Fiscal Law Problem

Instructions:Below is a scenario involving the use of appropriated funds.In the scenario, the comptroller of the agency raises two concerns. You are to make a determination based on the facts in the scenario whether any rule of fiscal law was broken, and explain your determination using the fiscal law concepts from class and from within the scenario.

Analyses that score highest will apply the fiscal law concepts fully, accurately, and logically to the facts of the case. I strongly recommend you use the Facts - IRAC structure from class.

Scenario:In order to conduct its mission, the Federal Trade Commission (FTC) issues smartphones to many of its employees. The FTC pays for the phone, its service plan, and any maintenance costs. Several FTC employees have complained about the hassle of carrying around two phones, their work phone and their personal phone. The FTC Chief Information Officer (CIO) thinks these employees are crybabies, but nonetheless proposed the Supply a Smartphone Yourself (SSY, pronounced "sissy") Program.

The FTC receives only one appropriation per year that is "available for all proper expenses of the agency."

The SSY program would be entirely voluntary, but would permit an employee to use his or her personal device for work purposes. The program would exist primarily for the benefit of the employee. The FTC asserts that the program is not necessary to meet its mission because there is an available alternative (the FTC-issued phone). Because the SSY phone is personally-owned, the FTC would not buy it, nor would the FTC pay for the service plan or repairs, but it would provide technical support for network connectivity and information security.

The FTC comptroller has two concerns about this program and is seeking a Comptroller General opinion prior to implementing it.First, the comptroller is concerned that using personal devices for government work may constitute an improper augmentation of the FTC appropriation. She argues that the agency is getting phone service without paying for it. An augmentation results"when an agency obtains and retains money from outside sources without statutory authority, or when an agency has others bear costs for which the agency is responsible or liable."

Second, the comptroller is concerned that using FTC appropriated funds to support non-FTC equipment may be an improper expenditure of the appropriation. The FTC comptroller provided the Comptroller General a rudimentary "necessary expense test" analysis that concluded the expense was not necessary, proper, nor incident to the FTC's mission.

Assume you are the Comptroller General. You have to rule on these questions using the legal tests in this case and from class:

a)Using the rule inred font, above, does the SSY program improperly augment the FTC's appropriation?

b)Are the expenses associated with tech support of the SSY program a violation of the necessary expense test? (Do not rely on the agency's comptroller's assessment.)

c) Did FTC receive a gift from the employees whereinthe employees' use of a private phone benefits the FTC without benefiting the employee?

If you find any violations occurred, how could you change the facts to make the program legal?