TABLE OF CONTENTS
Paragraph and Subject Page Date Trans. No.
Chapter 3-0600 Compensation Payments
Table of Contents. . . . . . . . . i 08/14 14-04
1 Purpose and Scope. . . . . . . . . 1 08/14 14-04
2 Responsibilities . . . . . . . . . 1 08/14 14-04
3 Processing the EN-20 . . . . . . . 1 08/14 14-04
4 Electronic Funds Transfers . . . . 6 08/14 14-04
5 Creating Check Payments. . . . . 8 08/14 14-04
6 Payment Transaction Form . . . . . 8 08/14 14-04
7 Imaging/Identifying Payments(OIS). 9 08/14 14-04
8 Expedited and Exception Payments . 9 08/14 14-04
9 Deleting Payments and
Cancelling Transactions. . . . . . 11 08/14 14-04
10 Payment Reports. . . . . . . . . . 12 08/14 14-04
11 Substitutions Among Staff. . . . . 12 08/14 14-04
12 Temporary Role Changes. . . . . . 13 08/14 14-04
13 Stolen Check Claims . . . . . . . 13 08/14 14-04
14 Processing Payment Cancellations 14 08/14 14-04
15 ECS Payment Cancellation Process . 16 08/14 14-04
16 Post Cancellation Actions. . . . . 17 08/14 14-04
17 Issuing Medical Payments to
a Survivor . . . . . . . . . . . . 17 08/14 14-04
1 Payment Transaction Form
(PTF). . . . . . . . . . . . . . 08/14 14-04
2 Payment Transaction Form for
(EPPTF). . . . . . . . . . . . . 08/14 14-04
3 Payment Transaction Form for
3rd Party Payments (EPPTF). . . . 08/14 14-04
4 ECS Payment Cancellation Form 08/14 14-04
1. Purpose and Scope. This chapter describes the policies and procedures for DEEOIC claim staff in the processing of compensation payments, and defines the roles of the various personnel, in the District Office (DO) and the Final Adjudication Branch (FAB), with respect to the compensation payment process. At the discretion of the District Director (DD), the procedures outlined below may vary in terms of sequence or assigned roles.
2. Responsibilities. When lump sum compensation is awarded by final decision, the FAB Claims Examiner (CE) or Hearing Representative (HR), the District Office CE, Senior Claims Examiner (SrCE) or Supervisory CE (SCE), Fiscal Officer (FO), and DD all ensure that the payment is processed in an accurate and timely manner. The payment process begins at the FAB office, and continues at the DO, upon return of the completed Form EN-20. Persons in the roles listed above serve to validate the accuracy of payment data and enforce security of the payment creation process by conducting individual assessments of each lump-sum payment prepared for issuance.
3. Processing the EN-20. Upon issuance of a final decision (FD) awarding compensation, the FAB enters the Acceptance of Payment (AOP) amount in ECS. ECS generates the Form EN-20 (Acceptance of Payment Form) and the EE-20 (award letter), which FAB mails to the claimant, along with the final decision. ECS will automatically assign an AOP sent date to correspond with the issuance date of the FD. As part of the electronic document retention process, the appropriate staff person will electronically image (a/k/a bronze) the cover letter, final decision, and a copy of the EN/EE-20 for viewing in the OWCP Imaging System (OIS). If it becomes necessary, a replacement EN-20 (photocopy or facsimile) may be sent to the claimant for signature, but the replacement copy must be returned by mail, bearing an original payee signature, with no changes or alterations to the information contained on the original EN-20. (See exception processing of payments for terminal claimants, below, for a waiver of this requirement.)
a. Routing. The FD cover letter contains instructions to the claimant for returning the completed EN-20 to the DO that issued the recommended decision. Upon receipt of the completed EN-20, DO Mail and File staff are to date stamp the form (AOP Received Date), in the upper right corner, using an ink date stamp, and write the Case ID in the top, right corner. Mail and File staff then scan the completed EN-20, and any supporting documentation received in the same envelope, into the corresponding OIS case record. It will not matter whether the EN-20 has obvious errors or omissions; Mail and File staff are to scan any received payment documents into OIS for recordkeeping.
