1971.19 REV-2

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CHAPTER 4 - HEADQUARTERS FISCAL YEAR-END REQUIREMENTS

4-1. PURPOSE. To provide Headquarters program and accounting offices

with: (1) specific instructions for the processing of program and

administrative documents used to reserve, obligate and disburse

funds and (2) cut-off dates for processing such documents applicable

to the fiscal year-end being closed.

4-2. RESPONSIBILITY OF PROGRAM OFFICIALS. Paragraph 4-3 sets forth the

requirements for processing documentation for assignments,

reservations, obligations and disbursements. These requirements must

be complied with by: (1) All Assistant Secretaries; (2) General

Counsel, and (3) Regional Inspector General for Audit/Office of

Inspector General

4-3. CUT-OFF DATES FOR PROCESSING FISCAL YEAR-END PROGRAM TRANSACTIONS.

a\. Fund Assignments. Unless prior arrangements have been made

With OFA, all final fund assignments for contract, loan and

budget authority on Form HUD-185, must be received by OFA no

later than five workdays prior to the end of September in order

to ensure proper time for fund availability check, and to

complete further processing by the Office of Budget and program

officials. See HUD Handbook 1830.4 REV.

b\. Reservations. All fiscal year reservations, except as specially

arranged for the Section 202, Housing for the Elderly or

Handicapped, should be submitted to OFA no later than September

20, to allow sufficient time for approval and execution of the

related contracts and other obligating documents by September 30.

All reservations for which obligations are not executed on or

before September 30, will either be reversed on the books of

account for the fiscal year ending September 30, (for annual

appropriations) or established in the accounts for the next

fiscal year (for no year and multi-year appropriations).

c\. Obligating Documents. Approved and dated copies of all

contracts, purchase orders, and other obligating documents

executed through September 30 should be received in OFA no later

than the close of business on the third workday in October,

unless prior arrangements have been made by the originating

office. Where necessary, documents shall be hand delivered to

ensure receipt by the cut-off dote. Any obligating documents

which cannot be recorded and/or are received in OFA after the

third workday in October, may be returned to the originating

office or recorded as the following fiscal year\'s business,

depending upon the circumstances.

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1971.19 REV-2

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d\. Disbursements. All vouchers and invoices and other payment

documents which are to be paid by Treasury Check on or before

September 30, should be received by OFA no later than close of

business of the sixth workday prior to the end of September. Any

disbursement documents received after this date cannot be

guaranteed for payment prior to September 30 and may be scheduled

for payment by the Department of the Treasury as October

business.

e\. Letters of Credit. Authorizations to issue, amend or revoke

Letter of Credit with an effective date of September 30, or

prior, should be received by OFA no later than September 20 of

each year. If additional requests to issue Letters of Credit are

expected to be approved after the 20th of September, prior

arrangements must be made with OFA in order to assure processing

during September.

4-4. CUT-OFF DATES FOR PROCESSING FISCAL YEAR-END ADMINISTRATIVE
EXPENSES

TRANSACTIONS

a\. Travel Documents. See Travel Handbook 2300.2 REV.

\(1\) Travel Vouchers, U.S. Government Transportation Requests

(TRs) and unuse airline tickets for September and all prior

months for local and/or per diem travel, training, change of

station, conference fees, etc., must be properly approved and

submitted directly to GAOD by COB of the second working day

in October.

\(2\) Travel Authorizations. Travel that is charged to

Headquarters office allotments should be recorded as

prescribed below:

\(a\) Temporary Duty Travel. Temporary duty travel expenses

should be recorded in the accounting system in the

accounting period in which the travel is actually

performed and the expenses were actually incurred. A

HUD-25, Travel Order - Request and Authorization must be

approved and submitted to GAOD for obligation before

September 30 for all temporary duty travel scheduled to

be performed on or before September 30. HUD-25\'s for

temporary duty travel which are open as of September 30

should be reviewed. If the travel has not been

performed, the funds should be deobligated and obligated

against the next fiscal year\'s appropriation.

\(b\) Relocation Travel. Travel and transportation expenses of

an employee making a permanent change of official station

will be documented by preparing a HUD-25, Travel Order

Request and Authorization, with a HUD-21005, Supplement

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1971.19 REV-2

to Official Travel Order and a HUD-21004, Service and

Reimbursement Agreement Moving Expense allowances.

Travel and transportation expenses should be recorded as

an obligation against the appropriation current when the

employee is issued valid travel orders. HUD-25\'s issued

during a fiscal year and recorded as an obligation during

that fiscal year that remain open as of September 30 are

not to be transferred to the following year\'s

appropriation although the travel will actually occur in

the following fiscal year. This policy of handling

relocation travel is in conformity with Comptroller

General Decision B-213530 issued November 2, 1984.

