Budget and Financial Management

Management System Description:

Management System Owner:		JUDY PENRY
Secondary Management System Owner:		MARY SUNDERLAND
Point of Contact:		MITCHELL SMITH

Issue Date: 04/10/2012
SCMS Revision: 1.4

1.0 Purpose

The Budget and Financial Management System serves to assure that the Office of Science is exemplary in its stewardship of fiscal resources. Liaison support to the Inspector General (IG) and the Government Accountability Office (GAO) is included as an integral part of the Office’s system of internal controls. Funds are distributed on a routine basis in an efficient and effective manner, and subsystems and controls are in place to ensure that Congressional and Administrative Funding Control Points are not exceeded. Creating and maintaining accurate and dependable financial records, payments, and systems; as well as providing expert financial assistance, advice, and guidance to contractors, DOE organizations, and Headquarters are part of fiscal resource stewardship.

2.0 Responsibilities

The table below represents roles and responsibilities specific to this Management System. For a detailed description of SCMS roles and responsibilities, please see the SCMS R2A2.

Roles	Responsibilities
Headquarters Chief Financial Officer (CFO)	Issues Delegations of Authority to the Heads of Field Elements. Directs, manages, and provides policy guidance and oversight of Department of Energy (DOE) financial management personnel, activities, and operations. Oversees all financial management activities related to DOE programs and operations.
Allotment Holders	Establish and maintain effective systems for the administrative control of funds allotted to the allotment holder, in accordance with approved funding programs and allotments. Ensure that funds are not obligated in excess of available budgetary resources. Designate (in writing) Authorizing Officials to sign procurement requisitions and determine appropriate fund citations to ensure funds are used for the purposes for which they were appropriated.
Head of Field Office/ Integrated Support Center	Designates Field CFO or equivalent positions for the Department CFO's approval. Supports the Field CFO or equivalent in executing responsibilities reserved for or assigned to the Department CFO by statute, regulation, or Departmental policy.
Field Chief Financial Officers	Direct, manage, and provide policy guidance and technical direction and oversight to financial management personnel, activities, and operations, including activities and operations of subordinate reporting organizations. Exercise Secretarial and Departmental CFO authorities specifically delegated to Field CFOs or equivalents. Establish practices, standards, and measures for financial stewardship of field element resources. Work with Site Offices to oversee the design, implementation, and maintenance of field element and site/facility management contractor financial management and accounting information systems, which must: (1) Include effective internal controls; (2) Support the collection and reporting of accurate financial information; and (3) Facilitate the integration of accounting, performance, and budgeting data for the systematic measurement of performance. Work with Site Offices to serve as the focal point for: (1) Identifying, addressing, and resolving assigned site/facility management contractor financial management issues; (2) Making cost (expense) versus capital funding decisions; and (3) Referring crosscutting financial issues to the Department CFO. Maintain cognizance of all major legislative initiatives affecting the field element; review field element programmatic proposals, requirements for major procurements, and changes in credit programs; and provide advice to Field Element Officials on Federal cost and program benefit estimates. Provide input for the Secretary’s annual plan for implementation of the five‑year financial management plan to the Department CFO field element. This plan is prepared by the Director of OMB. Provide guidance for integrating accounting, performance, and budget information and for developing field element financial management budgets. Recommend to the Head of the Field Element (for submission to the Department CFO) financial management budget resource levels to execute all financial management responsibilities effectively and efficiently. Access, as needed, all records, reports, audits, reviews, documents, papers, recommendations, or other material that is DOE property (or is available to DOE) and relates to programs and operations for which the Field CFO or equivalent has responsibility. Serve as Contracting Officer's Representative or equivalent for the administration of financial matters for site/facility management contracts within their cognizance including the review of indirect rates.
Site Office Managers	Ensure contractors operate within contractual and departmental financial procedures, regulations, and direction. Work with Field Chief Financial Officers to serve as the focal point for: (1) Identifying, addressing, and resolving assigned site/facility management contractor financial management issues; (2) Making cost (expense) versus capital funding decisions; and (3) Referring crosscutting financial issues to the Department CFO. Support contractor audits and reviews. Manage cost/liability issues.
Contracting Officers (COs)	Authorize and accept work via the work authorization process.