b. Payment Placard/Folder. During the payment process, claims staff maintains a hard copy of any signed EN-20, and associated payment documentation received or generated during payment processing. After scanning into OIS, the signed EN-20 (and associated documents) are affixed to or secured in a payment placard or folder, or maintained in some other fashion that will allow for temporary circulation and storage of payment documents during the payment creation process. If there is an existing paper file, the payment placard is maintained with the file during the payment process, but is not spindled into the record.
c. FO Review. The payment placard is routed to the FO, who reviews the EN-20 and associated payment documents for compliance with the fiscal procedures delineated below. If the payment documents are deficient in any of the following categories, the FO returns the payment placard to the appropriate staff member for corrective action. If the documents are in compliance with all DEEOIC requirements, the payment placard moves to the next step in the payment process (Item 4 or 5 below).
(1) Accuracy: The FO reviews the signed EN-20 to determine if the EN-20 contains correct payment data, and that the form has been correctly completed by the payee, examining each of the following items:
(a) File number on Form EN-20 header.
(b) Payee name on Form EN-20 header.
(c) Payee Social Security Number on Form EN-20 header.
(d) Verification of Account Information: “type account” block is checked (“C” for checking, “S” for savings) and the routing and account numbers are listed correctly, with no trace-overs, or corrections.
(e) Form EN-20 is signed and dated. (If the form is signed by an individual with Power of Attorney, refer to the POA process below).
d. Deficient EN-20. Minor deficiencies in claimant-provided information, other than items (a) through (e), above, can often be explained by a memorandum to the case file without having to return an EN-20 to the claimant. However, if the FO determines that a deficiency exists in one of the above-described items, the FO returns the deficient EN-20 to the CE, and prepares an email message or OIS notification explaining the problem or defect. The CE prepares a letter to the claimant explaining the EN-20 deficiency and the corrective action required for payment to proceed. The CE bronzes the letter to the electronic record, and annotates the OIS description field for the defective EN-20, noting the reason that the EN-20 is unacceptable for payment processing. The CE removes the payment documentation from the associated placard. Any payment documentation relating to a deficient EN-20 is retained at the district office, in hard copy version, until destruction is permitted under the records retention schedule for scanned records. Should the assigned CE need to send a copy of the EN-20 to a payee, it is reprinted from OIS. The CE is to image any newly created cover letter, accompanying the replacement EN-20, for OIS recordkeeping. If a modification of the original EN-20 is required, due to a serious error, the district office point-of-contact (POC) contacts the FAB and requests that a corrected EN-20 be mailed to the payee. If this becomes necessary, the FAB office is responsible for imaging a copy of the corrected EN-20 into OIS.
(1) Signature by Power of Attorney (POA). If the EN-20 contains a signature by POA, either the FO, or the CE (at the DD’s discretion) conducts a document review to ascertain whether the individual who signed the EN-20 has the legal authority to sign on behalf of the payee. This is accomplished by identifying the legal document that authorizes the POA. If such a document does not exist in the case file, the FO/CE undertakes development to obtain this information. Upon receipt of a document identifying the designated POA, the FO/CE prepares a cover memorandum and sends (via facsimile) the memorandum, the EN-20, and the POA documents to the National Office (NO) Policy Branch, for referral to the Office of the Solicitor of Labor (SOL). The memorandum requests a review of the POA documents to determine their legal sufficiency as pertains to the signing of a Form EN-20. At the time of referral to the Policy Branch, the FO/CE enters a 7-day “reminder” in ECS. The Policy Branch acts as the NO point-of-contact for any follow-up inquiries from the DO. The claims examiner affixes the POA document, the memorandum, and other associated POA documentation, to the payment placard.
