1. Fund Code Data Quality Improvements
& ADC 1043 SLOA
by Bob Hammond
Chair, Finance Process Review Committee
Enterprise Business Process Standards Office

2. Agenda Prior DAAS Fund Code Edits
New ADC 1043 Series Standard Line of Accounting (SLOA) Edits
Synchronizing the SFIS Fund Code to Fund Account Conversion Table (a.k.a. FCA) and Fund Code to Billed Office DoDAAC Table (a.k.a. FCB) data
Way ahead
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3. Prior DAAS Fund Code Edits
Reject transactions with Signal Code C or L that do not have a fund code on the Fund Code to Billed Office DoDAAC Conversion Table for that Service Code
Army only: reject, with status code CX, transactions where fund code is missing or invalid on the Fund Code to Fund Account Conversion Table for Signal Codes A, B, J, K
Reject Transactions for H Series bill-to DoDAACs not on the Table of H Series DoDAACs Authorized Interfund Billing citing other than Fund Code XP (non-Interfund)
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DAAS cannot determine if the Buyer is using the correct fund code; only that it is a valid fund code

4. ADC 1043 SLOA Edits
Insert SLOA data from the SFIS Fund Code to Fund Account Conversion Table into select DLMS transactions where it is missing or upon conversion from incoming MILS to outgoing DLMS
Excludes post-post (after the fact) transactions & bills
Extend edits to Signal Codes A, B, J, K
Reject transactions with missing fund codes
Reject transactions where SLOA data in a DLMS transaction does not match SLOA data in the SFIS Fund Code to Fund Account Table
Components extend DAAS edits in ordering processes/systems where orders are placed outside of the Component Supply ordering system (e. g. DoD EMALL, call centers, STORES (subsistence), etc.
Components need to validate fund codes are all up to date and implement fund code edit in all ordering systems.
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5. ADC 1043 SLOA Edits Example: Fund Code not on FCA, Signal Code A
Customer cited Signal Code A
Fund Code 48 is not on the FCA table for Signal Code Group A, B, J, K
Order did not pass thru DAAS for validation
DLA ordering system has not yet implemented ADC 1043E SLOA edits; thus, accepted the order with invalid fund code
DLA billed Navy default LOA, current year funds,
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(Service Code)
(Signal Code)
(Fund Code)
APPENDIX AP1.1.N
BILLED SERVICE CODE = N (NAVY)
1. SIGNAL CODE IS A, B, J, OR K:
*FUND ACCOUNT*
FUND DPT F MAIN SUB DPT SUB TRY BEG END L A AGENCY NARRATIVE EFF ACT
CODE REG Y ACCT ALLO TRN ACT SUB POA POA E T DATE CDE
CDE R CODE CDE CDE CLS YEAR YEAR G C
X 4930 FD F X DEL
X 4930 FD F X DEL
X 4930 FD F X DEL
# 1319 U T CHG
FC 48
missing

6. Web Fund Code Example Fund Code to Fund Account Conversion Table (FCA)
Most Components apply the
fund codes across multiple Service/Agency designations
Fund Code to Billed Office DoDAAC Table (FCB)
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There is not a check that a fund code in FCA w/signal code C/L
has a companion record on FCB, and vice versa.

