1. Fund Economy Act Goods or Services
SECTION I. ADMINISTRATIVE DATA
All Course Masters/POIs Including This Lesson: NA
Task(s) Taught(*) or Supported: NA
Reinforced Task(s): NA
Knowledge: NA
Skill: NA
Administrative/ Academic Hours: 50 mins
Instructor Action Hours: 60 mins
Test Lesson(s): NA
Prerequisite Lesson(s): NA
Training Material Classification: Security Level: This course/lesson will present information that has a Security Classification of: U - Unclassified.
Foreign Disclosure Restrictions: FD1. This training product has been reviewed by the training developers in coordination with the FMB/SSI/Fort
Jackson, SC foreign disclosure officer. This training product can be used to instruct international military
students from all approved countries without restrictions.
References: FM 1-06: Financial Management Operations.
Student Study Assignment: All students must review training schedule and scan for all reading assignments and all regulations in advance.
Instructor Requirements: Facilitator must review lesson plan material and associated multi-media one day prior to the actual date of instruction.
Facilitator should be prepared to add relevant experience to assist in learning.
Support Personnel Requirements: Assistant Instructors: All lesson plans material must be reviewed one day prior instruction. Assistant Instructors will
be alert to the needs of the learners and assist as necessary. Must be prepared to take over class in the event of an
interruption or emergency.
Additional Support Personnel Requirements: None
Equipment Required for Instruction: Standard FMS Classroom Equipment
Materials Required:
Instructor Materials:
Each primary instructor should possess a lesson plan, slide deck, course handouts, and practical exercise, All required
references and technical manuals will be provided by the Schoolhouse.
Student Materials:
Students should possess standard classroom supplies, course handouts, practical exercises,. all required references
and technical manuals will be provided by the Schoolhouse.
Classroom, Training Area, and Range Requirements: Classroom, Multipurpose, 1200 Square Feet, 30 Students
Ammunition Requirements: None
Instructional Guidance/ Conduct of Lesson NOTE: Before presenting this lesson, instructors must thoroughly prepare by studying this
lesson and identified reference material.
Proponent Lesson Plan Approvals: Reid Bonig, Approver, 15 Jan 2019
Section II. Introduction: Today we are going to discuss Funding Economy Act Goods and Services
Method of Instruction: Conference/Discussion
Instructor to Student Ratio: 1:16
Time of Instruction: 5 mins
Media: Small or Large Group Instruction
Method of Instruction: Discussion (Small or Large Group)
Mode of Delivery: Resident Instruction
Instr Type (I:S Ratio): Military - ICH (1:25) (Every instructor must meet the qualification standards
established in AR 350-1, AR ,TR , TR and the proponent school instructor certification program.)
Time of Instruction: 5 mins

