R 180018Z APR 06
FM CMC WASHINGTON DC(UC)
TO AL MARADMIN(UC)
UNCLASSIFIED//
MARADMIN 179/06
MSGID/GENADMIN/CMC WASHINGTON DC PR RFA//
SUBJ/STANDARDIZATION OF CIVILIAN LABOR COST ACCOUNT CODES(CAC)//
REF/A/MSGID:MARADMIN 320-03/LR/071727Z/JUL03/-/-/-/-//
REF/B/MSGID:SFFAS STANDARD 4/OMB/-/-/-/-//
NARR/REF A ANNOUNCED THE IMPLEMENTATION OF ACTIVITY BASED RESOURCE
MANAGEMENT (ABRM) AND ESTABLISHED INSTALLATION BUSINESS PROCESS
CATEGORIES FOR COLLECTING COST INFORMATION. REF B ESTABLISHED THE
STANDARDS FOR MANAGERIAL COST ACCOUNTING FOR THE FEDERAL GOVERNMENT.//
POC/JOHN CHADWICK/LTCOL/CMC WASHINGTON DC RFA/-/TEL:DSN224-4988
/EMAIL:CHADWICKJM@HQMC.USMC.MIL//
GENTEXT/REMARKS/1. SINCE FY05, STANDARDIZATION OF FISCAL CODES USED
TO COLLECT FINANCIAL INFORMATION WITHIN THE STANDARD ACCOUNTING,
BUDGETING, AND REPORTING SYSTEM (SABRS) HAS BEEN PURSUED IN SUPPORT
OF ABRM AND COMPLIANCE WITH STANDARDS REQUIRED IN REF B. THE
PURPOSE OF THESE EFFORTS HAS BEEN TO COLLECT AND REPORT FINANCIAL
INFORMATION THAT IS RELIABLE, CONSISTENT, AND MEANINGFUL FOR USE BY
MARINE CORPS LEADERSHIP. TO DATE, ALL BASE/INSTALLATION CODES USED TO
IDENTIFY COMMAND ORGANIZATIONS BY BUSINESS PROCESSES HAVE BEEN
STANDARDIZED TO SUPPORT ARBM AND SFFAS 4 COMPLIANCE. THIS WAS
ACCOMPLISHED BY STANDARDIZING THE BUDGET EXECUTION ACTIVITY AND
SUBACTIVITY CODES TO LINK EXECUTION DATA TO MARINE CORPS PROGRAMMING
CODES (MCPC) AND INSTALLATION BUSINESS PROCESSES.
2. THE SINGLE LARGEST TYPE OF EXPENSE IS LABOR IN MOST INSTALLATION
BUSINESS PROCESSES. THE REFERENCES REQUIRE THAT LABOR EXECUTION BE
IDENTIFIED BY DIRECT, INDIRECT, AND ORGANIZATIONAL SUSTAINING COST
WITHIN EACH BUSINESS PROCESS. THE CURRENT COST ACCOUNT CODE (CAC)
STRUCTURE IN SABRS DOES NOT SUPPORT COST CATEGORIZATION BY DIRECT,
INDIRECT, AND ORGANIZATIONAL SUSTAINING FOR CIVILIAN LABOR. FOR
EXAMPLE, CIVILIAN PERSONNEL COSTS FOR EMPLOYEES WORKING IN THE
GARRISON MOBILE EQUIPMENT (GME) FUNCTION ARE TYPICALLY CHARGED
AGAINST CACS 6300 (MOTOR TRANSPORT OPERATIONS AND MANAGEMENT) AND
6310 (MAINTENANCE). THE AMOUNT COLLECTED WITHIN BOTH THESE CACS
REPRESENTS BOTH DIRECT COST (DRIVERS AND MECHANICS) AND
INDIRECT/ORGANIZATIONAL SUSTAINING (MANAGEMENT, ADMINISTRATIVE
SUPPORT, DISPATCHERS, ETC.) OUR CURRENT CAC STRUCTURE PREVENTS COST
COLLECTION AND CATEGORIZATION BY DIRECT AND INDIRECT FOR CIVILIAN
LABOR WITHIN SABRS.
3. THE BEST WAY TO MEET THE REFERENCES REQUIREMENTS OF IDENTIFYING
DIRECT AND INDIRECT COST IS THROUGH THE USE OF THE EMPLOYEE'S OFFICE
OF PERSONNEL AND MANAGEMENT (OPM) CIVILIAN SERIES DESIGNATION.
