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THE PRODUCTIVE MAN YEAR HOURS CATEGORY IS IDENTIFIED AS PRODUCTIVE HOURS.
These Productive hours are composed of all identified and documented products/services performed.

THE NON-AVAILABLE/NONPRODUCTIVE MAN YEAR HOURS CATEGORY IS IDENTIFIED AS OVERHEAD HOURS.
These Overhead hours are composed of standardized allowances for federal civil service employees that include the following parts.
    1. Annual Leave (average of 6 hours earned per pay period)
    2. Sick Leave (104 hours earned per year)
    3. Holiday Leave (10 government holidays per year)
    4. Break-time (workers have standardized breaks of two 15-minute breaks or three 10-minute breaks per work shift)

Each position that is under CA Study must identify and categorize all Work-time/Workload hours, under EITHER the Productive Man Year hours category, OR the Non-available/Nonproductive Man Year hours (Overhead hours) category. If an existing Full Time Equivalent (FTE) position documents Non-available/Nonproductive Work-time hours (Overhead hours) in quantities that are in excess of the standard number of hours allotted in the Standard Man Year formula (according to CA Study Guidelines), used for the calculation of a Full Time Equivalent (FTE) position, then absent identification of the performance of Overtime Work hours or other auditable methodology for identification and substitution of Productive hours, these Overhead hours are to be deducted/subtracted from the potential Productive Man Year Work-time hours.

Unless management identifies its choice to use other formulas (which are outside the CA Study Guidelines), to identify and calculate Non-available/Nonproductive Work-time hours (Overhead hours) for determining the FTE positions necessary to perform the specified workload requirements, then the CA Study Guidelines require the government to use the Standard Man Year Formula allowance for the allotment of FTE Overhead hours.

For a CA Study, all Work-time/Workload hours must be identified and documented using methodologies which can be audited. Basic Work-time/Workload data collection processes include the following methodologies.
    1. Identification and documentation of current workload.
        a. How many things do you do/produce.
        b. How many times do you do them.
        c. How much time do you spend to do them.
        d. Is there a record of overtime worked for the things that you do/produce.
        e. Is there a record of backlog of work for the things that you do/produce.
        f. Multiply these amounts over time to get the total workload.
    2. Identification and documentation of historical workload.
        a. Review workload history.
        b. Multiply these amounts over time to get the total workload.

The result of workload data gathering is to identify the total workload. Workload data methodologies are not interested in the individual performance of each position. The methods are interested in identifying the total workload. The goal is to identify the total workload required to accomplish the required tasking. The total required tasking to be performed is converted to FTE positions, in order to identify how many positions are required to accomplish the identified total workload. In general, absent other Congressional/legal requirements, the FTE positions to which employees are assigned, are established and funded based on the justification of identified workload requirements.

Under CA Study Guidelines, relative to functions/positions on a CA Study Inventory List, an activity has the prerogative to determine whether it will make a bid to retain a particular function in-house, or if it will identify a particular function as no longer necessary to perform. For a function that the activity identifies as no longer necessary to perform, then the activity initiates action to abolish the function and to abolish those positions that performed the function.

Except for the regular Non-available/Nonproductive Man Year hours (Overhead hours) allotted in the Standard Man Year Formula (described above), a contractor is not required to include in their bid any additional allocation for Overhead hours relative to personnel costs of salaries/wages or benefits. In order to produce a competitive, successful bid through the MEO, the government likewise should not include Overhead costs that exceed the Standard Man Year Formula calculation for FTE positions.

Therefore, the government can fulfill one of the critical requirements necessary to achieve a successful, winning bid through careful analysis and development of a Most Efficient Organization (MEO) that reflects the following elements.
    1. The total workload based on accurate calculations of the Standard Man Year Formula for identification of necessary FTE positions.
    2. The bid estimate based on the projected assessments of what tasks and how much workload requirements will be planned to retain for continued performance in-house.

The Most Efficient Organization (MEO) does not include the remaining functions/positions of the organizational activity that were not included on the particular CA Study Inventory List. This remaining portion of the organizational activity that was not included on the particular CA Study Inventory List is identified as the Residual or Remaining Organization.

