Financial Management Modernization Initiative (FMMI)

1. Financial Management Modernization Initiative (FMMI) APHIS Master Data Discussion July 2010

2. 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

3. Master Data ElementsApplication 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.

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 4

5. Master Data ElementsFund • 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).

6. Fund Structure • 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 5 - 10) – 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 6

7. Master Data ElementsCost 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.

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. APPQ810924 = PPQ (Farm bill example) APVS966136 = VS (AHMS example) Cost Center Structure 8

9. Master Data ElementsWBS 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.

10. WBS Structure For all WBS • Full String Level 1 • AP. RA.EPPS • Positions 1-3: AP. = APHIS • Positions 3-5: RA. 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.

11. 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.

12. WBS Structure - ExampleEmerging Plant Pests ALB – Expense Projects Funded Program = WBS Level 1 WBS Level 2 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.

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…) 13