Reports of Survey...The Real Costs!

We need to do a report of survey!" Just what every commander wants to hear....

Regardless of what the announcement brings to mind, reports of survey (ROS) serve a very important role. They are used as a record to determine if an individual should be held financially liable for the loss, destruction, or damage of Air Force property proximately caused by his negligence, willful misconduct, or deliberate unauthorized use. They are also used to document and adjust property records. Air Force Manual 23-220, Reports of Survey for Air Force Property, provides guidance and applicable procedures.

The cost of Air Force equipment reported as lost, destroyed, or damaged Air Force-wide during the course of any particular year is very surprising--or maybe a better word would be disturbing--when we are in an era of shrinking annual budgets that require bases and units to do more with less.

Adding Up the Costs

When you add up the costs for all lost, damaged, or destroyed items from a major base, you have to ask, "Where does the money come from to replace these items?" In virtually every instance, the money comes from the unit's operating budget for the current fiscal year.

Annually, as the last quarter of the fiscal year winds down, many units are looking for funds to make it through the end of the year. A review of ROS records indicates that a portion of the unit's money was spent on replacing lost, damaged, or destroyed items. Even when a viable refunding action program is effective, various units still lose their money when the accountable office is reimbursed.

While it would be prudent for units to "plan" for losses during the fiscal year, very few do. It would better serve the units to formulate a sound, enforceable security and accountability plan to safeguard and account for Air Force property.

Determining the Real Cost

The majority of personnel involved in the ROS program seldom gives thought to the total cost of processing and completing an ROS. This real cost includes the cost of the lost, damaged, or destroyed equipment and the man-hours of all personnel involved in the reporting process--unit ROS monitors, investigating officers, individuals required to submit statements, equipment custodians, judge advocates, unit commanders, ROS program manager, and the ROS approving authority.

For example, when a generator costing approximately $33,000 is lost, an ROS is initiated. Table 1 on the preceding page shows a breakdown of personnel costs of such a loss. (Note: This example does not include costs involved when refunding actions are necessary.)

Accumulative Total

While the processing costs of a single ROS may seem insignificant, multiply that by, for example, 150 ROS, and the total for processing ROS for a year comes out to $63,573. This amount represents an opportunity cost: lost productivity that could have gone to support the wing's primary mission. And this is only from one base! Bear in mind, too, that it's not only the money; it's also the man-hours expended to complete an ROS that have to be taken into account.

Keys to Reducing Costs

One key to reducing the processing costs of ROS is to reduce the number of reportable instances. And the key to improving any process is education of all personnel concerned. Mainly, equipment is lost because established, written procedures are not being followed.

Opportunities such as base bulletins, electronic newsletters, and commander's calls are good avenues for getting the word out and reminding personnel to follow written procedures to help prevent the loss of equipment (and avoid possible liability). Commanders are responsible for all equipment under their purview, and only through unit personnel following written procedures will proper accountability be maintained.

Please remember, while commanders are responsible for government real and personal property under their control, each one of us is responsible for the safeguarding of and accountability for property entrusted to us.

Robert M. Andrews is the Reports of Survey Program Manager for Travis AFB, CA and is assigned to 60th Comptroller Squadron/Financial Management as a member of the Cost Management Team. He is also the Cash Verification Administrator and Economic Impact Analysis Project Officer. He is a retired Master Chief Petty Officer, U.S. Navy.

Editor's Note: The above article is written primarily in Air Force terminology. However, the principles discussed in management of Reports of Survey have department-wide application.

      Cost Factors                  Pay Grade  Hourly Cost Hours      Cost
Cost of initial search                 E-4       $17.16     2.0      $34.32
Initial briefing of ROS Inv Officer    E-7 [1]   $26.79     0.5      $13.39
Briefing by ROS Prog Mgr               GS-7      $25.76     0.5      $12.88
ROS Inv Officer Investigation          E-7       $26.79     8.0     $214.32
Review by Unit Commander (LTCOL)       0-5 [2]   $56.33     0.5      $28.17
Accountable Office Research            GS-7      $25.76     2.0      $51.52
Accountable Office Review              0-5 [2]   $56.33     0.5      $28.17
Review by ROS Prog Mgr                 GS-7      $25.76     0.5      $12.88
Review by ROS Appr Authority           0-5 [2]   $56.33     0.5      $28.17
Total cost to process ROS [3]                                       $423.82
Cost of equipment                                                $33,000.00
Real cost of ROS                                                 $33,423.82

(1.)Normally, ROS Program Manager takes one-half hour to brief Inventory Officer.

(2.)Normally, review process takes one-half hour.

(3.)Represents average cost to complete ROS. Does not include costs if member is assessed and if case is reviewed by Staff Judge Advocate. Does not include costs involved when member is briefed by ROS Program Manager on member's options regarding assessing financial liability. Because of the many variables, costs portrayed in this example are on the low side.