OPERATING TARGET ACCOUNTING
GENERAL FUNDING AND
ACCOUNTING
Procedures for the accounting of an activity's
O P TA R a r e e x p l a i n e d i n d e t a i l i n Fi n a n c i a l
The TYCOMs issue an operating budget from the
Management of Resources (Operating Forces.),
applicable FYDP expense limitation to finance the
N AV S O P - 3 0 1 3 ; A u t o m a t e d S n a p I S u p p l y
o p e r a t i o n s , m a i n t e n a n c e , a d m i n i s t r a t ive , a n d
Procedures, volume 2; and SUADPS-RT Support
temporary additional duty (TAD) travel requirements
Procedures, Financial Management Subsystem,
of their own staff and of units assigned. Records are
volume III. All these publications are important
maintained to show the value of transactions incurred
background references for SKs involved in OPTAR
and the available balance of the operating budget,
accounting.
including the values for each OPTAR granted. In
addition, submissions of budget reports are required
THRESHOLD CONCEPT
to report the expenditures incurred by expense
elements, Each ship, aviation squadron, or command
The OPTAR holders and the DFAS in researching
issued an OPTAR is responsible for the efficient and
and verifying or correcting all transactions appearing
e ff e c t ive u s e i n c l u d i n g a c c u r a t e a n d t i m e l y
in the various transaction listings have spent much
accounting and reporting according to procedures
t i m e a n d e ff o r t . B e c a u s e o f t h e vo l u m e o f
outlined in NAVSO P-3013. Prompt action must be
transactions, significant processing delays by both
taken in the search and validation of transactions
parties have in the past resulted in unworkable
reported by the DFAS relative to the status of each
backlogs of corrections to the official accounting
OPTAR held by the command.
records. Therefore, threshold procedures have been
To accomplish these accounting and reporting
established to prevent spending undue time and effort
requirements, OPTAR holders forward copies of
on small dollar transactions for operation and
chargeable requisitions (unfilled orders) to the
maintenance material and services. The dollar level at
d e s i g n a t e d D FA S f o r r e c o n c i l i a t i o n w i t h
which the threshold is established is a management
corresponding expenditures. During the second
prerogative of the fleet commanders. Currently, the
monthly reconciliation process, unmatched
threshold is 0 per order in both Atlantic and
expenditure documents for material or services below
Pacific Fleets. Under this procedure, when a below
the dollar threshold amount established by the fleet
threshold category expenditure document (0 and
commander will be automatically threshold charged to
less) does not match with a corresponding unfilled
the OPTAR by the DFAS as a difference. Above
order document during the second monthly
threshold unmatched expenditures will also be
reconciliation process, the DFAS is authorized to
recorded to the OPTAR in the same manner. However,
lodge the charge against the OPTAR holder without
if the expenditure (debit or credit) is
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,000 or greater,
achieving a match. Expenditure documents above
the transaction will be held in suspense pending
threshold (0 and above) are charged to the OPTAR
validation by the DFAS. Expenditures applicable to
under similar procedures, if remaining unmatched
reimbursable OPTARS are exceptions to the threshold
during the second monthly reconciliation process.
concept and require reconciliation with corresponding
T h e s e a b ove a n d b e l ow t h r e s h o l d c h a rg e d
unfilled orders in every case. Since the threshold
expenditures are reported to the OPTAR holder as
charge procedure has the effect of reducing the OPTAR
part of the difference by the DFAS on the Summary
balances, threshold procedures are also applied to aged
F i l l e d O r d e r / E x p e n d i t u r e D i ff e r e n c e L i s t i n g
unfilled orders, which allow for administrative
(SFOEDL). In addition, the OPTAR holder is
cancellation and reclamation of OPTAR funds.
authorized to administratively cancel unfilled orders
when material has been received 60 days before the
Therefore, upon receipt of the various transaction
date of the Unfilled Order Listing, thereby permitting
listings from the DFAS, it is necessary that the OPTAR
recoupment of OPTAR funds on the assumption that
holder initiate the required validation and specified
either the expenditure has been threshold charged or
action to make sure the maximum use is made of the
that no expenditure document will be received. The
OPTAR funds provided. The accuracy and timeliness
0 value per line item has equal application in the
of OPTAR record-keeping and reporting determine the
review and validation or rejection of expenditures
accuracy and timeliness of financial management
charged to open operating budget transactions.
information available to each successive level of
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