Staff within the Policy Branch is responsible for routing POA requests to the SOL for review and response. Upon review, the SOL responds directly to the requesting DO, via facsimile.
(a) If the SOL determines that the POA documentation is deficient for any reason, the CE sends a letter to the claimant (with a copy to the POA), advising that the SOL has determined the POA documents to be unacceptable, and stating the reason why. The CE does not send a copy of the Solicitor’s opinion to the claimant. Upon notification to the claimant, of a deficient POA, the CE deletes the “AOP received date” from ECS.
(b) All documents pertaining to the acceptance or rejection of a POA are imaged and stored in OIS, separate from the payment documents.
e. Check Requests: In accordance with Department of Treasury Regulations, individuals requesting payment by check can only be approved for such under limited circumstances, and upon written request from the payee.
An exception was granted by Treasury for check requests by law firms who receive multiple payments (refer to 3e(6)below), and for payments made to foreign addresses (refer to 3f, below).
(1) In the event that a claimant contacts the district office, by letter or telephone call, requesting payment by check, the request is routed to the responsible CE. The CE is to inform the payee that compensation payments are delivered via EFT, unless the claimant meets one of two exceptions:
(a) Payment by electronic funds would impose a hardship because of the individual’s inability to manage an account at a financial institution due to a mental impairment; or,
(b) Payment by electronic funds impose a hardship because the individual lives in a remote geographic location lacking the infrastructure to support electronic financial transactions.
(2) If the claimant states that one of these two exceptions is applicable, the CE instructs the claimant to return the signed and completed Form EN-20 (leaving the EFT section blank), along with a signed letter which:
(a) Requests payment by check;
(b) States which of the above two exceptions applies;
(c) States the mailing address for the check.
(3) Upon receipt of a satisfactory letter, which meets the above criteria, and which accompanies a properly executed Form EN-20 (minus the EFT information) the letter and Form EN-20 are routed to the district office Fiscal Officer (FO) for review. Upon approval by the FO, the letter and EN-20 are returned to the appropriate staff member for processing of payment by check.
(4) Unsolicited letters from claimants, requesting payment by check, that do not meet the above exceptions ((items e(1)(a) and (b)), require a telephone call to the claimant explaining the limited exceptions to the EFT rule. If the claimant states that he/she meets one of the exception criteria, the claimant submits a new, signed letter, specifically requesting payment by check, citing the applicable exception.
(5) If, after the CE has explained the limited exceptions to a claimant and upon receipt of a letter deemed deficient or lacking in explanation, the CE refers the letter to the Policy Branch for further action.
(6) The DD (or designated individual) in each DO is responsible for contacting law firms within their region, and for providing them with procedural guidance on cover letters, consistent with 3.e,(2)(above), that must be submitted with each individual request for payment by check, processed through that law firm.
f. Forms of Payment: If the FO finds that the EN-20 and associated payment documents are in line for payment processing, the FO routes the payment placard to the appropriate party for continuation of the payment process. If the FO determines that a payment transaction form (PTF), other than the DO PTF, is required, this information is communicated via OIS notification (or email) advising of the correct form to be used. The payment forms available for use in creating payments are as follows:
(1) Payment by check or EFT – DO PTF
(2) Expedited Payment – Exception Processing PTF (EPPTF)
(3) Exception Payment (Overpayment or 2nd part B Payment) – EPPTF
(4) Payment to Third-Party Account Name – 3rd Party EPPTF
4. Creating the Electronic Funds Transfer (EFT) Payment.
a. PCA Data Entry: The PCA (Payee Change Assistant) enters the following items in the ECS payment screen:
(1) AOP received date (i.e., date the EN-20 was date-stamped as received at the DO).
(2) Banking Information pertaining to the recipient’s financial institution (bank or credit union).
(a) Bank or Credit Union Name.
(b) ACH (Federal Reserve Bank) Routing Number.
(c) Recipient’s account number.
(d) Type of account: Checking or Savings. (Payments may also be made to money market accounts, as long as no third party routing system is involved and the account type can be classified as checking or savings.)
