Segment Information

Departmental Management/Working Capital Fund (DM/WCF):

The DM/WCF’s mission is to provide, in the most efficient and economical manner possible, the centralized services required by the operating entities of the Department and other federal entities. The DM/WCF operates on a revolving fund basis, whereby current operating expenses charged to the customer finance the cost of goods and services. The overall financial goal of the fund is to remain at break-even position.

Services: The DM/WCF provides a variety of administrative services to the Department and to other federal entities. These include personnel-related services, financial and budget management, legal services, security, acquisition, telecommunications, and public affairs.

Major Customers: The major customers of DM/WCF are NOAA, ITA, and Census Bureau, accounting for 30 percent, 20 percent, and 18 percent of earned revenue, respectively.

Franchise Fund:

The Department’s Franchise Fund has three major goals:

• To operate along the lines of a commercial business by becoming self-sustaining and capable of achieving full cost recovery and by becoming competitive, without subsidies, in an open-market environment
• To encourage competition and the operation of market forces in the delivery of administrative services to lower costs and to promote better service
• To create a customer-oriented workforce that is capable of providing quality services and products

Services: The Franchise Fund is composed of only one service provider, the Office of Computer Services (OCS). The OCS provides IT services to the Department and to other federal entities, including the U.S. Department of Homeland Security and U.S. Department of Energy.

Major Customers: The major customers of the Franchise Fund are the Department of Homeland Security and DM/WCF, accounting for 63 percent and 17 percent of earned revenue, respectively.