TFM Part 2 Chapter 4300 Treasury TFM


Fiscal Service will review the transfer authorization for validity before certifying the transfer and transmitting the data to its central accounting and financial reporting system for posting to the transferee accounts. A copy of the processed NET is stored in CARS and is available for the Federal Program Agency to print a hard copy for its records. All qualified financial institutions tasked by the Fiscal Service with providing lockbox services to federal entities enter into Financial Agency Agreements (FAA) with Fiscal Service, in advance of doing so. Under these FAAs, Fiscal Service designates the financial institutions as depositaries and financial agents of the United States. The FAA specifies the terms and conditions under which the FA will perform lockbox services.

  • Because agencies earn and pay interest on the fund balance at the same interest rate, there is zero net effect for borrowing early and on an estimated basis.
  • If the Federal Program Agency’s investment authority allows for certain investments subject to a public interest determination of the Secretary of the Treasury, such determination will be at the sole discretion of the Secretary.
  • The agency records these interest supplement payments in the financing account and disburses them to non-federal lenders.
  • Proceeds from Market-Based GAS Securities maturing on a non-Business Day are credited to the Government Investment Account on the following Business Day.

In cases involving a voluminous number of submitters, GSA may post or publish a notice in a place or manner reasonably likely to inform the submitters of the proposed disclosure, instead of sending individual notifications. Treasury’s Interest Payable to borrowing agencies is accrued throughout the fiscal year by FIBB based on the previous fiscal year’s interest collection from Treasury; OR an accrual estimate provided monthly by the borrowing agency. Agencies must use the most current version of the CSC, available through the OMB contact with primary responsibility for the account, I TFM PART 5 CHAPTER 4600 to calculate interest due to Treasury for the current fiscal year. Agencies must email the supporting interest payment calculation to FIBB (see contacts) on or before the day the interest payment is made via the Intra-governmental Payments and Collections (IPAC) system; but, in any case no later than September 30 of the current fiscal year. Agencies must return any apportioned but unobligated borrowing authority in the financing account by the end of each fiscal year. Agencies should contact OMB to determine whether the program should use a special fund or general fund receipt TAS.

FAQs on Factors of 5600

All borrowings from Treasury should mature on the final year of the cohort; however, if a cohort contains borrowings with multiple maturity dates, the agency can request a consolidation. For specific directions regarding the consolidation of borrowings from Treasury, agencies should contact FIBB (see contacts) as soon as practicable, but in any event no later than the last business day of the fiscal year when the cohort has finished disbursing its loans. The new maturity date must remain within the original maturity interval established for the cohort. 31 U.S.C. § 3513 requires each executive agency to furnish the Secretary of the Treasury reports and information about its financial condition and operations, if requested by the Secretary. Fiscal Service requires all federal agencies (i.e., all federal executive-, legislative-, and judicial-branch agencies and all federal government corporations) to report all receipt and disbursement activity of the agency via the Classification Transactions and Accountability (CTA) component of CARS.

It is the responsibility of the Federal Program Agency for a Government Investment Account to post all account activity transactions reported to Fiscal Service to a corresponding account in the agency’s internal accounting system. It is also the responsibility of the Federal Program Agency to reconcile its internal account balances with corresponding account balances in CARS. The purchase Price for an investment in a Par-Value GAS Security is the face amount of the security (Par). If the statute authorizing the issuance of Par-Value GAS Security specifies that the applicable Interest Rate is to be determined based on the market yield on outstanding Marketable Treasury Securities, ODM will determine the Interest Rate according to the formula prescribed in the statute. If the statute authorizing the issuance of Par-Value GAS Securities specifies that the applicable Interest Rate is to be determined based on the Interest Rates borne by outstanding Marketable Treasury Securities, Fiscal Service will determine the Interest Rate according to the formula prescribed in the statute. When part of the federal government closes due to inclement weather or other reasons that cause a temporary business closure, Fiscal Service will generally be open to conduct business for Federal Program Agencies.