\(3\) Travel Advances. All outstanding travel advances as of

September 30, except relocation travel advances, that relate

to travel to be performed in the following fiscal year shall

be reconciled to the general ledger and transferred from the

current fiscal year Salary and Expenses appropriation account

to the account maintained for the following fiscal year.

This transfer shall be accomplished no later than October 31,

and must he processed through the SF-224 report to Treasury.

b\. Training. SF-182, Request, Authorization, Agreement and

Certification of Training, must he processed for all training to

be charged to the fiscal year ending September 30, and should be

received by GAOD no later than close of business (COB) of the

second working day of October. Requests for reimbursement on

SF-1034, Public Voucher for Purchases and Services Other Than

Personal, to he charged to the fiscal year ending September 30,

also must be received by the GAOD no later than the second

working day of October.

c\. Obligations and Receiving Documents. Purchase orders, Government

Bills of Lading, contracts, printing requisitions, General

Services Administration requisitions, certified invoices, etc.,

must be dated on or before September 30 to properly obligate the

funds. All documents must be received by GAOD no later than COB

of the second working day of October.

d\. Imprest Funds. Imprest funds should be closed for the fiscal

year no later than 4:00 p.m. on the last workday in September,

and a reconciliation and certification of the cash and voucher

receipts performed. The reconciliation and certification should

be made by the Principal Cashier in the presence of the Alternate

Cashier. The final imprest replenishment voucher for the current

fiscal year, and a copy of the certification and reconciliation

for the total Imprest Fund shall be forwarded to the GAOD by

close of business of the second working day in October. No

current fiscal year transactions may be paid from the Imprest

Fund after 4:00 p.m. of the last workday in September. Cashiers

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1971.19 REV-2

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shall submit reimbursement vouchers on a current basis to the

GAOD during the month of September. Replenishment vouchers

received by the GAOD on or before the fifth workday prior to the

end of September will be scheduled for payment in September.

Refer to Imprest Fund Handbook 1925.2 REV.

e\. Other Administrative Obligations and Costs. Headquarters offices

that have the responsibility for entering obligations into the

HAAS will enter the transactions necessary to obligate equipment

rental charges, communications costs, printing costs, etc. for

the year being closed. Headquarters offices that do not have the

responsibility for entering obligations into the HAAS will

provide the GAOD with the data necessary to enter obligations for

the above items. Memoranda and documentation setting forth the

dollar value of the usage of ADP services, reproduction and

machine rentals, telegraphic and Western Union Services. GSA

Work Orders, Credit Reports, Motor Pool and Store Supplies, etc.,

must be received by close of business of the second workday in

October and must have been dated on or before September 30.

4-5. ASSISTANT SECRETARY FOR HOUSING-FEDERAL HOUSING COMMISSIONER.

a\. The Director, Office of Financial Management shall provide OFA,

Attention: Reports Control and Analysis Staff, by September 15,

the basis for arriving at and establishing the interest and

valuation reserves for the following programs:

\(1\) Section 202 Housing for the Elderly or Handicapped Loans

\(2\) Section 106 b \"Seed money\" Loans

b\. The Director, Office of Financial Management shall provide OFA,

Attention: Post insurance Division, Real Property Branch

Multifamily Section by October 9, the following information:

\(1\) The reserve rate effective September 30 and during the next

fiscal year for each multifamily assigned mortgage.

\(2\) The reserve rate effective September 30 and during the next

fiscal year on purchase money mortgages serviced as

multifamily.

\(3\) Reserve rate effective September 30 and during the next

fiscal year for multifamily mortgages under the Community

Disposal Program.

c\. The Director, Operations Division, Office of Multifamily Housing

Management shall provide OFA, Attention: Post insurance

Division, Single Family Notes Branch by COB October 9 the reserve

rate effective September 30 for home mortgages under the

Community Disposal Program.

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1971.19 REV-2

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4-6. OFFICE OF GENERAL COUNSEL (OGC). OGC shall provide OFA, Attention:

Reports Control and Analysis Staff, the following information as of

September 30 of each year.

a\. Report of suits pending against the Department, by program

(FHA. Public and Indian Housing, New Communities, etc.) as of

September 30. This report should be received by OFA no later

than October 16.

b\. Notification of home properties repossessed or converted by FHA

as of September 30 for which notification has not been previously

furnished, and a listing of all pending foreclosure cases. This

information should be received by OFA no later than October 11.

c\. Tort claims pending against the Department. This information

should be received by OFA no later than October 15.

