SOX Compliance

1
SOX Compliance

• 1412/Banking Financial
  Differences

2
What is SOX?

• Sarbanes-Oxley Act (SOX) of 2002
• How did this come about?
• Large corporate financial scandals.
• As a result of SOX, Section 404 Postal Act of
  2006
• The US Postal Service is mandated as an
  organization to be SOX Compliant by September 30,
  2010
• Who will the USPS be accountable to for SOX
  Compliance?
• Postal Regulatory Commission (PRC) as well as
  independent regulatory oversight.

3
United State Postal Service

• What does SOX mean to each of us?
• Accountability-SOX Compliance is not optional
  it is mandatory.
• Can we expect audits from Area and OIG?
• Yes, presently SOX audits are taking place in
  the CO/WY District.
• What will auditors be looking for?
• Effectiveness and efficiency of operations
• Reliability of financial reporting
• Compliance with applicable laws and
  regulations

4
SOX is about

• Good business practices
• Accountability and ownership
• Effective execution of controls
• Timely, accurate and authorized transactions
• Across-the-board consistencies in managing postal
  processes, procedures and databases

5
SOX is not about

• Meeting revenue goals
• Meeting service standards
• Productivity targets
• Waiting time in line at the post office

6
What training, tools and resources are available
to me to ensure my office is SOX Compliant by
June 30, 2010 the Co/Wy District goal?

• SOX Compliance Tools and Resources Webpage
• Ongoing Web meetings SOX Compliance Training
• SOX Compliance Hotline [phone]
  8am-6pm M-F
  
  
  9 am-12 noon Saturday
• Finance questions
• BMEU questions
• Accounting Help desk - 1-866-974-2733, send an
  email to Help Desk, Accounting - St. Louis, MO
• helpdeskaccounting-st.louismo_at_usps.gov
• The Colorado/Wyoming District is committed to
  delivering ongoing training and communications to
  make you more aware of what we need from you to
  become and remain SOX compliant.

7
Colorado/Wyoming SOX
Compliance Website

• http//cowyoming.usps.gov/index.cfm?treeID47280

8
References

• F 101
• Policy Net
• Accounting Home Page
• Blue Page (Work Tab)(References)(MoreReferences)
• POS ONE Website
• User Information - Training (Left Side)
• NCR POS ONE Training and Links
• POS ONE Procedures Guide
• POS ONE Functionality Guides (Training Sheet)

9
Management Responsibilities

• F 101, Chapter 2, 2-4 Field Unit Responsibilities
• This chapter reviews daily, weekly, quarterly and
  annual responsibilities.
• 2-4.1 Daily Responsibilites related to 1412,
  closeout and Financial Differences
• Closeout is more than just preparing the deposit,
  management is responsible to ensure procedures
  are carried out correctly
• Verify support documents to AIC
• Verify PVI machines in balance
• All funds are deposited each day

10
What is a PS Form 1412?

• The PS Form 1412 is the beginning link in the
  chain of financial reporting. This form is used
  to record all daily financial transactions.
• Each working day, a PS Form 1412, Daily Financial
  Report, is completed by a retail associate. This
  individual PS Form 1412 summarizes all the
  financial transactions of retail associates.
• Individual PS Forms 1412 (prepared by retail
  associates) are added together to create a
  Consolidated Unit PS Form 1412 summarizing all of
  the financial transactions for the entire postal
  retail unit.
• Today, electronic versions of the PS Form 1412
  are based on this original form.

Prior to data being transmitted electronically,
the manual (paper) PS Form 1412 was used by all
postal retail units.
11
Lets Look at the 1412
12
Start with the Receipt Side

• Verify each AIC and support documents submitted
• Examples
• AIC 114-Postage Due / BRM Invoice PS Forms 3584
  Postage Due Log and/or 3582P BRM/Postage Due
  Invoice
• AIC 108 Premium Forwarding Service Application
  Fee-PS Form 8176 Premium Forwarding Application
• AIC 264 US Passport Fees PS Form 5659
  Passport Transmittal
• AIC 109 Postage Value Imprinter (PVI) POS PVI
  Verification (POS IRT)
• AIC 110 Post Office Postage Meter Sales PS
  Form 3602-PO WebBats Activity Report by
  Date and Receipt Report by Date
  Postal One Reports PS Form 3083 Periodical,
  Permit and BRM/PD Non Postal One office the
  manual PS Form 3083
• AIC 247 Financial Differences Overage - PS
  Form 1908 Financial Adjustment Memorandum
• Continue with the Disbursement AIC verification
  using the Support Documentation Crosswalk.
• Support Documentation

13
(No Transcript)
14
Miscellaneous AICs

• AIC 123 - Lobby Service Revenue - Funds collected
  from Post Office Box keys (refundable and
  non-refundable fees), P O Box lock replacement
  fee, unresolved overages from employee stamp
  credits (more than one year old), and unresolved
  overages from cash credits (more than 90 days
  old).
• P O Box Keys
• P O Box Key Replacement
• P O Box Lock Replacement
• Unresolved Employee Stamp Overage
• Unresolved Employee Cash Overage
• P O Box Late Fee
• AIC 126 - Miscellaneous Non-Postal Revenue -
  Funds collected from weighted-average BRM monthly
  fee, undeliverable customer account funds, loss
  of postal property, lost badges, money found
  loose in the mail, unclaimed money from Mail
  Recovery Center, fines and penalties, jury duty
  fees, jury or witness fees received while on
  court leave, personal telephone calls, telephone
  related taxes and OWCP check payable to the USPS.
• Funds collected from weighted-average BRM monthly
  fees
• Undeliverable customer account funds
• Loss of Postal Property
• Lost Badges
• Money found loose in the mail
• Other_____________________________________
• AIC 153 - Damages to Property Other Than Vehicles
  - Funds collected from damages to
  government-owned personal property under custody
  and control of the Postal Service other than
  motor vehicles, such as street letterbox
  equipment, NDCBU lock changes, etc.
• Clerk _____________________________
• TOTALS
• AIC 123___________________________
• AIC 126___________________________