All borrowings from Treasury are effective on October 1 of the current fiscal year, regardless of when the agency actually borrowed the funds, except for funds borrowed at the end of the fiscal year to make an annual interest payment. Borrowings for annual interest payments are effective September 30 of the current fiscal year. These instructions apply to all direct loan and loan guarantee programs, except those specifically excluded by Sections 502 and 506 of FCRA. See TFM Volume I Part 2 Chapter 4800 for guidance on borrowing from Treasury other than under FCRA.

Factors of 5600

Fiscal Service requires the federal entity receiving these services to also enter into an Interagency Agreement (IAA) with them. Prior to borrowing or collecting interest on uninvested funds under FCRA, agencies must e-mail a completed Required Information for Establishing Credit Reform Agreements form to the Federal Investments and Borrowings Branch (FIBB) (). Fiscal Service will draft the Credit Reform agreement, which will be signed by the agency and then by the Assistant Commissioner of Fiscal Accounting for the Bureau of the Fiscal Service. Special fund receipt accounts collect negative subsidy receipts and downward reestimates for certain loan programs. Fiscal Service classifies these receipts in the special fund receipt TAS series 53XX.001 for negative subsidy receipts, and series 53XX.003 for downward reestimates of the subsidy.

Agencies should send requests for guidance to Fiscal Service’s Bank Policy and Oversight Division (see Contacts). Agencies must provide Fiscal Service with written notice of any subsequent changes to the statutory basis of any request for which Fiscal Service provided guidance. The Federal Program Agency may not instruct Fiscal Service to redeem Treasury Specials before the Maturity Date for the purpose of reinvesting in higher rate instruments. ODM determines daily the purchase Prices for all outstanding, eligible Marketable Treasury Securities in accordance with the principles described in Appendix 1.


For new credit programs, the agency must send the Bureau of the Fiscal Service (Fiscal Service) a written request to establish a Treasury Account Symbol (TAS) for direct loan or loan guarantee financing accounts and general fund receipt accounts, or special fund receipt accounts mandated by FCRA (see contacts). In addition, OMB approval is required before establishing TAS for special fund receipt accounts. All written requests submitted to Fiscal Service must include a program name, direct or guaranteed loan specification, the legislative authority for establishing a TAS, and any TAS previously recorded by OMB. For general information on Federal Account Symbols and Titles (FAST), reference the FAST Book. For information about establishing Treasury Account Symbols (TAS), refer to TFM Volume I, Part 2, Chapter 2000, Section 2020. Federal agencies receiving public money from any source are statutorily required to deposit these funds into the U.S.

Requirements For Using Depositaries To Hold Public Money

However, if Fiscal Service is unable to process a timely received instruction on a particular date due to a temporary business closure of its office, Fiscal Service will process the transaction so that it is effective as of the date during the closure as instructed by the Federal Program Agency. It is the responsibility of the Federal Program Agency to notify Fiscal Service of any legislation that includes an appropriation for its federal program and to submit a letter to Fiscal Service requesting an appropriation Warrant and citing the legal authority. TFM Volume I Part 2 Chapter 2000 includes the contact information of the branch within Fiscal Service to which Federal Program Agencies should send requests for appropriation Warrants. For help in determining the amounts and/or timing of an appropriation and when necessary, contact OMB and/or Fiscal Service’s Office of the Chief Counsel. Only disagreement between Fiscal Service, OMB, and the Federal Program Agency requires such coordinated determination.


At the request of a Federal Program Agency establishing of some Deposit Fund Accounts occur when that agency receives monies owned by persons or entities other than the United States Government. Treasury will develop a separate agreement with the Federal Program Agency to establish a Deposit Fund Account on the books of the Treasury to hold the monies. Treasury will also develop a separate MOU between Treasury and the Federal Program Agency to communicate the policies and procedures of Treasury regarding the Deposit Fund Account and describe the respective responsibilities of Treasury and the Federal Program Agency relating to the account.

