ALCOAST 328/18 - SEP 2018 USCG IMPLEMENTATION OF THE DHS COMMON APPROPRIATIONS STRUCTURE (CAS)

R 250956 SEP 18
FM COMDT COGARD WASHINGTON DC//CG-8//
TO ALCOAST
UNCLAS //N07101//
ALCOAST 328/18
COMDTNOTE 7101
SUBJ:  USCG IMPLEMENTATION OF THE DHS COMMON APPROPRIATIONS STRUCTURE (CAS)
A. DHS FINANCIAL MANAGEMENT POLICY MANUAL, CH 2 SEC 2.0
1. PURPOSE: This ALCOAST announces the Coast Guard’s implementation of the
first phase of the Department of Homeland Security’s (DHS) Common Appropriations
Structure (CAS) initiative.
2. BACKGROUND: In 2003 the Coast Guard and 21 other federal entities
consolidated under DHS. Having come from eight different cabinet level
departments and agencies with unique histories, the 15 core components that
now make up DHS had very dissimilar appropriations structures. Congress
exercises the “power of the purse” by appropriating funds to federal
agencies for specific purposes. The lack of standardization of component
appropriations structures made it challenging for DHS, the White House’s
Office of Management & Budget (OMB), and Congress to oversee the
Department’s budget. To remedy this problem the DHS “Common Appropriations
Structure” (CAS) initiative was created. REF (A) contains a detailed
description regarding the CAS initiative, and is available here:
http://cfo-policy.dhs.gov/
3. USCG UNDER CAS: The standardized DHS appropriations structure was based
in large part on the Coast Guard’s existing model. Despite the similarities,
the Coast Guard plans to implement CAS through a phased approach due to
limitations of the service’s aging financial management systems. Congress
approved the Coast Guard’s first phase of CAS implementation effective
01Oct18, even if FY19 begins under a continuing resolution. Prior to the
implementation of the provisions in paragraph 5 of this ALCOAST, the
finalized processes and procedures will be submitted to COMDT (CG-124) to
review for labor obligations.
4. CAS PHASE 1: The FY19 changes are relatively minor.
    A. APPROPRIATION NAME CHANGES:
      (1) The “Operating Expenses” (OE) appropriation becomes “Operations &
Support” (O&S).
      (2) “Acquisition, Construction, & Improvement” (AC&I) appropriation
becomes “Procurement, Construction, & Improvement” (PC&I).
      (3) The “Research, Development, Testing, & Evaluation” appropriation
is shortened to “Research & Development” (R&D).
    B. CHANGES WITHIN/BETWEEN APPROPRIATIONS:
      (1) Personnel associated with major acquisition projects received
their salaries from an account within the AC&I appropriation. Now, they will
receive their pay from either the Military Pay & Allowances account, or the
Civilian Pay & Benefits account, based on their affiliation with the Coast
Guard. This change will be transparent to affected personnel, as well as
financial managers, aside from Finance Center and the Pay & Personnel Center.
Additional details will be released via SEPCOR.
      (2) Reserve Training (RT) was a standalone appropriation; beginning in
FY19 it will be a program/project/activity (PPA) within the O&S appropriation.
This change will not have any substantive changes to the RT budget, though
financial managers will notice changes to the format of lines of accounting (LOA)
associated with RT. Additional details will be released via SEPCOR.
5. CAS PHASE 2: The Coast Guard’s final move to CAS is planned for the start of
FY 2021 on 01Oct20. The final move to CAS will be implemented simultaneously with
the Coast Guard’s modernized financial management system. Although these two
initiatives are not directly related, it would be difficult to implement them on
separate timelines. COMDT (CG-8) is working closely with our DHS counterparts to
finalize the remaining changes required to achieve full CAS implementation.
Updates on CAS will be posted to the Common Core CG Portal site:
http://cglink.uscg.mil/378bfb62. An additional ALCOAST will be released once
CAS PHASE 2 is approved.
6. Point of Contact: LCDR Justin H. Gordon, COMDT (CG-831), 202-372-3569.
7. RDML T. G. Allan Jr., Assistant Commandant for Resources and Chief Financial
Officer (CFO), sends.
8. Internet release is authorized.