6 FAH-5 H-400
ICASS BUDGET, INVOICE, AND FUNDING PROCESS
6 FAH-5 H-410
GENERAL
(CT:ICASS-110; 08-31-2022)
(Office of origin: CGFS/ICASS)
(Applies to participating ICASS agencies)
6 FAH-5 H-411 ANNUAL ICASS FISCAL YEAR BUDGET AND INVOICE CYCLE
(CT:ICASS-110; 08-31-2022)
(Applies to participating ICASS agencies)
a. The annual ICASS fiscal year budget and invoice cycle occurs over a 20- month time period; eight months (February to September) in the prior fiscal year (PFY) and 12 months (October to September) in the budget fiscal year (BFY). This chapter lists post and Washington actions throughout the 20-month budget and invoice cycle.
b. The Meeting Planning Schedule (MPS) is a key ICASS management document that describes the eight mandatory post-held annual ICASS meetings. For each of the meetings, the MPS explains the meeting’s purpose, lists documents to be distributed, proposes a meeting agenda, and describes action items. The MPS also has links or references to further guidance and relevant policies. The FAH subchapters below are short summaries of the more extensive entries for each meeting in the MPS.
c. Each of these meetings are included below in the monthly listing of post actions and are shown in bold type. Meeting documents are sent to participants when finalized, but no later than two days before any meeting. See 6 FAH-5 Exhibit H-411.1 at the end of this chapter for a listing of the meetings.
NOTE 1: The ICASS forward planning process provides projected ICASS funding requirements for customer agencies and is not included in this chapter. This is explained in 6 FAH-5 H-430.
NOTE 2: The budget and invoice cycle applies to both the Department of State (State) Service Provider (SP) and Alternate Service Providers (ASP), unless noted.
NOTE 3: This chapter contains several action completion deadlines. Some post actions are dependent on the Washington actions, such as the target setting process. The ICASS Service Center (ISC) will advise posts of relevant deadlines for each phase of the budget process. SP are responsible for communicating relevant advisories or revisions to agencies that will impact MPS schedule.
NOTE 4: See 6 FAH-5 Exhibit H-411.2 at the end of this chapter for a listing of acronyms used herein.
6 FAH-5 H-411.1 Prior Fiscal Year (PFY) February Actions
(CT:ICASS-110; 08-31-2022)
Post Actions
Modification Criteria and Budget Methodology Review (MPS #4): This is the first action in the 20-month cycle. The February Budget Committee (BC) meeting covers topics in preparation for the upcoming fiscal year.
· Service Provider (SP) explains the purpose of the Memorandum of Understanding (MOU) and Subscription of Services Agreement (SOS). See 6 FAH-5 H-210. SP advises agencies of MOU and SOS approval deadlines of April 1.
· BC reviews the existing post-specific modification policy and updates if needed.
· BC reviews existing agency modifications and confirms those that are still valid for the upcoming year. The BC advises any agency that no longer has an approved modification.
· Agencies submit requests for new modifications for the upcoming year prior to MPS #4. The BC reviews, approves, or denies each request.
· BC reviews post’s current budget methodology to include use of sub-cost centers, location budgeting, and the current use of either the Standard or Lite methods. The BC discusses, approves, or disapproves any recommended changes for the upcoming year.
· SP explains the policy on withdrawing from ICASS services. Agencies are advised to submit requests for withdrawal of services by April 1 for an effective withdrawal date of October 1 in the upcoming fiscal year. See 6 FAH-5 H-016.5.
6 FAH-5 H-411.2 April Actions (PFY)
(CT:ICASS-110; 08-31-2022)
Post Actions
· Agencies return the signed MOU and SOS by April 1.
· Agencies withdrawing from an ICASS service must provide written advance notification of withdrawal to the SP by April 1. See 6 FAH-5 H-016.5.
6 FAH-5 H-411.3 May Actions (PFY)
(CT:ICASS-110; 08-31-2022)
Post Actions
· SP collects and records ICASS workload counts as of May 1 in the data call plan.
· SP updates staff time allocations for ICASS and ASP employees for the upcoming fiscal year in the data call plan.
6 FAH-5 H-411.4 June Actions (PFY)
(CT:ICASS-110; 08-31-2022)
Post Actions
Workload Count and Time Allocation Review (MPS#8): During the June meeting the SP and BC review and validate all workload counts and employee time allocations.
· SP explains workload count and time allocation reports.
· SP explains the Agency ICASS Workload Approval form. Agencies have a 30-day review and approval period. Signed forms are generally due by July 1.