2. TERMINAL LEARNING OBJECTIVE
Action: Fund Economy Act Goods or Services
Conditions: FM Leaders in a classroom environment using doctrinal and administrative publications, self-study exercises, personal experiences, practical exercises, handouts, and discussion
Standards: With at least 80% accuracy, students must demonstrate proficiency during the following learning activities:
Define the Economy Act; Identify the methods for funding Economy Act Orders: (Direct Charge MIPR; Reimbursable MIPR; Work Break Down Structure Direct Charge); Perform a MIPR PR in GFEBS
Show Slide #2: Terminal Learning Objective
Action: Fund Economy Act Goods or Services
Conditions: FM Leaders in a classroom environment using doctrinal and administrative publications, self-study exercises, personal experiences, practical exercises, handouts, and discussion
Standards: With at least 80% accuracy, students must demonstrate proficiency during the following learning activities:
Define the Economy Act; Identify the methods for funding Economy Act Orders: (Direct Charge MIPR; Reimbursable MIPR; Work Break Down Structure Direct Charge); Perform a MIPR PR in GFEBS
Facilitator’s Note: Throughout this lesson, solicit from learners the challenges they experienced in the current operational environment (OE) and what they did to resolve them. Encourage learners to apply at least 1 of the 8 critical variables: physical environment, political stability of the state, sociological demographics, infrastructure, military capabilities, information, time, and economics.
Safety Requirements: In a training environment, leaders must perform a risk assessment in accordance with DA PAM , Risk Management. Leaders will complete a DD Form 2977 DELIBERATE RISK ASSESSMENT WORKSHEET during the planning and completion of each task and sub-task by assessing mission, enemy, terrain and weather, troops and support available-time available and civil considerations (METT-TC). Local policies and procedures must be followed during times of increased heat category in order to avoid heat related injury. Consider the work/rest cycles and water replacement guidelines IAW TRADOC Regulation
Risk Assessment Level: Low - Electrical Shock, Fire, Slippery Floors, Physical Injure/Strain, Tripping Tight
Spaces in Classroom, and Influenza Assessment: Low Controls: Primary Facilitator (PF) will ensure: All electrical cords are properly stored under desks, liquid containers have lids on them and all spills are immediately cleaned and mopped and allowed to completely dry before allowing learners/personnel to walk on them. All chairs are ergonomically designed, adjust to individual preference and that all learners are awake and paying attention in class. All cables/cords are properly plugged in, sheathed, and secured along tables, walls, and ceilings. No damaged or frayed cords/cables will be used. PI will brief proper hand washing techniques, the use of hand sanitizer, and evacuation procedures. All trash will be removed daily. Leader Actions: Detailed in-brief covering all aspects of safety to include daily classroom inspections, spills cleaned immediately, emergency exit plans, leader checks, hygiene procedures, and weekly safety briefings.
Environmental Considerations: NOTE: Instructor should conduct a risk assessment to include environmental considerations IAW the current environmental considerations publication, and ensure students are briefed on hazards and control measures. Environmental protection is not just the law but the right thing to do. It is a continual process and starts with deliberate planning. Always be alert to ways to protect our environment during training and missions. In doing so, you will contribute to the sustainment of our training resources while protecting people and the environment from harmful effects. Refer to ATP Environmental Considerations and GTA ENVIRONMENTAL-RELATED RISK ASSESSMENT.
Evaluation: Learners will take the S8 Exam during the ______ module . Learners must score 80% or higher and International officers must score 70% or higher. Also, Learners will be assessed using “Go” or “No Go” on their knowledge and execution of S8 activities during the Capstone Exercise.
Instructional Lead-In: It is imperative to have the base knowledge of what an S8 does before arriving to the position. Having a solid understanding will allow you hit the ground running on day 1, building relationships and supporting the Commander’s requirements. In this class, I will provide you as Financial Management Officers a basic understanding of the role the S8 provides to the Brigade level unit’s organization, operations and training mission.

3. Military Intradepartmental Purchase Order (MIPR) thru DLA Troop Support Program
What is it?: A DLA program, which serves as alternate procurement vehicle for variety of purchases (tents, commo equipment, weapon racks, fork lifts, parachute liners, ECUs, etc.). Funded through GFEBS.
Who in my formation works with it?: BN/BDE S4s have ordering accounts and BDE S8 serves as FOPOC (Finance Office Point of Contract).
Why should I care about it?:
Gives ability to procure items not available through Army’s usual supply channels
Streamlines contracting, which is easy to fund and execute
NSNs items often available faster than through GCSS-Army
How can I leverage it?:
Another way to execute funding and support the mission
S DLA Unit S DLA DLA/Unit
Request Quote
DLA obtains quotes from 6 primary DLA vendors
Lowest bid confirmed by unit
S8 funds MIPR and forwards to DLA
DLA accepts MIPR
Delivery
Show Slide #3:
Instructor's Note: Remind students about situations as an S8 that you would utilize a MIPR.
What is it: DLA’s Special Operational Equipment (SOE) Tailored Logistic Support Program (TLSP) has been designed by the Construction and Equipment Directorate of the DLA Troop Support to provide responsive, high quality products at fair and reasonable prices. This is accomplished by promoting competition between qualified vendors for commercial items. All MIPR are funded through GFEBS. Scope includes:
Survival Gear and Equipment Kits
Tactical Equipment
Personal Protection Equipment
Protective Eyewear and Vision Enhancing Equipment
Thermal Protection Equipment
Communication Devices (such as walkie-talkies, two-way radios, etc.)
Compressors and Air Purification Systems
Lifesaving/Search and Rescue Equipment
Air Crew Support and Flight Deck Safety Items
Protective Gear, Miscellaneous Apparel, Clothing and Textiles
Load Carrying Equipment (vests, backpack systems, trunk lockers, etc.)
Lethality Support Items (slings, holsters, straps, fasteners, reflective belts, etc.)
Who owns it: Unit BN/BDE S4s may have multiple ordering accounts setup with the DLA TLS program. Once registration file is submitted to DLA (15min) they will respond within 24-48hr assigning an account to a specific individual. BDE S8 serves as the Finance Office Point of Contract (FOPOC) for all BDE orders and funds all MIPRs. Once registration is complete, unit may immediately begin using the TLS program and request quotes for variety of items they may require.
Why should I care about this: TLS program is an excellent way to procure things that are not available through the normal supply channels. There is no need to create a contract, which is a very lengthy process… Bids are done by DLA and customers receives quotes within weeks. Through this program, you may get what you need faster than through GCSS-Army.
How can I leverage it: MIPR through DLA TLS program gives unit another way to execute funding and obtain needed items.
Smart Art: This outlines the basic process of completing a MIPR through DLA after registration is complete. The first 5 steps could be completed under 3 weeks. The final step will depend on availability of product from the vendor. Special rules apply to tents and related equipment as these orders do not have to go through the bidding process. Once unit has a quote from one of the DLA’s 6 prime vendors, S8 may fund it and S4 may the MIPR to DLA for acceptance and execution.
Registrations should be ed to
Orders should be ed to
1 day weeks day days weeks months
* Tents and related equipment does not require bidding by all 6 vendors. MIPR may be funded and sent to DLA based on a quote obtained directly from one of the vendors.
Prepared by CPT Vitaliy Plokhovskyy (VP), (910) ,
As of 10 FEB 2017