For the purpose of the conduct of a CA Study for the potential contracting out of functions/positions, all Non-available/Nonproductive Work-time hours (or Overhead hours/tasks) are identified as Non-Contractible. That is, such Overhead hours/tasks are not included in a Request for Proposal (RFP) for a contractor to bid on performing these hours/tasks. THIS IS WHY THE OVERHEAD HOURS ARE IDENTIFIED AS NON-CONTRACTIBLE; BECAUSE THE CONTRACTOR IS NOT REQUIRED TO BID ON PERFORMING OVERHEAD HOURS/TASKS, other than the regular Non-available/Nonproductive Man Year hours (Overhead hours) allotted in the Standard Man Year Formula.

These Non-available/Nonproductive Work-time hours (or Overhead hours/tasks) are subtracted from the potential Productive hours/tasks (on the CA Study Inventory List). For Non-available/Nonproductive Work-time hours (or Overhead hours/tasks) that the activity wishes and/or is required to continue to have performed, then those Overhead hours/tasks are shifted to flow back into the Residual or Remaining Organization.

Relative to questions about the example of time spent organizing and running the Multicultural Conference (and other duties/activities which are Overhead hours/tasks). The management CA Study Team has provided the following information. Time spent organizing and running the Multicultural Conference (fund raising, committees, planning, etc.) is Non-available/Nonproductive Work-time hours that are Non-Contractible because the government would not pay a contractor to perform the same duties/tasks. Attendance at the Multicultural Conference by management satisfies the requirement for EEO training for supervisors. Attendance at the Multicultural Conference by unit employees is simply Non-available/Nonproductive Work-time.

Regarding the organizing and running of the Multicultural Conference, and other Command support functions and activities. Management may wish to expect that employees will continue to volunteer to support the Multicultural Conference through their labor, and for which management authorizes Overhead hours as compensation. Since there is a direct, specific benefit to management for conducting the Multicultural Conference event, then the activity can choose to continue conducting the event by authorizing the Non-available/Nonproductive Work-time hours for duties/tasks (or Overhead hours) for accomplishing the Conference, to be shifted to flow back into the Residual or Remaining Organization.

However, under CA Study Guidelines, in order to develop a winning MEO bid, the activity must identify and bid ONLY on specified Productive workload/tasking. Without a winning MEO bid that retains workload and jobs in-house, then management will not have the positions and employees whom they may wish to expect to volunteer their labor to conduct the Command support functions/activities, in exchange for management's authorization of Overhead hours.

During the time period (03 January to 30 April 2000) that the management CA Study Team is conducting work-time/workload data documentation for all duties performed by our functions/positions, employees who are on the CA Study List have the opportunity to provide the best Work-time/Workload documentation to management (for their calculation and development of the MEO), by documenting all their duties correctly and accurately as Productive Work-time to the maximum extent.

Under CA Study Guidelines, all workload/tasks of functions/positions that are under study for potential contracting out, must be identified and documented, regardless of whether the workload/tasks are performed by positions that are under study (CA Study positions), or by positions that are not under study (non-CA Study positions). That is, if CA Study duties/tasks are performed by non-CA Study positions, then those non-CA Study positions remain off of the CA Study Inventory List, but the CA Study duties/tasks should be followed and documented, in order to identify all CA Study duties/tasks which should be included in the government's bid and the contractor's bid.

Management has stated that documentation of CA Study duties/tasks by employees who are on non-CA Study positions will not be used by management to change or diminish or downgrade the classification of the duties and grade levels of the Position Descriptions (PDs) of employees who provide the CA Study workload data documentation information.

Therefore, employees who are not on the CA Study List, but are performing duties/tasks associated with the functions/positions that are under study for documentation and bidding out, can support our brothers and sisters during the work-time/workload data documentation period, by documenting all duties/tasks that you actually perform which otherwise would have been performed by our co-workers who are on the CA Study List. Employees must enter this documentation in the CA Study Workload Data Documentation Computer Program, which is accessed through the Command MIS icon. Examples of these duties/tasks include, but are not limited to, the following.
1. ILO Support tasks
2. Travel Support tasks
3. AIS Support tasks
4. Secretarial/Timekeeping/Travel/Admin/PMS Support tasks
5. Program Analyst Support tasks

The government's bid and the contractor's bid can be based ONLY on the Workload Data Documentation that is identified and documented by the government. The contractor does not have to bid on workload requirements that are not identified and documented by the government.