7. ADC 1043 SLOA Edits
DAAS recently implemented ADC 1043E, extending DAAS SLOA edits to certain scenarios in a phased implementation
Edits were immediately withdrawn from production, when transactions not covered by ADC 1043E were rejected, together with transactions that the edits were designed to catch in order to preclude inaccurate Treasury reporting
Analysis and retesting are ongoing
Meanwhile, no new or resubmitted transactions have been rejected
Edits will not be placed back into production until after the FPRC and resolution of known issues.
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8. ADC 1043E Edits Highlights
Brief Overview: This change extends Defense Automatic Addressing System (DAAS) edits for invalid or missing fund codes to include transactions with Signal Codes A, B, J, and K and one scenario pertaining to Signal Codes C and L that had previously been omitted. It excludes image and post-post transactions, such as bearer walk-through or “over the counter” issues, where the order did not originate in the Component’s ordering system and route through DAAS first.
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9. ADC 1043E Edits Highlights Brief Overview: continued.
Post-post and image transactions are excluded since validating these transactions would be after the fact for the materiel being provided, and allowing the transaction to proceed does not hold up the bill even though it will process against a default account. To fill the void for such processes, this ADC requires sources of supply perform similar fund code edits/validation prior to accepting the requisition. This change delays phased implementation of the new fund code validation edit for the DLMS 810L Logistics Bill, along with elimination of default lines of accounting in MILSBILLS.
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10. ADC 1043 SLOA Edits Highlights
Procedures, Transactions, Data Elements, Processing Details in Use Today:
Interfund. Data needed for logistics billing originates in a supply transaction and is perpetuated to logistics bills. Logistics billing (excluding web-purchases paid via Government purchase card) may be accomplished two ways. In limited circumstances, billing may be accomplished through non-Interfund procedures. The predominant method for logistics billing in DOD is through Interfund billing procedures using DLMS/MILS transactions governed by MILSBILLS (Reference 3.c., Volume 4). The Interfund billing process currently supports approximately $58 billion in billing transactions per year. :
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11. ADC 1043 SLOA Edits Highlights
Procedures, Transactions, Data Elements, Processing Details in Use Today:
Interfund continued.
It is DOD policy that customers shall authorize suppliers to use the Interfund billing system to reimburse themselves for materiel, hazardous materiel and waste services, and services related to materiel shipments. An overview of the Interfund billing system and identification of Logistics transactions with financial implications are provided:
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12. ADC 1043 Edits
Procedures, Transactions, Data Elements, Processing Details in Use Today:
(a) Interfund billing is applicable to DOD and some authorized Federal Agency sources of supply, including General Services Administration, Federal Aviation Administration and National Oceanic and Atmospheric Administration.
(2) (b) The Interfund billing process is a highly automated billing process that allows sellers to reimburse themselves from appropriations designated by the buyer at the time of billing.
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13. ADC 1043 SLOA Edits Highlights
Procedures, Transactions, Data Elements, Processing Details in Use Today:
(2) (c) In the current environment, the appropriation chargeable for MILS/DLMS Interfund logistics transaction is derived from database tables managed by Component-assigned Fund Code Monitors and maintained in the DLA Transaction Services [DAAS] authoritative data source fund code tables. These tables use the bill-to DoDAAC, signal code, and fund code, which are carried in both legacy 80 record position MILS logistics and financial transactions and in variable length DLMS transactions.
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14. ADC 1043 SLOA Edits Highlights
Procedures, Transactions, Data Elements, Processing Details in Use Today:
(c) continued.
Using the service/agency code, which is the first position of the bill-to DoDAAC, the signal code, and the fund code, the Fund Code to Fund Account Conversion Table provides the concatenated department code (2 digits), fiscal year chargeable (1 digit), basic appropriation (4 digits) and limit/subhead (4 digits).
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15. ADC 1043 SLOA Edits Highlights
Procedures, Transactions, Data Elements, Processing Details in Use Today:
(c) continued.
The fiscal year chargeable may be the last digit of the fiscal year or may contain the symbol “#” to denote that the fiscal year chargeable is the fiscal year of the requisition ordinal date, the symbol “*” to denote the fiscal year of the billing date, or the symbol “X” to denote no-year funding. A separate table, the Fund Code to Billed DoDAAC Conversion Table, provides the billed DoDAAC to support third party billing when needed. A third table identifies Service/Agency Code H series DoDAACs authorized to use Interfund billing.
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16. ADC 1043 SLOA Edits
Procedures, Transactions, Data Elements, Processing Details in Use Today:
