B-147752, MAR. 15, 1962

B-147752: Mar 15, 1962

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TO THE SECRETARY OF DEFENSE: IT IS NOW THE POLICY OF THIS OFFICE TO REQUIRE ACCOUNTS OF ACCOUNTABLE OFFICERS OF THE DEPARTMENTS OF THE ARMY. WE HAVE ADOPTED A POLICY. CONTRACTS OR OTHER DOCUMENTS WHICH ARE NOW REQUIRED TO BE SUBMITTED TO OUR MILITARY AUDIT BRANCHES. IT WOULD BE THE RESPONSIBILITY OF THE MILITARY SERVICES TO DETERMINE THAT ACCOUNTS ARE COMPLETE. CONTENTS ARE PROPER. SCHEDULES OR SUPPORTS ARE IN AGREEMENT AND THAT VOUCHERS. CONTRACTS AND OTHER DOCUMENTS ARE ARRANGED IN SUCH MANNER AS MAY BE REQUIRED FROM TIME TO TIME IN CARRYING OUT PRESCRIBED AUDIT PROGRAMS OF THE GENERAL ACCOUNTING OFFICE. IT IS TO BE UNDERSTOOD THAT REPRESENTATIVES OF THE GENERAL ACCOUNTING OFFICE WILL HAVE UNRESTRICTED ACCESS TO ALL BOOKS.

B-147752, MAR. 15, 1962

TO THE SECRETARY OF DEFENSE:

IT IS NOW THE POLICY OF THIS OFFICE TO REQUIRE ACCOUNTS OF ACCOUNTABLE OFFICERS OF THE DEPARTMENTS OF THE ARMY, NAVY AND AIR FORCE, AND THE MARINE CORPS, INCLUDING VOUCHERS, CONTRACTS AND OTHER DOCUMENTS, TO BE SUBMITTED TO OUR ARMY, NAVY, AIR FORCE AND MARINE CORPS AUDIT BRANCHES LOCATED AT THE MILITARY FINANCE CENTERS IN FORT BENJAMIN HARRISON, INDIANA; CLEVELAND, OHIO; DENVER, COLORADO; AND WASHINGTON, D.C. IN ADDITION, OUR ARMY AUDIT BRANCH AT FORT BENJAMIN HARRISON, INDIANA, NOW HAS CUSTODY OF FISCAL ACCOUNTS OF DEPARTMENT OF THE ARMY DISBURSING OFFICERS COVERING THE PERIOD JULY 1, 1942, TO DATE AND DEPARTMENT OF THE AIR FORCE DISBURSING OFFICERS ACCOUNTS FROM JULY 1, 1948, TO MARCH 31, 1951.

UNDER THE PROVISIONS OF THE ACCOUNTING AND AUDITING ACT OF 1950, 31 U.S.C. 67 (B), WE HAVE ADOPTED A POLICY, WITH RESPECT TO MOST CIVILIAN AGENCIES OF THE GOVERNMENT, OF TRANSFERRING THE FUNCTION OF RECEIPT, MAINTENANCE AND CUSTODY OF ACCOUNTABLE OFFICERS ACCOUNTS TO THE ADMINISTRATIVE AGENCIES. CONSISTENT WITH THIS POLICY, WE PROPOSE THAT, EFFECTIVE WITH THE ACCOUNTING PERIOD BEGINNING JULY 1, 1962, ALL ACCOUNTS OF ACCOUNTABLE OFFICERS OF THE DEPARTMENTS OF THE ARMY, NAVY AND THE AIR FORCE, AND THE MARINE CORPS, INCLUDING VOUCHERS, CONTRACTS OR OTHER DOCUMENTS WHICH ARE NOW REQUIRED TO BE SUBMITTED TO OUR MILITARY AUDIT BRANCHES, BE SUBMITTED TO AND RETAINED BY THE FOUR MILITARY SERVICES AT THEIR RESPECTIVE FINANCE CENTERS OR OFFICES. THEREAFTER, IT WOULD BE THE RESPONSIBILITY OF THE MILITARY SERVICES TO DETERMINE THAT ACCOUNTS ARE COMPLETE, CONTENTS ARE PROPER, SCHEDULES OR SUPPORTS ARE IN AGREEMENT AND THAT VOUCHERS, CONTRACTS AND OTHER DOCUMENTS ARE ARRANGED IN SUCH MANNER AS MAY BE REQUIRED FROM TIME TO TIME IN CARRYING OUT PRESCRIBED AUDIT PROGRAMS OF THE GENERAL ACCOUNTING OFFICE.

