Army Financial Statement Compliation and Publication PWS.pdf

Army Audited Financial Statements Compilation and Publication

Part 1 General Information

1. GENERAL: This is a non-personnel services contract to provide Army Audit Financial Statements Compilation and Publication Services. The Government shall not exercise any supervision or control over the contract service providers performing the services herein. Such contract service providers shall be accountable solely to the Contractor who, in turn is responsible to the Government.

1.1 Description of Services/Introduction: The contractor shall provide all personnel, equipment, supplies, facilities, transportation, tools, materials, supervision, and other items and non-personal services necessary to prepare and publish the Army’s General Fund, Working Capital Fund, and Civil Works Fund quarterly and annual Financial Statements as defined in this Performance Work Statement except as specified in Part 3 as government furnished property and services. The contractor shall perform to the standards in this contract.

1.2 Background: In compliance with the Chief Financial Officer (CFO) Act of 1990, the Army is one of the Federal entities required to submit audited financial statements. Financial statements are retrospective and must be prepared covering each calendar quarter. However the annual financial statement, prepared as of the end of each fiscal year, September 30, is meticulously compiled, published, and distributed within DoD, including to Congressional committees. The Army is now under audit. The Independent Public Accountant (IPA) firm reviews each quarter’s statements to ensure validity. In addition, there will be extra Congressional focus, and Government Accountability Office oversight. Auditors from many sources, such as the Department of Defense Office of the Inspector General (DoDIG), Government Accountability Office (GAO) and the Army Audit Agency (AAA) checking the Army’s progress and performing small audits from this point forward. The contractor performing this effort must be a Certified Independent Public Accountant Firm, and must be able to handle the complexity, volume, and agility needed to adjust plans to meet deadlines. The overarching nature of this work culminates with submitting the audited financial statements, but is based on a deep knowledge of the Army and DOD operations on which the accounting entries creating the statements are based.

The data needed for compiling the Army Financial Statements comes from financial systems, and manual and automated data call information which must be analyzed and verified within very compressed time schedules, mandated by the Office of the Under Secretary of Defense (Comptroller) and the Office of Management and Budget

(OMB).

1.3 Objectives: The objective is to obtain services for the compilation, submission, and publication of the Army’s audited financial statements from a Certified IPA. The contractor shall assist the Army in obtaining and entering the required data into the Defense Finance and Accounting Service (DFAS) or Office of the Secretary of Defense (OSD) system(s) as required for processing and publication (The Army will facilitate contractor access to financial and reporting systems). Additional tasks are for supporting the budget execution report process, monthly trial balance submission, financial data analysis and remediation of financial reporting issues found during audits.

1.4 Scope: The contractor shall be an IPA firm and utilize their knowledge according to assist the Army with compiling and publishing the Army Financial Statements. Services include providing expert advice regarding OMB and OSD Financial Statement requirements and with appropriate Standard general ledger account codes for transactions and analysis. Scope includes travel to DFAS-Indianapolis (Army General Fund) and DFAS-Columbus (Army Working Capital Fund) for approximately 5 days at the end of each calendar quarter to provide onsite advice and counsel to the Army concerning DFAS compilation and processing of financial statement data. The contractor shall be available approximately 12 hours a day for 14 consecutive days commencing with travel to the applicable DFAS Center for financial statement review. The purpose is to assist the Army in reviewing and approving the statements and statement footnotes and to answer Army management, DFAS, OSD, and OMB questions concerning the financial statements. Contractor will also assist the Army in preparing briefings on the financial statements as well as on other financial statement related deliberations and decisions. Scope includes the Army General Fund Financial Statements and the Army Working Capital Fund Financial Statements.

It also includes working with the U.S Army Corps of Engineers to create its annual Civil Works Financial Statements publication.

1.5 Reserved

1.6 General Information

1.6 .1 Quality Control: The contractor shall develop and maintain an effective quality control (QC) program to ensure services are performed in accordance with this PWS. The contractor shall develop and implement procedures to identify, prevent, and ensure non-recurrence of defective services. The contractor’s quality control program is the means by which their work complies with the requirements of the contract. As a minimum, the contractor shall develop quality control procedures that address the areas identified in Technical Exhibit 1, “Performance Requirements Summary” and provide it to the COR within 30 days of award. After acceptance of the quality control plan the contractor shall receive the contracting officer’s acceptance in writing of any proposed change to his QC system.

1.6.2 Quality Assurance: The Government shall evaluate the contractor’s performance under this contract in accordance with the Quality Assurance Surveillance Plan. This plan is primarily focused on what the Government shall do to ensure that the contractor has performed in accordance with the performance standards. It defines how the performance standards will be applied, the frequency of surveillance, and the minimum acceptable defect rate(s).

1.6.3. Reserved

1.6.4 Recognized Holidays: The contractor is not required to perform services on these days unless they fall within the fourteen (14) consecutive day period that begins with the day travel to DFAS-Indianapolis and DFAS-Columbus begins after the end of each calendar quarter.