15
P O Box Late Fees

• Many customers do not renew their PO Boxes on
  time (by the last day of the month) or during the
  delinquent period (the 1st through the 10th of
  the month after the rent is due). If the customer
  wishes to renew a PO Box that is in a closed
  status (starting on the11th of the month), it
  must be reactivated in WebBATS.
• Currently, the instructions are to change the
  lock on the box and enter the new key/combo
  number in WebBATS to charge the 15.00 lock
  change/handling fee that is required to
  reactivate the PO Box for the same customer.
  Changing the lock is not required if the customer
  does not want a new lock.
• While many post offices have improved the
  enforcement of the lock change fee in the past
  few years, late payment handling fees are not
  consistently collected from customers whose PO
  Boxes reach closed status and then wish to
  renew their PO Box service. To ensure consistency
  and reduce the costs, the lock change/handling
  fee must be charged to reactivate a PO Box in
  closed statusregardless of whether the lock
  has actually been changed.
• Remember! The best practice is to remind your
  customers to pay on time.
• The following procedure needs to be followed to
  charge the 15.00 lock change/handling fee and
  reactivate the PO Box for the same customer
• If ThenIts the last day of the paid month. The
  customers PO Box rent is due! The customer has
  not renewed PO Box by the first day of the next
  month. Block or plug the PO Box. Continue to put
  mail in PO Box until the 10th of the month.
  Customer is classified as delinquent in
  WebBATS. The customer renews between the 1st and
  the 10th of the delinquent month. No lock
  change/handling fee is assessed in POS or at an
  APC. The customer has still not renewed by the
  11th of the delinquent month. The PO Box status
  is automatically changed to closed in WebBATS
  and the customers mail is returned to senders.
  The clerk may decide to hold off on changing the
  lock during the WebBATS reactivation period.
  However, if there are no other boxes available,
  this box can be offered to a new customer without
  charging the old or new customer. The
  reactivation period begins on the 11th day of the
  delinquent month and ends 30 days later.
  Customers who attempt to use an APC to renew the
  PO Box receive this message, Im sorry. This PO
  Box has been closed. Please go to the retail
  window for assistance. The lock has not been
  changed and the customer wants to renew the same
  PO Box between the 11th of the delinquent month
  and the next 30 days. The customer must pay a
  15.00 lock change/handling feeregardless of
  whether the lock has actually been changed. In
  POS Follow the normal workflow to renew the PO
  Box. Go to Customer servicesgtmore customer
  service optionsgtMiscellaneous servicesgt.Enter AIC
  123, and enter 15.00 in the Miscellaneous
  Purchase screen.Check to see if the customer
  needs anything else and collect the customers
  payment. Print the customers receipt, and thank
  the customer for his or her business. In WebBATS
  Go to PaymentsgtPost Paymentsgtbox numbergtLock fee.
  Select gtSave. The lock has been changed and the
  customer wants to renew the same PO Box between
  the 11th of the delinquent month and the next 30
  days. In POS Follow the normal workflow in POS
  to renew the PO Box. The system automatically
  charges the 15.00 lock change/handling fee and a
  2.00 key deposit for 2 keys. (If the PO Box is a
  combination lock, no key deposit is charged.)
  Issue a 1.00 refund for each key the customer
  returns. Check to see if the customer needs
  anything else and collect the customers payment.
  Print the customers receipt, and thank the
  customer for his or her business. In WebBATS
  Manually update the Key Inventory. In IRT Touch
  PO Box Fees Key and enter the PO Box renewal
  amount into either AIC 115 (annual) or AIC 158
  (semi-annual). Touch Misc. Fees Key and enter
  the 15 lock change/handling fee into AIC 123.In
  WebBATS Post the PO Box payment and the lock
  change/handling fee. In eMOVES1412 Entrygt Enter
  the appropriate PO Box renewal fee into the
  correct AIC 115 (annual) or 158
  (semi-annual).1412 Entrygt Enter the 15 lock
  change/handling fee into Misc. AICgt123In WebBATS
  Post the PO Box payment and the lock
  change/handling fee. Customer has not renewed by
  the end of the WebBATS reactivation period, which
  begins on the 11th day of the delinquent month
  and ends 30 days later. Replace the lock. The PO
  Box is now available to the public and the
  customers mail continues to be returned to
  senders. If the customer requests renewal after
  the last day of the delinquent month, give them
  another available PO Box. If the same box is
  still available, follow the procedures above
  until POS and WebBATS are updated.
• Note This procedure will be automated when POS
  and WebBATS are updated.

