The Agency prepared a quarterly reconciliation of its Phoenix Accruals System with the Phoenix general ledger, and documented and resolved all differences. In addition, the Agency updated its Accruals training course to ensure that Cognizant Technical Officers (CTO) can make reasonable accrual estimates when contract modifications result in changes to obligation levels.

On September 28, 2007, the Agency issued an Executive Message, announcing a new Web-based Phoenix Accruals Online Training course. The course is mandatory for all obligation managers, in particular those CTOs that must calculate accruals. The course can be completed in one hour, has a test, and a certificate is issued.

USAID verified that the accrual document script for the Accruals Reconciliation report is functioning as intended. The report will be reviewed for two more accrual cycles. Target completion date: January 31, 2008.

Current CTOs and other obligation managers must complete the new Web-based training by December 14, 2007. This training is also a prerequisite to being designated as a CTO and will become a mandatory requirement of the Agency’s CTO certification. Target completion date: January 31, 2008.

USAID will revise the current Agency policies for designating a CTO. Target completion date: September 30, 2008.

USAID collaborated with the Office of the Director of Foreign Assistance within the Department of State (State/F) to issue its Operational Plan Guidance for FY 2007. To ensure a full understanding of the new Operational Plan Guidance, USAID trained 1,000 employees by the first quarter on the changes and new requirements of the Operational Plans.

Through a concerted effort by USAID, State/F, and the Department of State, several meetings were held with the Office of Management and Budget (OMB) to formulate plans to improve USAID-State coordination on the Budget and Performance Integration (BPI) scorecard.

In the third quarter of FY 2007,USAID provided a status analysis on renewal of all Program Assessment Rating Tool (PART) improvement plans. USAID also updated performance data and improvement plans in PARTWeb. This process included verification that each program manager is held accountable for overall implementation of the program improvement plan as part of PARTWeb.

USAID developed an Operating Expense (OE) budget integration plan in collaboration with State/F for the
FY 2009 budget submission to OMB.

In the fourth quarter of FY 2007, USAID finalized the FY 2008 Proud To Be goals based on the clarification of roles between State/F and USAID. USAID also developed a joint USAID-State framework for collecting, analyzing, and defining limits on program funded OE. Relating to the OE budget, USAID implemented a new OE Budget tool, Budget Formulation and Execution Manager (BFEM). In addition USAID submitted the FY 2009 OE budget request to State/F for transmission to OMB.

In the fourth quarter of FY 2007, in preparation for FY 2008, USAID developed a plan for the FY 2007 Annual Performance Report (APR), the Highlights Report, and the FY 2009 Performance Plan. USAID also submitted draft joint Highlights with the Department of State operations indicators and State-USAID foreign assistance indicators, including FY 2007 results, FY 2008 targets, and FY 2009.

To increase control over data management, USAID collaborated with State/F in highlighting the importance of Data Quality Assessments (DQA) in its Operational Plan Guidance. In the guidance for Operational Plans for FY 2008 and Performance Reports on 2007, USAID reiterated policies and procedures to ensure that performance data are complete, accurate, and as consistent as resources permit.

Specifically, the New Operational Plan Guidance requires that a DQA for all performance data reported to Washington by an Operating Unit must be performed at least once every three years. The guidance requires that the Mission Directors, Assistant Secretary, or Assistant Administrators endorse the validity of the performance data before they are submitted to Washington.

The Management Bureau’s new Office of Management Policy, Budget, and Performance (MPBP) is now responsible for overseeing performance management, planning and reporting, monitoring Agency compliance with program guidance, and results regulations and reporting requirements.

USAID completed its second competitive sourcing (of Directives and Records Management functions) in the second quarter of FY 2007. This competitive sourcing was won by the in-house Most Efficient Organization (MEO) and is expected to save USAID about $495,000.00 over the next five years.

USAID completed a feasibility study of Visual Services functions in the second quarter of FY 2007. The study concluded that no savings would accrue from a competitive sourcing of this function.

In June, the Business Transformation Executive Committee (BTEC) approved a revised competitive sourcing strategy which committed USAID to comprehensively examining broad, potentially commercial Agency-wide (or USAID Washington-wide) functions (such as information technology [IT], financial management, and administrative support) considering a wide range of outsourcing, in-sourcing, contract restructuring, and business process re-engineering options to increase efficiency and effectiveness. This strategy is reflected in USAID’s fourth quarter PMA scorecard and revised “Proud to Be” document.

