**Detail Addendum – Action Item Tracker for the 22-23 October 2014 Joint Supply PRC and JPIWG Meeting (SPRC 14-01)**

**Current as of May 26, 2015**

**Action Item Tracker for the 29/30 April 2015 Supply PRC (SPRC 15-01/14-01)**

**May 3, 2016**

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Action Item 24.  Minutes, § f, Page 10   ODASD(SCI) requested clarification on the extent of the returned materiel volume and dollar value given DLA’s input (PMR briefing) that much of the materiel is receipted correctly after some level of research.

The following summary was provided by DLA (Mark Lieberman) to address the magnitude/extent that DLA goes to identify ownership in the absence of a PMR. 

1.  When materiel arrives at a DLA Distribution Center without PMR, DLA Distribution will use the following data sources to create a Materiel Receipt Transaction (DIC D4_ or D6_) to establish the item’s NSN, owner, quantity, document number, condition code, and unit of issue:

a.  Copies of receipt documentation sent in advance, physically attached to the shipment, or obtained through receiving systems (WAWF) 

b.  Authorized procurement delivery documents and vendor packing lists

c.  Transportation and fiscal records

d.  Container markings

e.  Contract information available via the Electronic Document Access (EDA) Website reference archive

f.  Federal Logistics Information System (FLIS) or WebFLIS data

g.  Advice provided by the owner, the shipper, or the U.S. Customs Inspector's Office upon request of the receiving activity if receipt documentation cannot otherwise be developed

2.  For Audit, specifically Rights Substantive Testing, the receiving DLA Distribution Center will complete the receipt using the following data points from the PMR transactions or receiving documents:

a.  NSN 

b.  Owner 

c.  Quantity 

d.  Document number 

e.  Condition code 

f.  Unit of issue

g.  Correct receiving/storage location

3.  To support Audit Readiness Rights Substantive Testing, if materiel is shipped without PMR and receiving documentation is missing/inaccurate/incomplete, in order to complete the receipt, all receiving data points listed above must be established by the receiving DLA Distribution Center.

4.  When the materiel owner is unidentifiable, the receiving DLA Distribution Center will use the pre-designated Routing Identifier Codes (RIC) established by each service.  The Navy and Marines have established pre-designated RICs to be used when owner is unidentified (DLM ADC 1102):

a.  Army:  _ _ _

b.  Air Force:  _ _ _

c.  Navy:  NRP

d.  Marines:  MPB

e.  DLA:  SMS

f.  GSA:  GSA (GSA non-procurement receipts should be assigned to SMS per the DLM 4000.25 Vol 2, Chapter 13)

g.  Coast Guard:  _ _ _

5.  If no receiving data sources are available or when service affiliation cannot be determined, the receiving DLA Distribution Center will establish the owner/pre-designated Military Service RIC by using the following, in order of priority:

a.  The Service associated with the Shipper’s DoDAAC

b.  The first letter of the Document number 

c.  The co-located Military Service’s pre-designated RIC

d.  WebFLIS Source of Supply (SOS)/Manager

e.  Owner already established in DSS for that same NSN

f.  Assign to SMS account if no other indication of owner

Action Item 14.  Minutes, § c. (2), Page 6

AFSC/Response/Update:   We believe the action item is not as agreed upon during the meeting.  From the minutes of the meeting:  

 “The Air Force noted several areas where their process differed. Their D035K application controls issues to maintenance. D035K uses a pseudo RIC to segregate DMISA Depot Level Reparables (DLR) by Service.  The Air Force provided an overview of their process that uses Ownership/Purpose (0/P) codes and use of D6_ (Receipt) and D7_ (Issue) transaction. Unfortunately, during the software development in support of DLA assuming responsibility for Service-owned depots, the D6 became associated with an issue business event, while the D7 became associated to a receipt business event.  Air Force expects DSS to create a D6_ Receipt identifying an issue event in response to an AS_ from D035K, to "wash" the asset from the owner account to the Air Force account. Air Force then uses pseudo RJCs in D035K and DSS to segregate storage for reparables by principal account.  Mr. Gary Ziegler (DLA) noted that DSS does not use ownership or purpose code and does not store materiel by 0/P code.  Mr. Phoel (Army/LMP) noted that LMP recognizes and stores by the 0/P Code.  Mr. Ziegler noted that much of the Air Force transactions movement is happening within the D035K application and not DSS.  Ms. Hilert noted that the transaction process used by the Air Force seems to blur owner visibility of the item because the owner is not getting an actual transaction that the item has physically moved; it is put into the AF account, but remains at the DLA storage activity.  Additionally, the owner appears to be getting a DAC to change from SCC F to M before receipt by the maintenance depot.  From the discussion, Ms. Hilert indicated that it seems the actual receipt from the maintenance depot is missing. The maintenance depot should provide a D6 Receipt in SCC F before the SCC change to M.  The Air Force participants agreed to provide flow charts and descriptions of their current process for a closer review.”