(2) (d) Interfund detail billing records are grouped together by sellers according to the buyer’s fund code in the Summary Billing Record, and are transmitted together via the DLMS 810L Logistics Bill (or equivalent legacy transactions) to seller and buyer Central Accounts Offices (CAO). For bills that pass DLA Logistics Management Standards Office prescribed Defense Automatic Addressing System (DAAS) edits, the seller CAO is authorized to report summary level funds transfer for seller reimbursement and buyer disbursement to Treasury (currently at the end of the month).
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17. ADC 1043 SLOA Edits
Procedures, Transactions, Data Elements, Processing Details in Use Today:
(d) continued.
No detail bills are sent to Treasury. This is a self-balancing process. The buyer’s CAO is responsible for Interfund bill clearance, ensuring that buyer disbursements are correctly reported. For the buyer, the bill is both a bill and a notice of funds withdrawn (payment) from his account. The buyer must accept a billing and may seek adjustment from the seller if needed. While buyer CAOs may adjust the disbursement side of the seller reported Interfund transactions, neither buyers nor their CAOs can adjust, either directly or indirectly, the reimbursement side of the Interfund transactions reported by seller CAOs.
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18. ADC 1043 SLOA Edits Highlights
Logistics Transactions Requiring SLOA Data. Add additional SLOA data elements to DLMS transactions as shown in Enclosure 3.
Upon completion of the SFIS Fund Code to Fund Account Conversion Table, DAAS will edit the fund code in the transaction to the discrete SLOA data elements in the transaction for transactions included in 4.d.(2) below.
If no discrete SLOA data is present, DAAS will map available SLOA data from the SFIS Fund Code to Fund Account Conversion Table to discrete SLOA data fields in the transaction.
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19. ADC 1043 SLOA Edits Highlights
If discrete values for the SLOA data elements in the transaction do not match data elements from the SFIS Fund Code to Fund Account Conversion Table for the Fund Code in the transaction, the transaction will be rejected with newly designated Status Code CF, (see paragraph 4.e.(9)(14) of this ADC).
Revise DLM , Volume 4, Chapter 6 to add a check for matching SLOA data between the transaction and the SFIS Fund Code to Fund Account Conversion Table:
C Bill Editing
C DAAS shall edit and reject any bill that fails any of the following edits:
C Discrete values for the Standard Line of Accounting[1] data elements in the 810L logistics bill match data elements from the SFIS Fund Code to Fund Account Conversion Table for the Fund Code in the 810L
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20. ADC 1043A SLOA Edits Highlights
Establish new Reject Advice Code BU, for use on the DLMS 824R Reject Advice to provide notification of rejection of the DLMS 810L, 856S, 867I, or 940R containing discrete SLOA elements not matching the SFIS Fund Code to Fund Account Conversion Table for the Fund Code cited in the transaction.
DAAS edits (prescribed by ADC 1043) for comparing the beginning period of availability and ending period of availability values in the transaction to corresponding values on the SFIS Fund Code to Fund Account Conversion Table will not result in rejection when either of these fields contain a value in the transaction but the corresponding field in the SFIS Fund Code to Fund Account Conversion Table is null (blank).
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21. ADC 1043E SLOA Edits Highlights
Requested Change in Detail:
(1) Component supply systems must validate fund codes against the Transaction Services* SFIS Fund Code to Fund Account Conversion Table data for inbound and outbound transactions as specified below in 4.d.(2)(a). Components sponsoring applications that support ordering outside the originating Component’s supply system must incorporate an edit for valid fund codes using the Transaction Services* SFIS Fund Code to Fund Account Conversion Table data. This validation of the fund code must occur prior to acceptance of the order for further processing. Implementation is a significant risk mitigation approach to avoid rejection at DAAS.
* DAAS
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22. ADC 1043E SLOA Edits Highlights
Requested Change in Detail:
(2) Transaction Services* will apply a DAAS fund code edit to transactions with a financial implication identified below where the signal code is A, B, C, J, K, or L to validate that the fund code exists on the SFIS Fund Code to Fund Account Conversion Table. Transaction Services [DAAS] will reject invalid transactions with a financial implication as identified in ADC 1043 (Reference 3.b.) with exceptions for image and post-post scenarios, as noted below…[see ADC]
* DAAS
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23. ADC 1043E SLOA Edits Highlights
Not applicable to transactions other than those identified.
Not applicable to other signal codes (e.g. D or M for free issue).
Not applicable to Service Codes which are not on FCA ( e.g. Federal Agencies, Army FMS (S/A =B), etc.).
Not applicable when Interfund billing is not authorized (e. g. most service code H DoDAACs). Note contractor DoDAACs should not be billed via Interfund, but do not reject transaction under Status Code CF.
Not applicable when BEGINNING and ENDING POA are blank on the FCA (e.g. FY indicator = # (as BEG & END POA are computed from the Julian date of the transaction) or fund code indicates non-Interfund billing (e.g. XP, etc.)).
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24. ADC 1043 Known Issues
FMS requistions do not initially contain a fund code or signal code. How do we exclude them? PDC needed. EBSO/DSCA.
FMS orders for Building Partner Capacity cases incorrectly cite the FMS trust fund, vice the correct appropriation. Non- complaint with SLOA.
Clarification needed on post-post issue transaction logic. PDC. EBSO.

