Green Book | TFX: Treasury Financial Experience

The Green Book is a comprehensive guide for financial institutions that receive ACH payments from and send payments (i.e. collections) to the federal government.

Most federal payments are made through ACH with very few exceptions.

Federal government ACH transactions continue to be subject to the same rules as private industry ACH payments.

The Green Book is designed to deal primarily with exceptions or issues unique to federal government operations.

The Green Book contains federal agency contact information and website addresses where appropriate.

To make the Green Book easier to navigate, download, and print, chapters are available in PDF format only.

We periodically review and update the Green Book.

Introduction
Chapter 1: Enrollment
Chapter 2:ACH Payment Processing
Chapter 3:Non-Receipt Claims
Chapter 4: Returns
Chapter 5: Reclamations
Chapter 6: Notification of Change
Chapter 7: Contacts
Chapter 8: Glossary
Chapter 9:Forms
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Introduction

Welcome to the Green Book, a comprehensive guide for financial institutions that receive ACH payments from and send payments (i.e. collections) to the federal government. Please select the link below for the complete, revised Introduction to the Green Book.

Introduction and Table of Contents

Chapter 1: Enrollment

Overview

For federal government payments made through the Automated Clearing House (ACH) system, the recipient must enroll with the paying federal agency.

This chapter is a guide to the enrollment process for various payment types —-both consumer and corporate.

There are several enrollment options:

Automated Enrollment (ENR) through the ACH for federal benefit payments;
Telephone;
Paper Enrollment using FS Form 1200 for SSA/SSI, RRB, and OPM payments, Direct Deposit Sign Up Form FS Form 1199A for other federal payments, or the ACH Vendor/Miscellaneous Payment Enrollment Form SF 3881 for corporate vendor payments).
Automated Enrollment (ENR) from the Financial Institution.

Errors in the Direct Deposit enrollment process are the primary cause of misdirected payments. Financial institutions will be held liable for providing incorrect enrollment information and should, therefore, carefully review all Direct Deposit enrollment procedures.

(available in PDF format only)

Chapter 1: Enrollment

Contents - Chapter 1

A. Automated Enrollment/ENR 1-4
B. Simplified Enrollment 1-5
C. Paper Enrollment Methods 1-11
D. Direct Deposit Sign-Up Form (FS Form 1199A) 1-18
E. Federal Financial EDI (FEDI) Payments/Vendor Payments 1-25
F. Enrollment Desktop Guide 1-30
G. Automated Standard Application for Payments (ASAP) 1-41
H. Termination of Enrollment 1-41

Chapter 2: ACH Payment Processing

Overview

This chapter provides information about how federal government ACH payments are processed.

It also contains valuable information on payment dates and information to assist in identifying Treasury disbursed payments.

(available in PDF format only)

Chapter 2: ACH Payment Processing

Contents - Chapter 2

A. Financial Organization Master File (FOMF) 2-3
B. Federal Government ACH Processing 2-4
C. Federal ACH Payment Schedule 2-7
D. Identifying Treasury Disbursed Payments 2-7
E. Identifying Non-Treasury Disbursed Payments 2-9
F. Garnishment of Federal Benefits 2-10

Chapter 3: Non-Receipt Claims

Overview

This chapter describes the role(s) of the Financial Institution in resolving a claim of non-receipt for a federal payment.

(available in PDF format only)

Chapter 3: Non-Receipt Claims

Contents - Chapter 3

A. General Information on ACH Non-Receipt Claims 3-2
B. Initiating a Formal Claim of ACH Non-Receipt 3-3
C. Non-Receipt Process 3-3

Chapter 4: Returns

Overview

This chapter describes the return process for federal payments.

(available in PDF format only)

Chapter 4: Returns

Contents - Chapter 4

A. General Information on Returns 4-2
B. Returning Payments Through the ACH 4-5
C. Returning Partial Payments in Response to Notices of Reclamation 4-6
D. Dishonored Returns 4-6
E. Payments Returned in Error; Obtaining a Refund from the Government 4-8

Chapter 5: Reclamations

Overview

Section 1 defines reclamation and provides some background information on the subject.

Section 2 covers an RDFI's liability in the reclamation process. Topics include full and limited liability, calculating the limited liability amount, and exceptions to the liability rule.

Section 3 gives RDFIs guidance on processing reclamations and provides an updated contact list for individuals needing additional information/assistance with reclamations.

(available in PDF format only)

Chapter 5: Reclamations

Contents - Chapter 5

Section 1: Background 5-3
Section 2: Liability of a Receiving Depository Financial Institution (RDFI) 5-4
- A. Full Liability 5-4
- B. Limiting Liability 5-4
- C. Calculating the Limited Liability Amount 5-4
Section 3: Reclamation Procedures 5-6
- A. Notification of Death 5-6
- B. Notice of Reclamation 5-8
- C. Errors in Death 5-17
- D. Subsequent Notice of Reclamations 5-20
- E. Contacts 5-28

Chapter 6: Notification of Change

Overview

Notification of Change (NOC) is used to change and/or correct account information for federal government transactions processed through the Automated Clearing House (ACH).

Although the federal government basically follows Nacha Operating Rules for NOCs, some of the data requirements for Federal government NOCs are not the same as those for commercial NOCs.

The procedures contained in this chapter apply only to federal government NOCs.
(available in PDF format only)

Chapter 6: Notification of Change