EEOICPA BULLETIN NO. 03-16

Issue Date: March 17, 2003

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Effective Date: March 17, 2003

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Expiration Date: March 17, 2003

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Subject: Processing cancellations of lump sum payments from the Department of Treasury in ECMS.

Background: Between August 2001 and March 2003, payments that were cancelled and required re-issuance were processed by staff at the National Office through the Electronic Certification System. Effective March 17, 2003, DEEOIC will begin processing both the cancellation and re-issuance of lump sum payments directly through the Energy Case Management System (ECMS).

Recording a cancelled payment is critical to maintaining an accurate and comprehensive accounting of all DEEOIC funds disbursements. Multi-level reviews and concurrences by DEEOIC management of actions taken and documented by all parties – claimants, financial institution staff, government claims

staff – is essential to safeguard the integrity and security of DEEOIC’s financial accounting processes and systems.

This bulletin provides written guidance regarding the procedures to be used and the policies to be followed for initiating and completing a payment cancellation, so that re-issuance of a lump sum payment can be made through ECMS. This bulletin replaces E-mail procedures entitled "New Payment Transaction Form to use for reissued payments sent to National Office", dated August 14, 2002.

References: ECMS Release Notes (March 17, 2003), EEOICPA Bulletin 02-12, "Compensation Payment Process", ECMS FAQ’s.

Purpose: To provide procedures for the processing of payment cancellations.

Applicability: All staff.

Actions:

1. When a lump sum payment that was authorized in ECMS cannot be processed by the Department of Treasury, or the claimant never receives the payment, it will result in a cancellation of the lump sum payment.

Cancellation by the Department of Treasury: After the District Office authorizes the lump sum payment in ECMS, it is transmitted to the Department of Treasury for payment by check or Electronic Funds Transfer (EFT). If the Department of Treasury is unable to process the payment, they will cancel the payment and send a form SF-1198 ("Schedule of Unavailable Check Cancellation Credits" or "Schedule of Cancelled EFT Items") to the Fiscal Officer in the National Office.

Cancellation initiated by Claimant: After the District Office authorizes the lump sum payment in ECMS, it is transmitted to the Department of Treasury for payment by check or Electronic Funds Transfer (EFT). If the claimant does not receive the paper check or the EFT, the claimant contacts the District Office.

The claimant notifies the Claims Examiner, who documents the call or correspondence in the notes section of the Case Notes screen in ECMS.

If a claimant reports non-receipt of a check or EFT by telephone, the Claims Examiner must advise the claimant to document such non-receipt in writing.

Upon receipt of the correspondence, the Claims Examiner transfers the case file in ECMS on the Case screen to the DO Fiscal Officer.

The DO Fiscal Officer faxes a copy of the letter sent by the claimant with a memorandum explaining the need for cancellation to the NO Fiscal Officer.

Upon receipt of the documentation, the NO Fiscal Officer sends an E-mail to the Department of Treasury requesting a tracer. A copy of the E-mail, along with a memorandum of explanation, is faxed to the DO Fiscal Officer to include in the case file. (Procedures for situations wherein the check has been cashed, or the EFT was already deposited will be forthcoming.)

Once the Department of Treasury has successfully completed the tracer, the Department of Treasury will send a form SF-1198 to the Fiscal Officer in the National Office.

2. Upon receipt of the form SF-1198, the NO Fiscal Officer requests the case file from the DO Fiscal Officer.

3. The District Office transfers out the case file to "NAT" in ECMS on the Case screen, and mails the case file via express mail to the NO Fiscal Officer. The status effective date of the transfer is the same as the express mail date.

4. Upon receipt of the case file, the NO Fiscal Officer transfers in the file to "NAT" in ECMS on the Case screen. The status effective date of the transfer is the same date the case file is received. The NO Fiscal Officer confirms the address for a paper check, or bank account/routing numbers for an EFT. The SF-1198 is spindled inside the case file.

5. The NO Fiscal Officer completes and signs Action 1 of the "Payment Cancellation" form (Attachment 1), and spindles the form inside the case file. Once completed, the NO Fiscal Officer forwards the case file to the Branch Chief for review and signature (Action 2 of the "Payment Cancellation" form). Upon completion, the Branch Chief forwards the case file to the Director or Deputy Director for review and signature.