Holidays:

New Year’s Day Labor Day Martin Luther King Jr.’s Birthday Columbus Day President’s Day Veteran’s Day Memorial Day Thanksgiving Day Independence Day Christmas Day

1.6.5 Hours of Operations/Place of Performance: The contractor is responsible for conducting business, between the hours of 8:00 AM and 5:00 PM EST Monday thru Friday except Federal holidays or when the Government facility is closed due to local or national emergencies, administrative closings, or similar Government directed facility closings. For other than firm fixed price contracts, the contractor will not be reimbursed when the government facility is closed for the above reasons. The Contractor must at all times maintain an adequate workforce for the uninterrupted performance of all tasks defined within this PWS when the Government facility is not closed for the above reasons. When hiring personnel, the Contractor shall keep in mind that the stability and continuity of the workforce are essential.

Up to four (4) contractor personnel can be assigned to work daily at DFAS-Indianapolis, and up to two (2) contractor personnel can be assigned to work daily at DFAS-Columbus. The remaining contractor personnel shall work at the Army Headquarters with the Army Financial Statement team, currently at 2521 South Clark St, Arlington, VA (Polk Building).

The contractor personnel shall be available 8:00 AM thru 8:00 PM EST for 14 consecutive days beginning with the travel day to DFAS-Indianapolis or DFAS-Columbus for compilation and review of quarterly financial statements.

For 5 of the 14 days contractor personnel will travel with Army personnel for concurrent reviews at DFAS- Indianapolis for general fund and DFAS-Columbus for working capital fund compilation and review of quarterly financial statements. Both teams will work the remaining 9 days finalizing the reports at their normal daily work location. The place of duty at Army Headquarters is with the Army Financial Statement team, currently at 2521 South Clark St, Arlington, VA (Polk Building) if sufficient facilities are available. If facilities are not available at the Polk Building, contractor personnel shall be available by telephone and e-mail during the hours listed above.

1.6.6 Security Requirements: At least one contractor employee for the General Fund Financial Statements and one contractor employee for the Working Capital Fund Financial Statements shall possess a secret security clearance upon award of contract. Other contractor employees shall be eligible for award of a secret security clearance and upon award of contract shall immediately begin processing for an interim secret security clearance.

AT Level I Training. This provision/contract text is for contractor employees with an area of performance within an Army controlled installation, facility or area. All contractor employees, to include subcontractor employees, requiring access Army installations, facilities and controlled access areas shall complete AT Level I awareness training within 30 calendar days after contract start date or effective date of incorporation of this requirement into the contract, whichever is applicable. The contractor shall submit certificates of completion for each affected contractor employee and subcontractor employee, to the COR or to the contracting officer, if a COR is not assigned, within 30 calendar days after completion of training by all employees and subcontractor personnel. AT level I awareness training is available at the following website: https://atlevel1.dtic.mil/at.

Access and General Protection/Security Policy and Procedures. This standard language text is for contractor employees with an area of performance within an Army controlled installation, facility or area. Contractor and all associated sub-contractors employees shall comply with applicable installation, facility and area commander installation/facility access and local security policies and procedures (provided by government representative). The contractor shall also provide all information required for background checks to meet installation access requirements to be accomplished by installation Provost Marshal Office, Director of Emergency Services or Security Office.

Contractor workforce shall comply with all personal identity verification requirements as directed by DOD, HQDA and/or local policy. In addition to the changes otherwise authorized by the changes clause of this contract, should the Force Protection Condition (FPCON) at any individual facility or installation change, the Government may require changes in contractor security matters or processes.

iWATCH Training. This standard language is for contractor employees with an area of performance within an Army controlled installation, facility or area. The contractor and all associated sub-contractors shall brief all employees on the local iWATCH program (training standards provided by the requiring activity ATO). This local developed training will be used to inform employees of the types of behavior to watch for and instruct employees to report suspicious activity to the COR. This training shall be completed within 30 calendar days of contract award and within 2013 calendar days of new employees commencing performance with the results reported to the COR NLT 30 calendar days after contract award. For Contracts that Require OPSEC Training. Per AR 530-1, Operations Security, new contractor employees shall complete Level I OPSEC training within 30 calendar days of their reporting for duty. All contractor employees shall complete annual OPSEC awareness training. Contractor Employees Who Require Access to Government Information Systems. All contractor employees with access to a government info system shall be registered in the ATCTS (Army Training Certification Tracking System) at commencement of services, and shall successfully complete the DOD Information Assurance Awareness prior to access to the IS and then annually thereafter.

For information assurance (IA)/information technology (IT) cortication. Per DoD8570.01-M, DFARS 252.239.7001 and AR 25-2, the contractor employees supporting IA/IT functions shall be appropriately certified upon contract award. The baseline certification as stipulated in DoD 8570.01-M shall be completed upon contract award.

1.6.6.1 Physical Security. The contractor shall be responsible for safeguarding all government property provided for contractor use. At the close of each work period government facilities, equipment, and materials shall be secured.