In August, USAID initiated a feasibility study of Administrative Support Services functions in Washington, the first broad, potentially commercial function to be considered.

Complete analysis of Washington and refine drivers for WPM to more accurately project the personnel requirements. Refine WPM to include new directions and new types of positions that are required to implement the Foreign Assistance Framework more effectively. Target completion date: June 30, 2008.

Refine WPM’s budget tool using MPBP’s new unit costs to estimate more accurate OE estimates based on model’s staff projections. This will greatly speed up the budgeting process for MPBP. Target completion date: March 31, 2008.

Activate the LMS competency management module for HR, IT and Leadership loading OPM competencies. Target completion date: December 31, 2007.

Activate the LMS competency management module for one or more backstops. Activate the succession planning component of the LMS competency planning module. Target completion date: March 31, 2008.

Conduct gap analysis based on restructuring and create draft plan for closing quantitative skills gaps. Target completion date: June 30, 2008.

Due to the interoperability issues between USAID and the Department of State systems, the implementation has been delayed. Following implementation of Personal Identity Verification-1 (PIV-1) processes and procedures in FY 2006, USAID began issuing Identification (ID) Cards to all domestic employees and contractors in October 2006.

As of September 14, 2007 USAID has issued 784 cards.

Provide funding to support 2.5 full-time equivalent (FTE) contractor “operations” staff for enrollment and badging. Target completion date: November 30, 2007.

Provide funding to support 2.0 FTE contractor “engineering/planning” staff. Target completion date: November 30, 2007.

Staff project team for development activities to include a full project plan and detailed cost estimate and implementation schedule. Target completion date: July 31, 2008.

[Note: Funding/staffing remain a problem. This is a multi-year effort. Other completion dates are unknown at this time.]

Hire a direct-hire to be the EA Manager. Target completion date: March 31, 2008.

Hire contractor staff to support a “core” EA Office as soon as possible contingent upon FY 2008 OE funding decision.

Prepare USAID EA Implementation Plan within three months from the time staffing is provided.

Develop initial artifacts and governance processes during FY 2008. Target completion date: FY 2009.

[Note: Funding/staffing remain a problem. This is a multi-year effort. Other completion dates are unknown at this time.]

Documented IT Project Life Cycle Methodology, a draft Work Breakdown Structure (WBS) Standard, Artifact Quality Factors, Review Checklists, and a Risk Management Manual. Provided mentoring and coaching to major, high-risk IT projects to support implementation of the new standards. These new methodologies are being piloted on Technology Modernization projects.

The Earned Value Management (EVM) system is in the process of being implemented by high risk major investments.

The OCIO Web site was redesigned.

Secure OMB approval on the revised USAID EVM practices. Target completion date: December 31, 2007.

Develop a comprehensive Project Governance Manual based on the IT Project Life Cycle Methodology and WBS approach. Target completion date: December 31, 2007.

Provide updates to the Automated Directives System (ADS) team to support governance changes on an ongoing basis.

In compliance with federal legislation and industry best practices, the OCIO has deployed a useful segment concept to document services provided by the office. These useful segments define the functional responsibilities of each OCIO division as well as catalogue systems under the stewardship of the CIO. Functional responsibilities have been tied to processes outlined in Control Objectives for Information and related Technology (COBIT). Additionally, the useful segment exercise documents costs that will support Exhibit 300 cost estimation/validation, portfolio management activities, and overall management of CIO resources. The OCIO published an Exhibit 300 guide and cost estimation guidance.

An IT Steering Subcommittee (ITSS) to BTEC was chartered in July 2007. ITSS provides oversight to the Agency’s IT program to include maintaining and implementing the Agency’s approved Capital Planning and Investment Control (CPIC) process as outlined in ADS Chapter 577, making recommendations on Agency IT governance, and serving as the oversight authority to guide IT initiatives.

Revised the project “change request” process and implemented a common tool for IT defect tracking and “change requests.”

Complete production of the Project Governance Manual. Target completion date: December 31, 2007.

Pilot a governance scorecard. Target completion date: December 31, 2007.

Provide IT Governance training for IT staff. Target completion date: January 31, 2008.