16
Verification of PVI Reports
17

• Issuing PS Form 1908,
• Financial Adjustment Memorandum

18
Current Rates
Assigned Account Number
Complete Name and Address
Employees Printed Name and Signature
Round Date Stamp
Handwritten Date
19
PS Form 3083 is required to be submitted daily
regardless of activity
Printed Name
Printed Date
Unit Name/Finance
20
17-3.1 Handling Over-the-Counter
Pickup Over-the-counter postage due mail is short
paid mail or BRM for which postage is collected
directly from the customer upon delivery. Postage
is not withdrawn from a customer trust
account. Upon receiving payment for the required
postage and piece rates, affix stamp(s), meter
strip, or postage validation imprinter (PVI)
label to the article for the amount paid. Cancel
postage stamp's before giving the article to the
customer. Posting of collected funds is based on
the type of postage affixed as follows AIC 090
for postage stamps. AIC 109 for PVI labels. AIC
110 for postage meter strips.
Manager Name/Verified
17-3.2 Carrier Delivery City, Rural, and Star
Route PRU employees must not use postage stamps,
meter strips, or PVI labels on mail for delivery
by carrier. BRM and postage due must be consigned
to city, rural, and star route carriers on PS
Form 3584, Postage Due Log. The same form is used
to clear carriers of responsibility.
17-3.5 Verifying PS Form 3584, Postage Due
Log The Amount Collected column of the PS Form
3584 must be verified by the unit manager or
supervisor at least once a month. The individual
line entries of one randomly selected PS Form
3584 from each delivery unit must be
verified. The manager or supervisor performing
the verification must annotate the PS Form 3584
verified and sign it.
Total
Total
Total
These 2 columns must match 1st column
21
Additional Resource Credit Card and Debit Card
Acceptance Procedures Handbook F-101, Chapter
9-2, Credit and Debit Cards

• Credit/Debit Cards
• Enter credit card receipts into AIC 762 and debit
  card receipts into AIC 772 on the PS Form 1412.
• Check your credit card receipt(s) against the
  Batch Close Report for Credit/Debit Cards. A
  Batch Close Report documents the total
  credit/debit card sales for the day.

Credit Card Receipt
DATE 23-9016083266-01
TIME 08/22/09
1440 U S POSTAL SERVICE
1740350429 209 S 1ST ST RICHBURG ST 12345 TRAN
CLERK ID AUTH 09
5 045827
VISA SALE ACCT. NUMBER
EXP 1234567891100000
0408
TOTAL 24.00 X____MARCO
POLO_____________________ SIGNATURE WE DELIVER
FOR YOU! TOP COPY U S POSTAL SERVICE BOTTOM
COPY CUSTOMER
Note Credit card receipts must be kept in a
separate and secure location. They should be kept
secure enough that only those with an official
need to know have access to them. F 101, 9-2.1
Retention 2 years
22

• Batch Close Report for Credit/Debit Cards
• This is the Batch Close Report document. As
  explained on the last screen, this report is the
  total credit/debit card sales for the day.
• In this example, there was only one credit card
  sale for the day and no debit card sales.
• For this activity, enter the total of the days
  credit card sales (24.00) into AIC 762 on your
  PS Form 1412.

Batch Close Report
DATE 23901603266
TIME 08/22/09 1617 U S POSTAL
SERVICE 1740350429 209 S 1ST ST RICHBURG ST
12345 BATCH CLOSE REPORT TRN CT TT AMOUNT
ACCOUNT NUMBER DATE TIME AUTH
VOID INFO
CLERK ID 5 89 VI SL 9.40
1098765432100101 011807
144024 045827 CREDIT CARD ITEM COUNT 1 CREDIT
CARD AMOUNT 24.00 GRAND
TOTALS CREDIT CARD ITEM COUNT 1 CREDIT
CARD AMOUNT 24.00 NO
DEBIT CLOSE NO TRANSACTIONS 8/22/09
1617 CREDIT CLOSE SUCCESSFUL 8/22/09 1617
A Batch Close Report tells you the total
credit/debit card sales for the day on each
terminal. RAs are responsible for submitting all
credit/debit receipts and are liable for missing
receipts if transaction is disputed.
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Consolidate 1412

• After verification of each individual 1412,
  Consolidate the Unit onto one Consolidated Unit
  1412.
• Small offices are to have individual 1412s and
  each day a Consolidated Unit 1412. Units are not
  allowed to work out of the main stock.

24
The Consolidated Unit PS Form 1412
Information from all the Individual clerk PS
Forms 1412 is combined together to create a
Consolidated Unit PS Form 1412.
25
Common errors in POS

• Found in the POS ONE Procedures Guide
• Money orders Chapter 27
• 27.8 Recovered Transaction
• 27.13 Sequentially Omitted
• PVI Chapter 34
• PVI Mismatch
• PVI Verification
• 34.2 PVI Warning Messages
• 34.5 PVI Add/Remove
• Unit Cash Reserve Chapter 51
• Raising or Lowering

26

• Continue to verify support documents with the
  Unit 1412.
• If adjustments are necessary try to accomplish
  them the same day. Utilize the AIC Helper for
  assistance.
• POS Offices Watch for the PVI Warnings on the
  Individual 1412s but also verify on the Closeout
  Reports.

27
Closeout is more than preparing the deposit.

• It is managements responsibility to ensure
  procedures are carried out correctly.
• Verify each AIC and Support documentation
  required. Ensure each support document is
  completed accurately.
• If an error has occurred try to correct/adjust.
  Ensure PS Form 1908 is completed accurately and
  completely.

