United States Standard General Ledger Logo

U.S. Government Standard General Ledger Issues Resolution Committee (IRC) Meeting Minutes

March 29, 2007

GENERAL ITEMS:

Judy Yuran (FMS) opened the meeting and introductions were made. She stated that the USSGL Board meeting will be on April 26, 2007, and the ballots will be due May 11, 2007.

HANDOUTS:

  • Zero Coupon Bond Investments - Draft

  • U.S. Government Standard General Ledger (USSGL) Voting Ballot #07-01 - Draft

  • General Fund Receipt (GFR) Account Guide - Draft

  • General Fund Receipt (GFR) Account - GFR Custodial Collection Transfer to Available Special Fund Receipt Account 20 0110 to 20X5510 - Draft

  • FACTS II Attribute Proposal - Draft

  • Office of Management and Budget (OMB) Circular No. A-11, Appendix F: Line 1B - Draft

AGENDA ITEMS:

Michele Crisman (FMS) highlighted the revisions to the draft Zero Coupon Bond Investments (Zeros) scenario, which currently applies to the Department of Energy (DOE) and the Pension Benefit Guaranty Corporation (PBGC). The scenario revisions reflect the budgetary impact of the amortization of bond discount and market adjustments on Zeros issued by the Bureau of the Public Debt (BPD). If the USSGL Board approves proposed USSGL account 4290, "Amortization and Market Adjustment - Investments in Zero Coupon Bonds," it will be effective for fiscal 2008. Only agencies that invest their offsetting collections in Zeros issued by BPD will record to USSGL account 4290. FMS will revise the FMS 2108 (Yearend Closing Statement) for fiscal 2008 to reflect USSGL account 1633, "Amortization of Discount on U.S. Zero Coupon Bonds Issued by Public Debt," on column 6, with Authorization Indicator (RT7 Indicator) 931 "Unamortized Discounts and Premiums." In addition, before fiscal 2007 yearend, FMS will revise FACTS II to reflect the addition of USSGL account 1633 on the FMS 2108.

Christine Chang (FMS) reviewed the following revisions to the GFR Account Guide.

Section IF:

Changed the title of Section IF from "Custodial" to "Noncustodial" and added a FASAB reference to what a custodial collection is and how it should be reported.

Section II:

  • Added "or to the custodial footnote" to the following definitions:

    -- USSGL account 2980 "Custodial Liability";

    -- USSGL account 5990 "Collections for Others";

    -- USSGL account 5991 "Accrued Collections for Others";

    -- Proposed USSGL account 2985 "Liability to the General Fund";

    -- Proposed USSGL account 5775 "Non-Budgetary Financing Sources Transfers-In";

    -- Proposed USSGL account 5776 "Non-Budgetary Financing Sources Transferred Out";

    -- Proposed USSGL account 5993 "Offset to Non-Entity Collections - Statement of Changes in Net Position";

    AND

    -- Proposed USSGL account 5994 "Offset to Non-Entity Accrued Collections - Statement of Changes in Net Position."

  • Deleted "for all other amounts, use the appropriate attribute domain value" from the definition of proposed USSGL account 2985.

  • Removed "for amounts collected or to be collected on behalf of the General Fund of the Treasury use FACTS I attribute domain values Federal 'F' and transaction partner '99.' For all other amounts, use the appropriate attribute domain value." from the definition for proposed USSGL accounts 5775 and 5776.

  • Modified the definition of proposed USSGL account 5791 "Adjustment to Financing Sources - Reestimate," to read "The amount of adjustment to financing sources for a downward reestimate of subsidy expense. Record as a debit in the credit reform program account to offset the adjustment to subsidy expense and as a credit for an equal amount in the credit reform financing account to adjust the loan guarantee liability, or direct loan allowance for subsidy. The original subsidy expense is recorded in the program fund; therefore, both program and financing funds are adjusted to reflect the downward reestimate of subsidy."

  • Modified the definition of proposed USSGL account 5795, "Seigniorage," to read "The amount represents the increase in net position of the Federal Government for the face value of newly minted coins less the cost of production, which includes the cost of metal, manufacturing, and transportation. It results from the sovereign power of the Government to directly create money, and, although it is not an inflow of resources from the public, it does increase the Government's net position in the same manner as an inflow of resources. It is not demanded, earned, or donated; therefore, it is recognized as an other financing source rather than revenue. An example is coins delivered to a Federal Reserve Bank in return for deposits. The account is used only by the United States Mint."

  • Replaced "OMB" with "Form and Content" in all GFR definitions.

Section III:

Added the Collection of Nonexchange Revenue - Fines and Penalties scenario to Section III.

Section IV:

  • Changed the transaction partner codes from "99" to "XX" ("XX" represents an agency's 2-digit department code) for USSGL accounts 1310, "Accounts Receivable," and 2990 "Other Liabilities Without Related Budgetary Obligation."

