managed by the Bureau of the Public Debt (BPD). 

2/ Infrastructure Investments represent Treasury enterprise-wide investment in end user, mainframe and servers, telecommunications, and identity management services. 

3/ Includes Infrastructure Investments of $16,621 previously reported in Bureau of the Public Debt (BPD) budget submission, Table 4.1 - Summary of IT Resources.

4/ Includes Enterprise Architecture Investments of $352 previously reported in Bureau of the Public Debt (BPD) budget submission, Table 4.1 - Summary of IT Resources.
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4B – Information Technology Strategy

The Fund follows the information technology strategy of Public Debt, the host organization. To 

ensure the success of Public Debt's mission at the lowest cost to the taxpayer, the bureau 

continues to strengthen its strategic planning processes to make the best possible use of resources

across all business lines and budget activities, including The Fund's Administrative Support and 

IT Administrative Support Services. Public Debt created the Enterprise Architecture Group 

(EAG) to promote strategic alignment across the Public Debt enterprise, optimize business 

processes by promoting an appropriate diversity and reuse of technology solutions and expose 

strategic planners to information that enables informed decisions. The EAG is charged with the 

following responsibilities:

 Evaluate program and support organization transition activities, focusing on need, 

enterprise alignment, impact, and constraints.

 Determine the most effective course of action for each presented transition activity.

 Develop and prioritize the Public Debt transition plan.

 Maintain Public Debt’s business-related enterprise architecture models.

 Publish Enterprise Architecture information.

 Review and approve/disapprove capital planning investment documents.

During FY 2012, as The Fund consolidates data center operations with those of the FMS, 

additional governance processes will be established to ensure effective use of common 

information technology resources.

With this budget submission, The Fund unveils a restructured IT investment portfolio, further 

aligning budget activities and programs of Public Debt. The restructuring includes the 

movement of IT Infrastructure reporting to The Fund. 

Modern and Secure Technical Environment

The IT strategy embraces a modern and secure technical environment to support The Fund's

programs, workforce, and customers. The Fund's software engineering framework will leverage 

open source technologies. The Fund will expand its virtual infrastructure and will leverage 

virtual technologies in the delivery of end user services. Furthermore, social media technologies 

and data services (for both structured and unstructured data) will be available for use in a secure 

manner as a productive means of business collaboration.

As federal budget dollars shrink, federal program managers require cost effective IT services that 

align with business needs. The Funds Information Technology Services Activity must meet 

customers' requirements for quality and cost. The Fund adopts the principles of continuous 

service improvement (CSI) to find where improvements in the efficiency and effectiveness of IT 

infrastructures can be made. The goal is to increase the use and efficiency (optimization) of IT 

assets, while reducing IT service costs for customers.
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Fiscal IT

In late 2009, the Office of the Fiscal Assistant Secretary asked the Commissioners of FMS and 

the Public Debt to assess where improvements could be made in the efficiency and effectiveness 

of IT infrastructures. As a result, FMS in partnership with Public Debt initiated a project to 

consolidate the data centers across the two bureaus to help achieve the Secretary’s objective of 

increasing the utilization and efficiency of combined IT assets, while reducing technology costs. 

This effort also conforms to the Office of Management and Budget’s Data Center Consolidation 

directive that all federal agencies review IT spending, placing emphasis on consolidating and 

sharing IT services to reduce expenditures. The Fiscal IT effort includes consolidation of five 

data centers into two shared by both bureaus, creation of a single corporate governing body, insourcing of select contracted functions, consolidation of application development methodologies 

and associated infrastructure, and importantly results in a more “green” approach to delivery of 

IT services. Both FMS and Public Debt anticipate savings due to reductions in energy 

consumption, equipment, software, and staff.