3.0 Management System Operation

3.1 Overview

The Budget and Financial Management System consists of the execution of all accounting and financial reporting functions, including the establishment of an effective system of internal controls in accordance with the policies, principles, and objectives specified in financial regulations and directives. This includes the implementation of DOE accounting policies and directives and maintaining the official accounting records with valid source documentation. In addition to accounting operations, the Budget and Financial Management System includes planning and formulation of budget requests and related budget administration activities, execution of allottee requirements, and operation of the funds distribution systems. Also included is liaison support for all reviews, audits, inspections, and investigations performed by the IG and the GAO. Annual assessments of internal accounting and administrative controls over assigned Departmental assets, supported by Site Office and management and operating contractor assessments are reported in assurance memoranda to the Director, Office of Science.

3.2 Key Functions/Services and Processes

3.2.1 Accounting

This process encompasses the accounting and reporting processes for all aspects of the Department’s activities. Accounting processes include payments, accounts receivable, travel, payroll, costing, contractor pensions and other benefits, and the monthly and year‑end closing cycles and related financial reporting. In addition, providing expert financial assistance, advice, and guidance to DOE organizations and DOE contractors is part of the accounting processes.

3.2.2 Budget

This process encompasses all phases of funds certification and distribution, budget formulation, and budget execution. Major components of this process also include capital budgeting, the management of program direction funds, and the successful utilization of budget systems. It identifies all major processes required to perform these aforementioned activities in a manner consistent with the DOE strategic theme of management excellence. Further, these processes are executed within defined roles and responsibilities and within the requirements presented by applicable DOE directives and regulations. The processes include funds certification and distribution, budget analysis and reporting, capital budgeting, budget formulation, and field program direction.

3.2.3 Evaluation and Review

This process involves assessing the efficiency and effectiveness of various Federal and/or contractor financial management activities. These activities include: (1) analysis of cost and/or pricing data for contract award, administration, and closeout; (2) assessment of the adequacy of internal controls; (3) oversight of contractor internal audit functions; (4) liaison with external (i.e., Office of Inspector General and Government Accountability Office) audit organizations; and (5) conducting independent reviews of operations, systems, processes, and practices as needed.

4.0 Requirements

4.1 Primary Responsibility

This Management System has primary responsibility for ("owns") the following requirements:

Document	Title	Requirement Decision Record
AATAPS	Automated Time Attendance and Production System (AATAPS)	Completed
48 CFR, Chapter 99	Cost Accounting Standards Board Regulations	Completed
41 CFR 300-304	Federal Travel Regulations	Completed
DOE O 130.1	Budget Formulation	Completed
DOE M 135.1-1A	DOE Budget Execution -- Funds Distribution And Control Manual	Completed
DOE O 135.1A	Budget Execution -- Funds Distribution And Control	Completed
DOE O 137.1B	Plan for Operating in the Event of a Lapse in Appropriations	Completed
DOE O 143.1	Payments In Lieu Of Taxes	Completed
DOE O 221.1A	Reporting Fraud, Waste And Abuse To The Office Of Inspector General	Completed
DOE O 221.2A	Cooperation With The Office Of Inspector General	Completed
DOE O 221.3A	Establishment Of Management Decisions On Office Of Inspector General Reports	Completed
DOE O 224.2A	Auditing Of Programs And Operations
DOE O 224.3	Audit Resolution And Follow-Up Program	Completed
DOE O 323.1, Administrative Change 1	Garnishment Of Federal Employees' Pay	Completed
DOE O 413.1B	Internal Control Program	Completed
DOE O 520.1A	Chief Financial Officer Responsibilities	Completed
DOE O 522.1	Pricing Of Departmental Materials And Services	Completed
DOE O 523.1	Financial Management Oversight	Completed
DOE O 533.1	Collection From Current And Former Employees For Indebtedness To The United States	Completed
DOE O 534.1B	Accounting	Completed
DOE M 552.1-1A	U.S. Department of Energy Travel Manual	Completed
DOE O 552.1A, Administrative Change 1	Travel Policy And Procedures	Completed
DOE O 2340.1C	Coordination Of General Accounting Office Activities	Completed

4.2 Parsed Responsibility

This Management System is responsible for a part of the following high-level requirements:

Document

Title

Parsed Unit RDR Status

DEAR 942 Contract Administration Completed

DOE O 322.1C Pay and Leave Administration and Hours of Duty — 4.d Completed

Document	Title	Parsed Unit RDR Status
DEAR 942	Contract Administration	Completed
DOE O 322.1C	Pay and Leave Administration and Hours of Duty — 4.d	Completed

5.0 Subject Areas, Program Descriptions, and Guidance Documents

The following Subject Areas are maintained by this Management System:

6.0 References

7.0 Delegations

NOTE: The Basis/Source column below reflects requirements active at the time of the delegation.
These requirements may have been superceded or canceled and may not be currently active.
For the official active requirement list, please reference the SCMS Management System Descriptions.