CIVILIAN SERIES DESCRIBE THE MAJOR WORK EFFORT AN EMPLOYEE WAS HIRED
TO PERFORM. FOR EXAMPLE THE GME ACTIVITY HAS CIVILIANS WITH THE
FOLLOWING SERIES SUPPORTING THE FUNCTION:

SERIES SERIES DESCRIPTION
0301 MISC ADMINISTRATION AND PROGRAM
0341 ADMINISTRATIVE OFFICER
0560 BUDGET ANALYST
2005 SUPPLY CLERICAL & TECHNICIAN
2123 MOTOR CARRIER SAFETY
2151 DISPATCHER
5703 MOTOR VEHICHLE OPERATOR
5823 AUTOMOTIVE MECHANIC

BY USING THE SERIES, DIRECT COST CAN BE DETERMINED AS THOSE
EMPLOYEE'S WITH SERIES OF 5703 AND 5823. INDIRECT AND ORGANIZATION
SUSTAINING COSTS ARE ALL THE OTHER SERIES WORKING IN GME. TO COLLECT
INFORMATION IN SABRS THAT MEETS SFFAS 4 AND ABRM REQUIREMENTS,
CURRENT CACS USED TO RECORD CIVILIAN LABOR COST MUST BE CHANGED
TO THE OPM SERIES CODE.
4. AT THE BEGINNING OF FY06, HQMC FISCAL CODES WERE CHANGED TO
STANDARDIZE EXECUTION INFORMATION BY BUSINESS PROCESS. THE
STANDARDIZATION INCLUDED TESTING CIVILIAN LABOR EXECUTION COLLECTION
USING OPM SERIES AS THE DEFAULT CAC FOR COST COLLECTION. THIS
CHANGE TO OPM SERIES AS THE DEFALUT CAC HAS SIGNIFICANTLY IMPROVED
HQMC LABOR COST VISABILITY BY DIRECT, INDIRECT, AND ORGANIZATIONAL
SUSTAINING FUNCTIONS WITHIN SABRS. BASED ON THE HQMC DATA RESULTS, AN
ENTERPRISE CHANGE TO OPM SERIES CACS FOR CIVILIAN LABOR WILL BE
IMPLEMENTED FOR FY07.
5. IMPLEMENTATION. NLT 1 OCTOBER 2006, FUND HOLDERS WITH CIVILIAN
EMPLOYEES MAKE THE REQUIRED CHANGES TO ESTABLISH THE ASSIGNED
CIVILIAN SERIES AS THE CAC WITHIN THE DEFAULT FINANCIAL INFORMATION
POINTER (FIP) IN DCPS. FOR EXAMPLE IF THE EMPLOYEE IS SERIES 5703
(MOTOR VEHICLE OPERATOR) THE CAC USED IN THE DEFAULT FIP WILL BE 5703.
FOR PERSONNEL ASSIGNED TO MARINE CORPS COMMUNITY SERVICES (MCCS)
FUNCTIONS, THE EMPLOYEE SERIES WILL BE USED AS THE DEFAULT CAC AND THE
CURRENT ESTABLISHED MCCS CACS FOR ACTIVITIES SUPPORTED (EXAMPLE SLA0
(FITNESS PROGRAM), SMK0 (EQUIPMENT RENTALS), ETC.) WILL BE CITED IN
THE JOB ORDER/LOCAL USE FIELD IN THE DEFAULT FIP.
6. CACS EQUAL TO SERIES WILL BE USED TO COLLECT OBJECT CLASS (OC)
11 COSTS ONLY. COLLECTION OF OC 12 (FRINGE BENEFITS) IS BASED ON THE
ORGANIZATION CODE ASSIGNED BY THE COMMAND IN DCPS THAT GROUP EMPLOYEES,
REGARDLESS OF SERIES, TOGETHER FOR TIME AND ATTENDANCE CERTIFICATION.
BASED ON THE ORGANIZATION CODE, A DEFAULT FIP IS ASSIGNED FOR OBJECT
CLASS 12 COSTS THROUGH TABLE 319. THE CURRENT CAC REFLECTED IN
SABRS LABOR DEFAULT TABLE 319 WILL REMAIN AS CURRENTLY CITED. FURTHER,
THE CAC CURRENTLY CITED IN LABOR DEFAULT TABLE 318 FOR ABNORMAL LABOR
PROCESSING WILL REMAIN AS CURRENTLY CITED. ANY NEW REQUIRED ENTRIES
FOR TABLE 319 WILL USE A CAC THAT BEST DESCRIBES THE BUSINESS
PROCESS THE FRINGE BENEFIT COSTS APPLY. FOR EXAMPLE, PERSONNEL
ASSIGNED TO THE ORGANIZATION CODE FOR GME MAINTENANCE WILL USE CAC 6310
AS THE DEFAULT CAC IN TABLE 319 TO RECORD FRINGE BENEFIT COST.
7. IT IS STRONGLY RECOMMENDED THAT COMMANDS BEGIN AS SOON AS
POSSIBLE TO MAKE THE REQUIRED CAC CHANGES IN DCPS TO ENSURE THE TOTAL
CHANGE EFFORT IS COMPLETED PRIOR TO THE START OF FISCAL YEAR 2007. CAC
CODES THAT EQUAL OPM SERIES HAVE BEEN LOADED TO SABRS CENTRAL CAC TABLE.
8. POC FOR THIS REQUIREMENT IS LTCOL CHADWICK, HQMC, RFA AT
DSN 224-4988 OR CMCL 703-614-4988. EMAIL IS CHADWICKJM@HQMC.USMC.MIL .//