# Presentation: 825098

## Payroll AccountingUpdate

**Joe Vitale, Chief**
**Certification and Disbursement Branch**
**Government Employees Services Division**

**Notes:**
Thank you for the nice introduction.

It is my pleasure today to represent the Payroll Accounting Directorate and to have the opportunity to share with you information about our organization, the services we are honored to provide for our customers, and to address some of the current initiatives underway to enhance our products and services.    

## Payroll Accounting Directorate

**Notes:**
This slide displays our organizational structure.

The Payroll Accounting Directorate consists of 3 Branches, with Gary Millet as the newly appointed Director as of May 11.  Gary has 29 years of Federal service, with much experience in auditing. 

CJ Ladner is Chief of the Government Debt and Insurance Services Branch.  CJ has 32 years of Federal service and has served as Chief since July 2006.  The Branch consists of 3 Sections with responsibilities associated with  Debt  Management, DPRS/CLER and Claims.  The Sections are headed by Nancy Pierce, Angela Julian and Kathy Bourgeois.

Reggie Hargett is Chief of the Payroll Reconciliation and Reporting Branch.  Reggie has 34 years of Federal service and has served in this position since April 2006.  The Branch consists of 2 Sections with responsibility for Payroll Reconciliation, Reporting, and Accounting Control .  The Sections are headed by Patrick Foret and Trina Baptiste. 

I am Chief of the Certification and Disbursement Branch.  I have 16 years of Federal service and have served as Chief since February 2007.  The Branch consists of 2 Sections responsible for Payroll Certification and Treasury Reconciliation.  The Sections are headed by Joe Henley and Billy Rich.  

## Annual Accounting Statistics

| Service Provided in 2007 | Volume |
| --- | --- |
| Gross Salary Payment Certification  | $41.9 Billion |
| OPM Separations | 70,000 |
| Post-56 Military Deposits |   3,880 |
| Administrative Billings and Collections (ABCO)
ABCO Telephone Inquiries | $2.74 Billion
23,291 |
| Direct Premium Remittance System (DPRS) Billings and Collections
DPRS Telephone Inquiries | $4.70 Million
93,000 |
| Payment Trace (EFT net salary payments) |   2,232 |
| SF-1184 Check Cancellations
Treasury Credits and Cancellations |   1,031
44,424 |
| Undeliverable U.S. Savings Bonds |  7,527 |

## Service Accomplishments

**Processed salary payments on time each pay period**
**Traced 100% of EFT claims of non-receipt within 24 hours**
**Initiated 100% of check cancellations within****24-hours**
**Automated the upload of Treasury credits into DOTS**
**Established an NFC Liaison to work directly with State Disbursing Unit POCs and our client agencies to more timely resolve issues with child support payments**

**Notes:**
I am pleased to report that we have processed salary payments on time each pay period, thereby continuing NFC’s string of successfully doing so for the past 35 years.  

Our staff is committed to ensuring that salary payment schedules are timely reconciled, certified, issued and available for our customers use by established biweekly pay dates.   

FYI, 98.86% of our customers receive their salary payment by Direct Deposit into their personal bank account. This is excellent!

Approximately 7,000 employees continue to receive paper check payments.  Please continue to encourage these employees to switch to Direct Deposit.

Due to our excellent working relationship with financial institutions, we successfully processed 100% of EFT payment trace requests within 24-hours of receipt.

Initiated 100% of check cancellation requests in PACER within 24-hours of receipt.

Effective July 16 agencies are now able to view their Treasury credit data in DOTS in a more timely manner.

For the past several years we have worked closely with OPM and State Disbursing Unit offices to convert child support payments to EFT format, thereby allowing for more accurate posting and recording by these authorities and, more importantly, the timely receipt and availability of these funds for the recipients. South Carolina is the only state to not yet centralize this function.  We will work with their office as they are ready to convert their payments to EFT format.

In an effort to more timely resolve payment posting issues, we established an NFC liaison to work directly with SDU POCs and your agency contacts to correct employee payroll/personnel records.  We work directly with your staff to correct case numbers, recipient names, cancel deductions, establish new withholdings, update Direct Deposit bank routing and account number information as States change bank accounts, etc.  

## Service Accomplishments

**Worked with OPM contractors to convert to electronic format Post-56 Deposit Packages and Individual Retirement Records into a module of Retirement System Modernization (RSM)**
**Maintained green score on Treasury’s scorecard for reconciliation of payroll related disbursements and collections**

**Notes:**
As part of the Retirement System Modernization initiative, our staff diligently worked with OPM contractors to convert Post-56 Deposit Packages and Individual Retirement Records to electronic format. 

We are pleased to report that during the past year we achieved and maintained Treasury green score status on all payroll related disbursement and collection transactions.  

