99--IMPORTANT NOTICE TO ALL DFRC VENDORS

NASA is implementing an agency-wide software program, known as Integrated Financial Management (IFM), to modernize its financial systems and processes. NASA DFRC is scheduled to shutdown our existing financial systems in May 2003 and begin using the Core Financial module of IFM by the end of June. Our records indicate your firm has an active contract or purchase order with NASA DFRC and consequently may be impacted. To facilitate the cutover process, we need your assistance in several areas. 1. INVOICES. The Center's Deputy Chief Financial Officer for Finance has determined that it is prudent to waive the thirty-day waiting period for payments under the Prompt Payment Act prior to closing the legacy financial system. Invoices received between April 16 and May 1, 2003 will not be subject to the Prompt Payment Act waiting period and will be paid early. During the cutover period (May 17 through the end of June), NASA DFRC will be unable to make payments except for emergencies. Therefore, we are encouraging contractors, where possible, to submit invoices to the address specified on the Purchase order or Contract no later than May 1, 2003. NASA DFRC Financial Management Office will make every effort to have these invoices approved by May 7, 2003, in order for them to be paid prior to shutdown of our legacy financial system. Those invoices not received and approved by May 7, 2003, may not be paid until after NASA DFRC successfully implements Core Financial. Please keep in mind that NASA DFRC cannot honor invoices requesting advance payment for goods and services to be received during this transition period. The DFRC Financial Management and Procurement Offices will be working with you to maintain continuity of service since payment processing may be interrupted during our cutover window. The Prompt Payment clause in your contract discusses the provisions for paying interest if payment is not received by its calculated due date. Please consult the clause for applicability of interest penalty payments for your specific contract. The interest penalty is paid automatically, without a request from the Contractor. As part of our cutover planning, we are currently investigating our options for making emergency payments should the need arise. As we get closer to our shut down, we will finalize these plans and provide additional information. 2. COST REPORTS (533). We are attempting to assemble our contractor cost data early so that we can complete our May month-end closing by our established shutdown date. If it is applicable to your contract you can assist us by submitting the Contractor Financial Management Reports (NASA Form 533M) for April no later than, but preferably before, Monday, May 5, 2003, if your report is not currently required before that date. Although costs and hours reported should be based upon actual amounts incurred, we recognize that you may need to estimate some costs for the latter part of April. If this is necessary, please ensure that the 533M for May identifies any adjustments made to the costs and hours reported for April. We apologize for any inconvenience and appreciate your patience and support as we make this transition. If you have any questions or require further details, please contact Valerie Zellmer at +1 (555) 000-0000 or email her at contact@example.gov. Cordially, Valerie Zellmer Deputy Chief Financial Officer for Finance