February 7, 2018

MEMORANDUMFROMTHE ASSISTANTADMINISTRATORFORMANAGEMENT (A)

TO:PrincipalOfficers,AssistantAdministratorsandHeads ofIndependentOfficesSUBJECT: Guidance on USAID Operations duringaLapse in Appropriations

Thepurpose of this memorandum is to provideanupdated integratedreference

guideconcerningthe U.S. AgencyforInternational Development operationsbefore and during a lapsein appropriations. (Thissupersedesall previousguidance.) Please note that all dates in the guidance are subject to change based on the status of the most current legislative action. This guidance applies primarily to the Agency’s Operating Expense account and any other appropriation for which a lapse may occur.

Current Status: The Agency will have insufficient Operating Expense funds to continue operations beyond February 8, 2018. Therefore, the Agency will proceed to use Chapter 2 of this guidance if there is a lapse in appropriation.[1]

Ifthere is noappropriation or continuingresolutionenacted before midnight February 8, 2018, Agencyoperatingunits (OU)usingFY 2017 and priormulti-year orno-yearappropriations (with remainingavailablebalances), trust funds, andanyother fundingsource willcontinue operations until theirresidual balances are insufficient to continue. As stated previously, the Agency will not have sufficient Operating Expense funding to continue operations beyond midnight February 8, 2018, and therefore all agency operations will be governed by Chapter 2 of this guidance.

TheAgencywill monitor closely and continuously it’s operating status and continue planning for a lapse in appropriations.

Ifyou have anyquestions, pleasesendan email to .

Chapter 1

Current Status: Chapter1 will not apply if there is no new appropriation or continuing resolution beyond February 8, 2018 because the Agency will have insufficient Operating Expense funds to continue operations.

The Agency will continueusingresidual balances in multi-yearand no-yearaccountsuntil these fundsareinsufficient to continue. Duringthis time, operationswill be restricted.

Funding will be subject to apportionment and allotmentrequirements. Those balancescanbereprioritizedandreallocatedfor use duringalapse in appropriations through the financial planprocess. Suchresourcesremainsubject to anyspendingplans or notifications previouslysubmitted to Congress ontheir functions;aswell as statutoryrequirements regardingthereprogrammingor transfer offunds,guidancefrom OMB,andanyother relevantguidance.

Bureausandoffices mustwork with the Bureaufor Management(M)and the Office ofBudgetandResource Management (BRM)to identifyresidualbalancesavailablefor continuedoperations in absence ofanappropriation.

When operatingusingresidual balances, theserules and restrictionsapply:

  • Bureausmaynot exceedresidualbalances identified byM orBRM;
  • OUsmanagingmulti-year foreignassistance programs can makenew obligations withFY 2017and prior-year funds in coordination with BRM and theOffice of U.S.ForeignAssistance Resources (F);
  • Commitments andobligations to newprograms should not bemadeexceptto protect lifeandproperty;
  • No newpurchases ofequipment, services, or suppliesforoperational purposes maybemade;
  • No newtravel should bearranged; no one shouldmakenewarrangementsto attendconferences;
  • Previouslyapprovedtravel(prior to February 8, 2018) using FY 2017 and 2018fundsmaycontinue(M Bureau will review all approvedtravel in E2 and contact theOUif there arequestions/issues);
  • No newoffers of employment maybemade as ofFebruary 8, 2018;
  • Prospective employees with a finalofferletter mayreport to work;
  • For medical emergencies,medicaltravelandservices obligations can be incurred;
  • Previouslyscheduledandfunded trainingmaycontinue asplanned;
  • No representational eventsmaybeheld;
  • No speeches should bemadeunless approvedbyAssistantAdministrator,Bureau forLegislativeand PublicAffairs;
  • Pettycashreimbursements maybefiled,but no moneycanbe disbursed untilappropriations or a continuingresolution havebeenenacted;
  • Themetrocheck program will continuethroughout themonth of February;
  • No overtime is authorized;
  • Compensatorytime maybe accrued; and
  • Time andattendance procedureswill continue asnormal.

Until there is an appropriation ora continuing resolution, anyexceptions to the above must beapprovedbytheAssistant Administrator,Bureau for Managementin writing.

