Property, Plant and Equipment • Recent financial statement audits identified significant deficiencies • Need to write-on PP&E assets that should have been capitalized in prior years • PP&E not moved in a timely manner from CWIP balances to completed PP&E SGLs • PP&E Best Practices Guide placed on the iPortal earlier in the year • PP&E CWIP projects accounting for 80% of allottees’ CWIP balances for FY 2009 submitted to HQ and placed on the iPortal for subsequent review and analysis • Beginning with FY 2010 3rd Quarter and Year-end, PP&E reports will be posted on the iPortal for each allottee • Beginning with FY 2010 3rd Quarter and Year-end, the iPortal PP&E reports must be reviewed, analyzed and results submitted to HQ • This review only applies to PP&E not covered by the EFASC’s “Annual Fixed Asset Review” for FY 2010 • • • PP&E Best Practices Guide Risks and Controls Identified PP&E SGL accounting scenarios presented Capitalization practices presented • • • • • • Managing the CWIP account • • • • Need to develop best practice Management Use of PP&E Accounting Data  • Defining completion/beneficial occupancy for accounting purposes Annual CWIP review Establishing useful lives Disposition of Assets • • Establishing thresholds Object class codes Distinguishing capitalizable betterments/improvements from maintenance Capitalized direct funded Safeguards and Security costs Write-on of assets vs recording corrections of errors Need to identify best practices demonstrating the utilization of PP&E accounting data to improve DOE’s operational performance and stewardship responsibilities Deferred Maintenance Reporting PP&E - CWIP for Allottee XX Template Analysis Questions PP&E - CWIP for Allottee XX Template Analysis Questions PP&E - CWIP for Allottee XX Template Analysis Questions Major PP&E CWIP Projects • • • • • List of projects for FY 2009 found on iPortal at B - Field Submissions & Data Calls; B - PP&E - CWIP - DATA CALLS; A - FY09-Guidance-Data Calls; “iPortal PPE 80-20” FY 2010 list of projects needs to be developed for rd and 4th Quarter using the “CWIP Response Template 1A-D” worksheet within the “PP&E – CWIP for Allottee XX” template found on the iPortal at B - Field Submissions & Data Calls; B - PP&E CWIP - DATA CALLS Please mark spreadsheet as June 30, 2010 or September 30, 2010, and save your respective file on the iPortal All columns on template should be completed OFCR will compile the Major DOE CWIP projects list (based on allottee input) and place on iPortal PP&E - CWIP for Allottee XX Template CWIP Response Template 1A-1D PP&E Reports Balance Sheet PP&E Changes • Purpose: To provide Balance Sheet data by Allottee and Reporting Entity • • • Use this report to answer questions 2A, 2B and 2C This report is filterable by Reporting Entity The report has Prior Year and Current Year amounts, Fluctuation amount and a Fluctuation Percentage Columns G, H and I are calculations showing if answers are needed for questions 2A, 2B and 2C respectively Column G is using $10 Million and 15% as the criteria but this may change Double-click on any amount to see the entries related to that amount • • • PP&E - CWIP for Allottee XX Template Balance Sheet PP&E Changes 2A-2C PP&E Reports Depreciation Pivot • Purpose: To provide Depreciation data by Allottee, Program and Reporting Entity • • • Use this report to answer questions 3A, 3B, 3C and 3D This report is filterable by Reporting Entity and Program The report has Prior Year and Current Year amounts, Fluctuation amount and a Fluctuation Percentage Columns G, H and I are calculations showing if answers are needed for questions 3B, 3C and 3D respectively Column G is using $10 Million and 15% as the criteria but this may change Double-click on any amount to see the entries related to that amount • • • 10 PP&E - CWIP for Allottee XX Template Depreciation Pivot 3A-3D 11 PP&E Reports PP&E Roll Forward Report • Purpose: To provide the PP&E Roll Forward Report by Allottee and Reporting Entity • • • Use this report to answer questions 4A, 4B and 4C Currently obtained from SMART Trial Balance Report Field Office Reporting Entities have been grouped together while the IC’s are listed separately The report is filterable by Allottee and Reporting Entity A conditional format is on line to highlight all negative amounts and on line to highlight all positive amounts in red Double-click on any amount to see all of the SMART Trial Balance entries related to that amount • • • 12 PP&E - CWIP for Allottee XX Template PP&E Roll Forward 4A-4C 13 PP&E Reports PP&E Trading Partner Analysis • Purpose: To provide a Trading Partner breakdown for Line • • • Use this report to answer question 4D The report is filterable by Allottee and Reporting Entity Double-click on any amount to see all of the SMART Trial Balance entries related to that amount 14 PP&E - CWIP for Allottee XX Template PP&E Trading Partner Analysis 4D 15 PP&E Analysis and Confirmation • • • Using the above tools, field offices should respond to the questions found on the iPortal All questions must be considered and should no response be applicable, please answer with N/A Complete the statement found at the bottom of the analysis questions for the PP&E GAAP Confirmation 16