Contract funding

I was just asked this question by one of my customers: "The base year of this task order was funded by FY09 OMA, back in Nov 08. Now it may be more appropriate to fund the option year with RDTE funds. The Business Management Office in P.. advises that the task order should now be funded with RDTE dollars, per AESIP?s phase in the acquisition life cycle".

Is this possible? I checked FAR part 32 and it did not address this issue.

I assume that OMA means "Operations and Maintenance, Army."

In answer to your question, it is possible. Generally, a task order should be funded with the appropriation appropriate to the work. If the work is RDT&E, then it should be funded with RDT&E funds. It's odd that a task order should go from operations and maintenance to RDT&E, but I suppose it's possible.

(FAR Part 32 does not address these kinds of funding questions.)

I assume that OMA means "Operations and Maintenance, Army."

In answer to your question, it is possible. Generally, a task order should be funded with the appropriation appropriate to the work. If the work is RDT&E, then it should be funded with RDT&E funds. It's odd that a task order should go from operations and maintenance to RDT&E, but I suppose it's possible.

(FAR Part 32 does not address these kinds of funding questions.)

Thanks so much for your response

I was just asked this question by one of my customers: "The base year of this task order was funded by FY09 OMA, back in Nov 08. Now it may be more appropriate to fund the option year with RDTE funds. The Business Management Office in P.. advises that the task order should now be funded with RDTE dollars, per AESIP?s phase in the acquisition life cycle".

Is this possible? I checked FAR part 32 and it did not address this issue.

I assume AESIP means the Army Enterprise System Integration Program. I suppose the work under a task order could evolve from O&M to RDT&E but it's rare. Or does your program office think the orginal base year work should have been funded with RDT&E instead and just wants to get straight on the option?

Regardless, this shouldn't affect how the contract operates.

Seen this happen multiple times esp for contracts supporting a software development project. Have one that does IV&V on the SW development effort. Client sent OMA since to them wasn't actually the development of the SW (which they knew should be RDT&E). When they did review with budget office to get funds for option, budget folks told them that IV&V could be funded with RDT&E. Since OMA dollars tend to be scarcer, they sent RDT&E for rest of contract.

I think it was 2 years ago that Army budget folks started taking a really hard look at the color of money that folks were using to fund certain types of contracts. While the review was completed back then and guidance issued, it has taken a while for the word to get out to everyone

Actually I think IV&V should normally be funded with RDT&E. It's testing and evaluation.

whoops85,

If they did start looking at the color of money down to the installation level, they might have to find new command staff at some installations as O&M funding is being used for new construction quite frequently in my experience. Given the current OP tempo in the Army, I doubt they are ready for that kind of turmoil right now.

whoops85,

If they did start looking at the color of money down to the installation level, they might have to find new command staff at some installations as O&M funding is being used for new construction quite frequently in my experience. Given the current OP tempo in the Army, I doubt they are ready for that kind of turmoil right now.

ROFLMAO!!!!

Does anyone have a resouce or know where one could verify what type of funding should be used to fund whatever work is being asked? I have some task orders that literally every type of appropriation known on a single task order. But, how can we verify that dumping of monies is not happening and we are performing our due diligence?

Any ideas?

Thank you

Does anyone have a resouce or know where one could verify what type of funding should be used to fund whatever work is being asked? I have some task orders that literally every type of appropriation known on a single task order. But, how can we verify that dumping of monies is not happening and we are performing our due diligence?

Any ideas?

Thank you

Each Agency uses it's own codes. I would check with your Budget office.

ETA: I'm assuming your work on the Government side.

Does anyone have a resouce or know where one could verify what type of funding should be used to fund whatever work is being asked? I have some task orders that literally every type of appropriation known on a single task order. But, how can we verify that dumping of monies is not happening and we are performing our due diligence?

Any ideas?

Thank you

Not sure I understand. R&D funding should fund R&D work, O&M money should fund O&M work, etc. Are you saying that you have several accounting lines on one task order and you want to make sure that they are all the same type of funding? If so, look up the appropriation data in the FAST Book to find out what type of funds have been obligated. See http://www.fms.treas.gov/fastbook/index.html.

Do you work for civilian agency or DoD?

Each Agency uses it's own codes. I would check with your Budget office.

ETA: I'm assuming your work on the Government side.

In addition, why don't you ask the customer to identify what each appropriation is for and why?