For USAIDemployeesondetails to otheragenciesaffectedbyalapsein appropriations,theyshould coordinatewith their operatingunit to determineif theyshould return to their homedutystation.

Otheragencieswith apresence overseasmayenter into alapseof appropriations soonerbecausetheyoperate under single-yearappropriations. If an agencyhas determinedthat certain of itspositions overseas do not meet the criteria of “excepted”in the absence of appropriations,andthat determination conflicts with that of theChief ofMission, then theChiefof Mission shouldattempt to resolve thematter directlywith theparent agencyconcerned (seeChapter2, SectionI.).

Iffundslaterbecomeinsufficient to continue operations, then theshutdown plandetailed inChapter2 becomeseffective.

Chapter 2

Current Status: Chapter2 applies since there is no new appropriation or continuing resolution beyond February 8, 2018 and the Agency will have insufficient Operating Expense funds to continue operations.

Chapter2 applies to a scenario in which a single-year appropriation has lapsed or theresidual balances in multi-yearand no-year accounts are insufficient to continueoperations.

Ifyour operatingunit isinstructed to deliver furlough letters to non-excepted personnel,onlyexcepted functions will be continued until appropriations are restored.

Chapter2 contains a detailed plan for operatingduringa lapse in appropriations. Forease of use, Chapter 2guidance is provided in the following sections:

I.Determination of ExceptedFunctionsand Positions

II.OrderlyShutdown ofNon-ExceptedFunctions

III.Personnel

IV.Lapsed Funds

V.Travel

VI.Training

VII.Allowances

VIII.Contracts

IX.Obligationsand Disbursements

X.Time andAttendanceReporting

XI.Outside Activities

XII.RepresentationEvents

Summary of Shutdown Impacts

  1. Determination of Excepted Functions and Positions

Definition of Excepted Functions: For planning purposes, USAID categorizes these "Excepted" functions that maybecontinued in anabsence of appropriations as those funded by other than FY 2018 appropriated funds, necessaryto protect lifeand safeguardgovernment propertyandrecords, to conduct foreign relations essential to nationalsecurity, to carryout theorderlyshutdown ofoperations, andto provide essentialadministrative support to excepted employees.

USAID “Excepted” activities described above are those where employees performing such functions would not be furloughed as a result of a shutdown, per one of the statutory exceptions below:

1. Funded by other than FY 2018 appropriated funds: Some functions are covered by a multi-year or no-year appropriation and thus, may not be affected by an annual appropriation lapse as long as sufficient carry-over funding is available.

2. Authorized by necessary implication: Certain activities could be implicitly authorized because of their connection with other operations which are otherwise available to continue. This exception includes functions necessary to provide essential administrative support to other excepted employees.

3. Necessary for safety of human life or protection of property: The risk to life or property must be real, not hypothetical, so that discontinuing the activity would pose an imminent threat.

4. Discharge of President’s Constitutional duties: The conduct of foreign relations essential to nationalsecurityis such a discharge of the President’s Constitutional duties.

5. Necessary for the orderly shutdown of functions: USAID’s defines this category as those employees necessary to continue shutdown functions beyond the expected 4 hours for all other furloughed activities. Activities of employees during this period must be wholly devoted to closing down the function and, upon completion, these employees arefurloughed. USAID expects the number of employees continuing to perform functions under this exception to reduce during the lapse of appropriation.

Employees performing "excepted"functions will continue to report to work and performtheir duties, as will employees performingactivities for whichfunds are still available.For example, functions that USAID chooses to fund with multi or no-yearappropriationsor throughadequatelyfunded mechanisms. Under alapsein funding, it is possible thatpersonnel funded through thesefundingsourcesmaycontinue to work aslongasadequatefundingisavailable andthere is adequate oversight/supervision. Similarly,OperatingExpense (OE)funded administrative services contracts, which are fullyfundedthrough anypotential shutdown period, mayalso continue.

USAID Assistant Administrators and Independent Office Directors are responsible for providing all due assistance to the Bureau for Management and the Office of Human Capital and Talent Management (HCTM) in developing and maintaining the list of personnel who will be expected to perform excepted functions in the absence of an appropriation or continuing resolution.