CSRD 2013-06-6095 does not “fix” the reverse usage of D6_ and D7_.    This response provides the information actually requested.  From the minutes:  “Air Force expects DSS to create a D6_ Receipt identifying an issue event in response to an AS_ from D035K, to "wash" the asset from the owner account to the Air Force account.”

-	The ship-to-self (STS) process has never used the ASx transaction to trigger a D6. This is a basic misunderstanding of the ship-to-self process

-	The STS process does not work with the DMISA pseudo-RIC accounts. See action item “N”

-	Shown below are two types of STS transactions

--	Processing the shipment triggers the receipt into the other owner’s account without a loss of visibility or accountability

--	Figure 1 shows D035K initiating an STS process that causes DSS to decrement the asset balance in the Air Force account and put the asset balance into the new owner account. The receipt of that asset is reported to the new owner using a D6 transaction

Figure 1. Ship To Self - D035K Initiated

--	Figure 2 shows an asset owner initiating an STS process that causes DSS to decrement the asset balance in their account and put the asset balance into the D035K account. The receipt of that asset is reported to D035K using a D6 transaction

Figure 2. Ship-To-Self - Other Owner Initiated

-	The STS process in Figure 3 is the one used to implement the procedures in DLM 4000.25-2M, Chapter 4, Paragraph C4.3.5

--	“C4.3.5...Because the Military Service sites shall no longer retain retail stock balances under these programs, DLA shall assume ownership of all materials regardless of asset position.  Upon notification of receipt by the storage activity by a Defense Logistics Management System (DLMS) 527R (D6A), the Military Service activity shall determine if there is a need for the material by another maintenance user (backorder). If so, an issue document shall be forwarded to the storage activity for action.  If not, a materiel release order shall be initiated, directing shipment-in-place (citing the ship-to/supplemental address of the storage activity), authorizing a change of ownership to DLA.  The receipt of the returned materiel from the Military Service ownership to DLA shall be accomplished with a receipt (DIC D6B).”

Figure 3. Ship-To-Self - Practical Application

Ms. Hilert noted that the transaction process used by the Air Force seems to blur owner visibility of the item because the owner is not getting an actual transaction that the item has physically moved; it is put into the AF account, but remains at the DLA storage activity

The STS process has never been used by the Air Force to manage DMISA assets. The process does not work with DMISA assets under the current pseudo-RIC.  See ADC 1070 Analysis.

 Status Recommendation:  Close

Action Item 25.  Minutes, § f. Page 11

AFSC/LG Added Reference:  

-	DoDM 4140.01, Vol 5, Enclosure 3, para 8.c

c. For due-in records, receiving activities will:

	(1) Record all anticipated receipts of materiel from any source (i.e., procurement, redistribution, requisitioning, and returns to include excess, retrograde, and directed return of discrepant or deficient materiel) as materiel due-in.

		(a) If the source of the materiel due-in is a contractor, the materiel due-in should identify if destination acceptance is required.

		(b) Classify accounting for progress payments made to contractors as prepaid assets, rather than as inventory consistent with DoD inventory valuation policy.

	(2) Provide a current record of all anticipated materiel receipts to receiving storage activities through the use of the appropriate prepositioned materiel receipt transactions as defined by Reference (q).

		(a) Provide a shipment status or notice containing the passive RFID tag identification and associated shipment information in advance to receiving storage activities.

		(b) Establish suspense procedures based upon the initial notification of shipment to monitor materiel receipt and ensure proper accountability of in-transit assets

**AFSC/LG Response/Update:**

D035K generates PMR as required, all required data is included.

D035A is currently reviewing systematic generation of PMR transactions and have identified several issues.  This effort is being working by AF/A4L

Action Item 38.  Minutes, § j. (2) Page 17

AFSC/LG Response/Update:  We do not recommend the AF agree to discontinue use of the pseudo “M” DODAAC.  Except for the interface with DSS, these transactions are internal to the Air Force and do not move outside that realm.

-	Using the “M” in the first position of the document number is a business rule that spans multiple systems. It’s not just D035K. Changing all of these systems would be a significant undertaking both in time and expense. Major systems include the following (this is not a complete list)

--	Stock Control System

---	Item Manager Wholesale Requisition Process (IMWRP) (D035A)

---	Wholesale Management and Efficiency Reports (WMER) (D035B)

---	Reportable Asset Management Process (RAMP) (D035C)

---	Financial Inventory Accounting and Billing System (FIABS) (D035J)

---	Wholesale And Retail Receiving And Shipping (WARRS) (D035K)

---	Inventory & Storage Process (INSTOR) (D035L)

--	Other Supply Systems

---	Center of Parts Activity (D050)

---	Distribution Standard System

---	Execution And Prioritization Of Repairs Support System (EXPRESS) (D087X)

--	Maintenance Systems

---	Automated Bill of Materiel

---	Defense Industrial Financial Management System

---	Maintenance Data Depot (Q302)

---	Naval Air Industrial Material Management System (NIMMS)

---	Management of Items Subject to Repair (MISTR) Requirements Scheduling And Analysis System (G019C)

---	Inventory Tracking System (ITS)

---	Materiel Processing System (MPS)

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