NOTE 1: Prior to the end of the 30-day approval period, the SP and agencies resolve any workload and time allocation issues.
NOTE 2: An agency that declines to approve its workload counts or workload modifications must follow the workload dispute process as detailed in the 6 FAH-5 H-462.1.
NOTE 3: SP provides projected funding requirements for the upcoming fiscal year to the Regional Bureau (RB), OBO, and Diplomatic Security (DS) to assist in projecting their funding requirements for the upcoming fiscal year.
6 FAH-5 H-411.5 July Actions (PFY)
(CT:ICASS-110; 08-31-2022)
Post Actions
· Agencies must submit their signed ICASS Workload Approval forms for the upcoming year by July 1.
· SP completes the Summary of Workload Approval worksheet in the software. The worksheet lists each agency’s workload approval contact information.
· SP electronically submits the completed data call plan for the upcoming fiscal year.
· ASP submits workload data in accordance with its agency guidance.
6 FAH-5 H-411.6 July/August Actions (PFY)
(CT:ICASS-110; 08-31-2022)
Washington Actions
· The Bureau of Budget and Planning (BP) provides RB, DS, and other domestic offices with initial planning figures to assist in developing Initial target recommendations for the upcoming fiscal year.
· With the BP and post-provided information, ICASS funding offices calculate and submit Initial target recommendations to BP.
· BP reviews, approves, and consolidates State offices’ Initial target recommendations.
· BP forwards the Initial target recommendations to the ICASS Service Center (ISC).
· ASP headquarters collects budget year requirements from posts and forwards ASP target recommendations to the ISC.
6 FAH-5 H-411.7 September Actions (PFY)
(CT:ICASS-110; 08-31-2022)
Post Actions
Council and Budget Committee Orientation (MPS#1). During the September meeting the SP provides an ICASS orientation to ICASS Council (IC) and BC members, to include new arrivals at Post.
· SP distributes copies of the MPS and the “Roles and Responsibilities” document of the IC and the BC located in 6 FAH-5 H-222.
· SP explains the roles and responsibilities of the IC and BC members.
· New IC and BC chairs are elected.
· SP explains the ICASS timeline.
· SP highlights and discusses current ICASS global and post specific issues.
· SP explains the policy on withdrawing from ICASS services and advises agencies of the submission request deadline of October 1 for an effective withdrawal date of April 1 in the upcoming fiscal year. See 6 FAH-5 H-016.5.
Washington Actions
· ISC distributes the State and ASP Initial target recommendations with supporting documentation to the ICASS Working Group (IWG) Budget Committee (BC) for review.
· BP and ASP conduct Initial Budget hearings.
· IWG BC reviews and approves Initial targets.
· ISC posts the Initial targets on the ICASS website and loads the targets into the post budget software.
· ASP headquarters notifies ASP posts of approved Initial targets.
· ISC establishes Initial budget due dates and provides budget preparation and submission guidance to posts.
· ISC provides a report of workload counts from posts’ data call plans compared to the final budget workload counts to ICASS agencies in Washington.
6 FAH-5 H-411.8 October through July Actions (Budget Fiscal Year [BFY])
(CT:ICASS-110; 08-31-2022)
Post Actions
· During the fiscal year the SP prepares Temporary Duty (TDY) invoices for agency authorization. The SP electronically submits authorized TDY invoices promptly to expedite the rapid allotment of funds to post. Post’s expedient submission of TDY invoices increases the probability that the issuance of the funds to post and the billing of the requirement to the agency will both occur in the current fiscal year.
· SP prepares and submits Partial Year Invoices (PYI).
· ASP posts submit PYI or TDY invoices to their headquarters in accordance with the agency’s policy.
NOTE: Individual customers at ASP posts may incur two PYI or two TDY invoices; one from the State SP and one from the ASP to invoice for the distinct ICASS services each provides.
6 FAH-5 H-411.9 October Actions (BFY)
(CT:ICASS-110; 08-31-2022)
Post Actions
· Agencies withdrawing from any service must provide a written advance notification of withdrawal to the SP by October 1 to have an effective withdrawal date of April 1 in the current fiscal year. See 6 FAH-5 H-016.5.
Washington Actions
· BP updates the Initial RB and DS targets to reflect exchange rate gains/losses based on September 30th exchange rate data.
· ISC posts the revised Initial targets on the ICASS website and loads the targets into the post budget software.
· ASP headquarters updates posts’ Initial targets based on September 30th exchange rate data and notifies ASP posts.