USAID’s Principal Officers at post are responsible for providingall dueassistance to theChiefof Mission in developingplans for theconduct of business and the attendance ofemployees in the absenceof an appropriation or continuingresolution. In order tofacilitate this process,aswell as to ensure that USAID’s requirements arefullyconsideredand incorporated, USAID Principal Officers are expected to participate fullywith the Chiefof Mission and representatives ofotheragencies in this countryteam task.Onlythose operations determined to beexcepted pursuant to the above criteria wouldbeexcluded from the shutdown and permitted to operate with onlythe minimum staffnecessaryduringthe fundinghiatus.

Inthe case of Foreign Service National (FSN)personalservicecontractors, andFSN DirectHires, if host countrylabor laws provide thatFSNsmust be paid regardless of attendance(i.e., local labor law explicitlyor in effect prohibits furloughing FSNs); these employeesmaybe authorized to report to work and treated asexcepted employees or theymaybeplaced on administrativeleave, or other category required under local law, i.e., excused absence, if the missionis unableto provide adequate supervision withotherexcepted staff. SupervisoryAmericans ofFSNs maynotbeautomaticallyexceptedon the basis of their supervisoryrole.Theirexcepted status must be independentlyjustified based on the above mentioned criteria.

The list of recommended personnel performing excepted functions, in Washington and at post, must be updated and provided to HCTM 10 business days prior to expiration of an OE appropriation or as instructed if needed sooner. The M Bureau and the Office of the General Counsel will then review for compliance with A-11, Section 124 guidance.

  1. OrderlyShutdown ofNon-Excepted Employees

All employees scheduledto work on the first workdayfollowing a lapseinappropriationsshould report to work. Non-excepted employees should perform onlythosetasksnecessaryto safeguard property,records, and information and to complete administrativefunctions such as processingpayroll for paythrough the last workdaybefore a lapseinappropriations. In addition, non-excepted personnel areexpected to take measures tosecurefiles; makeexternal contacts necessaryto communicate the office's status, such asnotifyingparties of thecessation of normal business; and cancellingnon-essentialmeetings, conferences, and otherpreviouslyarranged business; takingnecessaryaction toprotect confidential information; and processingunpaid bills forobligations incurredprior to the last workdaybeforea lapsein appropriations. These activitiesmaytake up tofourhours foremployees.

Afterperformingthe functions necessaryforan orderlysuspension of non-exceptedoperations, employees performing "non-excepted" functions will be furloughed.

Managersare reminded that the Governmentcannot accept voluntaryservices; therefore,no employee maywork if heor sheis in a non-excepted status. Employeesareadvisedthat "work"includes reportingto workas well as accessingthe Agency’s network usingaremote access token ormobile device and teleworking. These employees should be advisedto monitor the news for information on an additional continuingresolution andshouldreport back to work on their next scheduled workdayonceanothercontinuingresolutionor an appropriation bill is enacted(passed bytheHouseand the Senate and signed bythePresident), unless told to do so earlier (i.e., for rotation or otherpurposes).

The Office of Human Capital and Talent Management (HCTM) staff will scanandsend electronicallyfurlough noticesand Form SF-8,Unemployment Compensation for Federal Employees Program, toBureau/IndependentOfficeAdministrative Management Staff (AMS)and Executive Officers. In anemail attachingthe furlough noticeand Form SF-8, AMS and Executive Officers will beinstructed to forward in electronic format usingdeliveryreceipt the furlough notices andForm SF-8 to individualnon-excepted employeesas quicklyas possible on the dayof theshutdown. AMS and Executive Officerswillneed to maintain copies ofdeliveries/receipt for therecord.

Theresponsible AMS officewill be instructed to send a copyof the furlough notice andForm SF-8 to non-excepted employees whoarenot at work. Executive Officers shouldadvise the Chief, HCTM/FSP/FSS of thenames of non-excepted employeeson leave ortravel in the U.S. who will not return to post within two weeks of thefurlough. ExecutiveOfficers should also provide acontact oremail address for these employees, andHCTM/FSP/FSS will attempt to forward thefurlough noticeand Form SF-8to eachemployee. Executive Officers should confirm with each of these employees as theyreturnto post that theyhavereceived notification of the furlough. If anyemployees are ontemporarydutyat other overseas posts, the Executive Officer should contact that missionforassistance in deliveringthe furlough notice and gettinganacknowledgement ofreceipt, citingthis guidance in support of the request.

