[Federal Register Volume 78, Number 188 (Friday, September 27, 2013)]
[Notices]
[Pages 59726-59727]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-23548]
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OFFICE OF MANAGEMENT AND BUDGET
Interim Final Appendix D of OMB Circular No. A-123,
``Management's Responsibility for Internal Control,'' and Suspension of
Application of OMB Circular No. A-127, ``Financial Management Systems''
September 27, 2013.
ACTION: Notice.
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SUMMARY: OMB Circular No. A-123, ``Management's Responsibility for
Internal Control,'' defines management's responsibility for internal
control in Federal agencies. OMB Circular No. A-127,''Financial
Management Systems,'' previously prescribed policies and
[[Page 59727]]
standards for executive departments and agencies to follow in
developing, operating, evaluating, and reporting on financial
management systems. OMB is issuing this interim final version of a new
appendix, Appendix D, to Circular A-123, to provide a framework for
determining compliance with the Federal Financial Management
Improvement Act (FFMIA) of 1996, bringing financial systems policy into
greater alignment with financial management policy in Circular A-123
and with general IT guidance contained in OMB Circular No. A-130,
``Management of Federal Information Resources.'' The new appendix to
Circular A-123 supersedes, and makes it no longer necessary to
maintain, Circular A-127. Accordingly, OMB is suspending application of
Circular A-127.
DATES: The interim final version of Appendix D to OMB Circular No. A-
123 is effective October 1, 2013. Comments on the interim final
revision must be received on or before October 31, 2013.
ADDRESSES: Comments must be submitted electronically at
www.regulations.gov. In submitting comments, please search for recent
submissions, which includes the full text of the new appendix to
Circular A-123, and submit comments there.
To View This Issuance: The complete text of Appendix D of Circular
A-123 is available on the OMB Web site at http://www.whitehouse.gov/sites/default/files/omb/memoranda/2013/m-13-23.pdf under ``Memoranda
2013.'' Copies of the OMB Circulars that are discussed in this notice
are available on OMB's Web site at http://www.whitehouse.gov/omb/circulars_default/.
FOR FURTHER INFORMATION CONTACT: For further information about this
interim final action, contact Michael S. Wetklow, Chief,
Accountability, Performance, and Reporting Branch within OMB's Office
of Federal Financial Management ([email protected]).
SUPPLEMENTARY INFORMATION: OMB is issuing a new appendix, Appendix D,
to Circular A-123. The new appendix states new requirements for
determining compliance with the FFMIA. In particular, the new appendix:
Replaces ``check the box'' compliance approaches with an
outcome based approach to assess FFMIA compliance and establishes a
series of financial management goals that are common to all Federal
agencies;
Removes unnecessary financial management system
requirements that drive complexity and cost and focuses on requirements
that emphasize the Federal Government's business and information needs;
Eliminates the lengthy and resource intense financial
system software test and certification program as well as the
requirement that financial management system requirements be met
through a single technology product and emphasizes the deployment of
newer, cost-effective technology through shared service approaches; and
Solidifies the Department of the Treasury's role in
achieving Government-wide financial systems policy goals by adding
responsibilities (1) to develop and maintain, in coordination with OMB
and Federal agencies, Federal financial management system requirements
and (2) to publish the requirements in the Treasury Financial Manual.
The new appendix builds on recent policies, including OMB
Memorandum M-10-26 of June 28, 2010, Immediate Review of Financial
Systems IT Projects (http://www.whitehouse.gov/sites/default/files/omb/assets/memoranda_2010/m-10-26.pdf), and Memorandum M-13-08 of March
25, 2013, Improving Financial Systems through Shared Services (http://www.whitehouse.gov/sites/default/files/omb/memoranda/2013/m-13-08.pdf).
The new appendix is effective October 1, 2013. The new appendix
supersedes, and makes it unnecessary to maintain, Circular A-127.
Accordingly, OMB is suspending application of Circular A-127.
Norman S. Dong,
Deputy Controller.
[FR Doc. 2013-23548 Filed 9-26-13; 8:45 am]
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