1.6.6.2 Key control. The contractor shall establish and implement methods of making sure all keys/key cards issued to the contractor by the Government are not lost or misplaced and are not used by unauthorized persons. No keys issued to the contractor by the Government shall be duplicated. The contractor shall develop procedures covering key control that shall be included in the Quality Control Plan. Such procedures shall include turn-in of any issued keys by personnel who no longer require access to locked areas. The contractor shall immediately report any occurrences of lost or duplicate keys/key cards to the Contracting Officer.

1.6.6.2.1 In the event keys, other than master keys, are lost or duplicated, the contractor shall, upon direction of the contracting Officer, re-key or replace the affected lock or locks; however, the Government, at its option, may replace the affected lock or locks or perform re-keying. When the replacement of locks or re-keying is performed by the Government, the total cost of rekeying or the replacement of the lock or locks shall be deducted from the monthly payment due the contractor. In the event a master key is lost or duplicated, all locks and keys for that system shall be replaced by the Government and the total cost deducted from the monthly payment due the contractor.

1.6.6.2.2 The contractor shall prohibit the use of Government issued keys/key cards by any persons other than the contractor’s employees. The contractor shall prohibit the opening of locked areas by contractor employees to permit entrance of persons other than contractor employees engaged in the performance of assigned work in those areas, or personnel authorized entrance by the Contracting Officer.

1.6.6.2.3 Lock Combinations. The contractor shall establish and implement methods of ensuring that all lock combinations are not revealed to unauthorized persons. The contractor shall ensure that lock combinations are changed when personnel having access to the combinations no longer have a need to know such combinations.

These procedures shall be included in the Contractor’s Quality Control Plan.

1.6.6.2.4 Conservation of Utilities. The contractor shall instruct employees in utilities conservation practices. The contractor shall be responsible for operating under conditions that preclude the waste of utilities.

1.6.7 Reserved

1.6.8 Personnel: Independent Public Accounting (IPA) Certification. The Prime Contractor shall be an IPA firm with the qualifications and experience to conduct financial statement audits on large, complex organizations equivalent to the Army and licensed by a recognized state board of accountancy to issue opinions on those financial statements. The Contractor shall notify the Contracting Officer (KO) immediately if, at any time during the contract, the Prime Contractor loses its authority to issue a financial statement audit opinion.

All contractor personnel (key and supporting staff) shall have a Bachelor’s degree in accounting or business related degree from an accredited institution of higher learning. All personnel shall have a basic understanding of federal government accounting. All personnel shall be capable of working independently. All personnel shall possess the ability to competently, legibly and articulately communicate in the English language.

Overall, the firm providing the contractor personnel shall have at least two year’s recent experience working with the requirements of the Chief Financial Officer (CFO) Act of 1990; the Federal Financial Management Improvement Act; Office of Management and Budget requirements for financial statements and financial systems, as well as the standards issued by the Federal Accounting Standards Advisory Board (FASAB). Its personnel shall have at least two years’ experience working with the United States Standard General Ledger (USSGL), the DoD Standard Chart of Accounts, and be able to demonstrate/identify how Army processes affect the general ledger accounts. The contractor personnel shall have at least one year’s recent experience researching the Department of Defense Financial Management Regulations (DoD FMR), and Treasury Financial Manual. This experience should be evidenced by prime contract and/or subcontracting actions covering this scope.

The contractor firm shall have a least one year’s recent experience working with the Army, Defense Finance and Accounting Service (DFAS), and Office of the Secretary of Defense (OSD) systems used to produce the Army Financial Statements. The contractor firm shall describe its knowledge and experience of the OSD Financial Improvement and Audit Readiness (FIAR) Plan and SFIS. The Government requires there be at least one person working on this contract that has at least three year’s documented experience with SAP Public Sector and Federal Accounting (Senior Accountant), including SAP financials (FI) and funds management (FM). The experience shall include the latest SAP environment (ECC 6.0). At least two of those years shall be experience with GFEBS, GCSS- Army, LMP, or other DOD system based on SAP. The SAP SMEs are the only exceptions to the financial Bachelor Degree requirements. The SAP SMEs (Senior Accountants/IT Specialist/EDP Consultant) can have a Bachelor’s degree in IT/Computer Science and/or an SAP certificate/certification/proof of experience in SAP FI /FM. The Government requires that at least one person working on the team have at least two years’ experience in Financial Forensics or Forensic Accounting (Senior Accountant). These experiences should be evidenced by contract/subcontracting actions covering this scope.

1.6.8.1 Key Personnel Qualifications.

Key personnel are considered vital to ensuring the success of the contracted action. Key personnel shall meet the Bachelor’s degree in accounting or business related degree qualifications in Section 1.6.8. Key personnel will likely supervise supporting contractor staff in section 1.6.8.2.

