1. Regional Controls Development Presenter: Denise M. Flournoy, CDFM-A, PMP Supervisory Financial Management Analyst/ BUMED M83

2. Context/Purpose/Outcome An opportunity exists to establish an enterprise wide common understanding of the factors and processes related to Regional control development Context Purpose Outcome Provide M83 external customers visibility into the process used to develop Regional controls Establish an enterprise wide understanding of the factors and processes contributing to the development of Regional controls Identify ways we can partner together to improve the overall process 2

3. Agenda Controls Internal and External Factors Impacting Controls BUMED HQ Process Way Ahead Questions 3

4. Controls 4 Purpose Controls identify the level of resources available to accomplish mission requirements Common Misconceptions Controls are consistent with prior year execution Controls are consistent with perceived requirements Controls are “set in stone”

5. External Factors Impacting Controls 5 Budget Process Congressional Actions Supplemental Funding Program Reductions -Executive Order -OMB Directives -SECDEF Efficiencies Execution Baseline Position (EBP) Mid-Year Review

6. Internal Factors Impacting Controls 6 BAG and PE Limits Program Manager Recommendations PDHRA/WII/TBI-PH OCO Special Projects Historical Execution Patterns

7. BUMED HQ Process 7 1. Receive PB Controls From TMA 2. Analyze and Implement Results of Internal and External Factors 3. Develop Walks from Year-to-Year by Issue and Bag 4. Spread Funding to Regions at the BAG and PE Level 5. Track Adjustments to Controls via BAERS (O&M DHP Issue Module) 6. Adjust Controls Throughout the Year as Needed

8. 8 BUMED HQ Process Bag 7 Demonstration

9. BSO Controls by BAG 9 FY12 Controls: TotalsIHCCHSIMITMAEDTBOSSource FY11 PB Position3,277,969.02,155,189.0183,563.0142,810.024,967.0164,014.0607,426.0Navy 12 PB O&M.xls EBP Adjustment(43,259.0)(112,283.0)40,911.026,782.01,101.012,761.0(12,531.0)Navy 12 PB O&M.xls 100% FSM10,174.00.0 10,174.0Navy 12 PB O&M.xls GME Realignment(1,224.0)0.0 (1,224.0)0.0Navy 12 PB O&M.xls Clear and Legible Reports3,727.0 0.0 Navy 12 PB O&M.xls AFIP Correction761.00.0761.00.0 Navy 12 PB O&M.xls RMD #700 - DFAS Rate Adjustment(194.0)0.0 (194.0)Navy 12 PB O&M.xls RMD #700 - DFAS Baseline Review(279.0)0.0 (279.0)Navy 12 PB O&M.xls RMD #700 - Med Supply Chain Optimization(2,444.0) 0.0 Navy 12 PB O&M.xls RMD #700 - Advisory & Assistance Svcs Reduction (77.0)0.0(77.0)0.0 Navy 12 PB O&M.xls RMD #700 - Svc Support Contract Reduction(7,936.0)(1,304.0)(191.0)0.0(118.0)(3,378.0)(2,945.0)Navy 12 PB O&M.xls RMD #700 - Medical Installation Transer(62,017.0)0.0(4,664.0)(1,793.0)0.0 (55,560.0)Navy 12 PB O&M.xls RMD #700 - OCO to Base for Ind Augmentees26,470.0 0.0 Navy 12 PB O&M.xls RMD #700 – WRNMMC25,000.0 0.0 Navy 12 PB O&M.xls RMD #702 - CIVPERS Rate Adjustment(31,621.0)(20,595.0)(4,335.0)(1,425.0)(634.0)(819.0)(3,813.0)Navy 12 PB O&M.xls RMD #702 - Non-Pay/Non-Fuel Rate Adjustment2,681.0 0.0 Navy 12 PB O&M.xls RMD #702 - Foreign Currency Rate Adjustment1,161.0 0.0 Navy 12 PB O&M.xls RMD #703 - Pharmacy Copays2,721.0 0.0 Navy 12 PB O&M.xls FY12 PB Position3,201,613.02,080,323.0215,968.0166,374.025,316.0171,354.0542,278.0

10. BSO Controls by PE 10 FY 2010FY 2011FY 2012FY 2013FY 2014FY 2015FY 2016 Base Operations/Communications 0806276 Facilities Restoration and Modernization - CONUS152,66099,43239,93440,54341,28542,04042,809 0806376 Facilities Restoration and Modernization - OCONUS12,15724,00235,24635,89136,54837,21637,898 0806278 Facilities Sustainment - CONUS Health Care107,39483,947107,034108,806110,625112,474114,357 0806378 Facilities Sustainment - OCONUS Health Care15,41227,50719,47319,82820,19120,56220,939 0807779 Facilities Operations - Health Care (CONUS)164,218150,075134,201136,478138,909141,382143,972 0807979 Facilities Operations - Health Care (OCONUS)19,91817,11019,21319,55719,91820,28320,654 0807795 Base Communications - CONUS19,58618,15416,93517,22617,52717,83418,159 0807995 Base Communications - OCONUS2,6263,1002,3482,3902,4342,4792,524 0807796 Base Operations - CONUS141,401142,171142,218142,851145,386147,957150,744 0807996 Base Operations - OCONUS12,86513,04712,85313,02213,25913,50113,745 0807753 Environmental Conservation046800000 0807754 Pollution Prevention03,27000000 0807756 Environmental Compliance12,3259,8409,3789,5299,6989,87110,053 0807790 Visual Information Systems4,2503,3043,4453,4683,5093,5503,614 0808093 Demolition0000000 Subtotal Base Ops/Comm664,812595,427542,278549,589559,289569,149579,468

