Effective July 25, 2013, Handbook F-101, Field Accounting Procedures, is revised to reflect the change in the unit cash reserve policy. The current policy to calculate the unit cash reserve based on stamp sales can no longer be applied due to the steady decline in stamp sales. As a result, the unit cash reserve authorized will now be based on the Cost Ascertainment Group (CAG) associated with the postal retail unit (PRU).
Handbook F-101 will be updated to include the maximum amount of unit cash reserve each CAG can maintain and the approval process to increase the amount, if necessary.
A PRU with a unit cash reserve less than the new maximum amount should maintain their current level. A PRU with a unit cash reserve that exceeds the maximum amount for their CAG must reduce their reserve down to the new authorized “maximum amount”.
Due to the policy change, the “Authorized Cash” field in the Finance Number Control Master system (FNCM) will be renamed “Authorized Unit Cash Reserve,” and a one-time program will update this field for all PRUs. Additionally, the Excess Cash Retained Report in the Accounting Data Mart (ADM) will be modified to calculate the excess cash amount based on the number of Sales and Service Associates (SSAs) with cash credits and the Unit Cash Reserve amount in FNCM. Also, a new Narrowcast Report has been created to assist the District Finance Managers (DFMs) with the annual review for those units that are granted an exception to increase the unit cash reserve amount.
Note: Headquarters and area personnel will monitor the unit cash reserve levels.
Handbook F-101, Field Accounting Procedures
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13-7 Cash Credits
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13-7.1 Unit Cash Reserves
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13-7.1.1 Establishing a Unit Cash Reserve
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PRUs may establish a unit cash reserve to supplement the needs of the unit.
The unit cash reserve is based on the Cost Ascertainment Group (CAG) assigned to the PRU. Below is the maximum amount of unit cash reserve that can be maintained for each CAG group:
Note: PRUs have the ability to increase or decrease their unit cash reserve as long as it is within the authorized “maximum amount”. Management should make adjustments when circumstances warrant.
Use PS Form 3369, Consigned Credit Receipt, to assign the unit cash reserve to an employee who is directly accountable.
When circumstances warrant, the unit cash reserve custodian may reassign all or part of the unit cash reserve using PS Form 3369.
Any reassigned funds must be kept separate from other accountable credits assigned to the employee.
The unit cash reserve must be reported in AIC 753 on the unit’s PS Form 1412. When performing a count of the unit cash reserve, there is no authorized tolerance applied.
Note: CPUs and SDAs are not authorized to have a unit cash reserve.
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13-7.1.2 Changes to Unit Cash Reserves
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In certain instances, a PRU may require unit cash reserve above the allowable maximum amount as stated in Section 13-7.1.1. In these instances, the PRU may submit a request to their District Finance Manager (DFM) to increase the amount of their unit cash reserve but must not exceed the cap amount for their CAG group. The cap amount by CAG is as follows:
Example: If a unit is in CAG A and currently has the maximum allowable limit of $700, then that unit can only request an increase of up to $2,300, since $3,000 is the cap amount for a CAG A office.
To request an increase to the unit cash reserve, PRU supervisors must do the following:
a. Complete FNCM Unit Finance Number Request with header information and the current and new requested amount for Authorized Unit Cash Reserve.
b. Scan and submit the request via email to the District Finance Manager (DFM) for approval. The email must include “Request to Increase Unit Cash Reserve” in the subject line and justification for the request in the body of the email. File a copy locally of completed form and email request.
c. Upon receipt of the request, the DFM does one of the following:
n Send an email to the unit with decision of approval and submit the completed FNCM form along with approval email to FNCM FSB to update the unit cash reserve amount in FNCM; or
n Send an email to the unit with decision of disapproval.
d. For requests approved by the DFM, the PRU supervisor must do the following:
n Update PS Form 3369 to reflect the amount authorized by the DFM.
n Update the unit cash reserve amount as needed on PS Form 1412 (See 13-7.4)
n Maintain copies of email as supporting documentation.
Note: If the DFM determines that a unit cash amount, considering the requested increase, is excessive, he or she can disapprove the requested increase and determine the appropriate cash level.
Once every fiscal year, the DFM must review the amount of the unit cash reserve for those units that have been authorized as an exception to validate that the need still exists for the increased amount.
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Appendix C-5
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Appendix C-6
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We will incorporate these revisions into the next online edition of Handbook F-101 on the Postal Service™ PolicyNet website:
n Go to http://blue.usps.gov.
n In the left-hand column, under “Essential Links,” click PolicyNet.
n Click HBKs.
The URL for Handbook F-101 is http://blue.usps.gov/cpim/ftp/hand/f101.pdf.
— Revenue and Field Accounting,
Controller, 7-25-13