Key contractor personnel serving as the Subject Matter Expert (SME) leads (Senior Manager/Supervisory Senior Accountants) on the General Fund and Army Working Capital Fund teams shall possess a valid and current Certified Public Accountant (CPA) license issued by an accredited State Board of Accountancy, be familiar with or have experience in federal government auditing to include but not limited to Generally Accepted Government Auditing Standards (GAGAS), Statement of Federal Financial Accounting Standards (SFFAS), Office of Management and Budget (OMB) Circular A-11 and OMB Circular A-136. Possess related experience within the last three years with DOD audit readiness and DOD financial statement preparation. Details of all experiences shall be explicitly included in resumes and be verifiable.

For this action, five of the contractor personnel are considered key personnel;

Project Manager (Supervisory Senior/ Senior Manager) Subject Matter Expert (SME) Lead for the General Fund Financial Statements (Senior Accountant) SME Lead for the Working Capital Fund Financial Statements (Senior Accountant) Forensic Accountant (Senior Accountant) SAP Expert (Senior Accountant/EDP Consultant/IT Specialist).

The Project manager shall be on site at all times managing the efforts of the entire team. The Project manager shall have a CPA, bachelor’s degree and DOD or Army accounting experience gained in the last three years. Audit experience and PMP certification are preferred, but not required for this position.

The Government requires that the SME Lead accountant working full time on the Army General Fund Financial Statement (Senior Accountant) team and the SME Lead accountant working full time on the Army Working Capital Fund Financial Statement (Senior Accountant) team have a valid and current Certified Public Accountant (CPA) license issued by an accredited State Board of Accountancy. In addition, the Lead Army Working Capital Fund SME (Senior Accountant) shall have at least three years of specific experiences relative to working capital funds operations, accounting, and budget within the DOD.

The Forensic Accountant (Senior Accountant/Analyst) shall have Federal government experience and a tested certification such as CPA, Certified Fraud Examiner, (CFE), Certified Forensic Accountant (CFA), Certified Information Systems Auditor (CISA) or a Master’s Degree in Forensic Accounting.

The SAP Expert shall have at least three year’s documented experience with SAP Public Sector and Federal Accounting, including SAP financials (FI) and funds management (FM). The experience shall include the latest SAP environment (ECC 6.0). At least two of those years shall be experience with GFEBS, GCSS-Army, LMP, or other DOD system based on SAP. The SAP SME can have a Bachelor’s degree in IT/Computer Science and/or an SAP certificate/certification/proof of experience in SAP FI /FM.

1.6.8.2 Supporting Staff Qualifications. The supporting staff (Senior Accountants/Staff Accountants) are also integral to success of the effort. They support the key personnel in 1.6.8.1 and shall also have the Bachelor’s degree qualifications listed in Section 1.6.8. Supporting staff include staff accountants to support each SME lead, financial analysts, technical writers to produce the annual statement, and the financial statement publisher. The staff accountants (Senior Accountants) and financial analysts (Senior Accountants) that support the SME leads in section

1.6.8.1 shall demonstrate an ability to analyze complex accounting data and have at least one year experience compiling or analyzing Army, DOD, or federal government financial statements. The contractor will provide the technical writer(s) and professional publisher. The technical writer shall have at least 2 years’ experience in writing professional quality financial statements and documents and can have a degree in Technical Writing. Details of all experiences shall be explicitly included in resumes and be verifiable. Past published Army and DOD annual financial statements are available online.

1.6.9 Post Award Conference/Periodic Progress Meetings: The contractor agrees to attend any post award conference convened by the contracting activity or contract administration office in accordance with Federal Acquisition Regulation Subpart 42.5. The contracting officer, Contracting Officers Representative (COR), and other Government personnel, as appropriate, may meet periodically with the contractor to review the contractor’s performance. At these meetings the contracting officer will apprise the contractor of how the Government views the contractor’s performance and the contractor will apprise the Government of problems, if any, being experienced.

Appropriate action shall be taken to resolve outstanding issues. These meetings shall be at no additional cost to the Government.

1.6.10 COR: The COR monitors all technical aspects of the contract and assists in contract administration. The COR is authorized to perform the following functions: assure that the contractor performs the technical requirements of the contract; perform inspections necessary in connection with contract performance; issue written interpretations of technical requirements, including Government drawings, designs, specifications; monitor Contractor’s performance and notifies both the Contracting Officer and contractor of any deficiencies; coordinate availability of Government furnished property, and provide site entry of contractor personnel. A letter of designation issued to the COR, a copy of which is sent to the contractor, states the responsibilities and limitations of the COR, especially with regard to changes in cost or price estimates or changes in delivery dates. The COR is not authorized to change any of the terms and conditions of the resulting order.

1.6.11 Contract Manager: The contractor shall provide a contract manager who is responsible for the performance of the work. The name of this person and an alternate who shall act for the contractor when the manager is absent shall be designated in writing to the contracting officer. The contract manager or alternate shall have full authority to act for the contractor on all contract matters relating to daily operation of this contract.

1.6.12 Identification of Contractor Employees: All contract personnel attending meetings, answering Government telephones, and working in other situations where their contractor status is not obvious to third parties are required to identify themselves as such to avoid creating an impression in the minds of members of the public that they are Government officials. They shall also ensure that all documents or reports produced by contractors are suitably marked as contractor products or that contractor participation is appropriately disclosed. Contractor personnel will be required to wear a Government issued building pass while in Government buildings.