4. The Economy Act
31 USC§ 1535
The Act permits the head of an agency to place an order for goods or services with another agency, or with a major organizational unit within the same agency.
Statutory Provisions
Applicability
Actual Costs
Obligation of Funds
Compliance with CICA
Show Slide #4:
Instructor's Note:
The Economy Act.
General. The Economy Act provides authority for federal agencies to order goods and services from other federal agencies, and to pay the actual costs of those goods and services. Congress passed the Act in 1932 to obtain economies of scale and eliminate overlapping activities of the federal government.
Statutory Provisions. 31 USC§ 1535.
The Act permits the head of an agency to place an order for goods or services with another agency, or with a major organizational unit within the same agency, if
Funds are available;
The head of the agency decides the order is in the best interests of the government;
The agency or unit filling the order can provide or get the contract for the goods or services.
The head of the agency decides that the ordered goods or services cannot be provided as conveniently or cheaply by a commercial enterprise. 31 USC§1535(a). See USA Info. Sys., Inc., and Dataware Techs., Inc. v. Government Printing Office, GSBCA Nos P, P, 96-2 BCA ¶ 28,315; Dictaphone Corp., B , Nov. 25, 1992, 92-2 CPD ¶ 380.
Applicability.
Economy Act acquisitions include orders placed between military departments. See FAR (defining executive agencies to include military departments).
Show Slide 21

5. FAR Requirements Determination & Finding (D&F) Requirement:
Interagency acquisitions are in the best interest of the government
The acquisition will be made under an existing contract
The performing agency has the capability/expertise to contract
The performing agency is authorized to purchase
The requesting agency's contracting officer must approve the D&F
Show Slide #5:
Instructor's Note:
FAR Requirements. FAR Subpart 17.5; Federal Acquisition Streamlining Act of 1994, Pub. L. No , § 1074, 108 Stat. 3243, 3271.
Determination & Finding (D&F) Requirement.
Interagency Economy Act orders must be supported by a D&F stating that:
Use of an interagency acquisition is in the best interest of the government; and
The supplies or services cannot be obtained as conveniently or economically by contracting directly with a private source. FAR (a).
Economy Act orders requiring contract action by the performing agency also must include a statement on the D&F that:
The acquisition will appropriately be made under an existing contract of the performing agency, entered into before placement of the order, to meet the requirements of the performing agency for the same or similar supplies or services;
The performing agency has the capability/expertise to contract for the supplies or services, which capability is not available within the requesting agency; or
The performing agency is specifically authorized by law or regulation to purchase such supplies or services on behalf of other agencies. FAR (b).
Army policy is that Economy Act D&Fs are not required for transactions within DoD. But see Memoranda, Deputy Assistant Secretary of the Army (Policy and Procurement), Subject: Military Interdepartmental Purchase Requests (MIPRs) (4 and 8 March 2002) (Appendices D & E) (providing guidance on offloading contracts). The Air Force addresses D&Fs only in the context of orders issued outside DoD. See AFFARS
Approval Authorities. FAR (c); DFAS-IN Reg. 37-1, para (A & B).
The requesting agency's contracting officer with authority to contract for the supplies or services to be ordered (or other person designated by the agency head) must approve the D&F.
The Senior Procurement Executive of the ordering agency must approve the D&F if the performing agency is not covered by the FAR
Show Slide 23
FAR Subpart 17.5
Federal Acquisition Streamlining Act of 1994
Pub. L. No , § 1074
108 Stat. 3243, 3271

