Navy Cash Standard Operating Procedures - Financial Management ...

Working Draftidentified, for example, incorrect account number. The Automated Clearing House (ACH)Return Codes and Notification Codes are included in paragraph 8.15.21.The Commanding Officer will be responsible for establishing a Navy Cash policy for thecommand that will identify the limits on size, number, suspension of a cardholder’s card formisuse, and disciplinary repercussions associated with Non Sufficient Funds (NSF) or otherreturned transactions. Suggested Courses of Action (COAs) for returned transactions that resultin a negative Navy / Marine Cash account balance are presented in Appendix L. When atransaction is returned for whatever reason, it will be dealt with in the following manner.8.8.1 Negative Navy Cash Balancea. Treasury Financial Agent Action. Upon receipt of a returned transaction, the TFAwill reverse the credit (apply a negative credit for the same value) to the cardholder’s Navy Cashaccount. If the cardholder has moved the funds from the Navy Cash account to their chipaccount, a negative Navy Cash balance may result. The TFA will also put a temporary block onthe cardholder’s DDA access to prevent additional transactions from being requested,dishonored, and returned prior to clearing the negative balance. Once the transaction has beencleared, access to the DDA will be unblocked and restored.b. Negative Balance Report. The account will be added to the Negative Balance Report,which is sent to the Disbursing Officer on a daily basis.c. Disbursing Officer Action. The amount of a negative balance represents a debt to theU.S. Treasury funds pool. Even though the amount of that debt in not part of his or heraccountability, the Disbursing Officer is responsible for collecting on that debt. The DisbursingOfficer shall:(1) On a daily basis, review the daily Negative Balance Report.(2) Immediately notify in writing any cardholder who appears on the report, forexample, via e-mail (include the cardholder’s chain of command for second and thirdoccurrences). Once notified, the cardholder shall report to the Disbursing Officer within twoworking days to establish how his or her Navy Cash balance will be restored to $0 or greater.(3) Collect the amount of the negative balance within 10 working days after receiptof the Negative Balance Report. Apply a pay checkage (DS01) to the individual’s pay account ifthere is no response from the cardholder within the prescribed period.(4) Within five working days of the receipt of the pertinent Negative BalanceReport, recommend, through the individual’s chain of command, any disciplinary actionconsidered necessary (see Appendix L).(5) Ensure cardholders within 30 days of transfer or discharge are not listed on theNegative Balance Report. See paragraph 8.4.20, Close or Suspend an Account Pending Transferor Discharge?(6) There are several options available to collect on the amount of a negativebalance. Depending on the size of the negative balance, these options may need to occur severaltimes or be spaced out over several pay periods to clear the negative balance. The DisbursingOfficer should ensure that the cardholder’s access to his or her home bank or credit unionaccount remains blocked until the negative balance is cleared (see paragraph 8.8.2, Blocking andNC SOP Ver 1.12 Chpt 8 Disbursing.doc 8-126 16-Aug-07