The OMB’s Exhibit 300 and Exhibit 53 have been in use for several years as part of the Federal Government’s capital planning and investment control process. Reflecting the multiple purposes and uses of the budget information, they are complex data input forms, which are continually evolving.
For guidance for Federal agencies on the preparation and submission of budget estimates and related plans, see:
Two of the exhibits required by A-11 affect Information Technology. Exhibit 53 is the Agency IT Investment Portfolio, providing budget estimates for overall IT investments and for major and significant IT systems. Exhibit 300 is a Capital Asset Plan completed for major IT systems and IT budget initiatives.
The Federal Government must effectively manage its portfolio of capital assets to ensure that scarce public resources are wisely invested. Capital programming integrates the planning, acquisition and management of capital assets into the budget decision-making process, and is intended to assist agencies in improving asset management and in complying with the results-oriented requirements.
Agencies must establish and maintain a capital programming process that links mission needs and capital assets in an effective and efficient manner. Effective capital programming requires long-range planning and a disciplined budget decision-making process as the basis for managing a portfolio of assets to achieve performance goals and objectives with minimal risk, lowest life cycle costs, and greatest benefits to the agencies business. The process will integrate the agencies capital investments; strategic and performance plans prepared pursuant to the government performance.
What is Exhibit 300?
The Exhibit 300 is a format for the PIT to demonstrate to agency management and OMB that it has employed the disciplines of good project management, represented a strong business case for the investment, and met other Administration priorities to define the proposed cost, schedule, and performance goals for the investment if funding approval is obtained. The information you report on Exhibit 300 helps management:
▪determine adherence to the agencies capital programming and investment decision-making process
▪ensure that spending on capital assets directly supports your agency mission and provides a return on investment equal to or better than alternate uses of funding
▪identify poorly performing investments, i.e. investments that are behind schedule, over budget, or lacking in capability
▪identify capital assets that no longer fulfill ongoing or anticipated mission requirements or do not deliver intended benefits to the agency or its customers
▪for IT, ensure that strong business cases are provided for IT investments. These business cases should include security, privacy, enterprise architecture, and provide the effectiveness and efficiency gains planned by the business lines and functional operations
Exhibit 300 consists of two parts, each of which is designed to collect information that will assist agency management and OMB during budget review. Agencies must review their portfolio of capital assets each year to determine whether it continues to meet agencies mission needs, reconciled with existing capabilities, priorities, and resources. Capital asset investments should be compared against one another, rated and ranked using decision criteria (such as investment size, complexity, technical risk, expected performance benefits or improvement) to create a prioritized portfolio. You should request funding only for priority capital asset investments that demonstrate compliance with the requirements for managing capital assets described in this section and the agencies capital programming process. As a general presumption, OMB will only consider recommending for funding in the President’s budget, priority capital asset investments that comply with the policies for good capital programming described in section 300.5, and the Capital Programming Guide.
What is Exhibit 53 (investment portfolio)?
OMB Circular A-11 requires that each government agency to provide an exhibit of spending on IT investments. Agencies must provide this information using the Exhibit 53 reporting format.
Exhibit 53 is the Agency IT investment portfolio, providing budget estimates for overall IT investments and for major and significant IT systems. Exhibit 300 is a capital asset plan completed for major IT systems and IT budget initiatives.