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Submit all funds - DAILY

• F 101, Chapter 5-1, Report daily revenue from all
  sources each day.
• Carrier bar postage dues
• Checks received for PO Box Rents
• Customer Account Deposits, etc.

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RA Closeout - POS

• Chapter 5-4.1 POS Retail Associate Closeout
• Individual RAs must prepare PS Form 1412 whenever
  financial transactions are performed at the
  window service counter.
• The POS system provides messaging during the
  daily closeout to assist the RA with the proper
  procedures for closing out the days business,
  verifying the PS Form 1412, preparing and
  submitting the bank deposit, and completing all
  of the supporting documentation that accompanies
  it. Immediately after the RA selects ltEnd Clerks
  Daygt in POS, a message with daily closeout
  reminders will appear on the screen for the RA to
  read. (Refer to the NCR POS ONE Procedures Guide
  (most recent version) available at the POS ONE
  Web site for the messaging that appears during
  the RA closeout workflow. See subchapter 5-4 for
  the link to the POS ONE Web site.)
• At POS units, RAs conduct their daily closeout as
  follows
• Verify that the PS Form 1412 entries match the
  amounts from the supporting documentation. Adjust
  the AIC(s), as necessary. RAs can either print a
  preliminary PS Form 1412 or use the PS Form 1412
  in the POS system to verify entries.
• Review the Money Order Report, check for
  sequentially omitted money orders, and correct as
  needed.
• Compare the check list with the checks, and
  adjust, if necessary.
• Count funds to be deposited and complete deposit
  process. If during the closeout process, the RA
  remits a bank deposit amount different from the
  POS system expected amount, the RA posts the
  discrepancy as follows
• Employee Cash Overage. This will appear in AIC
  068.
• Employee Cash Shortage. This will appear in AIC
  764.
• Note This will create an entry in the
  Unresolved Employee Items log. Once the nature
  of the error is researched and resolved, the RA
  must clear the unresolved employee item.
• After selecting ltVerified funds Continue to
  Sign Outgt in the POS system, the RA proceeds with
  closeout and certifies the PS Form 1412 is
  correct by selecting ltReviewed and completed
  itemsgt. The RA prints the final PS Form 1412.
• Submit the following to the closeout employee
• Individual manual receipts and supporting
  documents organized by type. Any applicable
  system-generated reports can be filed with the
  RAs copy of PS Form 1412.
• The final PS Form 1412.
• Funds to be deposited. The RA must remain with
  funds until a designated employee verifies the
  deposit and initials the AIC 751 and/or AIC 752
  entry on the RAs copy of PS Form 1412.
• Spoiled and voided money orders (all parts) for
  destruction.
• PS Form(s) 8105-A and 8105B.
• Keep the RAs copy of PS Form 1412 until the next
  stamp and/or cash credit count or resolution of
  differences, whichever is longer.

30
5-3.1 RA Closeout - IRT

• Individual RAs must prepare PS Form 1412 whenever
  they perform financial transactions at the
  window.
• At IRT units, RAs conduct the daily closeout as
  follows
• Verify that the PS Form 1412 entries match the
  amounts from the supporting documentation. Adjust
  the AICs as necessary. RAs can either print a
  preliminary PS Form 1412 or use the PS Form 1412
  in the IRT system to verify entries.
• Print the clerk report from the credit and debit
  card terminals and verify that the amounts match
  AICs 762 and 772 and that all receipts are
  accounted for. Adjust the AIC(s) as necessary.
• Verify money orders by comparing voucher amounts,
  serial numbers, and dates to the IRT money order
  list and make corrections as needed.
• Compare the check list with the checks, and
  adjust, if necessary.
• Count funds to be deposited and verify that total
  funds equal the sum of AIC 751 and AIC 752.
• Submit the following to the closeout employee
• Individual manual receipts and supporting
  documents organized by type. Any applicable
  system-generated reports can be filed with the
  RAs copy of PS Form 1412.
• The signed final PS Form 1412.
• Funds to be deposited. The RA must remain with
  the funds until the designated employee verifies
  the deposit and initials the AIC 751 and/or AIC
  752 entry on the RAs copy of PS Form 1412.
• Issued money order vouchers.
• Spoiled and voided money orders (all parts) for
  destruction.
• PS Form(s) 8105-A and 8105B.
• Keep the RAs copy of PS Form 1412 until the next
  stamp count or after resolution of differences,
  whichever is longer.

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5-2.1 RA Closeout - eMoves

• Individual RAs must prepare PS Form 1412 whenever
  financial transactions are performed at the PRU.
  RAs must be identified by name or clerk number on
  all PS Form 1412 supporting documents (e.g.,
  tapes, lists, and receipts).
• At the beginning of the day in which transactions
  will occur, RAs prepare a PS Form 1412 in ink and
  in duplicate, entering the date, name, and
  opening accountability balance. If an error is
  made, draw one line through the entry. Write the
  correction above and initial.
• At electronic Money Order Voucher Entry System
  (eMOVES) units, RAs conduct their daily closeout
  as follows
• Complete PS Form 3602-PO, Postage Collected
  Through Post Office Meter, if the unit has a
  postage meter.
• Print the clerk report from the credit and debit
  card terminal.
• Run tape of money orders sold.
• Verify that the sequential order of money orders
  is continued from the previous day and that the
  amount, fees, issue ID, and date are correct.
• Run tape of checks accepted.
• Organize all supporting documentation by type and
  calculate the manual PS Form 1412 entries by AIC.
  