Note: If an error is detected by the BPRP Branch Chief, the Transaction Cancelled section of the "Payment Cancellation" form is filled out. The case file is returned to the NO Fiscal Officer for review.

6. ECMS permits only the Director or Deputy Director to initiate the on-line payment cancellation process. If the Director or Deputy Director agrees that the ECMS payment record needs to be voided, after reviewing the actions taken and documented in the case record, the payment cancellation is initiated in ECMS by the Director or Deputy Director at National Office:

In ECMS, select "Initiate Void Compensation Transaction" from the Compensation menu

At the Search Payment Record screen, enter the case SSN or name

Click the "Initiate" button at the bottom of the Payment Update screen

Click "YES" to confirm the Void Initiation

7. After the void is reviewed and initiated in ECMS, the Director or Deputy Director checks off Actions 3 and 4, and signs and dates the "Payment Cancellation" form. The case file is transferred out to the District Office in ECMS on the Case screen, and returned via express mail. The status effective date of the transfer is the same as the express mail date.

Note: If an error is detected by the Director or Deputy Director, the Transaction Cancelled section of the "Payment Cancellation" form is filled out. The case file is returned to the BPRP Branch Chief for review.

8. Upon receipt in the District Office, the case file is transferred in ECMS on the case screen, and forwarded to the District Director. The status effective date of the transfer is the same date the case file is received.

9. ECMS permits only the District Director to authorize the on-line payment cancellation process. If the District Director agrees that the ECMS payment record needs to be voided, after reviewing the actions taken and documented in the case record, the payment cancellation is authorized in ECMS by the District Director at the District Office.

In ECMS, select "Authorize Void Compensation Transaction" from the Compensation menu

At the Search Payment Record screen, all pending check cancellations to be authorized will appear in a grid view

Highlight the record to be authorized, and click "Select"

If no repayment of the cancellation is required, check the "No Repayment required" box. If repayment is required, the box is left blank

Click the "Authorize" button at the bottom of the Payment Update screen

Click "YES" to confirm the Void Authorization

10. After the payment cancellation is reviewed and authorized in ECMS, the District Director checks off Actions 5 and 6, and signs and dates the "Payment Cancellation" form. The District Director transfers the case file in ECMS on the Case screen to the DO Fiscal Officer.

Note: If an error is detected by the District Director, the Transaction Cancelled section of the "Payment Cancellation" form is filled out. The case file is returned to the DO Fiscal Officer for review.

11. After the void has been processed in ECMS:

If the lump-sum payment needs to be re-issued:

The DO Fiscal Officer informs the Claims Examiner that the payment cancellation has been completed. The Fiscal Officer routes the case file to the Claims Examiner. The Claims Examiner confirms the SF-1198 is in the case file.

If the EN-20 is insufficient to process the re-issued payment, i.e. the bank routing/account numbers for EFT, or address for check, are incorrect, the Claims Examiner sends a letter of explanation to the claimant, along with a copy of the original EN-20 prepared by FAB. Upon receipt of the new EN-20, the Compensation Payment process is repeated, as per EEOICPA Bulletin 02-12.

If the EN-20 is sufficient to process the re-issued payment, i.e. the bank routing/account numbers for EFT, or address for check, are correct, but were incorrectly entered in ECMS for the original payment, the Compensation Payment process is repeated, as per EEOICPA Bulletin 02-12.

If the lump-sum payment does not need to be re-issued:

The DO Fiscal Officer confirms that the void has been completed, and that the "No Repayment Required" box is checked on the View Comp. Transaction screen, under the "Void Transaction" tab. The case file is returned to the DO file room, and transferred to "FIL" in ECMS on the Case screen.

Disposition: Retain until incorporated in the Federal (EEOICPA) Procedure Manual.

PETER M. TURCIC

Director, Division of Energy Employees

Occupational Illness Compensation

Distribution: Distribution List No. 1: (Claims Examiners, Supervisory Claims Examiners, Technical Assistants, Customer Service Representatives, Fiscal Officers, FAB District Managers, Operation Chiefs, Hearing Representatives, District Office Mail & File Sections.)