1. Fiscal Law Training for DTC Fund Certifiers

2. Fund Certification
Fund certification represents a statement by the certifying official that funds are available and proper for the use of the funds cited. It means that you are satisfied that:
There is evidence that the funds cited exist in the financial system and sufficient funding is available.
That the funds are proper relative to the appropriation being cited.
Certification authority cannot be delegated to a lower level.

3. Fund Certification (cont.)
DTC fund certifiers require the following:
Training in both Appropriation and Fiscal Law
Delegation of authority letter from the Commander/Director
Signature card on file with DFAS Rock Island
Fund certifiers are also responsible for the accuracy and integrity of accounting data cited on obligating documents/transactions

4. Fiscal law requires that all Federal expenditures are proper to:
Types of Violations
Fiscal law requires that all Federal expenditures are proper to:
Purpose
Time
Amount

5. Purpose Statute
Appropriations shall be applied only to the objects for which the appropriations were made except as otherwise provided by law.
The expenditure of an appropriation must be necessary and incident to the proper execution of the general purpose of the appropriation.
The expenditure must not be prohibited by law.
The expenditure must not be otherwise provided for; it must not fall within the scope of some other appropriation.
31 U.S.C. 1301(a), B (1954)

6. Necessary Expense Rule
An expenditure is permissible if is reasonably necessary in carrying out an authorized function or will contribute materially to the effective accomplishment of that function.
Expenditure bears a logical relationship to the appropriation charged.
Expenditure is not prohibited by law
Expenditure not covered by another appropriation, especially if there is a specific appropriation for that purpose

7. Necessary Expense Applications
Most common are general operating appropriations:
RDT&E and OMA
Examples include training, travel, postage, periodicals, meetings, maintenance and equipment

8. Food
“[F]ree food Normally cannot be justified as a ‘necessary expense’ under an appropriation since such expenses are considered personal expenses that government employees are expected to bear from their own salaries.”
72 Comp. Gen. 178

9. Food Exceptions Award Ceremonies Cultural Awareness Ceremonies Travel
Training
Conferences
Emergencies
Other exceptions
DoD DGC(Fiscal) memo dated 1 Sept 05

10. Food at Ceremonies Awards Cultural Awareness Ceremonies
Recipients are federal employees or military, publicly recognized and authorized official determines food materially advances recognition of recipient
Cultural Awareness Ceremonies
Food is intended to make audience aware of culture celebrated, is a sample of that culture’s food and portions do not constitute a meal.
5 U.S.C. 4501, B Jan. 15, 2004

11. Food at Training
Appropriated funds may be used to cover food costs that constitute a non-severable portion of the registration or attendance fee for a training program.
Costs are considered non-severable if billed as a part of the overall cost of the conference.
Food costs for training provided by the Government are considered severable.
If food costs are a severable part of the registration fee, appropriated funds are available only when necessary for the employee to obtain full benefit of the training
5 U.S.C. 4101, 10 U.S.C. 2013, 39 Comp Gen 119 (1959),
66 Comp Gen 350 (1987)

12. Food at Conferences Non-Federal Entity
DOD may pay or provide reimbursement for food purchased as a non-severable, non-negotiable portion of a registration or attendance fee.
If the food or meals is severable, then appropriated funds are available only to the extent:
The expenditure is necessary to obtain the full benefit of the meeting or conference
Meals and refreshments are incidental to the meeting or conference
The employee cannot take the meals elsewhere without missing formal discussions, lectures, or speeches that are an essential parts of the conference
5 U.S.C 4110, 64 Comp Gen 406 (1985)

13. Food at Conferences – Another Government Agency
DOD may pay for food for an employee if the criteria for “conferences sponsored by non-federal entities – severable fee,” are met and:
The meeting or conference involves matters of topical interest to multiple agencies and/or non-governmental participants.
5 U.S.C 4110; B , May 1980; B , Jan 2003

14. Food at Formal DOD Conferences
Food may be purchased at DOD Conferences if ALL these criteria are met:
The conference is a formal conference with registration, a published and substantive agenda and scheduled speakers,
The conference involves matters of topical interest to actual participants from multiple agencies and/or non-governmental participants,
Meals and refreshments are incidental to the overall purpose of the formal conference,
Attendance at the meal or when refreshments are provided is important to the host agency to ensure the attendees’ full participation in essential discussions and speeches concerning the purpose of the conference and,

15. Food at Formal DOD Conferences cont.
Food may be purchased only if:
The meal and refreshments are part of a formal conference that includes not just the meal and refreshments and discussions or speeches that may take place when the meal and refreshments are served, but also substantial sessions apart from those at which food is served.
5 U.S.C. 4110; B , Mar 2005

16. Food – Additional Notes
Although appropriated funds may be used to purchase food, a host agency may not charge an official registration or other fee from attendees to defray the costs of the conference, including the cost of that food.
To the extent that meals that are provided at Government expenses to travelers receiving per diem, the traveler must document receipt of that meal on his or her travel voucher.