• Verify that all numbered receipts are sequential.
  
• Verify the opening balance (AIC 840) matches the
  previous days closing balance (AIC 853).
• Post the AIC totals from the supporting
  documentation to PS Form 1412.
• Count the funds to be deposited and enter amounts
  to AIC 751 and/or AIC 752.
• Calculate the postage sales and make the
  appropriate AIC entries to balance PS Form 1412.
  Post packaging product sales to AIC 093, postal
  related merchandise sales to AIC 098, and
  official licensed retail product sales to AIC
  231.
• Complete the Stamp Accountability section of PS
  Form 1412 as follows
• Enter AIC 841 for stock received from the stamp
  distribution office (SDO), stamp services center
  (SSC), or a PRU.
• Enter AIC 848 for stock returned to the SDO, SSC,
  or a PRU.
• Enter AIC 852, which includes the total of AICs
  007014, 084089, 090092, 094097.
• Sign and date the PS Form 1412.

32
PS Form 3533 Completion-Clerk
Clerk Signature
Clerk Signature
Witness if available
Managers signature/Reviewed
33
PS Form 3533 Completion - Customer
Customer Signature
Signature of Manager/Supervisor when destroyed,
Date and Witness
Customer Signature and/or Money Order Number
Accepting Clerk Signature
Witness if Available
34
5-4.2 POS-Unit Closeout

• The POS system provides messaging during the
  close unit workflow to assist the closeout
  employee with the proper procedures for closing
  the unit, verifying the PS Form 1412, preparing
  and submitting the bank deposit, and completing
  all of the supporting documentation that
  accompanies it. (Refer to the NCR POS ONE
  Procedures Guide (most recent version) available
  at the POS ONE Web site for the messaging that
  appears during the close unit workflow. See
  subchapter 5-4 for the link to the POS ONE Web
  site.)
• At POS units, conduct the unit closeout as
  follows
• Verify each RAs funds to be deposited with
  amount reported in AIC 751 and/or AIC 752 on the
  RAs final PS Form 1412.
• Compare the check lists to checks.
• Keep the funds in security containers at all
  times.
• Verify that the RAs final PS Form 1412 entries
  match the amounts from the supporting
  documentation.
• Print and review the units preliminary PS Form
  1412 and any additional reports that support the
  days business.
• Consolidate all the RAs funds and prepare the
  units bank deposit following procedures outlined
  in part 9-1.2.
• Verify that the bank deposit matches the amount
  reported in AIC 751 and/or AIC 752 on the units
  PS Form 1412.
• Review the Money Order Report
• Verify the money order serial numbers.
• Verify spoiled and voided money orders (all
  parts), and submit them to the unit manager for
  destruction.
• Report any missing money orders to the USPIS
  immediately.
• Identify any sequentially missing money orders at
  closeout. Note If an RA is unable to account for
  the dollar amount of a missing money order,
  complete a PS Form 6401 and mail it to the SIC to
  retrieve a copy of the cashed item. Mail the
  issue information regarding missing money orders,
  identified within the same month as the issue
  date, to the following address
• GENERAL ACCOUNTING BRANCH MISSING
  VOUCHERSACCOUNTING SERVICESPO BOX 82449ST
  LOUIS MO 63182-2449
• If applicable, log PS Form(s) 8105-A and mail PS
  Form(s) 8105-A and PS Form(s) 8105-B to the
  address at the bottom of the forms (see part
  10-1.2). Ensure PS Forms 8105-A and 8105-B are
  verified for the correct money order numbers
  issued.
• Verify that the unit PS Form 1412 entries match
  the amounts from the supporting documentation.
  Examples
• Compare PS Form 3083 with AICs 053, 070, 074,
  453, 470, and 474.
• Compare PS Form 3584 and/or PS Form 3582-P with
  AIC 114.

35
5-3.2 IRT Unit Closeout

• At IRT units, perform the unit closeout as
  follows
• Verify each RAs funds to be deposited with
  amount reported in AIC 751 and/or AIC 752 on the
  RAs final PS Form 1412.
• Compare the check lists to checks.
• Keep the funds in security containers at all
  times.
• Verify that the RAs final PS Form 1412 entries
  match the amounts from the supporting
  documentation.
• Consolidate the clerk disks.
• Print the following unit reports
• UNIT 1412 (Select 1).
• DOM MONEY ORDERS (Select 2).
• INTL MONEY ORDERS (Select 3).
• CLERK BALANCES (Select 4).
• 3544s (Select 6).
• ADJUSTMENT (Select 9).
• RET RCPT (ELECTRONIC) (Select 11).
• CUSTOMS (Select 12).
• EXPRESS MAIL (Select 13).
• PVI ACTIVITY (Select 14).
• DEL/SIG CONFIRM (Select 16).