How to Find the Factors of 5600?

FedInvest is the web-based application designed to provide Federal Program Agencies the ability to input investment activity and manage portfolios of Government Investment Accounts. After Fiscal Service has assigned a TAS to a new Government Investment Account, it is the responsibility of the Federal Program Agency to notify and request Fiscal Service to establish the new Government Investment Account within FedInvest. Deliver this request via email to , and must include the TAS, and the Agency Location Code (ALC) assigned by Fiscal Service. The request should also include the names, email addresses, telephone numbers, and fax numbers of the Chief Financial Officer and any other necessary points of contact for the Federal Program Agency. This chapter prescribes the responsibilities, policies, and procedures that the Department of the Treasury (Treasury) has established for government accounts on the books of the Treasury for which the Secretary of the Treasury (Secretary) has been authorized or directed by law to invest. In accordance with the SRS if the lockbox bank fails to perform the required services, then the federal entity shall inform Fiscal Service in writing within 10 calendar days.


Agencies with the proper investment authority have the choice of investing in either GAS Securities, Marketable Securities, or both. Marketable Securities are those bills, notes, bonds, floating rate notes, and Treasury Inflation-Protected Securities available for purchase and resale on the Secondary Market. Federal agencies must have specific investment authority granted by an act of the Congress before purchasing Marketable Securities. After Congress grants authority, agencies may purchase these securities on the Secondary Market through an independent brokerage firm. Agencies with existing statutory authority to invest in Marketable Securities, or which seek to obtain such authority, must notify Fiscal Service.

To request lockbox services, federal entities must submit an official request for a new lockbox or new lockbox services in writing to the Revenue and Remittance Management Division. The request must include the potential number and dollar amount of items, an explanation why federal entities cannot manage the cash flow electronically including specific legal requirements, and a copy of any required coupon or form that would accompany a receipt. The Fiscal Service will perform an analysis, and in its sole discretion, determine if lockbox services are necessary. If denied, the Revenue and Remittance Management Division will recommend an alternative collection mechanism.

  • Fiscal Service submits balances of Government Investment Accounts to the Governmentwide Treasury Account Symbol Adjusted Trial Balance System (GTAS).
  • Deposit Fund Accounts hold monies owned by persons or entities other than the United States Government.
  • It is also the responsibility of the Federal Program Agency to ensure that the person submitting the redemption instruction is an official of the Federal Program Agency who is authorized to submit to Fiscal Service redemption instructions on behalf of the Federal Program Agency.

Unless an agency has specific statutory authorization, the general statutory requirement that federal entities must deposit all public money into the U.S. Treasury does not permit federal entities to deposit public money into a bank account of an agency contractor or vendor. This rule applies irrespective of whether the funds subsequently would be transferred into the U.S. The rule applies equally to federal agency contractors providing payment assistance and similarly prohibits agencies from depositing funds into a contractor or vendor account for subsequent disbursement.

The interest rates for credit reform subsidy calculations, budget execution, borrowings, uninvested funds, and other balances are available through the OMB contact with primary responsibility for the account. OMB distributes the actual annual interest rates approximately 10 business days before fiscal year-end, September 30. Certain statutes authorize Federal Program Agencies to retain user fees, royalties, fines, penalties, insurance premiums, donations, and other similar receipts to support the federal program that produced the receipts. Operationally, these receipts are frequently collected by the Federal Program Agencies through a network of depositary accounts maintained by the federal government in commercial depositary institutions and Federal Reserve Banks throughout the country. Initially, Federal Program Agencies deposit these receipts into the General Fund of the Treasury and the funds are not credited directly into the account of the Federal Program Agencies. The commercial depositary institutions and the Federal Reserve Banks report information on the collections deposited into the General Fund of the Treasury to Fiscal Service through a deposit reporting system.