1.6.13 Contractor Travel: Contractor personnel will be required to travel within CONUS and to/within the NCR during the performance of this contract to attend meetings, workshops, and quarterly financial reviews. Contractor personnel will be authorized travel expenses consistent with the substantive provisions of the Joint Travel Regulation (JTR) and the limitation of funds specified in this contract. All travel requires Government approval/authorization and notification to the COR.

1.6.14 Other Direct Costs: This category includes travel (outlined in 1.6.13), reproduction, and shipping expenses associated with publishing the annual financial report.

1.6.15 Data Rights:

The Government’s rights in non-commercial technical data and software deliverables shall be governed by DFARS 252.227-7013 and DFARS 252.227-7014, respectively. The Government's rights in commercial technical data deliverables shall be governed by DFARS 252.227-7015. All non-commercial software deliverables shall be properly marked in accordance with the marking requirements set forth in DFARS 252.227-7014(f). Technical data and software deliverables with non-conforming restrictive markings shall be rejected and corrected by the Contractor at the Contractor's expense, in accordance with DFARS 252.227-7013(h)(2) and DFARS 252.227- 7014(h)(2) respectively. A current version of the Data Rights Assertion List governing all Prime and sub- Contractors shall be included in the Proposal.

The Government’s rights in commercial technical data shall be governed by DFARS 252.227-7015.

The Government shall not award this requirement unless the corresponding commercial software license agreements are reviewed and approved by the Contracting Officer. The Government shall not accept any commercial software license terms that conflict with federal procurement law or do not satisfy user needs. Commercial Software License terms that are unacceptable to the Government include (but are not limited to) indemnification provisions (and other types of provisions that include unauthorized or unbudgeted funding obligations), attorney's fees provision, state or foreign choice of law/jurisdiction provisions, binding arbitration provisions, and injunctive relief provisions.

1.6.16 Organizational Conflict of Interest: Contractor and subcontractor personnel performing work under this contract may receive, have access to or participate in the development of proprietary or source selection information (e.g., cost or pricing information, budget information or analyses, specifications or work statements, etc.) or perform evaluation services which may create a current or subsequent Organizational Conflict of Interests (OCI) as defined in FAR Subpart 9.5. The Contractor shall notify the Contracting Officer immediately whenever it becomes aware that such access or participation may result in any actual or potential OCI and shall promptly submit a plan to the Contracting Officer to avoid or mitigate any such OCI. The Contractor’s mitigation plan will be determined to be acceptable solely at the discretion of the Contracting Officer and in the event the Contracting Officer unilaterally determines that any such OCI cannot be satisfactorily avoided or mitigated, the Contracting Officer may effect other remedies as he or she deems necessary, including prohibiting the Contractor from participation in subsequent contracted requirements which may be affected by the OCI.

1.6.17 PHASE IN /PHASE OUT PERIOD: To minimize any decreases in productivity and to prevent possible negative impacts on additional services, the Contractor shall have personnel on board, during the forty five (45) day phase in/ phase out periods. During the phase in period, the Contractor shall become familiar with performance requirements in order to commence full performance of services on the contract start date.

Part 2 Definitions &Acronyms

Contracting Officer’s Representative (COR) – A representative from the requiring activity assigned by the Contracting Officer to perform surveillance and to act as liaison to the contractor.

Defective Service – A service output that does not meet the standard of performance associated with it in the Performance Work Statement. PWS – Performance Work Statement Quality Assurance – Those actions taken by the Government to assure services meet the requirements of the Performance Work Statement.

Quality Assurance Surveillance Plan (QASP) – An organized written document specifying the surveillance methodology to be used for surveillance of contractor performance.

Quality Control – Those actions taken by a contractor to control the performance of services so that they meet the requirements of the PWS.

AAA – Army Audit Agency ASA (FM&C) – Assistant Secretary of the Army (Financial Management and Comptroller) CCE – Contracting Center of Excellence COA – Chart of Accounts DASA(FIM) – Deputy Assistant Secretary of the Army (Financial Information Management) DASA(FO) - Deputy Assistant Secretary of the Army (Financial Operations) DCM – Data Collection Module DCMO – Deputy Chief Management Officer DDRS -B– Defense Departmental Reporting System- Budgetary DDRS -AFS– Defense Departmental Reporting System- Audited Financial Statements DFAS – Defense Finance and Accounting Service DOD – Department of Defense DoD SCOA – DOD Standard Chart of Accounts DoDIG – Department of Defense Inspector General EL – Environmental Liabilities ERPs – Enterprise Resource Planning Systems FFMIA – Federal Financial Management Improvement Act GAGAS – Generally Accepted Audit Standards GFE – Government Furnished Equipment GLAC – General Ledger Account GTAS – Governmentwide Treasury Account Symbol Adjusted Trial Balance System