4-7. ASSISTANT SECRETARY FOR COMMUNITY PLANNING AND DEVELOPMENT. To
allow

sufficient time for the administrative review process and for issuing

instructions to the RAD, the Assistant Secretary for Community

Planning and Development shall advise OFA, Attention: Reports Control

and Analysis Staff, by August 15 of the disposition of any unutilized

balances of (1) Community Development Block Grant funds and (2)

Section 312 Rehabilitation Loan funds as of September 30 as to

whether the funds are to remain in the Regional Offices for use in

the next fiscal year or returned to Headquarters. The Assistant

Secretary for Community Planning and Development shall furnish a

listing for the New Communities Program of all known charges (such as

Trustee expenses, legal services, project managers\' expenses,

interest payable on mortgages, taxes, etc.) applicable to the fiscal

year being closed for which vouchers have not been provided. The

listing should be received by OFA no later than COB of the second

working day of October. By September 15, the Assistant Secretary for

Community Planning and Development shall advise OFA, Attention:

Reports Control and Analysis Staff, the basis for arriving at and

establishing the interest and valuation reserves for the following

programs: (1) Section 312 Rehabilitation Loans (delinquent and

current), and (2) Liquidating Programs (Revolving Fund).

4-8. ASSISTANT SECRETARY FOR ADMINISTRATION. The Assistant Secretary for

Administration shall be responsible for issuing all external

financial and accounting reports for the Department for the fiscal

year ending September 30.

a\. Director, Office of Procurement and Contracts shall:

\(1\) Establish cut-off dates for processing request for contract

services to be obligated from the current year funds. Such

dates must allow sufficient time to meet the required dates

for receipt of Valid obligating documents in OFA (see

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1971.19 REV-2

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paragraph 4-3c). Any requests that cannot be processed

within the required timeframes should either be returned to

the requesting office or held for processing in the

subsequent fiscal year; and

\(2\) Ensure that funds have been reserved prior to the processing

and execution of contracts.

b\. Director, Office of Finance and Accounting. The Director of OFA

shall have the prime responsibility for the preparation of all

financial accounting reports for the fiscal year ending

September 30. All year-end reports will be considered final when

submitted.

c\. Accounting Division Directors, OFA.

\(1\) Statement of Certification. Each Division Director in OFA

shall be required to submit a Statement of Certification in

the prescribed format to be provided by August 31 of each

year, certifying as to the accuracy of the obligations,

unobligated balances, accounts payable and accounts

receivable. The certification shall be submitted together

with the other year-end reports.

\(2\) Review and Control of Reservations. OFA shall review all

outstanding reservations as of September 1 to ensure that all

obligating documents which are applicable to the fiscal year

being closed are received by the second workday in October.

The originating office will be requested to review the status

of each reservation and provide OFA with the documents to

obligate the funds and/or indicate which reservations will

not be obligated by September 30.

\(3\) Review of Accounts Receivable. All accounts receivable

balances for each appropriation or funds, remaining in the

same status for 90 days or more shall be reviewed to

determine whether appropriate collection action has been

taken, and/or whether the accounts receivable should be

written off. Where the accounts receivable are applicable

to a particular program, the program officials shall be

requested to determine the status of the receivable, and to

advise OFA of the action being taken to have the receivable

paid or written off. The claims collection officer shall

also be contacted to determine whether appropriate

collection action has been taken or whether the receivable

should be written off. The results of all contacts shall be

documented.

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1971.19 REV-1

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\(4\) Year-end reports to be submitted to RCAS. Year-end reports

as requested on the transmittal check sheet furnished by RCAS

will be prepared and submitted to RCAS on the requested due

dates.

\(5\) Recording and Reviewing Obligations. A final review and

adjustment of obligations shall be completed by OFA to ensure

that all known obligations are recorded and correctly stated

as of September 30 and that the obligations meet the

requirements of Section 1501(a), PL 97-258, as a valid

obligation for certification purposes. Particular attention

must be given to unliquidated obligations where the status

has not changed for 6 months or more to ensure that they are

still valid outstanding obligations. OFA will review

unliquidated obligations by contacting program offices in

July in order for the review to be completed prior to

year-end closing. Aggressive follow-up actions must be taken

to obtain responses from the program offices and/or the

documentation required to deobligate unneeded obligations.

Criteria for reviewing and adjusting obligations are set

forth in HUD Handbook 1900.20 REV, Incurring, Recording, and

Adjusting Obligations. Unless available as ADP output,

listings of unliquidated obligations under each appropriation

or fund as of September 30 shall be prepared and retained for

audit purposes.

4-9. REGIONAL INSPECTOR GENERAL FOR AUDIT/OFFICE OF INSPECTOR GENERAL

All sustained costs involving monies due the Department as of

September 30 shall be recorded as a receivable on the accounting

records by the RAD/Headquarters accounting office as appropriate.

The establishment of the receivables should be in accordance with the

policies and procedures as set forth in HUD Handbook 1900.25 REV,

Delinquent Debt Collection.

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