OFFICE OF FINANCIAL MANAGEMENT

Updated 04/28/01


POLICY AND PROCEDURES FOR COLLECTING AND DEPOSITING FUNDS OVERSEAS

Policy

Class B Cashiers are the final officials responsible for collections received in the form of cash or checks. US&FCS employees, as necessary, may be designated as Subcashiers, Alternate Cashiers, or Receiving Clerks (for example, occasional money holders) to handle collections. These employees are personally responsible and accountable for the custody and safekeeping of all funds received until the funds have been submitted to a Class B Cashier and a receipt has been obtained. The number of employees entrusted with this function should be kept to a minimum, as consistent with good management.

A. Key Terms

1. Refunds are collected funds that are returned to an appropriation and allotment that has been previously charged. These are immediately available for obligation if the appropriation and allotment previously charged are still available for obligation (for example, reimbursements to the US government for authorized personal calls or outstanding travel advances).
2. Deposit Funds are funds deposited without specific purposes, pending identification of those purposes by the depositor (for example, Gold Key). These funds must be reported and returned to Washington in order to be authorized for expenditure.   Note: Checks and cash may not be deposited and/or disbursed in/from a bank account or any other financial institution without specific authorization. Also, cashiers should use the prevailing rate of exchange to determine the U.S. Dollar (USD) amount when presented with local currency. B. Collections and Deposits 1. Collections must be deposited on a daily basis if the collected amount is $5,000 or more.   2. Collections of less than $5,000 may be accumulated and deposited when the total reaches $5,000.   3. Deposits must be made by Friday or the last workday of each week, regardless of the amount accumulated. C. Acceptable Forms of Payment

The following are acceptable forms of payment:

1. First party personal checks and first party travelers checks must be made payable to the "American Embassy", "Department of State", or "U.S. Treasury."   2. Third party checks; checks written in the name of the cashier; and, checks written for "cash" may not be accepted.   3. All local currency and U.S. Dollar checks must be immediately marked "For Deposit Only." Procedures 1. Collections should be directed to a designated Receiving Clerk, who will issue a pre-serialized receipt to the person making the payment.   2. The Receiving Clerk should place the collections in a cashbox under his/her exclusive control.   3. The Receiving Clerk should maintain a copy of all pre-serialized receipts in their cashbox and prepare a written log of daily collections and all pertinent information, including:
  a. the local currency amount   b. the dollar amount   c. the date received   d. the name of the person making the payment   e. the type of payment (for example, check or cash)   f. the purpose (for example, Gold Key)   g. the Participation Agreement number (if applicable)
 
Note: Class B Cashiers can provide information on the required prevailing rate of exchange to determine USD amount when presented with local currency.   4. The office should designate a time at the end of each day when the Receiving Clerk gives all collections for that day and a copy of the receipts and/or the daily log to the Sub-cashier.   Note: Collections must be kept physically separated from the cashier's operating cash advance (for example, a separate cashbox) and separate accountability records must be maintained for operating advances and collections.   5. The Sub-cashier should prepare a deposit memo for the Class B Cashier, itemizing each deposit according to accounting classification. The deposit memo should include the information needed to prepare the General Receipt. Optional Form (OF)-158 (General Receipt) is used to record all cash and check collections. It also serves as a receipt for the person from whom the money is received. An OF-158 must be issued at the time the transaction occurs. Appropriations, allotments, and other accounting information must be entered on OF-158 for official collections. Therefore the Sub-cashier should provide this data on the deposit memo for the Class-B Cashier.   6. Once the Class-B Cashier has prepared all OF-158s, the amounts and accounting data must be verified with the deposit memo to ensure that collections are credited to the proper account.   7. The Sub-cashier should reconcile collection records once a month at a minimum, and may do so more than once a month if necessary. OF-209 (Accountability Record) is typically used by the Class B Cashier to maintain consolidated control of all collections received from the Subcashier. The Subcashier should obtain copies of these forms from the Class B Cashier to verify that all collections have been properly recorded and deposited.   8. An American Officer should verify collection balances by making a physical count of:   a. All collections on hand   b. All OF-158s issued since the last reconciliation.


The account is in balance when these two items match the collections recorded in the Receiving Clerk's daily receipts or logbook.


 
Deposit Procedures for Collections Received at Foreign Posts How to Prepare a Collection Transaction Record (CTR) at Foreign Posts

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