(3) Names listed on Form EN-20 for all account-holders. (Note: For Fed Wire payments, Payee Name on the EN-20 must match one of the Account Holder names.)
b. PCA Verification. After completing these entries, the PCA verifies that the correct information appears in ECS and returns the payment placard to either the FO or the CE for continued processing of the payment.
c. Verification of Federal Reserve Bank Routing Number. The FO, PCA or CE is to verify the authenticity of the bank routing number through the Federal Reserve Financial Services website, prints a copy of the verification screen, and affixes it to the payment placard. The Federal Reserve website is found at: http://www.fedwiredirectory.frb.org/.
d. Special Routing Instructions for Expedited Payments (Terminal Claimants). When processing EN-20 payment requests for terminal claimants, it is permissible to substitute the bank ACH routing number for a Fed Wire routing number to that same bank. This action must be documented with a screen-print of the Treasury Fed Wire webpage, and a memorandum of explanation signed by the DD/ADD.
e. Verification with Financial Institution. The FO, CE or PCA is to confirm with the financial institution that the account holder name, routing number, account number, and account type correspond with the information provided on the EN-20. (Note: Verification of the routing and account numbers (when possible) is extremely important, as almost all rejected EFT payments result from either incorrect account or routing numbers). Phone call notes regarding information obtained from financial institutions are to be printed out and affixed to the payment placard.
f. International Payments.
(1) Claimants requesting payment to a foreign address can only be paid by check; however, a claimant living outside the U.S. can open a bank account with a U.S. bank and arrange for withdrawal or transfer of funds, once payment has been made to that account.
(2) When preparing a payment request in ECS, for a mailing address outside the U.S., the addressee information (street name & number, building name, etc.) is entered on the three address lines provided on the payment screen; the City and any special City Code is entered on the “City” line; 5 zeroes are entered in the Zip Code field; and “Non-USA State Address” is selected from the “State” drop-down menu. The Country Name is typed in the “Country” field.
5. Creating the Check Payment. After review by the FO, check requests are routed directly to the CE, who reviews the claimant’s address listed on the Form EN-20, and verifies this address against case file documents, the current address displayed in ECS, and any change of address requests in the case file. If the claimant provides a different mailing address on Form EN-20, from the current address of record, and indicates this is a "Payment Only address," the CE contacts the claimant by telephone to determine if the change of address is permanent, or if it is a one-time payment-only address. The CE is to print the ECS call note and affix it to the payment placard.
a. Permanent Change. If the payment address provided on the EN-20 represents a permanent change of address, the CE instructs the claimant to submit a separate signed document requesting a permanent change of address.
b. Temporary Change. If the payment address is a temporary address for that payment only, the CE advises the payee that any permanent change of address will be processed upon submission of a separate written and signed request.
6. Payment Transaction Form (PTF). Once the assigned staff person verifies the accuracy and completeness of the information provided on the EN-20, the CE prepares a Payment Transaction Form (PTF) (Exhibit 1) and affixes it to the payment placard. The CE verifies the banking information (account number, routing number, and account type) by re-entering it in ECS, and forwards the payment placard to the next appropriate individual. As each step is completed in ECS, the individual serving in each of the four ECS roles (CE, SrCE, FO, and DD) signs the PTF for his/her role. Each individual signing the PTF is responsible for examining the payment documents and affirming that the payment amount and associated data appears correctly on the EN-20 and the PTF. After all four signatures are recorded on the PTF, the Fiscal Officer writes the Case ID number in the upper right corner of the signed PTF. Once all payment actions are complete, and the payment is authorized for issuance by the Department of Treasury, the EN-20 and any other payment documentation affixed to the payment placard is referred to the appropriate location for bronzing in OIS.