For othernon-excepted employeeswho cannot benotified within two weeks due to lackof a contact or email address, the responsible AMS or Executive Officer should adviseHCTM/CSP or HCTM/FSP/FSS of their names and their expected date of return to theirBureau/Independent Office or post of assignment. If possible, HCTM staff will trytolocate theseemployees.

  1. Personnel

U.S. Direct Hires (USDH)

An immediate hiring freezewill applyduringalapsein appropriations.

Entry-on-boarddates forprospective employees with employment offers will besuspended until the fundinglapseis over. No newjob offersmaybe made.

A review of thetext of anysubsequent appropriation or continuingresolution will berequired to determineifCongress has authorizedretroactive payandallowances. All non-exceptedpersonnel support activities should be suspended includingunfunded securityinvestigations.

Foreign Service Limited (FSL) positions: USDH, who are in a FSL position, should check with their AMS on status of their position because FSL positions are funded from multiple accounts.

Administratively Determined (AD) positions: USDH, who are in an AD position, should check with their AMS on their excepted status.

Direct-Hire ForeignService Nationals(FSNs)

Underlocal labor law, ifFSNpersonalservicescontractors orFSNdirecthires arerequired to be paid, whether ornot theywork, theymaywork iftheycan beproperlysupervised or placed in the appropriate leave category. SupervisoryAmerican staffmaynot bejustified asexceptedemployeesmerelybecauseof their supervisoryrole; theirexcepted status must beindependentlyjustified. Ifsupervisors aredetermined to be non-excepted andFSN staffcannot operatewithout such supervision,FSNs must be placed onadministrative leave/excused absence/other appropriate designation. Duringanylapseof appropriations, missions should obligate benefits and allowancesforthose FSNswhoarerequired to work. However, anysuchobligations will be liquidatedonlyafter USAIDreceives a new appropriation coveringtheir activities.

U.S., Cooperating Country National (CCN and FSN) and Third Country National Personal Service Contractors (PSCs) should refer to Section VIII on “Grants and Contracts.”

Fellows should refer to Section VIII on “Grants and Contracts.”

Participating Agency Service Agreement (PASA)

PASA employees must coordinate with their home Agency,in consultation with their current Operating Unit, to determine their excepted status.

Part-TimeEmployees

In definingthe number of furloughdays for part-time employees, the furloughdaysarecomputed in thesameproportion to those days scheduled for fulltimeemployees,basedon workschedules. (Thehours might be computedas a percentage of thework scheduleforfull-timeemployees.)

Intermittentand When ActuallyEmployed(WAE)Employees

Intermittentand WAE employeesarenon-fulltime employees without a regularlyscheduled tourof dutyand called to duty,as needed. Intermittentand WAE employeeswho arenot non-excepted will also be furloughed. IfanintermittentorWAE employeeis called into work duringafurlough, it must beto performexceptedfunctions.

Employees onAlternative Work Schedules(AWS)

Employees under AWS would be furloughedfor the number ofhourstheywerescheduled to work on thedaysforwhich therewas a lapse in appropriations.

Federal Employees on Detail

Employees detailedfrom (orto) USAID to (orfrom) anotherFederal agencywhoareperformingexceptedfunctions intheircurrent positionareexcepted. However,these employees should first coordinate withtheirhomeOperating Units (OU)incasethey areneeded to performexceptedfunctions there, and to ensure compliance withhome OUshutdownguidance. For moreinformation and details involvingnon-Federal agencies,refer to OPMguidance.

Rotation of Personnel

Managersmayrotate personnel to perform excepted functions. However, the followingfactors should beconsideredwhen makingadecision on staffrotations:

  1. Managers should takeinto account theimpact the rotationschedulemayhaveonunemployment compensation eligibilityfor the employee, based on localjurisdictions'unemploymentinsurance policies.
  1. Decisions on rotations for specificpositions should balance the Agency’sneed forcontinuityand equityto the employees.
  1. Managers should determineonwhat basis rotations will occur (i.e., dailyorforlongerperiods), but dueconsideration should begiven to continuityandfairness.
  1. Personnelrotated into and out of anexcepted function must havethe requisitequalifications to performthe function.

