(CERP) (DFI for CERP)

A. Applicability.

1. This appendix applies to all parties involved in the receiving, disbursing, accounting for, securing, and reporting of the Development Fund for Iraq (DFI). The procedures will ensure accountability and transparency of the use of DFI funds for the Commanderís Emergency Response Program (CERP).

2. DFI for CERP will be used for the following projects:

A. Water and Sanitation
B. Food Production and Distribution
C. Agriculture
D. Electricity
E. Healthcare
F. Education
G. Telecommunications
H. Economic, Financial, and Management Improvements
I. Transportation
J. Rule of Law and Governance
K. Irrigation
L. Civic Cleanup Activities
M. Civic Support Vehicles
N. Repair of Civic and Cultural Facilities
O. Other Humanitarian or Reconstruction Projects

B. Responsibilities.

1. Coalition Provisional Authority (CPA) Comptroller. The CPA Comptroller is the DFI Account Manager (DFI AM).

2. DFI (AM). The DFI AM responsibilities include:

a. the overall financial and program accountability for the DFI for CERP;

b. appointing CPA Division Level Agents in accordance with Appendix B of this regulation; and

c. accounting and reconciling the DFI for CERP funds.

3. CPA Division Level Agent (DLA). The CPA DLA responsibilities include:

a. receiving DFI funds to support CERP missions;

b. advancing DFI funds to CPA Field Paying Agents (FPAs); and

c. clearing his account with the DFI AM.

4. CPA Field Paying Agent (FPA). The CPA FPA responsibilities include:

a. issuing payments to designated entities (individuals and/or businesses); and

b. clearing his account with the CPA DLA.

5. 336th Finance Command (FINCOM). In coordination with the DFI Account Manager, the 336th FINCOM is responsible for coordinating the delivery date and location where money is to be delivered to allow for a maximum force protection posture keeping in mind customs, requirements and coordination with the Ministry of Finance. The FINCOM G-3 is responsible for identifying coalition personnel assigned to Finance Battalions to be CPA DLAs.

6. Combine Joint Task Force 7 (CJTF-7) units Responsibility. The CJTF-7 units are responsible for appointing FPAs, E-6 or higher (or equivalent for coalition forces), prior to receiving funds. Units will also be responsible for appointing Project Purchasing Officers (PPOs).

C. Procedures.

1. Program Control Procedures.

a. The DFI AM will maintain an accounting ledger of cash accountability to include funds issued and receipts returned.

b. The DFI DLA will:

1. maintain cash accountability using the DFI Statement of Agent Account (DFI-1081); and

2. maintain an accounting ledger of all funds received and payments processed.

3. reconcile with the DFI AM at least monthly.

c. The CJTF-7 C8 will allocate funds using the Resource Distribution System, via DFI Resource Distribution Documents (RDDs), to field commanders in accordance with approved spending plans.

2. Funds Allocation Procedures.

a. The CJTF-7 C8 notifies the CPA Comptroller to release specified funds to DLAs.

b. The CJTF-7 C8 issues the RDD to unit Comptrollers. Funds will be allocated by DFI Unit Identification per CPA guidance.

c. The CPA AM updates the appropriate DFI accounting ledgers upon release and reconciliation of funds.

3. DLA, PPO and FPA Appointment Procedures.

a. DLA Appointments. The DFI AM will appoint DLAs, in accordance with Appendix B of this regulation, to accept DFI for CERP funds and will brief all agents on their responsibilities and potential liability for funds, as well as the potential for disciplinary or criminal action for misuse of funds.

b. PPO Appointments. Unit Commanders will appoint PPOs. PPOs are appointed to purchase goods and services, and are authorized to make such purchases using the DFI Form 44 (Purchase Order-Invoice-Voucher).

c. FPA Appointments. CJTF-7 units will appoint FPAs, (E-6 or above or equivalent for coalition forces) in accordance with Appendix B of this regulation, to pay for commercial services or supplies in support of PPOs.

(1) Requests for FPAs must be made in writing from the area commanders to the DFI DLA.

(2) The DFI DLA will brief the FPAs on their responsibilities and potential liability for funds, as well as the potential for disciplinary or criminal action for misuse of funds.

(3) Agent appointments may be for either a specific transaction or a specified period of time. In no case will a FPA have more than one type of CERP funding at one time.

4. Certification Procedures.

a. The CPA must provide appointment letters to the CPA DLAs.

b. The coalition representative appointed as the certifying official will certify the payment(s) using the DFI 44. The certifying official also will date and sign the DFI 44.

5. Delivery of Funds Procedures.

a. The CJTF-7 C8 shall prepare a memorandum to the CPA Comptroller that provides the allocation for each DLA per month. DLAs will coordinate with CPA Comptroller for funds pick up.

b. The AM will advance the funds to the appointed DLA using DFI 1081.

c. The DLA will advance the funds to the appointed FPAs using DFI Form 1081.

d. The FPAs will acknowledge receipt of funds from the DLA on a DFI Form 1081. The CJTF-7 will ensure, insofar as practicable, that designated FPAs properly secure funds at the designated field site(s) and/or while transporting funds to remote sites.

6. Disbursing Procedures

a. The FPA will disburse funds in accordance with the PPOís authorization. The PPO and the paying agent will use the DFI 44 to make purchases and payments. The FPA and PPO will sign the DFI 44.

b. The duly appointed FPAs will disburse/distribute funds to designated individuals or service providers. Designated Iraqi representatives will verify the amount and date, and then sign as the payee on the DFI 44.

(1) For payrolls. Individuals must present proper/valid identification, and acknowledge receipt of payment by signing the payroll list or other appropriate form.

(2) For payment of utilities and other goods and services. Proper supporting documentation (receipt, invoice, etc.) must be presented when disbursing for other than payroll.

c. The FPA must keep the original DFI 44 with all signatures. Upon mission completion, the paying agent must return all supporting documentation (e.g., original receipts and DFI forms) and remaining cash to the DLA in order to clear the DFI Form 1081.

d. PPOs will retain a copy of the DFI 3953 and all DFI 44s for their records in accordance with CJTF-7 Fragmentary Order (FRAGO) 89. Additionally, they will provide copies with original signatures of their DFI 44s to their Comptroller in order to clear their funding authorization document.

e. The DLA will balance his account at the end of each business day on which a transaction has occurred. The DLA shall also periodically review supporting documentation to validate beginning balances, all disbursements that took place since the last review and ending cash balances. The DLA shall verify that cash on-hand matches the ending cash balance and that the funds are properly secured. Any funds returned from the designated field sites to the CPA will be collected into the DFI AMís accountability by adjusting the DFI 1081.

f. The CJTF-7 C8 will authorize any replenishment of funds. The CJTF-7 will issue another RDD for the amount of additional funds, if required. The DFI AM will prepare a new DFI Form 1081 for the replenishment.

g. The DFI AM and the CJTF-7 C8, in consultation with the area commanderís will evaluate, at least monthly, if existing RDDs are sufficient to meet operational requirements. The CJTF-7 C8 will rescind RDDs that are no longer required to meet operational requirements. At the time of rescission, the FPAs must clear their accounts with the DLAs, and the DLAs must clear their accounts with the DFI AM.

h. The DLA will transfer all vouchers and supporting documentation to the DFI AM to be archived for audit purposes.