Department of the Navy Service Day.

Ms. Gladys Commons, Principal Deputy, Assistant Secretary of the Navy (Financial Management and Comptroller) and ASMC Navy Vice President

Vice Admiral Conrad C. Lautenbacher, Jr., Deputy Chief of Naval Operations (Resources, Welfare Requirements and Assessments)

Mr. Leon J. (Lee) Krushinski, Director, Defense Finance and Accounting Service, Cleveland Center

The General Session of the Department of the Navy Service Day focused on "Back to Basics" and began with opening remarks from Ms. Commons. The guest speaker was Vice Admiral Conrad C. Laurenbacher, Jr., who discussed where we were, where we are, and what to look for in the future. Following Admiral Laurenbacher, Mr. Leon J. (Lee) Krushinski discussed the Defense Finance and Accounting Service (DFAS) vision, accomplishments, partnerships, and challenges. Ms. Commons concluded the session by presenting the Assistant Secretary of the Navy (Financial Management and Comptroller) awards to the following recipients:

* Theresa A. Cooper, NRSE, Jacksonville, FL, Individual Achievement in Budgeting

* JoDel E. Melkonian, NADEP, Cherry Point, NC, Individual Achievement in Accounting

* Donald L. Oliveros, NAVAUDSVC, Washington, D.C., Individual Achievement in Auditing

* Ruth A. Straley, NRSW, San Diego, CA, Individual Achievement in Comptrollership

* Naval Sea Systems Command, Organization Award

* ASN (FM&C) and NAVFAC, Team Award

The afternoon workshops continued the "Back to Basics" theme with the following workshop topics:

Budgeting for Contingency Operations, CDR Robert Hooks (Operations Division, FMB1). The discussion included how to estimate costs of unplanned operations, what costs to include in estimates, and how to report estimates. The discussion also included execution (i.e., what costs to report and when to report them).

Procedures for Fund Usage Documents, Mr. Steve Patrick (Budget Policy and Procedures Division, FMB5) and Mr. Frank Albert (Naval Sea Systems Command, SEA-01P3). The brief focused on the types of documents (i.e., reimbursable order, direct citation, and contract) and how to choose appropriate documents for the task.

Program Funds Control, Mr. John Frey (Program/Budget Coordination Division, FMB3). Mr. Frey briefed on how program funds control works within the Department of the Navy (DON), Program Budget Allocation System (PBAS) interface, STARS interface, and revised reprogramming/new start rules.

"CFO" Strategy, Mr. Rich Gloss and Mr. Warren Pfeiffer (Office of Financial Operations, FMO). The discussion focused on the Department of the Navy strategy to achieve compliance in the preparation and issuance of the annual Chief Financial Officer's Financial Statements. Also discussed were legal mandates, auditing standards and requirements, and the salient aspects of the DON CFO Strategic Plan.

Managing Business Risk, Mr. Gilbert Gardner (Office of Financial Operations, FMO). Mr. Gardner reviewed the DON'S revised management control program, including a discussion of the Committee of Sponsoring Organizations of the Treadway (COSO)/Control Self-Assessment (CSA) approach towards identification and reporting of business risk. The review also covered the revised support offered by the Naval Audit Service and the impact this change will have upon the development of the annual statement of assurance required by the Federal Manager's Financial Integrity Act (FMFIA).

Marine Corps Topics, Mr. H. Lee Dixson, (Headquarters, United States Marine Corps). Mr. Dixson gave a budget overview and covered financial, accounting, and career issues.

Budget Requirements for Navy Marine Corps Intranet, Ms. Erin Kern (Operations Division, FMB1) and Ms. Donna White (Budget Policy and Procedures Division, FMB5). Ms. Kern and Ms. White discussed FY2002/2003 DON Budget Review submission requirements, summer review focus areas, and funds execution management.

Current Status of Management Headquarters and Strategic Sourcing, Ms. Nicole Pellegrino (Civilian Resources and Business Affairs Division, FMB-4). Ms. Pellegrino briefed on the current status of Management Headquarters and Strategic Sourcing (to include the revised and nearly completed SECNAV Directive implementing the new definitions).

Strategic Vision-Self-Service Initiatives, Mr. David McDermott (Office of Financial Operations, FMO). Subjects included a status report on the purchase card, the travel card, the transportation reengineering project to include POWERTRACK, the SMART card (electronic purse application), and a general discussion of the strategic steps that the DoD and DON are taking in transferring complex accounting functions onto bank-operated card applications. Also reviewed were the benefits derived from e-commerce processes such as Web-enabled invoice review and certification and the improved overall management of the purchasing function.

Centrally Billed Accounts for Transportation Services: A Cultural Change, Mr. Gilbert Gardner (Office of Financial Operations, FMO). Topics discussed included a review of current process improvements that have been arranged at each one of the DFAS OPLOCs servicing the DON and what affect these improvements are having upon the DON. Current issues coordinated between the DFAS and the DON at the strategic level were also reviewed.

Marine Corps Topics, Mn Leroy Dowdle and Ms. Caroline Fortin (Headquarters, United States Marine Corps). The discussion focused on updated financial and accounting within the USMC.

Program Budget Information System (PBIS), CDR Michelle McAtee (Program/ Budget Coordination Division, FMB3). CDR McAtee briefed on progress made to date on implementation of single database management (and long-term plans) in conformance with FYDP reform.

The Biennial Financial Management Improvement Plan, Mr. William Aldrich (Office of Financial Operations, FMO). Mr. Aldrich discussed the National Defense Authorization Act for FY 2000 Sec 1007, a congressional mandate that requires SECDEF to submit to Congress a biennial strategic plan for the improvement of financial management within the DoD and the planned DON actions that include the following: an inventory of the finance, accounting, and data feeder systems of the DoD; a statement regarding system compliance; a detailed plan of action that addresses actions ensuring the easy and reliable interfacing of systems with core finance and accounting systems and other data feeder systems and the institution of appropriate internal controls to ensure the integrity of the data; and a description of the procurement actions being taken to replace or improve finance, accounting, and data feeder systems.

Civilian Personnel Working Group Update, Mr. Ric Voigt (Civilian Resources and Business Affairs Division, FMB-4). Mr. Voigt discussed the results of the SES RII Civilian Personnel Working Group--in particular, the focus on the impact of how we budget for civilian personnel.

Anti-Deficiency Act Violations, Mr. Steve Corbin and Mr. Kevin Gormley (Budget Policy and Procedures Division, FMB5). Mr. Corbin and Mr. Gormley presented a brief on 31 U.S. Codes 1301 and 1517, the main causes of Anti-Deficiency Act violations, where to detect violations, and reporting requirements.

Marine Corps Topics, Col. Charles H. Thornton, (Headquarters, United States Marine Corps). Col. Thornton discussed career issues for financial management.