36
5-2.2-eMoves Unit Closeout

• At eMOVES units, perform the unit closeout as
  follows
• Verify each RAs funds to be deposited with
  amount reported in AIC 751 and/or AIC 752 on the
  RAs PS Form 1412.
• Compare the check lists to checks.
• Keep the funds in security containers at all
  times.
• Verify that the RAs PS Form 1412 entries match
  the amounts from the supporting documentation.
• Consolidate all the RAs funds, and post the
  deposit amount to the units PS Form 1412 in AIC
  751 and/or AIC 752.
• Prepare the units bank deposit following
  procedures outlined in part 9-1.2.
• Run the Batch Close Report from the credit and
  debit card terminal(s). Verify that all credit
  and debit card receipts are accounted for. The
  amounts from the Batch Close Reports, the
  receipts, and AIC 762 and AIC 772 entries must
  all match. RAs are liable for missing receipts.
• Review the money order tape(s)
• Verify that the RAs are identified on the adding
  machine tapes or listings.
• Verify the money order serial numbers.
• Verify that beginning and ending numbers are
  correct and sold in sequence.
• Verify the amounts, issue ID, and date (must be
  issue date regardless of office hours).
• Report any missing money orders to the U.S.
  Postal Inspection Service (USPIS) immediately.
• Verify spoiled and voided money orders (all
  parts), and submit them to the unit manager for
  destruction.
• Identify any missing vouchers at closeout. Note
  If an RA is unable to account for the dollar
  amount of a missing voucher, complete PS Form
  6401, Money Order Inquiry, and mail it to the
  Scanning and Imaging Center (SIC) to retrieve a
  copy of the cashed item. Mail the issue
  information regarding missing vouchers,
  identified within the same month as the issue
  date, to the following address
• GENERAL ACCOUNTING BRANCH MISSING
  VOUCHERSACCOUNTING SERVICESPO BOX 82449ST
  LOUIS MO 63182-2449
• If applicable, log PS Form(s) 8105-A and mail PS
  Form(s) 8105-A and PS Form(s) 8105-B to the
  address at the bottom of the forms (see part
  10-1.2). Ensure PS Forms 8105-A and 8105-B are
  verified for the correct money order numbers
  issued.
• Organize PS Forms 3544, USPS Receipt for Money or
  Services, and PS Forms 3602-PO and verify
  accountable receipt numbers are in sequential
  order.

37
Automated Postal Center Kiosks 5-5.3
Responsibilities

• 5-5.3.1 Servicing Employee
• Employees designated as APC servicing employees
  (SEs) are responsible for keeping the APC kiosk
  serviced in order to keep them working properly
  and serving customers. These responsibilities
  include the following
• Responds to kiosk alerts within 2 hours (responds
  to alerts present when shift begins within 1 hour
  of shift start). Alerts are sent to wireless
  pagers, which are issued to each SE.
• Replenishes consumables and stamp booklets in
  response to kiosk alerts.
• Manages stamp inventory at the kiosk.
• Orders consumables and stamp stock as needed.
  (See part 11-3.4 for stamp stock limits.)
• 5-5.3.2 Site Supervisor
• The site supervisor is responsible for the
  operation and servicing of the APC kiosk as
  follows
• Ensures accountability of all stamp stock (i.e.,
  proper security and financial exams).
• Oversees credit exams, which are required monthly
  for the first 3 months after installation of the
  machine and once every 3 months thereafter.
• Monitors expenses issued by Accounting Services
  via AIC 247/647. To view expenses, use the FPR
  Net Financial Differences (AIC 247/647) Line
  Detail report in the ADM (AccountinggtShared
  ReportsgtSAFRgt Store Expense Reports.)
• Schedules appropriate SE coverage for the
  servicing of the kiosk.
• Provides back-up service support for the APC in
  the event the designated service employee is not
  available.
• Provides kiosk opening procedure support as
  needed.
• Updates changes to the site contact information.

38
Contract Postal Units
5-7.1Daily Financial Closeout

• CPUs must prepare PS Form 1412 to report daily
  financial transactions performed and must submit
  PS Form 1412 to the host Post Office on a daily
  basis with the required supporting documents
  (e.g., tapes, lists, and receipts). PS Form 1412
  must be prepared in ink, duplicate with date,
  name and opening accountability balance. If an
  error is made, draw one line through the entry
  and write the correction above and initial.
• CPUs perform daily closeout as follows
• Complete PS Form 3602-PO, Postage Collected
  Through Post Office Meter, (if applicable) and
  enter the calculated amount into AIC 110 on PS
  Form 1412.
• Run a calculator tape of money orders sold and
  enter the amount of money orders into AIC 100 and
  the amount of money order fees into AIC 101 on PS
  Form 1412.
• Organize all supporting documents by type and
  calculate the amount by products and service and
  enter into the appropriate AICs (e.g., Post
  Office Box fees, lobby services revenue, etc.) on
  PS Form 1412.
• Post sales of retail products (if applicable)
  into the appropriate AICs on PS Form 1412.
• Run a calculator tape of all checks accepted.
• Count the funds (cash, checks and money orders)
  to be deposited and enter the total amount into
  AIC 752 on PS Form 1412.
• Prepare and dispatch bank deposit following
  procedures in part 9-1.2.
• Calculate the amount of postage sales and enter
  into the appropriate AICs (e.g., AIC 007, AIC
  084, AIC 090, etc.) on PS Form 1412.
• Verify that AIC 840 matches the previous days
  AIC 853 on PS Form 1412.
• Complete the Stamp Accountability section of PS
  Form 1412 as follows
• Enter in AIC 841 the total amount listed on PS
  Form 17, Stamp Requisition/Stamp Return, for
  stock received.
• Enter in AIC 848 the total amount listed on PS
  Form 17 for stock returned.
• Enter in AIC 852 the total amount of postage
  sales.
• Calculate the amount of AIC 853.
• Ensure PS Form 1412 is in balance. Totals of AIC
  400 and AIC 800 must match.
• Sign, date, and submit the PS Form 1412 along
  with supporting documents (copy of bank deposit
  ticket, money order vouchers, PS Form 3602-PO, PS
  Forms 3544, and other receipts to support 1412
  entries) to the assigned host Post Office.