7. Entering and Identifying Payments in OIS: Payments completed at both the district offices and the national office are to be imaged in OIS and identified as follows:
a. District Office Payments. At the time a payment is Authorized by the District Director (or an approved person with the DD role), all documents associated with the payment (i.e. EN-20, Payment Transaction Form (PTF), Payment Memo, Screen Print, etc.) are to be bronzed and saved as a “payment packet” in OIS. Once the payment packet is bronzed, the documents will be labeled with a unique identifier and filed under the Category: Forms and Claims; Subject: PTF. The payment packet will be described using a unique identifier consisting of the letters “PMT” followed by the first 4 letters of the payee’s last name, the last 4 numbers of the payee SSN, and the Authorization Date as it appears on the PTF. For example, a payment to someone named Jones, with a “last 4” of 9876, and an Authorization Date of 01/01/2014 would be stored in OIS as follows:
Category: Forms & Claims
Description: PMT JONE9876, 01-01-2014
8. Expedited and Exception Payments. The NO Fiscal Officer and NO fiscal staff process certain expedited (terminal) payments, and other “exception” payments that cannot be processed through the normal ECS payment method. For expedited and exception processing of payments at the national office, the Exception Processing Payment Transaction Form (EPPTF)[Exhibit 2] is substituted for the regular PTF. For exception payments where the account-holder name is different from the Payee name, the CE verifies with the payee that payment is being made to a third-party account name and uses Third-Party EPPTF (EPPTF) [Exhibit 3]. The third-party EPPTF is also used by the DO, to account for minor variances between the account holder name and the payee name of record in ECS. Any memorandum of explanation or record of a telephone call to the payee is printed and affixed to the payment placard. Once the DO actions are complete, the payment documents are forwarded to the NO for processing, and imaging, as follows:
a. Expedited (Terminal) Payments. Upon receipt of properly completed payment documentation (which includes an Authorization signature from an individual with DD role), the DO Fiscal Officer proceeds with Verification of the payment in ECS and selects “Expedited Payment” on the ECS screen. The payment documents attached to the payment placard, including the partially completed Exception Processing PTF (EPPTF) are immediately sent via email, to the NO Certifying Officers. The DO staff then images and stores the payment documents, including the partially completed EPPTF, in OIS.
Upon completion of an expedited payment the NO fiscal staff will bronze the documents in the payment packet, including the final EPPTF, using the unique identifier described above, and store them in OIS, following the same process as the district office.
b. Exception Payments are payments, such as 2nd Part B payments that cannot be created in ECS, and payments that exceed the programmatic limits, that originate at the DO, and are forwarded to the National Office for completion. These exception payments are to be processed and imaged as follows:
(1) Upon receipt of properly completed payment documentation, the DO Fiscal Officer signs the EPPTF (Verification) and secures the DD signature (Authorization) on the EPPTF. Upon completion of these two steps, the FO (or appropriate staff person) images the payment documents in OIS. Once the properly completed payment documents are stored in OIS, the FO sends a notification to the NO fiscal staff that exception payment documents are pending action. Because OIS will not allow notification to multiple individuals, simultaneously, this action will have to be completed for each of the national office Certifying Officers.
(2) Upon completion of an Exception Payment at the national office, the NO fiscal officer bronzes the documents in the payment packet, using the unique identifier described above, and stores them in OIS, following the same process as the district office. When the final payment documents are added to OIS, a notification is sent to the verifying FO in the district office.
c. Retention of Documents. Upon completion of any payment, both district office and national office staff will retain the original payment documents in accordance with DOL document retention guidelines.