We worked closely with several agencies to fully comply with TFM Bulletin No. 2007-07, which requires that, without a waiver, agencies must discontinue use of Suspense “F” Accounts by July 31, 2008.  

I would like to take this opportunity to thank each of you for timely responding to our survey on this topic, which was distributed in February, and for promptly working with us to modify your payroll default accounting in Table Management, as necessary.

Since 2001 NFC has participated in OMB, OPM and FMS hosted sessions regarding the Government-wide  Accounting Project, which when implemented will allow for more timely preparation of trial balances and cash reconciliation with Treasury.     

The last meeting was conducted on May 21, and the discussion concentrated on the ability of e-Payroll Providers to supply FMS with Treasury Account Symbol data as part of our payment certification process.

The current timeline for conversion to their GWA payment module is 2011.    

## Service Accomplishments

**Compliance with TFM Bulletin No. 2007-07 Suspense “F” Account Discontinuance and Waiver Policy effective July 31, 2008**
** ****Worked with OMB, OPM and FMS on the Government-wide Accounting Project (GWA)**

**Notes:**
As part of the Retirement System Modernization initiative, our staff diligently worked with OPM contractors to convert Post-56 Deposit Packages and Individual Retirement Records to electronic format. 

We are pleased to report that during the past year we achieved and maintained Treasury green score status on all payroll related disbursement and collection transactions.  

We worked closely with several agencies to fully comply with TFM Bulletin No. 2007-07, which requires that, without a waiver, agencies must discontinue use of Suspense “F” Accounts by July 31, 2008.  

I would like to take this opportunity to thank each of you for timely responding to our survey on this topic, which was distributed in February, and for promptly working with us to modify your payroll default accounting in Table Management, as necessary.

Since 2001 NFC has participated in OMB, OPM and FMS hosted sessions regarding the Government-wide  Accounting Project, which when implemented will allow for more timely preparation of trial balances and cash reconciliation with Treasury.     

The last meeting was conducted on May 21, and the discussion concentrated on the ability of e-Payroll Providers to supply FMS with Treasury Account Symbol data as part of our payment certification process.

The current timeline for conversion to their GWA payment module is 2011.    

## Service Accomplishments

**Undeliverable U.S. Savings Bonds**
**Enhanced the Residence Address Change Request screen in EPP Self-Service in an attempt to reduce the number of undeliverable bonds**
**	*****“******This action will NOT change your savings bond mailing address.  To change your savings bond mailing address, go to “Savings Bonds” on the EPP Self-Service menu.”***
**Verbiage was relocated to the top portion of screen in bold highlight effective August 10, 2007**
**Result: Reduced the number of returned bonds by 20%**
**TreasuryDirect**

**Notes:**
NFC issues 28,500 U.S. Savings Bonds each pay period.

Through our work to resolve undeliverable bonds, many employees told us while changing their residence address  they overlooked the need to request a separate change request for their U.S. Savings Bonds.

In an effort to improve the reminder message already on the EPP-Self-Service screen for Residence Address Change Requests, in August 2007 we moved this verbiage to the upper portion of the screen and displayed it in bold highlight.  

Prior to this change, NFC received an average of 354 returned bonds each pay period, or 1.24%  

After the change, we now receive an average of 283 returned bonds each pay period, or .99%

This translates to a 20% improvement.

We ask that you continue to remind employees of the need to also change their bond address, especially those who do not use EPP Self-Service and submit their Residence Address Change Requests in hard copy format. 

Also, we encourage you to promote TreasuryDirect, which allows for paperless transactions and on-line access to personal account records.

TreasuryDirect allows individuals to open an on-line account.  With their TreasuryDirect account information, they are able to request a financial allotment from their biweekly salary payment into their account.  

The service allows individuals to be able to schedule periodic investment purchases as sufficient funds become available in their TreasuryDirect Account.

Best of all, it allows investors to view statement activity and it maintains a history of their investments in electronic format, eliminating the need to store paper records.   

## Planned Service Enhancement Initiatives

**Establish two (2) new staff positions to serve as NFC liaison between OPM and our client agencies responsible for providing assistance with RSM data cleansing and conversion processes**
**Actively participate in GWA migration sessions, with emphasis on minimizing its impact on existing business practices with our client agencies**

**Notes:**
We plan to establish 2 staff positions within the Directorate to serve as NFC liaison between OPM and our client agencies to coordinate and assist them with the RSM data cleansing and conversion process.

These new employees will report directly to the PAD Director.

We will continue to actively participate in meetings on Government-wide Accounting.  

Goal – to minimize the operational impact on NFC’s existing practices and our agreed-upon business processes with our client agencies.  

GWA related topics
timing issues related to FMS’ cut-off processing windows during payroll cycle weekends and new payment data requirements
Proper handling of invalid Treasury Account Symbols  and new validation process to prevent such occurrences

## Payroll Accounting

**Thank you **
**for granting us the opportunity to serve you**