Correction: Fiscal Year End Closing Guidance

This article corrects the article “Fiscal Year End Closing Guidance: Message From the Controller” published in Postal Bulletin 22212 (8-2-07, pages 71–75).

 

In this section…	Note the following changes…
III.A	In the first row of the table, the first column reads “Contract Authoring and Management System.” The date by which the SMASC must receive receiving reports and certified invoices for goods and services is October 1.
III.B	The date by which the SMASC must receive receiving reports and certified invoices for goods and services is October 1. The fax number for submitting PS Form 8163 is 650-577-2520. The date by which PS Forms 8163 are due is October 1.
IV	The words “as a prior period credit” from the second sentence in the second paragraph are deleted.
V.B	The “Received by Date” for several forms has been changed.

The entire article reappears on the following pages with the changes underlined.

Fiscal Year 2007 Closing Guidance: Message From the Controller

I ask that each of you continue your efforts to control expenses. It is important that we carry this effort through to the end of the fiscal year by controlling discretionary activ­ity. This does not mean curtailing business, but it does mean making prudent choices by deferring or eliminating non-critical activity, and purchasing goods or services throughout the year, rather than at the end of the fiscal year simply because there are available budget funds. Please encourage your contractors to bill us in a timely manner for goods received and services rendered, so we can recog­nize the expense before the end of the fiscal year. Addition­ally, I ask that you process accruals for goods received and services rendered, but not invoiced, as of September 30. Please note the minimum expense accrual is $20,000.

The following instructions will assist you, when appro­priate, in helping the Postal Service™ close its finan­cial books in a timely and efficient manner.

Lynn Malcolm
Vice President, Controller

I. Instructions for Fiscal Year 2007 Closing

All organizations are requested to limit their expendi­tures to essential spending. Accordingly, all vice presidents should review discretionary spending to ensure the Postal Service attains its financial target for this fiscal year (FY).

The instructions and reporting dates in this Postal Bulletin supplement procedures followed during the normal monthly or quarterly reporting schedule.

I. Fiscal Year

The Postal Service prepares its annual reports on a government FY basis, which comprises 365 days (366 in leap years), always ending on September 30.

III. Capital and Expense Commitment or Accrual Activities

A. Capital and Expense

Supply Management will not accept capital and expense requisitions and requests for contract modifications after September 7, unless work is currently under way on advance requirements or the buying manager grants an exception. Supply Management will accept capital purchase card transactions through September 14. Also, organizations should limit capital commitments, particularly Postal Service support equipment, to essential needs. The schedule for Supply Management processing is as follows:

 

 

For requisitions received…	Funds are processed as follows…
On or before September 7, 2007	Supply Management will attempt to issue the required contract or modification in time for the San Mateo ASC to process against FY 2007 funds.
On or after October 1, 2007	San Mateo will process against FY 2008 funds.

Organizations must forward hardcopy paper commit­ment documents to reach the San Mateo Accounting Service Center (SMASC) no later than September 21. The schedule for electronic files transmitted to the accounting services centers is as follows:

 

 

Send electronic files for…	To this ASC…	No later than…
Contract Authoring and Management System (CAMS)	San Mateo	September 25, 2007
Facilities capital commitments and expense payments	Saint Louis	September 30, 2007

Appropriate receiving reports or certified invoices for goods and services received by September 30 must be forwarded to the SMASC for receipt no later than October 1. Please expedite processing of receiving reports and certified invoices as these documents are used to charge expense to the proper FY. Additionally, review contracts to ensure sufficient funds are available by September 21 to process invoices and to process PS Form 8163, Request for Fiscal Year Expense Accrual.

Supply Management will process all requisitions for the issuance of contracts against FY 2007 funds according to the following priorities:

Priority 1 — Capital commitment requisitions.
Priority 2 — Expense commitment requisitions.

B. Unpaid Expenses or Accruals for Goods and Services Received on or Before September 30 (Expense accrual minimum for FY 2007 is $20,000.)

For goods received or services rendered through September 30, if it is impossible to furnish a receiving report or certified invoice in time to reach the San Mateo ASC by October 1, and the expense per contract sequence number or miscellaneous (noncommitment) purchase or service is $20,000 or more, the expense must be accrued.

Complete PS Form 8163. A copy is available on page 49 of this Postal Bulletin. PS Form 8163 is also available on the Postal Service Intranet. Go to http://blue.usps.gov/forms.

Transmit properly completed PS Forms 8163, along with appropriate supporting documentation, via e-mail to SMASC ACCRUAL FORM8163@usps.gov or fax to 650–577-2520 no later than close of business Monday, October 1, 2007. Documents received at the SMASC pertaining to activities occurring October 1 and later will be recorded in FY 2008.