IN CONTINUANCE OF THE HIGHLY SATISFACTORY WORKING RELATIONSHIP PREVAILING AT THE FINANCE CENTERS, IT IS TO BE UNDERSTOOD THAT REPRESENTATIVES OF THE GENERAL ACCOUNTING OFFICE WILL HAVE UNRESTRICTED ACCESS TO ALL BOOKS, ACCOUNTS, FINANCIAL RECORDS, REPORTS, FILES AND ALL OTHER PAPERS IN USE BY THE FOUR MILITARY SERVICES WHICH ARE NECESSARY TO FACILITATE OUR AUDIT. ALSO, VOUCHERS, CONTRACTS, SCHEDULES, ACCOUNTS CURRENT OR STATEMENTS OF TRANSACTIONS THAT HAVE BEEN AUDITED BY THE OFFICE WOULD BE RETAINED BY THE DEPARTMENTS AT THEIR RESPECTIVE FINANCE CENTERS AS LONG AS THEY ARE NEEDED. AFTER THEY HAVE SERVED ALL ADMINISTRATIVE AND AUDIT PURPOSES, THEY MAY BE TRANSFERRED, SUBJECT TO THE PRIOR APPROVAL OF THIS OFFICE OF AN OVER ALL RECORDS MANAGEMENT PROGRAM, TO FEDERAL RECORDS CENTERS OPERATED BY THE GENERAL SERVICES ADMINISTRATION OR TO ESTABLISHED AGENCY RECORDS CENTERS OR RECORDS HOLDING AREAS WITHIN THE CONTINENTAL UNITED STATES.

WE PROPOSE, ALSO, THAT, IF THE DEPARTMENT OF THE ARMY HAS CONTINUING NEED, THE FISCAL ACCOUNTS AND SUPPORTING CONTRACTS OF ARMY DISBURSING OFFICERS ACCOUNTS COVERING THE PERIOD JULY 1, 1942, TO THE PRESENT TIME AND AIR FORCE DISBURSING OFFICERS ACCOUNTS FROM JULY 1, 1948, TO MARCH 31, 1951, NOW HOUSED IN THE ARMY FINANCE CENTER, FORT BENJAMIN HARRISON, INDIANA, UNDER THE CUSTODY OF THIS OFFICE, BE TRANSFERRED TO THE DEPARTMENT OF THE ARMY AS AN AGENT OF THE GENERAL ACCOUNTING OFFICE. THESE RECORDS WOULD BE UNDER THE PHYSICAL CUSTODIANSHIP OF THE CHIEF OF FINANCE, DEPARTMENT OF THE ARMY, WHO WOULD ASSUME RESPONSIBILITY FOR THE PRESERVATION OF THE RECORDS WITH THE UNDERSTANDING THAT THE RECORDS WILL REMAIN THE PROPERTY OF THIS OFFICE AND WILL NOT BE DISPOSED OF WITHOUT THE APPROVAL OF THIS OFFICE. IF IT IS DETERMINED THAT THE RECORDS ARE NO LONGER NEEDED BY THE DEPARTMENT OF THE ARMY, WE INTEND TO TRANSFER THEM TO A GENERAL SERVICES ADMINISTRATION FEDERAL RECORDS CENTER.

WE HAVE DISCUSSED THIS MATTER INFORMALLY WITH REPRESENTATIVES OF THE ASSISTANT SECRETARY OF DEFENSE (COMPTROLLER), AND IT IS UNDERSTOOD THAT THERE ARE NO OBJECTIONS TO OUR PROPOSALS. THERE WILL, OF COURSE, BE SOME DETAILS TO BE WORKED OUT BY MUTUAL AGREEMENT, PARTICULARLY WITH RESPECT TO THE DISPOSITION OF A LARGE NUMBER OF VOUCHERS IN THE ARMY AND AIR FORCE ACCOUNTS FOR THE PERIOD OCTOBER 1945 TO JUNE 1950 THAT ARE NOW ELIGIBLE FOR DISPOSAL UNDER THE 12-YEAR RETENTION AND DISPOSAL STANDARDS APPROVED IN 1952 BY THE JOINT SELECT COMMITTEE OF THE SENATE AND HOUSE OF REPRESENTATIVES ON THE DISPOSITION OF EXECUTIVE PAPERS.

REPRESENTATIVES OF OUR DEFENSE ACCOUNTING AND AUDITING DIVISION WILL BE AVAILABLE AT ANY TIME TO WORK WITH YOUR REPRESENTATIVES IN MAKING NECESSARY ARRANGEMENTS TO EFFECT THE TRANSFER OF RECEIPT, MAINTENANCE AND CUSTODIANSHIP OF MILITARY FISCAL RECORDS FUNCTIONS TO THE MILITARY DEPARTMENTS BY JULY 1, 1962.