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Mr. BENJAMIN. Give us a breakdown on that, on the $44,000 versus the $23,000.

[The information follows:]

The $23,000 shown for fiscal year 1977 represents the amounts paid to four consultants during that fiscal year. The $44,000 estimated to be spent for fiscal year 1979 and fiscal year 1980 includes the amounts paid and expected to be paid to six consultants at increased rates over those paid to consultants during fiscal year 1977.

PERSONNEL BENEFITS Mr. BENJAMIN. Also for the record, explain the personnel benefits item. Are these benefits mandated by statute? If so, please cite.

[The information follows:]

The amount requested for personnel benefits is 8.5 percent of the amount anticipated for personnel compensation and includes:

A. Payments to Civil Service Life Insurance Fund for cost of group life insurance. The government pays one-third of the cost of regular life insurance and the employee pays two-thirds under provisions of 5 U.S.C. 8707.

B. Payments to Civil Service Retirement Fund.—5 U.S.C. 8334 provides that there shall be deducted and withheld from the basic salary of each civilian officer or employee to whom this law applies an amount equal to seven percent of such basic salary as a deduction for retirement. The government matches the employee's contribution.

C. Payments for FICA Taxes. The 1978 amendments to the Social Security Act provide that beginning with calendar year 1979, FICA deductions would be 6.13 percent of the first $22,900 of wages received. The government matches the employee's contribution.

D. Payments to Health Benefits Program.-The cost of health benefit coverage for employees is shared by the employee and the government, with the government's contribution of about 60 percent of the vendor charges.

TRAVEL COSTS

Mr. BENJAMIN. Itemize your travel and projected travel expenses for fiscal year 1979. Explain the purpose and cost of each trip. Provide a projection of travel planned for fiscal year 1980.

[The information follows:)

35-533 0.79 - 36 (Pt. 2)

A

COST

PURPOSE

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Perform duties as Chairman, CASB. Estimate is for all of FY 1979.
Perform duties as Member, CASB. Estimate is for all of FY 1979.
Perform duties as Member, CASB. Estimate is for all of FY 1979.
Perform duties as Member, CASB. Estimate is for all of FY 1979.
Perform duties as Member, CASB. Estimate is for all of FY 1979.
Research on CAS 417/421 at contractors' plants.
Research on CAS 417/42) at contractors' plants.
Attend Accounting Research Convocation.
Research on CAS 417/421 at contractors' plants.
Research on CAS 417/421 at contractors' plants.
Research on CAS 417/421 at contractors' plants.
Research on CAS 417/421 at contractors' plants.
Research on CAS 417/421 at contractors' plants.
Research on CAS 417/421 at contractors' plants.
Attend National Contract Management Association Symposium.
Participate in Procurement Conference of Department of Transportation.
Research on Selling and Marketing Costs.
Research on Selling and Marketing costs and attend National Contract

Management Association Workshop.
Attend National Contract Management Association Meeting.
Research on CAS 417/421 at contractors' plants.
Research on CAS 417/421 at contractors' plants.
Speak at CAS Seminar.
Speak at Electronic Industries Association Annual Meeting re CAS.
Meet with National Association of Accountants.
Meet with National Association of Accountants.
Research on CAS 417/421 at contractors' plants.
Research on CAS 417/421 at contractors' plants.
Participate in CAS Workshop and Research on 417/421 at contractors'

plants.
Participate in CAS Workshop.
Research on CAS 417/421 at contractors' plants.
Research on CAS 4171421 at contractors' plants.
Speak at CAS Seminar.
Research on CAS 417/421 at Defense Contract Audit Agency.
Research on CAS 417/421 at Defense Contract Audit Agency.
Research on Cost/Benefit Study.
Research on Cost/Benefit Study.
Speak at Army Logistics Management Center.
Monitor Defense Contract Audit Agency Training Course.
Speak to Air Force Contract Management Division Course.
Speak to joint conference of Defense Contract Audit Agency and

Air Force Contract Management Division.
Speak to Professional Military Comptrollers' School.
Speak to National Association of Retired Employees and Association

of Government Accountants re CAS.

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ABBREVIATION: CAS (Cost Accounting Standards )

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Attend American Institute of Certified Public Accountants meeting

and speak to Association of Government Accountants re CAS.
Speak to Association of Government Accountants re CAS.
Speak to Association of Government Accountants re CAS.
Attend meeting of Price Waterhouse re CAS.
Speal co Association of Government Accountants re CAS.
Speak to Association of Government Accountants re CAS.
Speak to Association of Government Accountants re CAS.
Research on CAS 417/421 at contractors' plants.
Research on CAS 417/421 at contractors' plants.
Speak at National Association of Accountants/Association of

Government Accountants meeting.
Research on CAS 417/421 at contractors' plants.
Research on CAS 4171421 at contractors' plants
Research on CAS 417/421 at contractors' plants.
Research on CAS 417/421 at contractors' plants.
Meeting with CASB re Cost/Benefit Study.
Meeting with CASB re Cost/Benefit Study.
Meeting with CASB re Cost/Benefit Study.
Meeting with CASB re Cost/Benefit Study.
Meeting with CASB Staff re Joint Product Costing.