  • Year 2--Moved the entry reclassifying expenses from the unfunded status to the funded status in the credit reform program and financing Treasury Appropriation Fund Symbols (TAFS) from transaction 2 to transaction 1.

After discussion, it was decided that Christine would reevaluate the need to create proposed USSGL accounts 2985, 5993, and 5994. Use of the custodial attribute with the existing USSGL accounts 2980, 5990, and 5991 will be considered.

Kathy Winchester (FMS) highlighted the General Fund Receipt (GFR) Account - GFR Custodial Collection Transfer to Available Special Fund Receipt Account 20 0110 to 20X5510 scenario. In this scenario, certain tax receipts are deposited to a GFR account. A portion of those deposits is then transferred to a special fund. The special fund receives both a proprietary financing source and a budgetary resource. Previously, transactions for this activity type have not been accounted for in the USSGL. To capture these transactions, new USSGL accounts 5773, "Custodial Collections Transferred In From a General Fund Receipt Account," and 5774, "Custodial Collections Transferred Out To a Special Fund Receipt Account," were proposed. Agencies will record USSGL account 5774 on the Statement of Custodial Activity by the GFR account and USSGL account 5773 on the Statement of Changes in Net Position by the receiving special fund. Joe McAndrew (Treasury) agreed with the account titles and definitions but suggested that the USSGL account 59XX series of numbers is more appropriate. Kathy will follow up on Joe's comments.

Kathy then reviewed the need for a new attribute and domain value in FACTS II. The new attribute and domain value will accommodate changes to the OMB SF 133 requirements in fiscal 2008. Teresa Tancre (OMB) explained that agencies post prior-year activity (for corrections of errors, etc.) as current-year transactions. As a result, the agency-submitted SF 133s (Report on Budget Execution and Budgetary Resources) do not accurately reflect current-year activity. To resolve this problem, OMB anticipates issuing, within the next several weeks, an amendment to OMB Circular No. A-11 that creates new lines for the SF 133. The new lines 1B, 12A2, and 12B2, will capture adjustments to beginning balances. Teresa reviewed draft OMB Circular No. A-11, Appendix F: Line 1B. She also stressed that the new OMB Circular No. A-11 requirements will be implemented regardless of the action taken for the Statement of Budgetary Resources in OMB Circular No. A-136. Creating the new FACTS II attribute and domain value will accommodate the prior-year adjustments. The IRC decided that the attribute will be titled Prior-Year Adjustment. The definition will be "Changes to obligated or unobligated balances that occurred in the previous fiscal year but were not recorded in the appropriate TAFS as of October 1 of the current fiscal year. Exclude upward and downward adjustments to current-year/prior-year obligations and most reclassifications from clearing accounts." The domain value will be "P," which indicates an adjustment to prior-year reporting.

Karen Metler (FMS) led the review of the draft ballot, and the following items were noted:

  • USSGL account 2980, "Custodial Liability" - More research is needed.

  • USSGL account 2985, "Liability to the General Fund" - More research is needed.

  • USSGL account 4350, "Canceled Authority" - Revised the last sentence of the definition to read "This is part of the yearend process and does not involve a U.S. Treasury Warrant."

  • USSGL account 4510, "Apportionments" - The phrase "that are available for allotment" will not be removed from the definition.

  • USSGL account 5791, "Adjustment to Financing Sources - Reestimate" - The normal balance is "Debit."

  • USSGL account 5795 "Seigniorage" - Modified the first sentence to read "The amount represents the increase in net position of the Federal Government for the face value of newly minted coins less the cost of production, which includes the cost of metal, manufacturing, and transportation."

CLOSING REMARKS:

Judy adjourned the meeting.

ATTENDEES:

Judy Yuran, FMS
Karen Metler, FMS
Michele Crisman, FMS
Teresa Tancre, OMB
Christine Chang, FMS
Kathy Winchester, FMS
Juanita Ruf, IRS
Mike Brezovec, NRC
Alfred Buck, USAID
T. Wyes, DOC
David Gaudette, DEA
D. J. Akinnagbe, DOC
Maryla Engelking, DOD
Kathy Sherrill, DOD
Traci Carroll, HUD
Catherine Irani, GSA
Mike Plutkis, FMS
Jeff Carr, Energy
Don McKay, FMS
Joe McAndrew, Treasury
Kyana Bund-Evans, EPA
Jennifer Fleming, ED
Janet Winchester, VA
Michele Murphy, VA
Bruce Henshel, DOC
Joseph Wang, FMS
Eileen Parlow, FASAB
Thao Cicala, PTO
Leon Fleischer, SBA
David Surti, DHS
Christine Kent, OPM


   Last Updated:  March 14, 2014