I and OM&S – Inventory and Operating Materials and Supplies ICOFR – Internal Controls Over Financial Reporting JV – Journal Voucher ME – Military Equipment MD&A – Management Discussion and Analysis NFR – Notice of Findings and Recommendations OASA (FM&C) – Office of the Assistant Secretary of the Army (Financial Management and Comptroller) OUSD(C) – Office of the Under Secretary of Defense (Comptroller) OMB – Office of Management and Budget PMA – President’s Management Agenda SAP© FI – SAP© ERP Financial solutions SBA – Schedule of Budgetary Activity SFFAS - Statement of Federal Financial Accounting Standards SFIS – Standard Financial Information Structure SOF – Status of Funds TB – Trial Balance USD(C) – Under Secretary of Defense (Comptroller) USSGL – United States Standard General Ledger

Part 3 Government Furnished Property, Equipment, and Services

3.1 General: The Government shall provide the facilities, equipment, materials and/or services listed below.

3.2 Equipment: The Government will provide access to a computer, printer and telephone for at least seven (7) contractor personnel.

3.3 Utilities: All utilities in the facility will be available for the contractor’s use in performance of duties outlined in this PWS. The contractor shall instruct employees in utilities conservation practices. The contractor shall be responsible for operating under conditions that preclude the waste of utilities.

3.4 Facilities: The Government will furnish the necessary workspace for at least seven (7) contractor staff to include desk space, telephone, computer and other items necessary to maintain an office environment.

Part 4

Contractor Furnished Items and Services

4.1 General: Except for those items specifically stated to be Government furnished in Part 3, the contractor shall furnish everything required to perform this PWS.

4.2 Secret Clearance: At least one contractor employee for the General Fund Financial Statements and one contractor employee for the Working Capital Fund Financial Statements shall possess a secret security clearance upon award of contract. Other contractor employees shall be eligible for award of a secret security clearance and upon award of contract shall immediately begin processing for an interim secret security clearance. The contractor’s employees performing work in support of this contract shall have been granted a SECRET security clearance from the appropriate Federal Government agency.

Part 5 Specific Tasks

5.1 Basic Services: The contractor shall provide the following services (See CDRLs for a listing of all deliverables below):

5.1.1 Prepare, compile and publish the Army’s Civil Works Fund Annual Financial Report.

5.1.2 Prepare, compile and publish the Army General Fund (GF) and Army Working Capital Fund(AWCF) Annual Financial Report.

5.1.3 Jointly compile (with DFAS and stakeholders) and submit the quarterly Financial Statements, and footnotes.

5.1.4 Army GF and AWCF Financial Statements: The contractor will accomplish the following tasks which will be identified with an “A” for the annual financial statements prepared as of 30 September each year and a “Q” for the quarterly financial statements prepared at the end of the remaining 3 calendar quarters (31 December, 31 March, and 30 June):

5.1.4.1 – A - Produce an electronic Annual Financial Report Compilation Milestone Plan based upon past practices, as well as DFAS, OMB, and OSD guidance. This plan will be a living document that is updated as changes are made in the process until the Army forwards its annual financial statements to OSD.

5.1.4.2 – A & Q – Prepare, coordinate, and issue signed data call memorandums, receive and analyze data. Input data into appropriate DFAS or OSD system(s), currently DDRS and DCM. Currently data calls are used to collect data on the following subjects: internal use software, general property & equipment, real property, national defense equipment, heritage and stewardship assets, capital and operating leases, munitions quantities and valuation, litigation, torts, personal and civil claims, unrecorded liabilities, contingent liabilities, intra-governmental liabilities, actuarial liabilities, environmental liabilities, operating materials and supplies, other liabilities (intra-governmental and nonfederal), foreign military sales, prior period adjustments, investments in state and local governments, research and development investments, and deferred maintenance.

5.1.4.3 – Q - Prepare an after action report for the general fund and working capital fund of significant activities occurring during each quarter’s compilation process within two weeks after submitting the quarterly statements.

5.1.4.4 – A - Prepare a draft of the Management Discussion and Analysis (MD&A) section of the financial statements. Separate MD&As are prepared for each of the three (3) categories of financial statements: General Fund (GF), Working Capital Fund (WCF), and Civil Works (CW).

5.1.4.5 –A - Prepare a draft of the Secretary of the Army Letter, the Assistant Secretary of the Army (Financial Management and Comptroller) letter, and the Assistant Secretary of the Army (Civil Works) letter published with the Financial Statements.

5.1.4.6 – A - Review the Legal Representation Letter and the Management Representation Letter for the financial statements and provide suggested changes to comply with regulations and auditor requests.

5.1.4.7 – A & Q - Assist personnel in the office of the ASA(FM&C), DFAS, involved Army staff, and Army Commands in preparing the Required Supplementary Information and the Required Supplementary Stewardship Information.