6. Economy Act Factors
Unit is unable to get the required items in time or through normal channels
Cheaper or faster to get the good or service through another DOD organization
Requires support from another Federal organization, which is funded separately
Show Slide #6:
Instructor's Note: Some reasons for the use of Economy Act Orders are when the Unit is unable to get the required items in time or through normal channels. It is cheaper or faster to get the good or service through another DOD organization. The unit requires support from another Federal organization, which is funded separately.

7. FUNDING METHODS Direct Fund Cite WBS: Both organizations are on GFEBS
Direct Fund Cite (DFC) Military Interdepartmental Purchase Request (MIPR) The performing agency directly cites the sending organizations LOA on the resulting contract.
Reimbursable Military Interdepartmental Purchase Request (MIPR) : The performing agency obligates its own funds to fill the order or perform the service. Then DFAS reimburses the assisting/servicing agency using the requiring activity’s fund cites. The MIPR number is the source document number throughout the life of the acquisition.
Show Slide #7:
Instructor's Note: Three types of MIPRs funding methods exist. The most common is Direct Cite WBS because most organizations are on GFEBS. However, organizations such as DLA are not on GFEBS and therefore paper MIPRs will be used in the form of Direct Cite or Reimbursable MIPR.

8. DIRECT FUND CITE (MIPR)
Description:
Allows another activity to cite your accounting classification
Issuer commits funds upon issuance of MIPR
Required Documents:
DD Form 448, Military Interdepartmental Purchase Request (MIPR)
Show Slide #8:
Instructor's Note: some characteristics of the Direct Fund Cite MIPR are that they allow another activity to cite your accounting classification and the issuer commits funds upon issuance of MIPR

9. DIRECT FUND CITE (Cont.)
STAGES OF TRANSACTIONS
Buyer/Requestor
(MIPR Issuing Activity)
Seller/Performer
(MIPR Accepting Activity)
Commit Funds and Sends DD Form 448
Accepts DD Form 448
Receives DD448-2
Issues DD448-2
Uses Requestors LOA on Contract and Provides Good or Service
Show Slide #9:
Instructor's Note: Walk students through the Direct Fund Cite MIPR process shown on the slide.
Obligates Funds and Receive Goods or Service
Sends Contract to Requestor

10. DD FORM 448, MIPR Show Slide #10:
Instructor's Note: This is an example of DD448. You will see this later when we complete MIPR transactions.

11. DD FORM 448-2, Acceptance of MIPR
Show Slide #11:
Instructor's Note: This is an example of DD You will see this later when we complete MIPR transactions.

12. Reimbursable MIPR Show Slide #12:
STAGES OF TRANSACTIONS
ISSUER
FT BLISS
S41014
PERFORMER
FT STEWART
S12123
ORDERS
RECEIVED
AUTOMATIC
COMMIT
OBLIGATE
AE/E
DISBURSE
EARNED
REIMB
ADJUST O/R TO = E/R
COLLECTION
COMMITMENT
OBLIGATION
ACCRUE
EXPENSE
ADJUST COMM
& OBLIG TO
EQUAL AE/E
DISBURSEMENT 1 3 6 8 10
ISSUES
DD FORM 448
RECEIVES
ACCEPTED
COPY OF
DD FORM 448-2
EVIDENCE OF
SUPPORT RCVED
BILL
RECEIVED
RCVE/ACCEPT
DD FORM 448
COMPLETE
DD FORM 448-2
PROVIDE SPT
TO ACTIVITY
PROVIDE EVIDENCE
OF SUPPORT
BILL FT BLISS
FOR G/S 2 4 5 7 9
Show Slide #12:
Instructor's Note: Walk students through the Reimbursable MIPR process.