9. Deleting Payments and Cancelling Transactions. At any time during the payment process, if an error is discovered in either the EN-20, or the PTF, the payment process must cease and corrective action must be undertaken to rectify the error.
a. Error in PTF. If an error is discovered that requires a change in the PTF, the person cancelling the payment transaction completes the “Transaction Cancelled” section at the bottom of the PTF, indicating the reason for the cancellation, the payment placard (with the cancelled PTF) is returned to the appropriate staff person for corrective action.
b. Error in EN-20. If the cancellation is due to a deficient EN-20, the payment placard is routed to the CE for corrective action. (Return to Item 3,d., above.) If, however, the CE identifies a data entry error after the payment information has been entered in ECS, the CE “Deletes” the payment. “Deleting” the payment removes the AOP received date in ECS, and any information on the payment screen. (Note: If there is a pending B and E payment included in the same EN-20, deleting one payment will cause both payments to be deleted. If one of the two payments is not in a state that can be deleted, then the System will abort/not allow the deletion.) Once a payment is created, it must be rejected by the reviewer [SrCE or SCE prior to certification, FO prior to verification, or DD prior to authorization] before the CE can delete it. (The payment process begins anew, with the PCA, when a corrected EN-20 is received.)
10. Payment Reports. On Thursday of each week, at close-of-business (5:00 PM EST), ECS automatically creates an electronic file of all pending, "Authorized" payments created during that weekly cycle. The Branch of Automated Systems (BAS) forwards this electronic payment file to Treasury, for payment the following Thursday. The BAS also stores a copy of this weekly report (Benefit Transaction History Report or BTHR) on a shared-access drive available to the DO fiscal staff on the Monday following the close of the payment cycle. Once the weekly payment cycle is closed, the FO closes the separate weekly spreadsheet report of all district office payments for that pay cycle, and reconciles the district office spreadsheet against the BTHR. After reconciliation, the FO prepares an email summary report containing the total of all weekly payments, broken down by Part (B or E) and by payment type (EFT or check), authorized during that week's payment cycle, and forwards the email report to the NO fiscal officer. Once these three documents (BTHR, DO spreadsheet, and email summary) have been reconciled by the FO, they are scanned and stored in a secure, limited-access payment folder on the district office share-drive.
11. Substitutions Among Staff. If the creator, certifier, verifier, or authorizer is not available to perform a particular payment function, alternate persons in these same roles can substitute for them. Any CE, SrCE, or SCE can create the payment. Any SrCE or SCE can certify the payment as long as that person did not create it.
The DD is notified in advance of any occasion where no fiscal officer(s) will be available to verify payments. In the absence of an FO, either the DD/ADD or the Chief of Operations can verify a payment. However, the same individual who verifies a payment cannot authorize that same payment, as no one person can perform the function of two different roles for any particular payment.
If both the DD and Assistant DD will be unavailable to authorize payments on any given date, advance notice is to be sent by one of those individuals (via email) to the Unit Chief(s) for Policy, Regulations and Procedures, the Policy Branch Chief and the Deputy Director at the NO. The DD/ADD advises the name of the person to be designated as acting DD (either the Chief of Operations, or any other designated individual in the role of manager (SCE)), and the applicable dates. In response, the Policy Branch Chief, Unit Chief, or Deputy Director assigns a temporary DD role to the designated individual, thus allowing him or her to authorize payments on the requested date(s). Policy Branch approvals for these requests are sent via reply email, which should be affixed to the payment placard during payment processing.
12. Temporary Role Changes for Expedited Payments: For Expedited Payments requiring authorization by an individual assigned a temporary DD role in ECS, the FO includes a copy of the approval email (Step 11) confirming the temporary role change approval associated with that individual for that date, when forwarding the payment documents to NO.
The FO will not accept any expedited payment without the necessary role-change email attached, and returns the payment documents to the appropriate party, requesting that a temporary role-change request be approved by the NO.
13. Stolen Check Claims. Upon notification by a payee, that a compensation check has not been received, the CE or FO requests that the payee provide immediate written notification of non-receipt of payment. Upon receipt of such notification, the FO forwards that notice to the NOFO, who takes the following actions:
(a) Payment status is reviewed in the Treasury Department TCIS or PACER system.
(b) If Treasury shows the payment status as “Negotiated” (check cashed), the National Office FO creates a claim in the Treasury system for that payment and selects Option #2 – Entitlement After Status.