5.1.4.8 – A - Coordinate with Army staff and Army Commands/Direct Reporting Units to obtain photographs, videos, and supplemental explanatory data and charts for the Management Discussion and Analysis (MD&A) section of the statements and performance measurement data for the performance measurement/President’s Management Agenda sections of the 3 sets of financial statements (General Fund, Working Capital Fund, and Civil Works)

5.1.4.9 - A and Q – Assist in preparing and accompany Army employees to all financial statement briefings and meetings; including the quarterly reviews at DFAS-Indianapolis and DFAS-Columbus.

5.1.4.10 – A & Q – In the 14 consecutive days timeframe after each calendar quarter, beginning with the day travel to DFAS-Indianapolis and DFAS-Columbus begins, assist the Government in researching and writing answers to questions from Army, DFAS, USD(C), AAA, DoDIG; and in preparing management briefings (Army and OSD) on the financial statements and footnotes . Assist in researching Action Items from the quarterly reviews.

5.1.4.11 – A – Submit five (5) theme proposals to the ASA(FMC). From the selected theme, develop three (3) layout options of the printed financial statements for selection and approval by the ASA (FM&C) and the US Army Corps of Engineers.

5.1.4.12 – A – Print and bind on high quality paper, in color, with glossy pages and photos, 250 copies of the financial statements; one book for Army General Fund and Army Working Capital Fund, and one book for Civil Works Fund. The contactor will also mail or deliver the copies in accordance with a Government approved mailing/distribution list. An additional 30 spiral bound copies of the Army General Fund and Army Working Capital Fund financial statements shall be provided to the Director, Financial Reporting within 2 weeks of submitting the printer’s proof to DODIG and the IPA (on or about November 15th). The contractor will also post a copy on the financial statements on the ASA (FMC) Website in accordance with OSD or the IPA’s agreed upon timelines.

5.2 Assist ASA(FMC) subject matter experts (SMEs) on financial statement issues relating to General Fund and Working Capital Fund Enterprise Resource Planning Systems, legacy systems, and operational systems having a financial statement impact (e.g. property systems and environmental systems).

5.3 Perform Accounting Data Analysis: The contactor shall assist ASA (FM&C), DFAS, involved Army staff, and other stakeholders monthly, to analyze the Army General Fund and Army Working Capital Fund accounting data from source documents, feeder systems, and transmit that data into the respective accounting systems and DoD consolidating financial statement system for the affected reporting period. The contractor will assist in identifying and analyzing the accounting aspects of business events, account fluctuations, account adjustments, and ratio analyses significant to monthly, quarterly, and fiscal yearend financial statements, financial statement footnotes, (including the SBA) and management questions concerning both. They will present monthly reports detailing results of the financial analysis that may require management attention. The contractor will provide support services to accomplish the following list of tasks, including but not limited to:

5.3.1 Abnormal Balances: Regularly run reports from the source system (ERP and DDRS) to monitor general ledger account codes (GLACs) which are in an abnormal position. Research any abnormal balances identified to determine the root causes. Make recommendations to ASA (FM&C) staff on the actions and time necessary to correct the abnormal balances, correcting as many as possible before the next reporting period. Track efforts to identify issues that reoccur, and report trend data.

5.3.2 Journal Vouchers: Review monthly and quarterly journal voucher packages prepared by DFAS (Indianapolis and Columbus) Departmental Reporting in DDRS-B and DDRS-AFS at dollar levels designated in the applicable Army DFAS MOU. The JVs the contractor reviews shall be provided (with any comments) to Army financial reporting staff not later than 1 day of receipt from DFAS, to allow Army approval, and reply back to DFAS within agreed upon timeframes. Identify errors, perform root cause analysis to modify or correct data of the affected period and assist the Army with corrections. In coordination with appropriate stakeholders, corrections shall be made before the next reporting period, barring unforeseen circumstances. Determine whether corrections to data within the source financial system are necessary to prevent having to prepare DDRS JVs. Identify errors and perform root cause analysis and assist the Army with corrections to determine why the JVs were needed to modify or correct data of the affected period. Provide recommendations to ASA (FM&C) staff on the actions necessary to correct source system data and prevent the need for the JVs and adjustments. Suggested corrections shall be proposed to ASA(FM&C) staff before the next reporting period, barring unforeseen circumstances.

5.3.3 Chart of Accounts: At least annually, review the most current guidance from Treasury and OSD(C) regarding the USSGL and DOD SCOA, respectively. Perform a comparison between the DOD SCOA and GFEBS’ Reporting COA and identify any additions or removals which shall be made to ensure the source systems’ compliance with the DOD SCOA. Perform a comparison between the USSGL and systems’ Reporting COA and identify any additions or removals which shall be made to ensure the systems’ compliance with the USSGL. Provide the listing of proposed changes to ASA (FM&C) staff. Perform a detailed analysis of the accounts, transaction types, and reports to which the accounts map. Ensure applicable job aids and SOPs are up to date. Identify financial reporting processes not covered by SOPs.

5.3.4 SFIS and GTAS Compliance: Review the most current guidance from the DCMO on SFIS requirements.

Review Army Trial Balances to ensure compliance with the SFIS and GTAS Guidance in effect. Assist Army in identifying corrections needed for compliance. Provide assistance and support as needed during any SFIS and GTAS related reviews or audits. Assist the Army in developing and executing a plan to comply with the OSD DCFO “balanced trial balance” requirement in the enterprise financial systems prior to submitting the trial balances to the Defense system (DDRS) for reporting.