The requirement for all the Workload Data Documentation is because this documentation is the primary information which must be identified in order to develop the Performance Work Statement (PWS), the Cost Analysis (COST), and the Most Efficient Organization (MEO) documents. These documents (PWS, COST, MEO), along with technical reference documents, are the essential components for the government's bid to retain the functions/positions in-house.

When the organizational activity succeeds in a CA Study with a winning MEO, then the activity itself must conform to that MEO. Following the CA Study, the activity and the winning MEO must comply with annual audit reporting requirements which demonstrate that the activity is, in fact, continuing to conform and perform in accordance with the MEO blueprint. Noncompliance or deviation from the MEO can be used in subsequent years by contractors to challenge and overturn the previously winning bid. Therefore, the activity not only must achieve a winning MEO, but also must demonstrate continued conformance with that MEO in order to retain the functions/positions in-house.

The Union firmly believes that the activity will achieve a winning MEO bid. Nevertheless, such a winning MEO may entail the possibility of Reduction In Force (RIF) actions. Through the leadership of our Technical Director, and partnership efforts with the Union, FTSCPAC has a strong record of utilizing all available alternative methods for achieving necessary downsizing personnel levels.

The historical track record of CA Study competitions has shown a pattern of 50/50 winning bids for contractors vs. government. However, the more recent track record of CA Study competitions has shown a shift in the pattern from 50/50, to 60/40 winning bids for contractors vs. government.

Under CA Study Guidelines, contractors must show a demonstrated savings of 10 percent or greater, for performance of the specified work, over the government bid in order to win.

Prior to 1999, the government had been most successful in ensuring a winning bid by documenting and bidding a savings of 30 percent or greater for the specified work. However, during 1999, contractors have been making winning bids by documenting and bidding a savings of 40 to 50 percent, for performance of the specified work. As a consequence, the impact of the current CA Study process on achieving a winning MEO may impose the potential for more severe downsizing requirements than may be able to be accommodated through the available alternative methods of voluntary downsizing. Therefore, it is practical and realistic to be prepared for the remote possibility of RIF action.

Unless there are new RIF regulations about which the Human Resources Office (HRO) has not provided information to the Union, then our understanding of existing RIF regulations identify that an important criteria for employees to have competitive qualifications which allow them to qualify for bumping rights into positions in the organizational activity that are outside the CA Study positions of the MEO, is a current Position Description (PD) that accurately reflects their duties performed.

Federal Personnel regulations direct that management has the responsibility to ensure that all positions are correctly described and classified with an accurate Position Description (PD) in accordance with Position Classification directives. Therefore, because of this management responsibility, every employee has the right to be assigned to a position with a PD that correctly and accurately reflects their work/task assignments. Every employee has the right to have a copy of their PD. The reorganization of Personnel Services for Federal Government employees, into the HRSC-SW regional office and the HRO satellite offices, has not changed or rescinded management's responsibility to promptly and properly classify positions, or employees' rights to be assigned to a correctly classified position and to have a copy of their PD.

Therefore, relative to a potential RIF, employees can do the following actions to help themselves.
    1. Verify that your Position Description (PD) is current and accurate. Make a written request for a copy of your PD through your chain of supervision and/or the HRO office. Make a written request for a desk audit, if necessary. (If you wish, include Local 32 as Copy To, on your request.)
    2. Pursue all opportunities for cross-training to increase your knowledge, skills, and abilities. Discuss and document with your chain of supervision the identification of your interests and requests. (If you wish, include Local 32 as Copy To, on your request.) The Union has made proposals to the employer that the Exclusive Representative has significant interest in working with management to develop equal and fair access for all employees to have opportunities for cross-training, upward mobility, detail assignments, collateral duties, reassignments, and merit promotions that enhance employees' career potentials by increasing their flexibility and productive abilities.
    3. Review your Official Personnel Folder (OPF) to ensure that all records are current and accurate. Verify documentation of specialized training, licensed qualifications, and special assignments/details.
    4. Keep an updated resume on file with HRSC-SW.

The Union encourages everyone to join us, in believing and working toward accomplishing the goal of a winning MEO that retains the functions/positions under CA Study in-house, and saves as many jobs as possible ! !

Please let us know if we can be of further assistance and service.

Sincerely, Gloria

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