IV. Liquidation of Accruals

When submitting an actual certified invoice to liquidate an accrual, include the statement “Accrued to FY 2007” on the face of the document and a copy of the PS Form 8163 that was either e-mailed or faxed to the SMASC. Do not mail invoices to the Scanning and Imaging Center, mail these invoices and copies of PS Form 8163 directly to:

Manager
Accounting Service Center
2700 Campus Dr
San Mateo CA 94497-9401

Liquidate accruals as soon as possible. Offices must monitor their accruals and invoices to ensure that the accruals are properly liquidated. All FY 2007 accruals processed by the SMASC that are not liquidated by the end of November 2007 (FY 2008), will be reversed to a service-wide finance number. Subsequent invoices will be charged to the appropriate budget finance number as an FY 2008 expense.

V. Submission Schedules

Please use the following schedules relating to FY 2007 closing:

Schedule I — Accrual Processing Information.
Schedule II — Submission Processing.

A. Schedule I — Accrual Processing Information

The following are instances when items may be accrued using PS Form 8163 if goods or services have been received on or before September 30:

• You have not received a receiving report.
• The dollar amount must be $20,000 or more.
• You will not get an invoice to certify for payment by September 30.

Document calculation of the accrual on PS Form 8163 or on a copy of a previous month’s invoice. You may also use an adding machine tape as proof of the accrual calculation.

Service Maintenance Contract — Copier

Review the last invoice processed to determine the amount to accrue from the service ending date through September 30.

To estimate the accrual amount, perform the following calculation:

1. Calculate number of days to accrue (count from the first day of the next billing cycle through September 30).

For example:
Billing period last invoice = 8/19–9/17
Number of days to accrue = 13 (9/18–9/30)

2. Calculate the daily rate.
Divide the last invoice amount by the number of days in the billing period to determine a daily rate.

For example:
Invoice amount = $60,000
Billing period = 30 days (8/19–9/17)
Daily rate = $2,000 ($60,000/30 days)

3. Calculate the accrual amount.
Multiply the daily rate calculated by the number of days that will be accrued.

For example:
Accrual amount = $2,000 x 13 = $26,000

Note: No service maintenance accruals should be made unless there are less than 12 monthly (or equivalent) invoices processed for the current FY. If there are less than 12 invoices processed (or equivalent), you should accrue for the missing invoices.

Utility Billing Accrual — Natural Gas and Electricity

Use the accrual amount calculation for service mainte­nance as shown above.

Note: Do not make any utility accruals unless there are less than 12 monthly (or equivalent) invoices processed for the current FY. If there are less than 12 invoices processed (or equivalent), you should accrue for the missing invoices.

Other Goods or Services Accrual — Consultant Contract

Calculate the accrual amount.

Check with the vendor to validate the cost of goods or services received during the unbilled period ending September 30 and obtain the necessary supporting documentation.

Note: Do not accrue if the amount is less than $20,000.

The following items may not be accrued on PS Form 8163:

• Basic pricing agreements (BPA).
• Bulk fuel deliveries, oil purchases, and vehicle parts.
• Capital.
• Carrier drive-outs.
• Credit card purchases¹.
• Direct Vendor Delivery (DVD) and eBuy purchases.
• FEDSTRIPs¹.
• Gasoline credit card (fleet card) purchases.
• Government Printing Office (GPO) printings.
• Government travel accounts (GTAs).
• Imprest funds.
• Incentive awards.
• Inventory.
• Nonpostal training.
• Nonmetered fuel.
• Telecommunications (Raleigh).
• Relocation Management Firm (RMF) services¹.
• Tort claims.
• Travel.
• Uniform allowances.
• Vehicle repairs on PS Form 4541, Order-Invoice for Vehicle Repair (Commercial Work Order).

1. Do not place orders for DVD or eBuy purchases from October 1 through October 4, 2007, except for critical needs.

B. Schedule II —Submission Processing

The table below describes the schedule for submitting forms.