39
Host Post Office Daily Financial Reporting
Responsibilites 5-7.2

• The daily responsibilities of the host Post
  Office postmaster or designated employee are as
  follows
• Coordinate with the CPU to ensure receipt of a
  daily PS Form 1412 with supporting documentation.
  CPUs cannot combine daily reporting amounts from
  different days on one PS Form 1412.
• Review the money order tape as follows
• Verify money order serial numbers.
• Verify that beginning and ending numbers are
  correct and sold in sequence.
• Verify amounts, issue ID, and date.
• Report missing money orders to the USPIS
  immediately.
• Verify spoiled and voided money orders (all
  parts), and submit them to unit manager for
  destruction.
• Identify missing vouchers. Note If a postmaster
  is unable to account for the dollar amount of a
  missing voucher, complete a PS Form 6401 and mail
  it to the SIC to retrieve a copy of the cashed
  item. Mail the issue information regarding
  missing vouchers, identified within the same
  month as the issue date, to the following
  address
• GENERAL ACCOUNTING BRANCH MISSING
  VOUCHERSACCOUNTING SERVICESPO BOX 82449ST
  LOUIS MO 63182-2449
• Ensure that employees at the CPU complete the
  Bank Secrecy Act training, have current forms on
  hand, and complete and mail forms as required.
• Verify the following on PS Form 1412
• The opening balance of AIC 840 with the previous
  days AIC 853 ending balance.
• AIC 110 with PS Form 3602-PO if CPU has a postage
  meter.
• AIC entries match the amounts from the supporting
  documentation. Supporting documentation must
  agree with the totals entered in individual AICs.
  (See part 5-7.3 for resolving discrepancies and
  part 5-7.4 for correcting differences.) Note
  CPUs must report unused meter labels in AIC 553
  on PS Form 1412 and submit PS Form 3533 with
  attached labels as supporting documentation.
• Enter the CPUs PS Form 1412 via eMOVES.
• Maintain a file with documentation for all AIC
  247/647 expenses (financial differences) issued
  to the CPU. (See part 8-6.1 for supporting
  documentation for AIC 247/647 activity.)
• Examine the CPUs accountability annually for
  compliance (see subchapter 13-7).

40
Preparing the Deposit

• Deposit ticket needs to be legible to reduce
  banking discrepancies
• Match deposit ticket to PS Form 1412, make
  adjustments if necessary
• Follow register procedures per the DM-901
• Sign the deposit slip-no initials
• If no witness Leave the line blank
  (Bank Deposit Preparation Quick Reference,
  December 2009.)
• Secure hand to hand transfer

41

• 9-1.2 Banking Procedures for Postal Retail Units
• Postal retail units (PRUs) consolidate funds
  generated from daily transactions into one bank
  deposit (or two deposits if you must deposit cash
  separately from checks).
• PRUs must not make bank deposits for less than
  100. Exception Check items (checks, money
  orders, travelers checks, etc.) should be
  deposited within 5 business days even if the
  total deposit is less than 100. When a PRU does
  not prepare a bank deposit that is less than
  100, the PRU records the funds in AIC 753 on the
  units PS Form 1412, Daily Financial Report. The
  amount recorded in AIC 753 must appear in AIC 353
  on the next business day and the funds made
  available for deposit.
• When funds exceed normal operating needs during
  the day, retail associates (RAs) must make
  advance deposits in addition to regular deposits.
• If excess funds are generated throughout the day,
  PRUs may prepare a consolidated advance deposit.
  In the event that the financial institution
  requires separate deposits for cash and checks,
  no more than four (4) bank deposits may be
  prepared on a business day.
• Each day the deposit is retained until the limits
  have been met, Register to the safe.

42
Preparing the Unit Bank Deposit

• Key components of the deposit ticket.

Use signatures, NO INITIALS If no witness, Leave
the line blank.
Match deposit ticket to PS Form 1412, Ensure
legibility, make adjustments
The BANK always gives immediate credit for the
GRAND TOTAL. Once actual funds are verified, a
credit or debit is issued for the difference.
10-Digit Unit ID Finance Number and Unit ID
43
Lets talk Financial Differences

• Postal retail units (PRUs) must use the following
  two AICs to report financial differences and
  adjustments e.g., banking, money orders, stock
  ledger, and PS Form 1412, Daily Financial Report,
  transactions
• AIC 247 for overages.
• AIC 647 for shortages.
• Adjustments may also be credited or debited by
  Accounting Services for financial adjustments
  related to a units banking, transmitted PS Form
  1412 transactions, money orders, and stock ledger
  discrepancies. Accounting Services issues
  expenses to PRUs as a result of reconciling the
  following financial activities
• Sales audit expenses.
• Reconciliation exceptions (e.g., banking, credit
  and debit cards, change funds, Sure Money).
• Stamp stock shipment exceptions (stock ledger).
• Money order reconciliation exceptions.
• A negative amount (appears in parentheses) in
  General Ledger Account (GLA) 56203 on the
  Financial Performance Report (FPR), Line 44
  Miscellaneous Expenses, is a credit or reduction
  in expense. A positive amount is a debit or
  increase in expense. See subchapter 8-6 for
  procedures for creating and clearing (offsetting)
  AIC 247 and AIC 647 expenses.     