11. Walk by Issue 11 NAVY MEDICINE EAST (BAG 7) ISSUE - BASELINEFY11 ADD 00-03FY11 - FY12 ChangesFY12 ADD 00Comments O&M Baseline Requirements87,866.3-87,866.30.0 Current baseline excludes previously included Other Engineering Support(FD),Utilities, Civpers,and Fac Sustainment M1 O&M CIVPERS Baseline 47,833.01,618.0 49,451.0 Base Ops Support-Other 11,380.0-11,380.0 0.0 Other Engineering Support (FD) 11,822.0-2,034.0 9,788.0 Central manage Environmental projects 825.9-825.9 0.0 CIVPERS Rate Adjustments0.0-1,245.0 RMD 702 CNIC Medical Installation Transfer 0.0-13,467.0 EBP Adjustments 0.0-4,607.3 POM 12 Adjustments Facility Sustainment (M1) 39,694.0234.0 39,928.0 Janitorial 13,109.7-13,109.7 0.0 Current FY12 Plan Great Lakes Building lease Transfer -1,105.00.0 -1,105.0 Applied transfer to NMSC JBSA taxes -1,241.11,241.1 0.0 Milcon Studies (FD) 1,000.0-1,000.0 0.0 Medical Backfill 0.0 267.0 PM issues not identified in FY 10 -103,558.0103,558.0 0.0 Service Support Contract Reduction -137.0-111.4 -248.4 RMD 700 Local Projects (R1) 2,240.0 Special Projects (R2,M2) 6,069.2-6,069.2 0.0 Special Project M2 0.0 Utilities (FC) 52,042.0-1,683.0 50,359.0 WII 0.0 Current FY12 Plan BOS PPS 3,100.0-3,100.0 0.0 O&M One Time Baseline Adjustment 327.0-327.0 0.0 EBP OTHER 0.015,479.5 Subtotal Baseline Funding 169,028.0-24,695.2146,839.8

12. Program Element (PE) Spread 12 RegionBAGPEIssueCategoryFY12 Total Funding ($K) NME70807995Civilian Personnel FY 12Core-Base81 NME70806378Civilian Personnel FY 12Core-Base195 NME70807756Civilian Personnel FY 12Core-Base224 NME70807979Civilian Personnel FY 12Core-Base489 NME70807795Civilian Personnel FY 12Core-Base577 NME70807790Civilian Personnel FY 12Core-Base615 NME70806278Civilian Personnel FY 12Core-Base2330 NME70807996Civilian Personnel FY 12Core-Base5395 NME70807779Civilian Personnel FY 12Core-Base9008 NME70807796Civilian Personnel FY 12Core-Base30537 NME70807796Civpers pay raise removalCore-Base-768 NME70807779Civpers pay raise removalCore-Base-226 NME70807996Civpers pay raise removalCore-Base-136 NME70806278Civpers pay raise removalCore-Base-59 NME70807790Civpers pay raise removalCore-Base-16 NME70807795Civpers pay raise removalCore-Base-15 NME70807979Civpers pay raise removalCore-Base-12 NME70807756Civpers pay raise removalCore-Base-6 NME70806378Civpers pay raise removalCore-Base-5 NME70807995Civpers pay raise removalCore-Base-2 TOTAL146,839.8

13. BSO Regional Spread 13 Total Annual Control (BAG 7) Distributed NMLC $ 2,738.5 NAVMISSA $ 3,367.5 NMRC $ 4,665.9 OTHER $ 21,530.9 NME $ 146,839.8 NMW $ 144,497.5 NNMC Bethesda $ 40,520.0 NCA Clinics $ 12,937.2 CMA Operations $ 39,875.0 HQ Operations $ 9,859.2 TOTAL - Regional Controls $ 426,831.5 Undistributed Operational Reserve $ 3,013.3 Utilities $ 16,101.0 PBB Withhold $ 10,000.0 Environmental Compliance Centrally Managed $ 5,948.0 Beneficial occupancies $ 892.0 Special Projects $ 75,136.2 OCO $ 668.0 Milcon studies $ 4,356.0 TOTAL - Undistributed $ 115,426.5 GRAND TOTAL $ 542,278.0

14. Way Ahead Ensure Proper Execution Alignment Explain and Defend Funding Requirements Execute within Fiscal Constraints (Purpose, Amount, Time) Prioritize Requirements within Fiscal Controls and Balance Shortfalls Identify Ways We Can Work Together to Improve the Overall Process 14

15. Questions Questions? Contact information: Denise Flournoy Email: Denise.flournoy@med.navy.mil Phone: (703) 681- 9449 15