The following delegations affect this Management System:

Date Issued	Delegated By	Delegated To	Topic (Click to view the Delegation)	Basis/Source
01/22/2010	Chu, Steven (S-1)	Deputy Secretary (S-2)	Personnel Actions, Legal Hearings and Proceedings, CFO, Management Functions, Energy Services, Emergency Authorities, ES&H, Security Operations
05/18/2012	Chu, Steven (S-1)	Under Secretary of Science (S-4)	Condemnation Proceedings, Comm. Applications of Energy Tech., Suspension of Nuclear Operations, Program Opportunity Notices, Altering Organization Units, Fed. Advisory Committee Members, AMSE, Sales/Lease Real Propery, Cost-Sharing, Reduction in Cost Sharing, Intervention of utility matters, and Operate DOE Isotope Program	42 USC 2011 42 USC 5907 42 USC 7234 42 USC 7252 42 USC 7253 5 USC App.2 50 USC 2811 Public Law 101-101 Public Law 103-316 Public Law 106-554 Public Law 109-58 Public Law 93-577
05/18/2012	Chu, Steven (S-1)	Director, Office of Science (SC-1)	New Energy Technologies; Program Opportunity notices, Establish Organizational units, Nominate Federal Advisory Committees, AMSE, Leasing space, Sale and lease of real property, Intervention of utility matters, Operate DOE Isotope Program	18 U.S.C., Section 208 P.L. 95-91 42 USC 2011 42 USC 5907 42 USC 7234 42 USC 7252 42 USC 7253 5 USC App.2 50 USC 2811 Public Law 101-101 Public Law 103-316 Public Law 106-554 Public Law 93-577

Date Issued

Delegated By

Delegated To

Topic (Click to view the Delegation)

Basis/Source

01/22/2010

Chu, Steven (S-1)

Deputy Secretary (S-2)

Personnel Actions, Legal Hearings and Proceedings, CFO, Management Functions, Energy Services, Emergency Authorities, ES&H, Security Operations

05/18/2012

Chu, Steven (S-1)

Under Secretary of Science (S-4)

Condemnation Proceedings, Comm. Applications of Energy Tech., Suspension of Nuclear Operations, Program Opportunity Notices, Altering Organization Units, Fed. Advisory Committee Members, AMSE, Sales/Lease Real Propery, Cost-Sharing, Reduction in Cost Sharing, Intervention of utility matters, and Operate DOE Isotope Program

42 USC 2011
42 USC 5907
42 USC 7234
42 USC 7252
42 USC 7253
5 USC App.2
50 USC 2811
Public Law 101-101
Public Law 103-316
Public Law 106-554
Public Law 109-58
Public Law 93-577

05/18/2012

Chu, Steven (S-1)

Director, Office of Science (SC-1)

New Energy Technologies; Program Opportunity notices, Establish Organizational units, Nominate Federal Advisory Committees, AMSE, Leasing space, Sale and lease of real property, Intervention of utility matters, Operate DOE Isotope Program

18 U.S.C., Section 208
P.L. 95-91
42 USC 2011
42 USC 5907
42 USC 7234
42 USC 7252
42 USC 7253
5 USC App.2
50 USC 2811
Public Law 101-101
Public Law 103-316
Public Law 106-554
Public Law 93-577

Last Annual Review: 05/03/2012
Annual Review Period: Second Quarter

This is not the online OFFICIAL SCMS COPY of this file. Before using this printed copy, verify that it is the most current version by checking the Last Major Revision and Last Minor Revision dates (at the bottom of each document) on the SCMS Web site.

This is the online OFFICIAL SCMS COPY of this file. Before using a printed copy, verify that it is the most current version by checking the Last Major Revision and Last Minor Revision dates (at the bottom of each document) on the SCMS Web site.

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Filename: /OrbitSearch/MSD/BudEx/BudEx_MS.cfm
Last Major SCMS Revision: 10/10/2007