44
Creating or Offsetting
AIC 247 and AIC 647 Expenses

• 8-6.1 Postal Retail Unit Procedures
• PRUs create or offset previously issued AIC 247
  and AIC 647 expenses as follows
• Research discrepancies (see section 8-6.1.1).
• Enter adjustments in AIC 247 or AIC 647 on PS
  Form 1412 (see section 8-6.1.2). AIC 247 credits
  and AIC 647 debits GLA 56203 which appears in
  Line 44 of the FPR.
• Maintain a file with detailed records
  (documentation) for all AIC 247/647 expenses
  (financial differences) issued to the PRU.
  Monitor expenses and ensure timely clearance. The
  following reports/log (or any combination) can be
  used as a detailed record and are approved
  supporting documentation for AIC 247/647
  activity.
• Financial Differences AIC 247/647 Log POS
  units use the Financial Differences History
  Unit Report from POS.
• FPR Net Financial Differences (AIC 247/647)
  Line Detail report in the ADM. For expenses not
  listed on the AIC 247/647 log, annotate the
  report with status, action taken, date of offset,
  etc.
• Narrowcast Report. For expenses not listed on the
  AIC 247/647 log, annotate the report with status,
  action taken, date of offset, etc.
• For expenses that are not cleared (offset), e.g.,
  counterfeit bills, the PRU employee must annotate
  the AIC 247/647 detailed expense record with the
  reason.
• Note POS units see section 8-6.1.3 for creating
  and offsetting financial differences (AIC
  247/647).

45
8-6.1.1 Researching Discrepancies

• The PRU manager is responsible for identifying
  the cause of discrepancies whether it resulted
  from an RAs transactions or a unit-level
  adjustment.
• If the discrepancy remains unresolved, then the
  PRU manager may request that the AHD research the
  issue as follows
• The field unit manager calls or e-mails the AHD.
• Send an e-mail to Help Desk, Accounting St.
  Louis, MO.
• Call 866-9SHARED (866-974-2733).
• The PRU manager provides the following
  information in the e-mail or to the Help Desk
  personnel
• District name, office name, UFN.
• Unit contact name and phone number.
• Type of expense (e.g., Banking, Stock Ledger,
  Sales Audit).
• Date of expense.
• Original business date (date of the transmitted
  PS Form 1412) or transaction date from the bank
  if inquiring about a banking reconciliation
  error.
• Amount of expense.
• The AHD logs the request in their Remedy system
  and provides a ticket number as reference for any
  further inquiries.
• The AHD either provides a solution or refers the
  issue to a subject matter expert (SME).
• The SME contacts the PRU to provide further
  guidance.

46
Reports

• Narrowcaster Reports
• Help Desk -Trust and Suspense Activity
• The need to be on the Account
• How to get on the Account

47
Management's Responsibility

• Employees serving in management positions have an
  obligation to control/minimize expense items
  within their jurisdiction. The following six
  steps should be followed for any adjustment
  and/or reconciliation that is received or
  initiated by a PRU
• 1. Determine the cause of the error and employee
  responsible for the error.
• 2. Post expenses to AIC 247/647 tracking log.
• 3. Issue PS Form 1908, Financial Adjustment
  Memorandum, to the employee responsible for the
  error.
• 4. Ensure the expenses are offset in a timely
  manner.
• 5. Post offsetting entries to AIC 247/647 Log.
• 6. Take the appropriate action to prevent future
  errors.
• It is important to remember that PRUs may
  create/offset an expense for a discrepancy
  discovered locally as well as offset expenses
  issued by Accounting Services.

48
Remember

• Expenses must be logged daily on the Financial
  Differences AIC 247/647 Log.
• Expenses must be verified/validated on the ADM
  report - The FPR Net Financial Differences (AIC
  247/647) Line Detail.
• EDWgtAccountinggtShared ReportsgtSAFRgtStore
  Expense ReportsgtFPR Net Financial Differences AIC
  247/647
• Expenses must be researched and resolved in a
  timely manner.

49
Narrowcast Reports

• Microstrategy uses a Narrowcast server to
  distribute reports to users instead of the user
  having to run/retrieve them. The Narrowcast
  server automatically distributes these reports
  via Email when a specific condition is met and/or
  a scheduled event (time) occurs.
• Some of the exception reports that are generated
  are
• Daily Reconciliation Exceptions this report
  represents differences that exceed 50.00 that
  are a result of banking or credit/debit card
  reconciliations.
• In-Transit Stamp Stock provides detail
  information and instructions for units with stamp
  stock remaining in-transit for 10 days.
• Money Order Expense detailed report of all
  money orders expensed.
• Monthly Reconciliation Exceptions detailed
  report of all of the financial differences for
  bank deposits, credit/debit cards, and Sure Money
  that Accounting Services expensed an office for
  the previous month.

50
Monthly Reconciliation Exceptions Report for Unit
51
Customer Trust and Employee Items Report provides
activity posted to the general ledger for the
last (Postal) week from Saturday through Friday.
52
REMEMBER

• Sox is not optional
• It is the
• LAW!