National Park Service Soil Surveys, B-282601, September 27, 1999

B-282601 Sep 27, 1999 Jump To VIEW DECISION RELATED PAGES GAO CONTACTS Highlights Where an interagency agreement is based on specific statutory authority other than the Economy Act. An agency is not required to deobligate funds at the end of the period of availability since section 1535(d) only applies to interagency agreements under the Economy Act. 2. Need of the fiscal year in which the appropriation is made. Funds may be obligated for the provision of services beyond the fiscal year in which the appropriation is made only to the extent those services constitute a single nonseverable undertaking. NPS states that a major factor for entering into these interagency agreements was NRCS' assurances that 42 U.S.C. The opinion concluded that the interagency agreement is subject to the Economy Act. View Decision Matter of: National Park Service Soil Surveys File: B-282601 Date: September 27, 1999 DIGEST DECISION Mr. John J. Reynolds, Regional Director, Pacific West, National Park Service, United States Department of Interior asks whether fiscal year 1998 funds obligated for soil surveys pursuant to interagency agreements with the National Resource Conservation Service, Department of Agriculture, remain available to pay for ordered services provided subsequent to fiscal year 1998. For the reasons stated below, to the extent the National Park Service has ordered nonseverable services, the fiscal year 1998 funds remain available to liquidate the obligation. BACKGROUND The National Park Service (NPS) has an ongoing need for soil surveys incident to its inventorying and monitoring of a number of properties that it manages. The NPS uses the results of the soil surveys to assist in determining the suitability of uses and activities of the property. Beginning in 1995, after a review of various options, NPS entered into a series of interagency agreements with the National Resource Conservation Service, Department of Agriculture (NRCS), to obtain soil surveys at various NPS locations. Each agreement delineated specific tasks organized in two or three phases across several fiscal years and culminating in the publication of a final soil survey report for each location. Under these agreements, NPS transferred funds to NRCS each year to cover each phase of the soil survey work. NPS states that a major factor for entering into these interagency agreements was NRCS' assurances that 42 U.S.C. Sec. 3274 would, in effect, convert NPS' annual funds to no-year funds and prevent the funds from lapsing at the end of their period of availability. /1/ The Office of the General Counsel, USDA, issued a legal opinion dated December 28, 1998, in connection with one such soil survey agreement. The opinion concluded that the interagency agreement is subject to the Economy Act. Under the Economy Act, NRCS would have to deobligate any NPS funds at the end of the fiscal year to the extent that NRCS, the performing agency, has not incurred obligations by performing the work or entering into valid contracts for the work. 31 U.S.C. Sec. 1535(d) (1994). The USDA counsel explored the various statutory authorities of NPS and NRCS to enter into an agreement for soil surveys. The memorandum concluded that both NPS and NRCS have authority to enter into interagency agreements for soil surveys of NPS' lands. With respect to NPS, the opinion cites the Secretary of Interior's authority to cooperate with federal departments and agencies and obtain "information, data, reports, advice, and assistance that are needed." 16 U.S.C. Sec. 460l-1 (1994). The opinion also notes that that provision specifically authorizes other federal agencies to expend funds for such purposes, with or without reimbursement. Id. Likewise, the USDA counsel found that NRCS has broad authority to conduct soil surveys under 16 U.S.C. chapter 3B, Soil Conservation. However, the opinion concluded that the statutory provision cited by the interagency agreement as authority to preserve NPS' funds across fiscal years, 42 U.S.C. Sec. 3274, only applies to certain funds appropriated to USDA, and thus cannot serve as authority to preserve the NPS funds beyond the fiscal year. We agree with the USDA counsel that both NPS and NRCS have authority to enter into interagency agreements independent of the Economy Act. These interagency agreements were not based on the authority of the Economy Act, however. Thus, any NPS funds that are properly obligated under such an agreement do not lapse at the end of the fiscal year. We also agree with the USDA counsel that section 3274, which relates to appropriations for NRCS, does not apply to NPS funds. /2/ ANALYSIS The USDA legal opinion concluded that NPS' funds would expire at the end of each fiscal year due to a provision of the Economy Act, 31 U.S.C. Sec. 1535(d).