13. DIRECT FUND CITE (WBS) Direct Charge Authorization Form is used
Activity providing the good or service will create the WBS and Receiving activity will add its LOA and fund
Performing activity will create the PR and add to existing contract or start billing labor and supplies to the WBS
Show Slide #13:
Instructor's Note: For WBS economy act orders a direct Charge Authorization Form is used with information about both units. Activity providing the good or service will create the WBS and Receiving activity will add its LOA and fund. The performing activity will create the PR and add to existing contract or start billing labor and supplies to the WBS

14. TED Battle Drill #22 Outbound Reimbursable MIPR
Perform an Outbound Reimbursable MIPR in GFEBS TED
GFEBS TED:
Utilize the “Outbound MIPR ME51N” in GFEBS Job Aids to complete this transaction
Reference GFEBS Battle Drill #22
Common Transaction: Defense Logistics Agency Purchases
Show Slide #14:
Instructor's Note: Follow the instructions on the slide to perform an Outbound Reimbursable MIPR in the GFEBS TED.

15. TERMINAL LEARNING OBJECTIVE
Action: Fund Economy Act Goods or Services
Conditions: FM Leaders in a classroom environment using doctrinal and administrative publications, self-study exercises, personal experiences, practical exercises, handouts, and discussion
Standards: With at least 80% accuracy, students must demonstrate proficiency during the following learning activities:
Define the Economy Act; Identify the methods for funding Economy Act Orders: (Direct Charge MIPR; Reimbursable MIPR; Work Break Down Structure Direct Charge); Perform a MIPR PR in GFEBS
Show Slide #15: Terminal Learning Objective
Action: Fund Economy Act Goods or Services
Conditions: FM Leaders in a classroom environment using doctrinal and administrative publications, self-study exercises, personal experiences, practical exercises, handouts, and discussion
Standards: With at least 80% accuracy, students must demonstrate proficiency during the following learning activities:
Define the Economy Act; Identify the methods for funding Economy Act Orders: (Direct Charge MIPR; Reimbursable MIPR; Work Break Down Structure Direct Charge); Perform a MIPR PR in GFEBS
Facilitator’s Note: Throughout this lesson, solicit from learners the challenges they experienced in the current operational environment (OE) and what they did to resolve them. Encourage learners to apply at least 1 of the 8 critical variables: physical environment, political stability of the state, sociological demographics, infrastructure, military capabilities, information, time, and economics.
Safety Requirements: In a training environment, leaders must perform a risk assessment in accordance with DA PAM , Risk Management. Leaders will complete a DD Form 2977 DELIBERATE RISK ASSESSMENT WORKSHEET during the planning and completion of each task and sub-task by assessing mission, enemy, terrain and weather, troops and support available-time available and civil considerations (METT-TC). Local policies and procedures must be followed during times of increased heat category in order to avoid heat related injury. Consider the work/rest cycles and water replacement guidelines IAW TRADOC Regulation
Risk Assessment Level: Low - Electrical Shock, Fire, Slippery Floors, Physical Injure/Strain, Tripping Tight
Spaces in Classroom, and Influenza Assessment: Low Controls: Primary Facilitator (PF) will ensure: All electrical cords are properly stored under desks, liquid containers have lids on them and all spills are immediately cleaned and mopped and allowed to completely dry before allowing learners/personnel to walk on them. All chairs are ergonomically designed, adjust to individual preference and that all learners are awake and paying attention in class. All cables/cords are properly plugged in, sheathed, and secured along tables, walls, and ceilings. No damaged or frayed cords/cables will be used. PI will brief proper hand washing techniques, the use of hand sanitizer, and evacuation procedures. All trash will be removed daily. Leader Actions: Detailed in-brief covering all aspects of safety to include daily classroom inspections, spills cleaned immediately, emergency exit plans, leader checks, hygiene procedures, and weekly safety briefings.
Environmental Considerations: NOTE: Instructor should conduct a risk assessment to include environmental considerations IAW the current environmental considerations publication, and ensure students are briefed on hazards and control measures. Environmental protection is not just the law but the right thing to do. It is a continual process and starts with deliberate planning. Always be alert to ways to protect our environment during training and missions. In doing so, you will contribute to the sustainment of our training resources while protecting people and the environment from harmful effects. Refer to ATP Environmental Considerations and GTA ENVIRONMENTAL-RELATED RISK ASSESSMENT.
Evaluation: Learners will take the S8 Exam during the ______ module . Learners must score 80% or higher and International officers must score 70% or higher. Also, Learners will be assessed using “Go” or “No Go” on their knowledge and execution of S8 activities during the Capstone Exercise.
Instructional Lead-In: It is imperative to have the base knowledge of what an S8 does before arriving to the position. Having a solid understanding will allow you hit the ground running on day 1, building relationships and supporting the Commander’s requirements. In this class, I will provide you as Financial Management Officers a basic understanding of the role the S8 provides to the Brigade level unit’s organization, operations and training mission.