FY07 Budget Formulation Workshop

1. FY07 Budget Formulation Workshop January 20, 2004

2. FY 2007 Federal Budget Cycle Allocation January Congressional Resolution Congressional Appropriation OMB Apportionment President’s Budget December OMB Recommendation DOE Distribution September DOE Review & Consolidation LBNL Approved Funding Program April LBNL Budget Request Contract 98 Modification FY 2005 Budget Formulation FY 2006 Congressional Review FY 2007 Execution

3. FY07 Budget Formulation • Includes Budget Projections for: • FY05 through FY07 for OPE, EQU, and WFO • FY05 through FY11 for Construction • Key Dates: • Field Work Proposal (FWP) Preparation • PMTS Data EntryMarch 7, 2005 • FWP Hardcopy SubmissionMarch 7, 2005 • Supplementary Submissions and Crosscuts TBD • ValidationMay 2005 • Affected divisions will be notified by March 1 • ePME Update: • ePME is currently in testing. Divisions will not be required to submit information through ePME for the FY07 Formulation.

4. DOE PMTS Data Requirements • Exclude DOE Integrated Contractors • If you are generating your FWPs out of PMTS - • Populate all fields in the PMTS Budget Formulation Screen • If you are generating your FWPs offline – • The essential fields that must be populated for each project in PMTS are: • Division • PI • Project Title • B&R • BA and BO $ amounts for appropriate years • Projects must be in complete status in PMTS to be included in submission

5. DOE FWP Requirements • Provide single FWP to the Budget Office • No copies are required • Front page of FWP must include original signature of Division Director or their documented designate • All FWPs must include at least one Nepa/Ceqa and AHU form • FWPs with multiple PI’s or locations will have multiple forms • Nepa/Ceqa and AHU forms must completely filled out, with original PI signatures • FWPs will not be accepted without a completed checklist • Proposals received after the Formulation Deadline will be submitted as out-of-cycle

6. WFO PMTS Data Requirements • The fields that must be populated for each WFO project in PMTS are: • Division • Project Title • B&R • BA and BO $ amounts for appropriate years (FY05, FY06, FY07) • Sponsor • Overhead Treatment Code • Use 1 for projects with FAC • Use 2 for projects without FAC • WN Projects should include a one line releasable project description and Proposal ID • No hard copy submission is required for WFO projects

7. Budget Request Estimates • Should be in fully burdened K$ • Should be escalated based on approved LBNL forward pricing rates • Should reflect a drawdown on GSO where appropriate • Budget Authority (BA) • Authority provided by law to enter into obligations that will result in immediate or future outlays of Federal Government funds. • Budget Authority in PMTS should be your funding request by year • (On FWP form = 22 a. Total Obligations) • Budget Outlay (BO) • The issuance of checks, disbursement of cash, or electronic transfer of funds made to liquidate a federal obligation. • Budget Outlay in PMTS should be your anticipated cost by year • (On FWP form = 22 b. Total Costs)

8. BA BO Calculation Examples Reflect drawdown on GSO where appropriate DOE WFO B&R’s 40 and WN DOE Mods BA at beginning of contract, based on full contract value. WFO B&R’s 60 and 65 DOE Mods BA throughout contract, based on costs billed to Sponsor. Assume BO=BA

9. Submission Quality - WFO Content Cost Ceilings are the annual limit on funding (BA) LBNL may receive from non DOE sponsors in a fiscal year. • The Cost Ceiling limit is calculated by fund type, based on LBNL’s Budget Formulation submission • If the Ceiling is reached before the end of the fiscal year, there is the potential risk that LBNL may have to refuse or delay a sponsored project • Please review your aggregate submission by year and fund type and consider place holder projects where appropriate

10. Submission Quality - DOE Content • Our Budget Formulation estimates are included in DOE’s submission to Congress • Summary Budget Formulation reports based on the information entered into PMTS are used for Institutional Analysis • Copies of Field Work Proposals go to our Site Office, our Ops Office, DOE HQ, and Lab Management • Budget estimates should have supportable and documented methodologies and should go through appropriate management reviews • Every FWP that we generate should be ready to successfully pass a DOE Validation !!! ‘The Business Services Division mission is to deliver professional business services that are cost effective and in compliance with best business practices and standards. The Business Services Division supports the Laboratory mission by promoting accountability at all levels. The Business Services Division will maintain trustworthy and transparent relationships with internal and external customers and stakeholders.’

11. Submission Quality - DOE Format True Life FY06 Budget Formulation Horror Stories • Forms have been filled out and submitted using creative medium, including, but not limited to orange crayon • Original FWPs have been received where the Division Director’s red edit marks and comments critiquing the FWP were included • Nepa/Ceqa forms have been submitted that appeared to have been “doctored” • The signature was clearly a Xerox, and the location had been whited out and a new one written in • Last year’s submission (April 2004) included the April 1st dates of 2000, 2001, 2002 and 2003 For FY06 there was an 80% FWP failure rate due to easily avoidable administrative issues

12. Submission Quality - DOE Format Most Common Errors • Check the submission and signature dates on every page – they should be April 1, 2005 • Prior year submissions need to be updated to reflect our new Operations Office and DOE Org Code if you are going to resubmit them (PMTS and the Excel and Word templates on the web have already been updated) • Each page of the FWP should include “Lawrence Berkeley National Laboratory” and the FWP # in the header • Every FWP should have at least one Nepa/Ceqa and AHU form • Make sure the form has been completely filled out and has an original PI signature • Room number or building ID is not sufficient, please identify if it is LBNL or UCB • We have had staffing changes in the BSO, please update box 9. with the appropriate Ops Office Reviewer (updated list is on the web)

13. Submission Quality - DOE Format Top 5 Suggestions for Successful FWPs! • Plan now to make sure your PI’s will be available to sign necessary forms • Allow enough time in your due dates to PI’s for adequate divisional review and editing • Have a fresh pair of eyes check for formatting issues before submission to the Budget Office • If PI’s are using Word or Excel FWP formats and resubmitting them every year, review them in advance to make sure header and front page information has been updated • Actually use the checklist instead of just checking off the boxes

14. Budget Books • In the Table of Contents: • Project Title will appear as it is listed on the FWP • If multiple PI’s are involved, we will use the name of the first PI listed on the FWP • We will be sending out a request in February for each division to indicate the number of books required • Budget Books will be distributed in May

15. Budget Formulation Web Page • http://www.lbl.gov/Workplace/FSM/BudgetFormulation.htm • 1/20/05 the Budget Formulation Web Page will include: • Forms: FWP (Excel and Word), Checklist, Nepa/Ceqa, AHU … • Updated DOE Reviewer List • PMTS Training Reference • Forward Pricing Rates • FWP Instructions • PMTS Link • Please bookmark new location • http://pmts.lbl.gov

16. Questions ?