· BP develops financial spending plans for State bureaus and offices upon enactment of current year Congressional appropriations.
6 FAH-5 H-411.10 October/November Actions (BFY)
(CT:ICASS-110; 08-31-2022)
Post Actions
· SP prepares the Initial budget using revised Initial targets.
· ASP prepares Initial budget using the Initial target received from ASP headquarters.
Washington Actions
· ISC issues Recapitalization Balance Due invoices to agencies based on 70% of prior year ICASS final invoices. Invoices may be prorated if the Government is operating under a Continuing Resolution.
· ASP headquarters issue recapitalization invoices in accordance with their agency guidance.
6 FAH-5 H-411.11 November Actions (BFY)
(CT:ICASS-110; 08-31-2022)
Post Actions
Initial Budget Discussed and Approved (MPS#2). During the November meeting the SP conducts an in-depth review of the Initial budget using various software-generated reports.
· SP and BC discuss, modify as needed, and approve the Initial budget and the use of non-target funds.
Initial Budget Ratification (MPS#3). The BC approved budget (MPS #2) is presented to the IC in this meeting.
· SP and IC discuss, modify as needed, and ratify the Initial budget and the use of non-target funds.
· SP presents a summary report on the year just ended and discusses the outlook for the year ahead, highlighting the narrative sections in the Initial budget summary narrative.
· Once the IC ratifies the Initial budget, the SP distributes invoices to customer agencies for signature.
· For ASP posts, the SP submits the IC ratified budget plan to the ISC. The ISC prepares special initial invoices that redistribute State SP and ASP costs to their agencies and sends them to posts. Those invoices are distributed to customer agencies for signature.
· Customer agencies have ten business days from the date of invoice distribution to review and sign Initial post invoices. Agencies that dispute an invoice must follow the process identified in 6 FAH-5 H-462.2. If an invoice is not signed or disputed within ten business days, the invoice is marked De facto approval, and the agency may no longer dispute the invoice. See 6 FAH-5 H-462.1.
· SP updates the Summary of Signed Invoices (SSI) report in the post software to reflect the authorization status (approve, De facto approval, or dispute) of each agency invoice.
6 FAH-5 H-411.12 December Actions (BFY)
(CT:ICASS-110; 08-31-2022)
Post Actions
· SP and ASP electronically submit the ratified Initial budget to the ISC by the established due date.
Washington Actions
· ISC notifies customer agencies’ headquarters who have a De facto approval invoice for their awareness.
6 FAH-5 H-411.13 January Actions (BFY)
(CT:ICASS-110; 08-31-2022)
Washington Actions
· IWG BC imposes a 1% reduction on the post RB target for any post that submits an Initial budget after the established due date. Any post that receives this penalty may not receive an increase to its RB Final target.
6 FAH-5 H-411.14 February Actions (BFY)
(CT:ICASS-110; 08-31-2022)
Washington Actions
· ISC produces and issues Initial Informational invoices to customer agencies. These invoices consolidate the global post Initial invoices. The centrally funded ICASS (below-the-Line) costs budgeted in Washington are added.
· ASP produces and issues Initial informational invoices to customer agencies in accordance with its agency’s guidance.
· RBs, OBO, DS, and domestic office entities develop current fiscal year Final target recommendations based on their projected annual funding levels, posts’ Initial budgets, and data received from posts by the funding offices (e.g., real property application (RPA) requests).
· ASP headquarters develops Final targets for ASP posts.
6 FAH-5 H-411.15 March Actions (BFY)
(CT:ICASS-110; 08-31-2022)
Washington Actions
· RBs, OBO, DS, and domestic office entities submit Final target recommendations to BP.
6 FAH-5 H-411.16 April Actions (BFY)
(CT:ICASS-110; 08-31-2022)
Post Actions
Annual Performance Assessment (APA) (MPS#5). During the March IC meeting, there is a review of ICASS effectiveness (See 6 FAH-5 H-222.3-4).
· IC and management collaborate in the preparation of an APA report.
· Based on the most recent customer satisfaction survey, service provision metrics, and other data sources, they identify what is working in ICASS, and where improvements are needed.
· IC and management create an action plan for the coming year to address any shortcomings in post ICASS services.
· APA report is due to the chief of mission by June 1 and should be posted to the mission website.
· The ICASS Council chairperson notifies the ISC that the APA process has been completed.
Washington Actions
· BP and ASP conduct budget hearings. The IWG BC reviews and approves Final targets.
· ISC posts the approved Final targets on the ICASS website and loads the targets into the post budget software.