Management decisions to rotatepersonnel into and out of anexceptedfunction must bedocumented in writing and the information submitted to . In the email, please use the following subject line, “CHANGE IN EXCEPTED LIST.”

  1. Lapsed Funds

Should a lapse of appropriations occur, the Office of the Chief Financial Officer (M/CFO) will post the funds that have lapsed, are deemed to have expired, and will not be available for new obligations for the duration of the shutdown. The list of funds will be posted at the following webpage:

The recording of a commitment prior to a lapse in appropriation has no impact on this prohibition; commitments against lapsed funds may not be obligated during a lapse of appropriations.

Once a shutdown occurs, the funds that have lapsed will be marked in Phoenix so as to prevent new spending. Upward adjustments to existing obligations that were recorded prior to the shutdown are permissible. Operating units must follow current procedures to request approval from M/CFO to record upward adjustments against the funds listed above.

Emergency OE Obligations during a lapse of appropriations should be handled as outlined in Section IX.

.

  1. Travel

U.S. Direct Hires

Onlytravel in fulfillment of exceptedactivities can be initiatedaftera lapseof appropriations. Travel should be limited to that necessaryforemergencies involvingthe safetyof humanlifeor theprotection of property, or that necessaryfor the conduct of foreign affairsessential to national security. This mayinclude, but is not limited to,attendingsignificant bilateral or multilateral meetings;maintainingexcepted post operations;disasterreliefefforts, emergencyvisitation, medical, other ordered evacuation; orprovidingfood, medicine, or otheressential services to displaced persons. All travelauthorizations must be approved bytheBureau orIndependentOffice Head or theMission Director.

Permanent Change of Duty Station: Reassignment of personnel alreadyplanned maybe continued, such aschanges in postsof assignments, onlyif funds have beenpreviouslyobligated.

Personnel in domestic oroverseas travel status who areperformingexcepted functionsmaycontinue to do so. Ifpersonnel arein travel status at the time ofthe lapse but are notperformingexceptedactivities, theyshould stop work and await furtherinstructions.

Because funding foroverseas travel is obligated when the travelcommences or when anycost was incurred forthetravel (i.e., prior to the lapse)and because it is expected that anyhiatus in fundingwill betemporary, personnel innon-excepted travel status should beinstructed not to return immediatelyto their home dutystations. If such persons arenotperforminganexcepted activity, theyshould be furloughed. PerDiem willbe payable onfurlough days when inauthorized travel status.However, salarywill not be paid.

Employees in training and on authorized travel orders should make arrangements toreturn to their regularwork site as soon as informed bytheForeign ServiceInstitute (FSI) orothertrainingentity. Ona limited basis, some trainingmaycontinue if it otherwisepertains to the safetyandsecurityof personnel.

Personnel Service Contracts (PSCs)

PSCs, including FSN PSCs, may continue with previously scheduled travel, including for training, as long as funds remain available for the travel, there remains work to be performed during the travel, and adequate oversight exists.

  1. Training for USDH

In accordance with the Department of State’s shutdown plan, the Foreign Service Institute (FSI), FSI field offices, and all other domestic facilities will be closed, except those portions of the Diplomatic Security Training Center and FSI’s National Foreign Affairs Training Center campus housing employees performing exceptedfunctions. Crisis Management Training and Antiterrorism Assistance Training that has already started at overseas posts may continue if posts are open, subject to the approval of the Chief of Mission since this pertains to the safety and security ofpersonnel Domestically, the following courses will continue as scheduled since they pertain to the safety and security of personnel going to Afghanistan, Iraq and other posts of heightened danger:Afghanistan Familiarization (RS415); Iraq Familiarization (FT610); for those deploying to posts where it is mandatory, the Diplomatic Security Training Foreign Affairs Counter Threat Course (CT650); andGreen Team Training and In-Service Training for Mobile Security and the High Threat Operations Course for Agents going to High Threat Environments.