Overview:
As part of the DFAS Transformation initiatives in
2006, DFAS Columbus became the Center of Excellence for Acquisition
Accounting, playing host to the key functions currently performed
in the Accounting Operations, Travel Pay and Disbursing mission
areas that support the Department of Defense.
Accounting Operations, the largest part of the
Operations Deputy's realm within DFAS, is comprised of the
following functional areas: Accounts Payable (formerly Contract Pay
and Vendor Pay); Accounts Receivable; Accounts Maintenance and
Control; the Customer Call Center; Systems Operations, and
Departmental Reporting.
Accounts Payable is responsible for entitlement
determination and payment to all businesses that have provided
goods or services to the Department of Defense. In FY 06, Accounts
Payable made some 13.7 million invoice payments, totaling
disbursements of $299.4 billion.
Contractor and Vendor Payment Information
Guidebook
Contract Pay:
The contract pay function within Accounts Payable
operates solely out of DFAS Columbus, and includes paying
contractors through formal, long-term contract instruments,
requiring contract administration, that provide products and
services to the DoD components (the military Services and defense
agencies). Those contracts are typically administered by the
Defense Contract Management Agency (DCMA) and tend to be complex,
multi-year purchases with high dollar values, such as the purchase
of major weapon systems. The contract pay function makes payments
to more than 17,100 contractors on some 317,000-plus
contracts.
In addition to the operations functions of
entitlement and payment, contract pay encompasses all the ancillary
functions in support of operations, such as policy and procedures;
contract reconciliation; electronic commerce initiatives; debt
collection, reporting and analysis and customer service.
Vendor Pay:
The vendor pay function within Accounts Payable,
as of February 2007, operates from 16 DFAS sites, two of them
overseas (one in Germany, one in Japan). Nine stateside vendor pay
locations will be closed by FY 2009, with that workload moved to
the enduring DFAS sites in CONUS..
Vendor pay includes entitlement determination and
payment for day-to-day goods and services on contracts not
administered by DCMA, plus miscellaneous non-contractual payments
to businesses and individuals (e.g., utilities). Vendor pay uses 16
different systems to make payments in support of the Army, Navy,
Air Force, Marine Corps and Defense Agencies. Some systems support
only a single commodity type (e.g., fuels; subsistence; Commissary
items), while others are used at multiple sites for a variety of
goods and services.
DFAS Vendor Reference Tool:
