NB_250_21_9 - NB 250-21-9 FNM – Fiscal Year 2021 Leased Vehicle Financial Obligation Instructions
NB 250-21-9 FNM – Fiscal Year 2021 Leased Vehicle Financial Obligation Instructions
National Bulletin: 250-21-9 Date: April 28, 2021
Subject: FNM – Fiscal Year 2021 Leased Vehicle Financial Obligation Instructions


Action Required By:   June 15, 2021
 
Purpose.   To provide allowance holders instructions on managing their leased vehicle financial obligations.   
 
Expiration Date.   September 30, 2021
 
Background.   NRCS has approximately 2,100 leased vehicles in its inventory. Leased vehicles bring recurring monthly charges that require different financial management than owned vehicles. This bulletin provides guidance on the method and timing allowance holders should use to create and monitor financial obligations for leased vehicles for fiscal year (FY) 2021.

The designated funding period for NRCS lease vehicles is June 1, 2021, through May 31, 2022. Each allowance holder must create one financial obligation to cover leased vehicle charges for this time period. New obligations for leased vehicles must contain funding to cover leasing charges through May 31, 2022. Specific instructions on creating and monitoring financial obligations for leased vehicles are provided below.
 

Explanation.   Each leased vehicle fleet allowance holder must complete the following steps:

  • Current Obligations.—Allowance holders must monitor existing obligations to ensure enough funds are on each obligation to cover leasing charges through May 31, 2021.  It is the responsibility of the allowance holder to make necessary adjustments to current obligations prior to the billing of May leasing charges, which will be billed against each allowance holder’s obligation on or around June 21, 2021.  Allowance holders with an excess of funding on their existing obligations after the May statement clears should read the section below titled “Special Instructions for Allowance Holders with Funds Remaining on Obligations Created in FY 2020.”

  • New 12-Month Period Obligations.—Leased vehicle fleet allowance holders must establish a new obligation to cover charges for leased vehicles for the period of June 1, 2021, through May 31, 2022.  New obligation requests must be sent to the Farm Production and Conservation (FPAC) Financial Management Division (FMD) Payment Operations Section (POS) through ServiceNow for processing at https://usdafpacbc.servicenowservices.com/fpac?id=fm_intake&sys_id=0d3a72a0dba4ab00b34efb0e0f961988, then select “Payment Operations Misc. Payments.”  Use the paperclip to attach a PDF request.

    • Allowance holders must send their new obligation request to the POS no later than June 15, 2021, so that the obligations are in place when the June charges are processed on or around July 21, 2021.  The POS request will establish the new obligation used to cover leasing charges from June 1, 2021, through May 31, 2022.  Allowance holders with leased vehicles must establish a new obligation at this time, with the exception of special provisions explained below for allowance holders who continue to use remaining funds on their existing obligations after May 31, 2021.  See the “Special Instructions for Allowance Holders with Funds Remaining on Obligations Created in FY 2020” section below.

    • Allowance holders must reference the assigned Billed Office Address Code (BOAC) and Fed Code in their POS request (attachment A) (see below for more information about BOACs and Fed Codes.)  If the incorrect BOAC and Fed Code are listed on the financial obligation, IPAC bills will be rejected and will require manual intervention.

    • Allowance holders should include a list of the vehicle tag numbers with the new obligation request.  This list can be obtained from the Vehicle Management Tool (VMT).  Contact your assigned fleet operations specialist in the Management Services Division for help generating your leased vehicle inventory.

    • Allowance holders should estimate their annual leasing costs by evaluating their billing history in the Vendor and Customer Self Service (VCSS) system.  Allowance holders can request help in developing their leasing cost estimate from their assigned fleet operations specialist.

    • Allowance holders should select the fund or combination of funds that represents the program or programs the lease vehicle fleet will be supporting.  Funds should be obligated proportionally to the support each program receives from the vehicle fleet.

    • Budget Object Class (BOC) 2574 must be used for all General Services Administration (GSA)-leased vehicle financial obligations.

  • Monitoring Obligation Balances.—Allowance holders must monitor their leased-vehicle financial obligations on a regular basis to ensure sufficient funds are available to cover expected charges.  Allowance holders may find it necessary to add funding or deobligate funding based on actual GSA charges.  Miles traveled, vehicle accidents, upfitting charges, and other factors affect the monthly GSA charges.  It is important that obligation amounts are in sync with actual use of leased vehicles.

  • Modifying Established Obligations.—When modifying an obligation, allowance holders should use the same funding as the original obligation.  However, if the same funding cannot be used to modify an existing obligation, a new obligation must be established using the new funding.  The allowance holder must submit a new obligation package that references the existing obligation.

Special Instructions for Allowance Holders with Funds Remaining on Obligations Created in FY 2020

Allowance holders with current obligations funds remaining after the May 2021 charges have cleared may continue to utilize these obligations to pay leasing charges until September 30, 2021, or until the obligation runs out of funds, whichever occurs first.  Allowance holders who do not wish to continue using their current obligations after May 31, 2021, must request that the remaining balance be deobligated.  Obligations from “Benefits All” (NR.CA) may not be extended.

 

Note:  Allowance holders using existing obligations to cover leasing charges after May 31, 2021, are still required to complete the actions in the “New 12-Month Period Obligations” section above, but can decrease the new obligation in accordance with the amount remaining on their existing obligation.

 

Information on BOACs and Fed Codes

The BOAC is a customer identification number assigned by GSA.  The Fed Code (sometimes called the Fund Code) is a two-digit suffix to the BOAC that agencies use to further delineate organizations to which leased vehicles are assigned.  For simplicity, NRCS uses one BOAC for all leased vehicles: 012031.  GSA will separate leasing charges on the VCSS monthly statement by Fed Code.  Allowance holders can determine which charges are theirs by looking for their Fed Code section in the monthly statement.

 

Vendor and Customer Self Service

VCSS is the online system that Federal agencies use to view their vehicle leasing charges.  Monthly statements are available in VCSS typically around the fifth day of each month.  Allowance holders should have at least one individual assigned to access VCSS on a monthly basis to monitor leasing charges and compare them to the remaining obligation balance, as described in the “Monitoring Obligation Balances” section above.  For instructions on requesting VCSS access, please see attachment B.

 
Contact.   Questions about this bulletin should be submitted to the FPAC Business Center, FMD via ServiceNow (FPAC Intake Portal)  at https://usdafpacbc.servicenowservices.com/fpac?id=fm_intake&sys_id=0d3a72a0dba4ab00b34efb0e0f961988.
 
 

 /s/

DENISE COLEMAN
Acting Associate Chief



MARGO E. ERNY
Chief Financial Officer
 

Attachment A – NRCS BOAC, Fund Code, and Office Code List

Attachment B – Requesting VCSS Access

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