(c) After 24 hours, the NOFO reviews the payment status to confirm that the claim has been recorded with Treasury. Once verified, the NOFO contacts the claimant and provides the toll-free telephone number for the Treasury Stolen Check Department. Once the theft has been reported to Treasury, investigation and disposition of the stolen check claim is entirely between Treasury and the payee.
(d) Treasury will notify the payee of its determination once the investigation is complete. If Treasury determines that the stolen check claim is bonafide, Treasury will reissue payment to the payee.
14. Processing Payment Cancellations. A "cancelled" payment is a payment, either electronic or check, that has been issued by, and then returned to, the Department of Treasury. When this occurs, Treasury notifies the DEEOIC via Cancellation Report that a payment has been returned to Treasury and credited to the DEEOIC account. In order to maintain an accurate and comprehensive accounting of all funds disbursed by the DEEOIC, it is necessary for returned
payments to be cancelled in the ECS payment record, as well.
This process is completed before the compensation payment is reissued to the same payee, or before the funds can be awarded to other claimants in the same case. Multi-level reviews, concurrence by DEEOIC management and documentation of the actions taken by all parties (claimants, financial institutions, and DEEOIC claims staff) are essential to safeguarding the integrity and security of the DEEOIC’s financial accounting processes.
a. Cancellation Initiated by Treasury. The Treasury Department transmits an electronic Cancellation Report to the DEEOIC when EFT payments are rejected or returned to Treasury by the payee's bank, or when a check is returned to Treasury for any reason. These reports are sent to the DEEOIC National Office Fiscal Officer (NOFO), who then notifies the appropriate DO (via OIS and email) of the returned payment. The NOFO also has the capability to view the status of any payment, through the Treasury Department’s TCIS and PACER online systems.
b. Cancellation Initiated by Claimant. Upon notification from a claimant of non-receipt of payment, the DO takes the following steps:
(1) The CE documents any telephone call or correspondence in ECS regarding contact from a claimant who has not received his or her payment. A printed record of all phone calls is bronzed into OIS.
(2) If notification of non-receipt is by telephone, the CE instructs the claimant to provide a signed written notice of payment non-receipt to the DEEOIC.
(3) Upon receipt of either a telephone call or letter advising of non-receipt, the CE transfers the case file to the FO.
(4) The FO notifies the NOFO, via email, of the non-receipt of funds.
(5) The NOFO initiates an inquiry in Treasury’s payment system, determines the status of the
payment, and advises the FO of one of the following:
(a) Check Outstanding (not yet negotiated).
(b) Check Cancelled (returned to Treasury).
(c) Check Reconciled in Treasury system. (This indicates the check has been negotiated by someone, but not necessarily the payee.)
(d) EFT transaction completed.
(e) EFT funds returned to Treasury (Cancelled).
(6) The NOFO provides the FO with a screenshot of the Treasury payment status, via email.
(7) The FO notifies the claimant of the payment status, and explains the payment cancellation process, if appropriate.
(a) EFT Status. If Treasury shows delivery of the funds to the payee's bank, the FO advises the payee of same. If Treasury shows that the EFT payment was returned by the payee's bank, the FO advises the payee that the DEEOIC will begin the payment cancellation process and, if appropriate, process a new payment.
(b) Check Status. For checks outstanding in the Treasury payment system, upon receipt of the signed notice of payment non-receipt from the payee (or AR), the FO requests cancellation of the check, via email, to the NOFO. The NOFO initiates a stop pay request, in the Treasury system and, after 24 hours, verifies that the cancellation request has been processed. Upon confirmation that a stop pay order has been placed on the check, the NOFO sends a screenshot confirmation, via email, to the FO.