190 130 141

122

122 122 210

$24,924

The above itemization covers the first 5 months of FY 1979. It is

anticipated that the remaining 7 months of FY 1979 will require more travel

funds (about $45,000) to cover meetings with contractors on potential

Standards; many contractors were unable to meet with the staff because of the holiday season and closing of their books for Calendar Year 1978.

We anticipate that travel costs for FY 1980 will be about the same

($70,000) and for similar purposes as itemized above.

ABBREVIATION: CAS (Cost Accounting Standards)

TELEPHONE EXPENSES

Mr. BENJAMIN. For the record, are telephone expenses covered under item 23? If so, explain the long distance telephone service provided. Is it FTS, WATTS or other? How are your long distance calls controlled?

[The information follows:]

Telephone expenses are covered under object class 23. Long distance telephone calls are placed over FTS or commercial lines. When FTS lines are not open and we have an urgent need to place the call, it is placed over the commercial line. Regarding controlling personal long distance telephone calls, all employees are required to either charge the call to his home phone number, or reimburse the government for the charge.

OFFICE SPACE

Mr. BENJAMIN. How much total space is presently leased by the CASB?

Mr. SCHOENHAUT. None. We are in the GAO Building. We don't lease any space.

Mr. BENJAMIN. The GAO doesn't charge you for your space?

Mr. SCHOENHAUT. GSA does, charges GAO for the GAO space and our space, and we reimburse the GAO for our portion.

Mr. BENJAMIN. And how much is that?
Mr. SCHOENHAUT. About $70,000.
Mr. BENJAMIN. For how much space?
Mr. SCHOENHAUT. I don't recall offhand.
Mr. BENJAMIN. Would you supply that for the record, please.
[The information follows:]

The Cost Accounting Standards Board currently has approximately 9,500 square feet of space.

Mr. BENJAMIN. There is no lease arrrangement as such between you and the GAO?

Mr. SCHOENHAUT. No, sir.

Mr. BENJAMIN. Also for the record, indicate whether your space needs have been evaluated by GSA. How do your space needs compare with GSA guidelines? Have you inquired concerning occupying space in one of the House or Senate buildings or annexes?

[The information follows:) No. GSA has not evaluated space needs. Application of the GSA guidelines for space for personnel in grades GS 1 through 18 to CASB staff indicates that a total of 5,185 square feet is recommended. The actual space occupied by personnel covered by the guidelines is 5,704 square feet. Approximately 3,800 additional square feet have been assigned to the CASB by GAO. This additional space consists of internal corridors, a conference room, the executive office, a library and file room, duplicating room, reception area and miscellaneous supply and storage areas. Additionally because 3 staff positions are currently unfilled 750 square feet of space is vacant

Since the CASB is housed entirely within the GAO building, no consideration has been given to relocating in other Government office space such as House or Senate Buildings or Annexes.

Mr. SCHOENHAUT. No.
Mr. BENJAMIN. Even though you are an agent of the Congress?
Mr. SCHOENHAUT. So is the GAO and they have a whole building.

Mr. BENJAMIN. The GAO is a larger agency. They have 5,400 employees. I assume you could be accommodated.

PRINTING AND REPRODUCTION Your printing and reproduction costs in fiscal year 1977 were $10,000. For fiscal year 1980 you request $23,000, an increase of 130 percent in 3 years.

Would you tell us basically what printing and reproduction costs have increased?

Mr. SCHOENHAUT. We have these discussion papers, issues papers, questionnaires, staff draft standards, all of which take place during various parts of the research that require dissemination to some 1,500 parties that are on our mailing lists and have indicated a desire to respond to anything we produce. Mr. BENJAMIN. 1,400 or 1,500?

Mr. SCHOENHAUT. I think somewhere between 1,400 and 1,500, and so that that mailing list is constantly going up, and so is the cost of printing, those kinds of things. Mr. BENJAMIN. How many draft standards do you have? Mr. SCHOENHAUT. Six at the moment.

Mr. BENJAMIN. Provide information concerning your printing expenses for each quarter of calendar year 1978 and provide a general description of the printing expenditures to date. What printing is contemplated for fiscal year 1980?

Do that for the record.
[The information follows:]

The printing expenses for each quarter of fiscal year 1978 were: 1st quarter ...............................................................................................

$2,021 2d quarter ...

4,721 3d quarter

5,236 4th quarter...............

5,645 Total.

17,623 Printing expenditures are for discussion papers, questionnaires and draft standards which are widely circulated for comment as part of the Board's research process. Printing costs are also incurred for items such as the Board's annual progress report and Federal Register publications which are required by Public Law 91-379. The printing during 1980 will be in essentially the same categories.

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OTHER SERVICES Mr. BENJAMIN. Also for the record explain other services. In fiscal year 1977, $157,000 was spent on this item. In fiscal year 1978 you estimated your expenses to be $200,000. You spent $60,000. This year you request $188,000. Explain your request in detail. If it includes professional and consulting services list the name of each person and firm contracted within fiscal year 1978 and for the first quarter of fiscal year 1979. List the monies paid to each, the date of contract and a description of the service rendered.

[The information follows:)

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