ASN(FM&C) FMO “UPDATE ON TOPICS OF INTEREST” NAVY PAY/PERS CONFERENCE – JULY 2011

1. ASN(FM&C) FMO“UPDATE ON TOPICS OF INTEREST” NAVY PAY/PERS CONFERENCE – JULY 2011 Office of Financial Operations (FMO) Financial Services Division Pay and Disbursing Operations Branch Gene R. Guthrie Jr. DON PM For MilPay and Disbursing

2. TOPICS ASN(FM&C) FMO Mission, Vision, and Organization • Assistant Secretary of the Navy (Financial Management and Comptroller): http://www.finance.hq.navy.mil/fmc/ • Office of the Assistant Secretary of the Navy (Financial Management and Comptroller) Office of Financial Operations: http://www.fmo.navy.mil/ Navy Disbursing Accountability Data DJMS Timeliness and Out of Service Debt (OSD Charts) Barring Act Waivers DJMS CCB Process

3. ASN(FM&C) FINANCIAL MANAGEMENT OPERATIONS

4. ASN(FM&C) FMO “MISSION AND VISION” STATEMENTS

5. DISBURSING OFFICER ACCOUNTABILITY DATA (Jun 2011) The purpose of this slide is to provide selected data from the Navy Disbursing Officers monthly Statement of Accountability (SF-1219). A Disbursing Officer’s transactions are complicated, time consuming, and carry pecuniary liability.

6. Services’ Timeliness of Military Pay Field Level Transactions (excluding Central Site) % of All Transactions Processed in *30 days Current Goal 97% 30 Sep 11 * Note: These FIDs are measured by 60 days: 22 (Foreign Duty Pay), 49 (COLA-Prorated), 65 (FSA), PI (Missed Meal Refund), 14 (Hardship Duty Pay), DB (SGLI), SB (Leave), 35 (BAQ)

7. Timeliness of Military Pay Field Level Transactions For Navy (excluding Central Site) All Transactions Processed for Navy

8. Out of Service DebtDOD Military Pay FY 10 AVG=3,781 FY 11 AVG=3,897 FY 10 AVG=$10.0Mil FY 11 AVG=$9.4Mil NUMBER NEW DEBTORS (Active Component) Total $ Debt Per Month (Active Component) (In Millions) FY 10 AVG=5,781 FY 11 AVG=5,690 Total $ Debt Per Month (Reserve Component) FY 10 AVG=$7.1Mil FY 11 AVG=$7.5Mil NUMBER NEW DEBTORS (Reserve Component) (In Millions)

9. Out of Service DebtNAVY Military Pay FY 10 AVG=1,143 FY 11 AVG=1,084 FY 10 AVG=$2.3Mil FY 11 AVG=$2.1Mil NUMBER NEW DEBTORS (Navy Active Component) Total $ Debt Per Month (Navy Active Component) (In Millions) FY 10 AVG=$.45Mil FY 11 AVG=$.44Mil FY 10 AVG=474 FY 11 AVG=492 Total $ Debt Per Month (Navy Reserve Component) NUMBER NEW DEBTORS (Navy Reserve Component) (In Millions)

10. Out of Service Debt: Top 3 Validated Reasons(FYTD 2011 as of June 2011) % of Total (Dollars) Active Component Reserve Component Army Navy Army Navy Air Force Marine Corps Air Force Marine Corps AED Tuition Assistance BAH Basic allowance for housing BNS Bonus recoupment BSL Overpayment by base at separation FIT GPL Loss or damage of Government property NPT Payments received while in no pay status OPA Overpayment of Pay and Allowances OTS Miscellaneous payroll deductions ROT Reserve/Guard non-pay and allowances RLE Appellate review leave status RSA Paid Past Date of Separation RSG Non Performance RSH Bonus recoupment RSK Service member's Group Life Insurance

11. MyPay Participation RatesDoD Wide (as of Jun 2011) Change from prior month at top of bar 0.3% 0.1% 0.1% 0.4% 0.1% 0.6% 0.4% 1.1% 1.0% 0% 0.2% 0.1% **Total DoD does not include Retirees and Annuitants USMC RC statistics includes 57,000 IRR’s

12. BARRING ACT WAIVERS Statute of Limitations for Claims against the Government (Title 31, U.S. Code, Section 3702 and DoD Instruction 1340.21) http://www.fmo.navy.mil/services/military_pay.htm “Any person (claimant) may submit a claim who has a demand for money or property against the Government.” The claimant must submit a written claim that is signed, claim should include the claimant’s identifying information (address, telephone number, etc.), and state the reason why the Government owes the claimant that amount. The claimant must prove, by clear and convincing evidence, on the written record that the United States is liable to the claimant for the amount claimed. • Claims must be received within 6 years of the date the claim accrued (with some exceptions) or the claim is Barred (Barring Act). • Secretary of Defense may waive the time limitations (Barring Act Waiver) for claims involving uniformed service member’s pay, allowances, travel, transportation, payments for unused accrued leave, retired pay, and survivor benefits. Upon receipt of a valid claim, ASN(FM&C) FMO acts as liaison (“staffs the claim”) with the Office of the Assistant Secretary of the Navy (FM&C), the Defense Office of Hearings and Appeals (DOHA) and the submitting organization and/or claimant. • Most common claim is when a claimant finds an “old” Treasury Check and cannot cash it. • Other types include claims for deceased member’s final retiree check, “Eyes for the Navy” Inquiry, etc.

13. DJMS Configuration Change Board (CCB) Process IAW the DJMS Program Charter, the DJMS CCB is a voting body that evaluates, approves/disapproves, and prioritizes all proposed System Change Requests (SCRs) concerning DJMS-AC/RC. The CCB consists of the following members: • Chair, DFAS MPO Director (Tie Vote Only) • Service DFAS MPO Directors for USAF, Army, and Navy • Mil Department Representative (USAF FM, Army FM, and Navy FM) Path of a PP = DFAS OWG, CWG, and approval/disapproval by DJMS CCB DJMS-AC/RC SCRs are submitted via a Point Paper that explains the purpose of the proposed SCR, as well as the scope it will affect and the impact if it is not approved. The information included in the PP is an estimated number of members affected by the change, and a cost analysis of the number of hours involved to complete the process manually on an annual basis. Major emphasis on efficiencies and effectiveness. The CCB Convenes normally twice per year and most recent CCB items include: • ADD SLGI Coverage Amount to the LES • Mask Bank Info on LES