Chief's 1MC: Navy Working Capital Fund to General Fund

Rear Adm. John Korka, commander, NAVFAC, discusses
NAVFAC's transition from the Navy Working Capital Fund to the General Fund.
Transcription:
Greetings Team NAVFAC,
I want to spend a few minutes talking with you about the Department of Navy’s plan to transform the way public works services are provided to our tenant commands and other shore customers.
A key milestone of this transformation is shifting NAVFAC’s cost accounting systems from Navy Working Capital Fund to General Fund starting on 1 Oct of this year.
So, what does this mean? I see four key points:
• First, NAVFAC remains an Echelon II Major Command and retains command and control authority for its assigned mission, functions, and tasks.
• Second, NAVFAC personnel will not be moving to any other Command as part of this transition.
• Third, ALL OUR employees will continue to be paid next year and through the foreseeable future.
• And the fourth point…This change will not impact the delivery of our products and services to our customers…quality, speed, and agility will remain at the forefront.
Simply put, all of us, still have an important job to perform in support of our Navy and Marine Corps Team.
So, what really changes? There is one significant change…
This transition will increase our auditability and accountability.
The new financial accounting system being implemented will eliminate NWCF stabilized rates and charge fully burdened actual costs.
That is a big change to how we do business, particularly for our Financial Management, Public Works, and Environmental Business Lines.
This initiative is a complex endeavor, so leadership’s primary objective is to ensure our entire NAVFAC team understands and is well informed of ALL the changes.
Throughout the remaining phases of this transition, we will continue to communicate and coordinate actions to maximize transparency and understanding of our new business rules and work management processes with you, with our supported commands, and with our customers.
In the upcoming weeks there will be more details regarding functional and cross-functional training, billet mapping, revised business rules, and engagements with your customers.
As with any major change, adjustments to our direction will be ongoing to address emerging challenges. Unfortunately, this is a common reality for any large-scale financial transformation.
To stay current, I urge you to see the Fact Sheets and the Frequently Asked Questions on the “Working Capital Fund to General Fund Transition” portal page.
These items can be accessed from the NAVFAC HQ main portal page. Simply look for the “Working Capital Fund to General Fund Transition” icon.
If you or any of your teammates still have questions, please work with your supervisor and your chain of command.
We have a great team working many critical issues across NAVFAC and at your respective commands.
I strongly encourage you to participate in your command All Hands calls as an opportunity to share information and to pose questions to your leadership.
I am confident your chain of command will do their part to keep you informed and provide you the platform to raise questions and address concerns.
As always, I sincerely appreciate your support. I am grateful for all you do in service to our Navy and our Nation.