5.3.5 Tie-point/GTAS Validation Support: Provide assistance and support as needed to review the GLAC mapping and formulas for tie-points and GTAS validations, and make recommendations to ASA (FM&C) staff on actions necessary to correct any tie-point imbalances in trial balance data. Corrections shall be proposed to ASA (FM&C) and DFAS staff before the next reporting period, barring unforeseen circumstances, in coordination with appropriate stakeholders (e.g. Army ERP PMOs, DASA FIM, DFAS).

5.3.6 Audit readiness and sustainment support: Provide assistance and support to the audit readiness teams as needed regarding areas impacting the financial reports. Support the Financial Reporting Directorate’s efforts in documenting action plans to address Notices of Findings and Recommendations (NFRs) received from auditors.

Work jointly with Financial Reporting Directorate to ensure that all processes involved with processing trial balances and data calls to produce auditable financial statements and schedules are fully documented (and kept current).

5.3.6.1 Internal Controls Over Financial Reporting (ICOFR) Material Weaknesses. Provide assistance and support to Financial Operations (FO), DFAS, and other stakeholders to correct ICOFR material weaknesses directly related to the financial reports. Assis the Army with responses to the Independent Public Accountant (IPA) for Notice of Findings and Recommendations (NFRS) related to financial reporting.

5.3.6.2 Field level financial reporting support: Assist Army financial reporting team with field level financial reporting oversight and review of financial data. This could include site visits to field locations identified as having systemic issues affecting the overall Army balances in financial reports and reconciliations.

5.4 Mock Year-end and Fiscal Year End closing activities. Participate in mock year end closing activities for both General Fund and Working Capital Fund to ensure issues affecting the quarterly and annual statements are identified and resolved prior to year-end. Year end close participation is required to ensure all general ledger accounts close properly, accruals are posted, and that adjustments needed are supported. Participate in developing corrective action plans for items not resolved prior to year-end.

5.5 Submit weekly and monthly status reports. Contract Data Requirements List and other deliverables are listed in the DD1423 forms.

5.5.1 Submit a weekly report not later than 9:00 AM the first work day of each work week. The report will contain a detailed list of activities/meetings conducted the previous week. Report will contain specifics concerning purpose, attendees, outcomes, alternatives considered, and follow on actions/meetings. The report will also contain activities/meetings occurring the current week and scheduled future meetings.

5.5.2 Submit a monthly report not later than the 14th workday of the month following the month being reported.

The report will contain detailed activities/meetings of the reported month. It will also include planned activities/meetings for the month following the reported month.

5.5.3 Submit significant event bullets for the ASA(FMC) weekly update in accordance with internally established requirements. Provide other status data as requested by Army leadership.

5.5.4 ACCOUNTING FOR CONTRACT SERVICES REQUIREMENT – ENTERPRISE-WIDE CONTRACTOR

MANPOWER REPORTING APPLICATION

The contractor shall report ALL contractor labor hours (including subcontractor labor hours) required for performance of services provided under this contract for the Army Financial Statements via a secure data collection site. The contractor is required to completely fill in all required data fields using the following web address:

http://www.ecmra.mil/, and then click on “Department of the Army CMRA” or the icon of the DoD organization that is receiving or benefitting from the contracted services. Reporting inputs will be for the labor executed during the period of performance during each Government fiscal year (FY), which runs October 1 through September 30.

While inputs may be reported any time during the FY, all data shall be reported no later than October 31 of each calendar year, beginning with 2013. Contractors may direct questions to the help desk by clicking on “Send an email” which is located under the Help Resources ribbon on the right side of the login page of the applicable Service/Component’s Contractor Manpower Reporting website.

Part 6 Applicable Publications

6.1 Publications applicable to this PWS are listed below. Knowledge of, and ability to apply information in publications is mandatory. All publications listed are available via the internet online at the internet address specified.

Public Laws available online at http://thomas.loc.gov Public Law 101-576, Chief Financial Officer Act of 1990 Public Law 103-62, Government Performance and Results Act of 1993 Public Law 103-356, Government Management Reform Act of 1994 Public Law 104-208, Federal Financial Management Improvement Act of 1996 Federal Accounting Standards Advisory Board Statements of Federal Financial Accounting Standards (SFFAS) and Statements of Federal Financial Accounting Concepts (SFFAC) available online at http://www.fasab.gov Department of Defense Financial Management Regulation, available online at http://www.dtic.mil/comptroller/fmr Office of Management and Budget (OMB) Bulletin 101-02, Audit Requirements for Federal Financial Statements, available online at http://www.whitehouse.gov/omb/financial/index/html Office of Management and Budget (OMB) Circular A-136, Financial Reporting Requirement, as amended, available online at http://whitehouse.gov/omb/circulars/index.htmlsh