· ASP issues approved Final targets to its posts.
· ISC establishes Final budget due dates and provides budget preparation and submission guidance to posts.
6 FAH-5 H-411.17 May Actions (BFY)
(CT:ICASS-110; 08-31-2022)
Post Actions
· State SP prepares the Final budget using the Final targets.
· ASP prepares the Final budget using the Final target received from the ASP headquarters.
6 FAH-5 H-411.18 May/June Actions (BFY)
(CT:ICASS-110; 08-31-2022)
Post Actions
Final Budget Review (Budget Committee) (MPS#6). During the May/June meeting the SP conducts an in-depth review of the Final budget using various software generated reports.
· SP highlights any changes incorporated into the budget since the Initial budget was approved in November.
· SP and the BC discuss, modify as needed, and approve the proposed Final budget and use of non-target funds.
Final Budget Ratification and Setting Priorities for the Year Ahead (MPS#7). This May/June meeting has two parts that can be addressed in one meeting or in two.
· SP presents the BC-approved Final budget (MPS#6) to the IC.
· SP and IC discuss, modify as needed, and ratify the Final budget and the use of non-target funds.
· Once the IC ratifies the Final budget, the SP distributes invoices to customer agencies for signature.
· IC and SP establish ICASS priorities for the upcoming fiscal year. Topics covered include top unfunded priorities, cost savings initiatives, and changes to ICASS staffing and the size of customer base.
· For ASP posts, the SP submits the IC ratified budget plan to the ISC. The ISC prepares special final invoices that redistribute State SP and ASP costs to their agencies and sends them to posts. Those invoices are distributed to customer agencies for signature.
· Customer agencies have ten business days from the date of invoice distribution to review and sign final post invoices. Agencies that dispute an invoice must follow the process identified in 6 FAH-5 H-462.2. If an invoice is not signed or disputed within ten business days, the invoice is marked De facto approval, and the agency may no longer dispute the invoice. See 6 FAH-5 H-462.1.
· SP updates the Summary of Signed Invoices (SSI) report in the post software to reflect the authorization status of each agency invoice.
· SP electronically submits the completed Final budget plan.
· ASP submits the Final budget plan in accordance with its agency guidance.
6 FAH-5 H-411.19 June Actions (BFY)
(CT:ICASS-110; 08-31-2022)
Washington Actions
· ISC produces final agency consolidated invoices. The invoices combine the post final invoices, TDY and PYI invoices approved to date, plus centrally funded ICASS costs not budgeted by post.
· The ISC releases final ICASS invoices to customer agencies and bills each agency the difference between their Recapitalization Balance Due invoice payment and the final full invoice amount for the fiscal year.
· ASP headquarters issue final invoices to customer agencies in accordance with its agency’s guidance.
· ISC notifies customer agencies’ headquarters who have a De facto approval invoice for their awareness.
6 FAH-5 H-411.20 August Actions (BFY)
(CT:ICASS-110; 08-31-2022)
Post Actions
· SP submits Contingency Fund requests by announced due date, normally in early August.
Washington Actions:
· ASP headquarters issue PYI and TDY invoices in accordance with its agency’s guidance.
6 FAH-5 H-412 THROUGH H-419 UNASSIGNED
6 FAH-5 Exhibit H-411.1
Meeting Planning Schedule
(CT:ICASS-110; 08-31-2022)
(Applies to participating ICASS agencies)
The Meeting Planning Schedule (MPS) is a key ICASS management document that describes the eight mandatory post-held annual ICASS meetings. Below is the listing of those meetings. Access the MPS for more information on each meeting.
6 FAH-5 Exhibit H-411.2
List of Acronyms
(CT:ICASS-110; 08-31-2022)
(Applies to participating ICASS agencies)
Below is a listing of acronyms used 6 FAH-5 H-410.
APA: Annual Performance Assessment
ASP: Alternate Service Provider
BC: ICASS Budget Committee
BFY: Budget Fiscal Year
BP: Bureau of Budget and Planning
DS: Bureau of Diplomatic Security
IC: ICASS Council
ISC: ICASS Service Center
IWG: ICASS Working Group
MOU: Memorandum of Understanding
MPS: Meeting Planning Schedule
OBO: Bureau of Overseas Building Operations
PFY: Prior Fiscal Year
PYI: Partial Year Invoices
RB: Regional Bureau
RPA: Real Property Application
SOS: Subscription of Services Agreement
SP: Service Provider
SSI: Summary of Signed Invoices
TDY: Temporary Duty