Transforming Financials at the People’s Department Financial Management Modernization Initiative (FMMI) APHIS Master Data Discussion July 2010

Transforming Financials at the People’s Department What is Master Data?  Master Data is data in FMMI that Agencies will reference and use in order to execute business transactions in the system  FMMI Master Data Elements: – Application of Funds – Functional Area – Fund – Funds Center/Cost Center – Funded Program/Work Breakdown Structure (WBS)** All obligations at a minimum will include a Functional Area and a Cost Center. If further identification is needed, a WBS would be necessary. The particular obligations will use a shorthand code that will point to a Functional Area and Cost Center, the shorthand code will be determined at a later date. 2 2

Transforming Financials at the People’s Department Master Data Elements Application of Funds & Functional Areas  The Application of Funds used in FMMI is the equivalent of the Treasury Symbol used in FFIS. Each Application of Funds is tied to one or more FMMI Funds.  Functional Areas represent “mission critical” programs without an end date. These programs are core to the operations of USDA agencies and staff offices.  OMB Recognized Category Programs – Cat A – Defined by Time, most APHIS Program – Cat B – Project Specific, such as Supplemental, CCC funding, and in this FY the ARRA and H1N1 funding. – FMMI will capture Cat B programs by the line item on the apportionment and the structure would be AP01, AP02 as necessary. 3

Transforming Financials at the People’s Department 4 4  Functional Area is used to represent Cat B Programs or agency specific programs  Structure:  Digit 1-2: Agency Identifier  Digits 3-4 – Reserved for Cat B usage (SF-132)  Digits 5-6 – Functional Area ex. PM = Plant & Animal Monitoring – AHMS Example:  AP00PMAHMSBSE – AHMS BSE  AP00PMAHMSADT – AHMS Animal Disease Traceability  Funding control would be at AP00PMAHMS – EPP Example:  AP00PDEPPSALB – Emerging Plant Pest Asian Longhorned Beetle  AP00PDEPPSSRX – Emerging Plant Pest Sirex  Funding control would be at AP00PDEPPS The rule remains that all obligations at a minimum will include a Functional Area and a Cost Center. If further identification is needed, a WBS would be necessary. The particular obligations will use a shorthand code that will point to a Functional Area and Cost Center, the shorthand code will be determined at a later date. Functional Area Structure

Transforming Financials at the People’s Department Master Data Elements Fund  Funds in FMMI are used to represent funding from external sources. A Fund can represent a source of funding such as a federal appropriation where the funding is limited based on the time available (no year, annual funds, multi-year funds). A Fund can also represent the specific expenditures which can be covered (direct or reimbursable). 5

Transforming Financials at the People’s Department 6 6  The Fund Structure has been confirmed as the following: – Agency Identifier (digits 1 - 2) – this is the designated identifier for each agency – High Level Business Area (digits 3 - 4) – unless otherwise specified by an Agency this will always be “00”. The high level business area is considered the Agency as a whole which is represented by “00”. – Agency Defined - (digits ) – many agencies have chosen to configure positions 5-8 for the base Treasury code, with the 9 digit equal to the “fund type” (R=Reimbursement, D=Direct or an agency-defined purpose. – Agency Defined - last digit is whether it is category A or B  The Fund Structure will always be 10 digits. The Budget Period will distinguish No year, Multiyear, or Annual.  AP001600NB Budget Period 1010 Farm bill  AP001600DA Budget Period 1010 AHMS Fund Structure

Transforming Financials at the People’s Department Master Data Elements Cost Centers and Funds Centers  Cost Centers are organizational elements that identify the costs incurred for performing activities within an organization.  Cost Centers reflect the levels at which a Division spends at a location.  Funds Centers is the same as Cost Center but it is located in the Financial Module and Cost Center is located in the Cost Management Module of FMMI.  Funds Centers and Cost Centers typically map to FFIS Divisions, Organizations, Sub Organizations, and Cost Organizations  Building a one-to-one relationship between Funds Centers and Cost Centers simplifies derivation rules in FMMI. 7

Transforming Financials at the People’s Department 8 8  The Cost Center Structure has been confirmed to represent the organization levels at which each Agency/Staff Office tracks spending or collects costs.  The Cost Center Structure has been reconfirmed as the following: – Agency Identifier (digits 1 - 2) - this is the designated identifier for each agency – Lower Level Business Area (digits 3 - 4) – this is an organizational level such as a division – Remaining six digits (digits 5 – 10) are FFIS ORGN and State or Country Code. Since digits 3-4 now cover the program, it may be meaningful to restructure digits 5-10; e.g., PQ8109, PQ indicates PPQ so using 8 as the first number is now redundant.  The Cost Center Structure will always be 10 digits.  APPQ = PPQ (Farm bill example)  APVS = VS (AHMS example) Cost Center Structure

Transforming Financials at the People’s Department Master Data Elements WBS Elements and Funded Programs  WBS Elements provide a means of collection and tracking costs of a specific job, service, or task; and also generate bills.  They should be thought of as a program or project with an operational purpose and defined time frame.  WBS Elements are the same as Funded Programs but it is located in the Financial Module and WBS is located in the Cost Management Module of FMMI.  WBS Elements have a one-to-one relationship with Funded Programs. This helps to provide consistency between the Controlling and Funds Management modules in FMMI. A WBS Element is required for all revenue and for other projects as designated and determined by the Agency. 9

Transforming Financials at the People’s Department WBS Structure For all WBS  Full String Level 1 – AP. RA.EPPS – Positions 1-3: A P. = APHIS – Positions 3-5: R A. Project Type + a period. = Project Type (See below) – Positions 7-10: Project Activity, agency defined to mirror functional area when possible.  Project Types - – Reimbursable:  For the reimbursable funds, build the first part of the WBS element for them: AP.RA.  For non WS fund 83 program codes, this would be AP.TF.  For WS fund 73 program codes, this would be AP.RA. – Expense Projects  For fund 85 program codes, this would be AP.BF.  Others will mirror the functional area, this would be AP.PM or AP.ST as appropriate.  WBS Level can be expanded into 3 levels. 10

Transforming Financials at the People’s Department WBS Rules - Expense Projects  WBS elements for expense projects can be mapped to multiple cost centers.  Spending can only occur at WBS Level 2  Programs within CCC and Contingency Fund will be assigned WBS for tracking purposes.  As programs evolve and become congressional line items they will then be assigned a functional area. 11

Transforming Financials at the People’s Department WBS Structure - Example Emerging Plant Pests ALB – Expense Projects 12 AP.PD.EPAL AP.PD.EPAL.TC ALB Tree Cutting AP.PD.EPAL.TR ALB Treatment As a rule WBS’ can not be locations. When necessary WBS elements can be created to track a temporary project, which happens to be organized by location; such as in a emergency response. Funded Program = WBS Level 1 WBS Level 2

Transforming Financials at the People’s Department 13 Shorthand Code Overview The objective is to review the Data Mapping approach for the “crosswalk- to-a-crosswalk” Shorthand Code solution.  Shorthand Code Decision: – Agencies will be able to create an agency-defined Shorthand Code, up to 27 characters  The new shorthand code approach will map the agency-defined / current shorthand code values to the full FMMI accounting string  Relationships between shorthand codes to full FMMI accounting can be 1:1 and many-to-1, but 1-to-many shall not be allowed.  These codes will be what is entered in the Feeder systems (Smart pay, PACS, Govtrip, IAS, etc…)