15. ECS Payment Cancellation Process (OIS). Upon receipt of documentation (from the NOFO), through OIS, confirming a payment cancellation (check or EFT), or confirming a valid stop pay order on an outstanding check, the FO proceeds with an ECS Payment Cancellation request. The steps outlined below ensure that appropriate documentation exists to explain and validate the need for cancellation of a payment in ECS.
a. The DO FO conducts inquiries with the payee and the payee’s bank to determine why the payment was returned to Treasury.
b. DO FO prepares a memorandum to the national office, with an explanation as to the reason for the returned payment, and requests payment cancellation in ECS. The memorandum is imaged in OIS, and notification is sent to the NOFO. Additionally, the DO FO notifies the NOFO, and the two Policy Branch Unit Supervisors, via email, that a Payment Cancellation Request is pending in OIS.
c. It is not necessary to transfer the ECS case record to the NO when requesting initiation of a payment cancellation by the Director.
d. The NOFO prepares a Payment Cancellation Memorandum and an ECS Payment Cancellation Form (Exhibit 4), for review and signature by a Policy unit supervisor and the Director or Deputy Director of DEEOIC.
e. The Director or Deputy Director completes the relevant portion of the ECS Payment Cancellation Form, and initiates cancellation of the payment in ECS. The partially completed cancellation form is imaged in OIS.
f. https://accessx2.dol-esa.gov/Citrix/XenApp/auth/login.aspxThe NOFO, or other delegated individual, notifies the DO fiscal staff, and the DD, that a partially completed ECS Payment Cancellation has been returned via OIS, and awaits completion in ECS.
g. The DD reviews the payment cancellation documents and completes the payment cancellation in ECS. Upon completion of the ECS cancellation, the DD signs the ECS Payment Cancellation Form, and routes the completed form to the appropriate district office personnel for imaging in OIS.
16. Post Cancellation Actions.
a. Re-issuing Payment. If the compensation payment is to be reissued, the DD routes the case file to the CE, advises that the ECS payment cancellation process has been completed, and instructs the CE to reissue the payment.
b. Voided Transactions. If the compensation payment is not being re-issued, the FO confirms that the Void Transaction has been completed, and that the “Claimant Repayment Not Authorized” option has been selected by the DD. The case is returned to the DO file room, and/or transferred to “FIL” in ECS, on the transfer screen, or, is returned to the CE for survivor development, if applicable.
17. Issuing Medical Payments To A Survivor After The Employee's Death. Upon receipt of documentation establishing the employee's date of death, the PCA changes the Employee
Mail Name on the Claimant Information screen (ECS) to read "Estate of [plus Employee Name]." This change is necessary so that any subsequent checks for medical reimbursement will be made payable to the employee's estate, not to the employee name.
a. If a survivor returns a medical reimbursement check and requests that it be reissued to a payee name other than the employee, the check is bronzed into OIS along with accompanying documentation, and the original check is forwarded to the NO Medical Bill Processing Unit (MBPU). That unit reviews the request to determine the appropriate response.
(1) If the payment was issued after the employee date of death but before the DO was notified, the MBPU responds and advises that the DEEOIC requires a copy of the employee death certificate in order to reprocess payment. Upon receipt of the death certificate, the original check and death certificate are forwarded to the MBPU for cancellation, and reissuance of payment to the estate.
(2) If a check is being requested to a payee other than the employee's estate, the MBPU reviews the request to determine the appropriate action:
(a) If the person requesting payment is the surviving spouse who resides in a community property state, the DO requests that the spouse provide proof of the couple's legal marriage and the employee's death certificate. These documents are bronzed into OIS and forwarded through the MBPU to the Office of the Solicitor (SOL) for review and guidance.
(b) If the request is for any reason other than a "community property" issue, the DO obtains any documents the requesting party wishes to produce in support of his or her claim, and forwards them to the MBPU.
(c) The MBPU forwards the request and supporting documents to the SOL for review and comment.
(d) If necessary, the MBPU requests that the DO provide additional documentation or explanation from the requesting party, in accordance with guidance from the SOL.
(3) Upon approval from the SOL, the MBPU will:
(a) Cancel the returned check in the Treasury PACER system.
(b) Request that the DO change the Employee Mail Name in ECS.
(c) Reissue the check payable to the payee name approved by the SOL.