25. ADC 1043 Known Issues
Some rejected transactions contained fund codes which were not on the FCA. Component action.
Some single character fund codes remain. Component action.
Some Component systems not ready to receive CF and BU status rejections.
Lower case letters.

26. ADC 1043 Known Issues
Some signal code C/L transactions did not contain fund codes. If intended to bill to default LOA, use fund code. If intended for non- intefund billing, need new fund code other than XP, which is reserved for EMALL/FEDMAL credit card billing. Component action.
Edits did not initially function as intended. Correct known logic issues and component issues, then retest. Components, DAAS, EBSO.
RELATED ISSUE. Some confusion exists regarding BK status when errant SLOA data is removed from Supply Status Transactions (PDC 1288, separate EBSO presentation)

27. Web Fund Code Changes
Synchronize the Fund Code to Fund Account Conversion Table (FCA) for Signal Codes C & L with the Fund Code to Billed DoDAAC Table (FCB).
If add or delete to FCA, then add or delete for FCB
If add or delete to FCB, then add or delete to FCA
Only applicable to Service codes on FCA (e.g. excludes federal agencies)
Validate that LOA is contained within the OUSD(C) SLOA Master Account File (MAF)
When a DoDAAD Central Service Point deletes a DoDAAC that is on the FCB table, => initiate notice to Fund Code Monitor
Fund Code Monitor must either delete the Fund Code or update to valid DoDAAC.

28. Way Ahead
EBSO/DSCA
PDC to address FMS requisitions received from countries
EBSO clarify post-post issue transaction logic
There is a code in the beginning segment.  Look for DLMS 511R beginning segment (1/BR02/020 Code A0 or BM) with Action Code J.
COA/C01 is the DLA version of post-post.
Army version in production and others could implement as needed.
So better to use the DLMS code if possible.
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29. Way Ahead
Components
Implement ADC 1043 SLOA edits in all offline ordering processes (mostly DLA)
Implement status code CF and BU reject logic in component systems, so that rejects do not “fall on the floor” or go to the “dead letter file”
Correct known ADC 1043 SLOA reject issues; advise FPRC Chair
Explore system-to-system fund code table synchronization with DAAS
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30. Way Ahead
DAAS
Retest ADC 1043 SLOA reject logic using past failed transactions; advise FPRC Chair
Synchronize the Fund Code to Fund Account Conversion Table (FCA) for Signal Codes C & L with the Fund Code to Billed DoDAAC Table (FCB).
Only applicable to Service codes on FCA (e.g. excludes federal agencies)
Validate that LOA is contained within the OUSD(C) SLOA Master Account File (MAF)
When DoDAAD Central Service Point deletes a DoDAAC that is on the FCB table initiate notice to Fund Code Monitor. Fund Code Monitor must either delete the Fund Code or update to valid DoDAAC.
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31. Questions?
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The web application used by Component Fund Code Monitors allows changes to fund codes in near real time. The application facilitates legacy and future processing, providing key SFIS/SLOA data elements needed for billing and Treasury reporting.
The application also improves financial process, facilitates additional edits to improve data accuracy and enhance audit readiness. The system supports future effective dates, so changes can be added into the database that will not go into effect until a certain date is reached. This is particularly useful at the start of a new fiscal year.
The fund code database is available for system-to-system synchronization, replacing the need to updates to the users of the data.

32. Back-up
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The web application used by Component Fund Code Monitors allows changes to fund codes in near real time. The application facilitates legacy and future processing, providing key SFIS/SLOA data elements needed for billing and Treasury reporting.
The application also improves financial process, facilitates additional edits to improve data accuracy and enhance audit readiness. The system supports future effective dates, so changes can be added into the database that will not go into effect until a certain date is reached. This is particularly useful at the start of a new fiscal year.
The fund code database is available for system-to-system synchronization, replacing the need to updates to the users of the data.

33. Service/Agency & Fund Code
Navy is unique in breaking out all their fund codes by Service/Agency vice grouping
On FCB, Army separate FMS from their other Service/Agency group
Grouping of fund codes introduces potential or significant error, particularly for Foreign Military Sales
Any change in service code grouping would require a DLMS change
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