17. Clothing
“ every employee of the Government is required to present himself for duty properly attired according to the requirements of his position.”
Appropriations are generally not available to pay for personal clothing “reasonably required as part of the usual and necessary equipment for the employee’s work”
63 Comp. Gen. 245, 246 (1984)
35 Comp Gen. 361 (1955)

18. Clothing Exceptions Official Civilian DOD Uniforms: 10 U.S.C. § 1593
Administrative Expenses Act: 5 U.S.C. § 7903
Special/unusual clothing
Item must be for the benefit of the Government, essential to the safe and successful accomplishment of the work, and not solely for the protection/comfort of employee
Must involve hazardous duty
OSHA Compliance: 29 U.S.C. § 668

19. Momentos, Promotional Items, Etc.
As a general rule, are considered improper because they are considered as “gifts”
Legitimate only:
As part of a documented, approved Awards program
Given to employees for exceptional service or achievement
Items of no intrinsic value designed solely to assist in achieving internal agency management objectives
Should be modest, promotional item, such as used for marketing purposes
Must show that it is a necessary expense

20. EMERINGING RESULTS
11/14/2018
AWARDS
5 U.S.C (Government Employee Incentive Awards Act) authorizes an agency to “pay a cash award to, and incur necessary expenses for the honorary recognition of, an employee “
10 U.S.C authorizes DoD to pay a cash award to, and incur necessary expenses for the honorary recognition of a member of the armed forces for disclosures, suggestions, inventions and scientific achievement.
10 U.S.C. 1125: Military awards for accomplishments. Does not include necessary expense language
EMERINGING RESULTS

21. Unit (Commander’s) Coins
Commander’s coins purchased with appropriated funds may only be awarded to soldiers and appropriated fund civilian employees.
Should be presented pursuant to a statutorily authorized awards program
May only be presented for those unique achievements that further the efficiency and effectiveness of the Army’s mission
Must be specifically authorized give coins
Official Representation Funds (ORF) should be used to purchase coins for distinguished citizens, military officers and gov’t officials of foreign countries or Prominent Federal (non-DoD), state and local gov’t officials
Cannot give coins to contractors
ATEC Reg , 3 Dec 2001

22. Time
An appropriation is available for obligation for a definite period of time. Agencies must obligate appropriations during this period of availability, or the authority to obligate expires.
Government agencies may not obligate funds prior to signature of the appropriation act and receipt of funds from OMB.
31 U.S.C. 1552, 31 U.S.C. 1341(a)(1)(B)

23. Types of Appropriations
RDTE
Funds R&D in all fields, to include the physical sciences and engineering.
Available for obligation for 2 years*
OMA
Includes operation and maintenance of all Army organizational equipment and facilities
Available for obligation for 1 year
Investment threshold limited to $250K or less
*Army RDTE limited to 15-month incremental funding

24. Appropriations- Cont. APA (Procurement)
Includes activities related to the procurement, production and modification of Army equipment assets.
Available for obligation for 3 years.
MCA
Includes acquisition, construction, installation and equipment of temporary or permanent public works, military installations and facilities for the Army
Available for obligation for five years.
Construction projects >$750K or $1.5M for health/safety issues must be financed thru MCA
Funds programmed in MACOM line; moved to COE line in year of execution

25. Appropriations – Cont. 97X Funds
This appropriation is for expenses of activities and agencies of DoD (other than military departments), necessary for basic and applied scientific research, development, test and evaluation; advanced research projects as may be designated and determined by the SecDef.

26. Management of the RDTE Appropriation
The government executes the Research, Development, Test and Evaluation program by incremental funding of contracts and other obligations.
The incremental funding policy budgets an amount for each fiscal year sufficient to cover the obligations expected during that fiscal year.

27. Bona Fide Needs Rule
Agencies may obligate appropriated funds only for properly incurred expenses of the period of availability of the appropriation. That is, the requirement must represent actual bona fide needs of the acquiring activity arising during the period of availability of the funds proposed to be used for the acquisition.
31 U.S.C (a)

28. Crossing Fiscal Years: Contracted Services
10 USC 2410a – funds available for a fiscal year may be obligated for the total amount of a contract for the procurement of severable services of the lease of real or personal property for a period that begins in one fiscal year and ends in the next if the contract period does not extend beyond one year

29. CONTINUING RESOLUTIONS
Legislation permitting operations in absence of an appropriation
Generally at current or lower rate
General provisions of prior year continue to apply
No new starts

30. What is a New Start? Not defined by statute FMR 060401.E –
“A program, subprogram, modification, project, or subproject not previously justified by the Department and funded by the Congress through the normal budget process is considered to be a new start.”
Typically, there are no “new starts” in the DTC institutional programs.

31. Amount Statute
An officer or employee may not make or authorize an obligation or expenditure that exceeds an amount available in an appropriation or fund.
An officer or employee may not involve the government in a contract or obligation for the payment of money before an appropriation is made unless authorized by law.
31 U.S.C. 1341(a)(1)(A) and (B)

32. EMERINGING RESULTS
11/14/2018
Anti-deficiency Act
Prohibits any officer or employee of the United States from making or authorizing:
Expenditure or obligation exceeding
an appropriation or fund
an apportionment or allocation
Obligating the Government before an appropriation is made unless authorized by law
Accepting voluntary services except in emergencies involving human life and property or specific statutory authority
Augmenting from other sources
(31 USC 1341, 1517, and 3302; 10 USC 1588)
EMERINGING RESULTS

33. Augmentation
An agency may not augment (increase) its appropriation from outside sources without specific statutory authority
An unauthorized transfer is an improper augmentation for the receiving appropriation
Charging a general appropriation when a specific appropriation is exhausted improperly augments the specific appropriation

34. Summary
DTC fund certifiers are responsible for availability and proper use of funds
Fiscal law requires that Federal expenditures are proper to:
Purpose
Time
Amount
Multiple appropriations available and executed within DTC
Different rules for each appropriation
Funds must be properly managed to prevent ADA violations
Seek assistance from Legal/JAG/HQ DTC when needed!!