 

 

Form #	Item	Submit by	Submit to	Received by Date
N/A	Back pay awards	All offices	Eagan ASC	Aug 1
PS 7381	Requisition for Supplies, Services, or Equipment	All offices	Supply Management Headquarters	Sep 13
PS 17	Stamp Requisition/Stamp Return	Field offices	SSC/SDO	Sep 13
PS 1727	Award Recommendation/Authorization (Quality Step Increase)	All offices	eAwards	Sep 24
	Health Nurse (COHN) Award	All offices	eAwards	Sep 24
PS 1270	Idea Proposal	All offices	eAwards	Sep 24
N/A	Award Report	All offices	eAwards	Sep 24
N/A	PCES Recognition Authorization or Vice President Award Authorization for PCES in EAS Positions	All offices	eAwards	Sep 24
N/A	Individual EAS Recognition/Awards Program Authorization	All offices	eAwards	Sep 24
N/A	EAS Team Recognition Authorization	All offices	eAwards	Sep 24
RHD	Right-hand Drive Vehicle Incentive Award	All offices	Eagan ASC	Sep 24
PS 1839	Payment Record for Carrier Drive-Out Agreements	Field offices	Scanning & Imaging Ctr.	Sep 13
PS 1164-A	Claim for Reimbursement for Postal Supervisors (for Employee Business Expenses only)	Field offices	Scanning & Imaging Ctr.	Sep 13
N/A	Inspection Service/Office of Inspector General Award Forms	Field offices	Eagan ASC	Sep 24
N/A	Commercial Bank Reconciliations	US Bank, JP Morgan Chase, and Citibank	Eagan ASC	Oct 13
N/A	BPA cover sheets	All offices	San Mateo ASC	Oct 1
N/A	Capital and expense receiving report	All offices	San Mateo ASC	Oct 1
N/A	Certified invoices — supplies and services, bulk fuel and oil purchases, motor vehicle parts, nonmetered heating fuel	All offices	San Mateo ASC	Oct 1
PS 1782	Training Request and Authorization	All offices	San Mateo ASC	Oct 1
PS 8163	Request for Fiscal Year Expense Accrual	All offices	San Mateo ASC	Oct 1
PS 8230	Authorization for Payment	All offices	Scanning and Imaging Ctr.	Sep 29
PS 8232	Payment for Personal Services Contracts	Field offices	Scanning and Imaging Ctr.	Sep 24
PS 3533	Application for Refund of Fees, Products, and Withdrawal of Customer Accounts	Field offices	Scanning and Imaging Ctr.	Sep 29
N/A	Tort claims	All offices	Scanning & Imaging Ctr.	Oct 1
N/A	eTravel (Approving Official)	All offices	St. Louis ASC	Oct 1
N/A	eTravel (Receipts)	All offices	Back Office	Oct 1
PS 1129	Cashier Reimbursement Voucher and/or Accountability Report (imprest fund)	All offices (imprest)	San Mateo ASC	Oct 1
N/A	Project facility system	Facilities	St. Louis ASC	Oct 1
N/A	Money order vouchers	Field offices	St. Louis ASC	Oct 1
PS 3637-G	Batch Header for Official Mail (attach supporting documents)	Field offices	Scanning & Imaging Ctr.	Oct 1
PS 4541	Order-Invoice for Vehicle Repair (commercial work order)	Field offices	Support VMF	Sep 27
PS 7370	Request for Funds Transfer	Field offices	District Budget Office	Sep 27
PS 8049	Vehicle Hire Pay Adjustment	Field offices	St. Louis ASC	Sep 26
N/A	Vehicle Hire Payment Certification reports	Field offices	Support VMF	Oct 1
SF 97	The U.S. Government Certificate of Release of a Motor Vehicle	Field offices	San Mateo ASC	Sep 28
N/A	Government bills of lading	National Traffic Service	San Mateo ASC	Sep 28
N/A	Capital commitments (CAMS) through APEX-CAMS electronic interface	Supply Management Headquarters	San Mateo ASC	Sep 25
N/A	Hardcopy paper commitment documents	Supply Management Headquarters	San Mateo ASC	Sep 21
N/A	Government Printing Office	Supply Management Headquarters	San Mateo ASC	Sep 21
N/A	Telecommunications	Raleigh Network Operations	San Mateo ASC	Sep 27
N/A	Government Travel Account (GTA)	St. Louis ASC	St. Louis ASC	Oct 1
N/A	Gasoline Credit Card (fleet card) payment and accrual	U.S. Bank	San Mateo ASC	Oct 1
N/A	Direct Vendor Delivery (DVD) and eBuy**	Topeka MDC	San Mateo ASC	Oct 1
N/A	U.S. Bank VISA accrual	U.S. Bank	San Mateo ASC	Oct 3
N/A	Relocation Management Firm (RMF) accruals	Accounting, Headquarters	San Mateo ASC	Oct 2
N/A	eBuy utilities	All offices	eBuy Post/Certify Module	Sep 29

** Do not place orders for DVD or eBuy purchases from October 1 through October 4, 2007, except for critical needs.

 

Address questions concerning these instructions to the appropriate servicing Finance office.

— Accounting Policy, Finance, 8-16-07

PS Form 8163