Montana Bulletin MT250-8-3, FY2008 Obligation Review Documents and Procedures

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Montana Bulletin Number MT250-8-3 (48 KB)

February 25, 2008

Subject: FNM – FY2008 Obligation Review Documents and Procedures

To: Assistant State Conservationists for Field Operations (ASTC/FO)

Purpose. To send the documents selected for the FY 2008 Obligation Review and to outline procedures for completing the review to Assistant State Conservationists for Field Operations.

Expiration Date. September 30, 2008.

Action Required February 22, 2008, at 8:30 am – Participate in teleconference for clarification and questions. Call-in information will follow.

Action Required by March 21, 2008 – ASTC/FO will complete 20 percent of your obligation review documents and forward to Financial Management the Status Review, Initialed Obligation Spreadsheet, and List of Exceptions.

Action Required by April 7, 2008 – ASTC/FO will complete the remainder of the obligation review documents and forward to Financial Management the Status Review, Initialed Obligation Spreadsheet, and List of Exceptions.

Action Required by April 15, 2008 – Financial Management scans and e-mails Certification Statement to National Headquarters.

Documentation and Review Criteria for Obligations

• Each contract on the attached spreadsheet will need a Status Review (NRCS CPA-13) completed, which contains all the necessary documentation for the contract review and obligation review purposes (see section below). During your review you will determine if the obligated funds are valid and are still needed or if they should be deobligated.
• ASTC/FO will initial on the FMD provided spreadsheet (Attachment 1) to show that each obligation has been reviewed and corrected as listed below.
• Prepare justification statements for the period of inactivity and the bonafide purpose of the remaining obligation. This statement is to be listed on the NRCS CPA-13, Status Review in block 7. If a modification is appropriate, this same statement should be included in the basis for the modification (see below for example).
• Documentation example for bonafide purpose and justification for period of inactivity
  Prepare a detailed description of why you need the obligation funds today, including how the remaining obligated dollars will be used, and identifying why the obligation has been inactive. Please reference contract reviews performed per paragraph 512.55 of the Conservation Programs contracting manual. This will be reported on the NRCS CPA-13, Status Review in text block 7.


EXAMPLE – The implementation of practices is now on schedule. The last contract item (CI 6) originally scheduled to be applied in 2006 with a payment amount of $1,550 was rescheduled to 2008 due to the drought conditions. The contract has been modified to reflect the revised schedule of operations. The contract review completed in 2007 confirmed agreement on the revised practice application schedule, the contract in now on schedule, and the program participant will complete their contract in 2008.

A copy of the NRCS CPA-13, Status Review; the Initialed Obligation Spreadsheet (attachment 1); and the List of Exceptions are required to support the State Conservationist’s certification statement and will be retained in the state office.

REVIEW AND VALIDATE THE OBLIGATION IN YOUR CONTRACT FOLDER (FIELD OFFICE) FOR THE FOLLOWING (see copy of CCC-1200 or NRCS-1202)

• Producer-signed contract (CCC-1200 or NRCS-CPA-1202)
  
  • Needs valid participant(s) signatures and dates
  • If an entity, has the appropriate signatory authority on file.
  • If any of these are not showing on the contract, please handwrite them on:
    • Starting and ending dates of the contract
    • FFIS document number (PT contract number) Example: 7403255B123
    • Amount and Schedule of Contract (Total FA/TA & Contract Obligations by Year)
    • County
• ProTracts generated contract (that shows NRCS electronic signature).

Since the CCC-1200 can no longer be printed from ProTracts for years prior to FY2008, if you do not have a printout with the NRCS electronic signature, print a copy of the NRCS-CPA-1155, Conservation Plan or Schedule of Operations for the NRCS electronic signature.
• Modifications
• Modifications were done in accordance with policy and have adequate justification.
• Modification is signed and dated when necessary by policy.
• All modifications are in contract file. If you are missing a modification, you should print the ProTracts modification history.
• Correct funding was used for increased modifications
• Within scope modifications use contract year funds.
• Payment Applications
• Necessary documentation and certification for practice completion (receipts if applicable).
• Signed and dated payment applications.
• All payments are in contract file.
• Status Review document, if applicable
• If practice is behind schedule, is contract justified and what is the course of action and is signed and dated.
• Any other relevant documentation that impacts the expectation of performance for completion of the obligation (example: termination/cancellation letters, etc.).

Exceptions

If the contract obligation is not valid, each ASTC/FO will need to list on a separate sheet to include the following: FFIS document number, funding year of contract, fund of contract, amount that is not valid, and reason for the exception (see example below).

Further guidance in regards to how to document items where FFIS and ProTracts are out of balance may be forthcoming after a financial management teleconference on March 6, 2008. If contracts containing FFIS and ProTracts out of balance, document on NRCS CPA-13, Status Review in block 7.

/s/

DAVE KASCHT
Acting State Conservationist

Attachments:
Attachment 1, Review Spreadsheets for Mandatory Funds
Attachment 2, Copy of CCC-1200 & NRCS-CPA-1202
Attachment 3, Certification Statement for ASTC/FO
Attachment 4, Certification Statement for STC

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Last Modified: 04/01/2008