FY 98 FTS Distribution Costs Date: Fri, 22 May 1998 16:05:01 -0400 To: "AO - All Administrative Officers" From: Kelly Bradley Subject: FY 98 FTS Distribution Costs Reply Requested by May 29, 1998 This is in response to the email messages regarding the FY 1998 FTS distribution costs. The increase in the costs are due to an increase in the total USGS bill and due to the fact that HQ did not pay a large portion of this bill. In the past Senior Management determined the methodology used to spread these costs in WRD by prior year funding levels versus FTE. In FY 1998 the Bureau Assessment Policy stated that FTS costs could be funded by assessments at the cost center or division level. WRD chose to charge these costs at the cost center level. This decision was recommended by the WRD internal assessment team and by the senior staff. Therefore, the FY 1998 WOTSC rate did not include funding more than the HQ share of this bill. In light of everyone's concern over the increase of the FY 1998 bill, HQ will change the distribution to pay the same amount as in FY 1997. The difference in the amount HQ covers will be requested from the Division Chief's Reserve. We will be sending a revised spreadsheet to all cost centers. The new charge to your cost center is in the highlighted column on the spreadsheet. We still request that all cost centers provide us with an account number no later than May 29, 1998. In FY 1999, please be advised that you will be charged for the amount of the actual bill for your cost center or charged based on the percent of your FY 1998 funding to the total WRD bill. (This is if the Bureau is still unable to obtain direct billing information for all locations.) HQ will be paying their portion of the bill only. To further understand the methodology being used in FY 1998 for the Bureau FTS bill, please see below the bureau costs. The Bureau spreads these cost to the Divisions based on FTE. As previously stated, senior management in WRD chose to spread the WRD cost on funding. The FY 1998 FTS bill was distributed to the divisions based on the FY 1997 fte count. In FY 1997 the other divisions had a reduction in force and buyouts which brought their fte usage for FY 1997 down. WRD fte remained constant. WRD's 40 buyouts will be calculated in the FY 1999 bill if the actual usage is not used. FY 1997 Percent FY 1998 Percent WRD 1,200 53% 1,519 46% NMD 375 17% 432 13% GD 501 22% 614 19% BRD 0 0% 501 15% DO 16 1% 21 1% OPS 137 6% 156 5% WASC 24 1% 36 1% Bureau 2,253 100% 3,279 100% If you have any further questions, please feel free to contact me at 703-648-5040 or Jackie Johnson at 703-648-5477. Thanks, Kelly