Invoice for Payment Due to Customer - PowerPoint

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					By: Priscilla E. Irick
Commercial Accounts Branch, NIH
Commercial Accounts Branch
   Organization Structure
                         The Commercial Accounts Branch is comprised of four areas:
                         Office of the Chief, Customer Service, Payables, and Contracts

                                                 COMMERCIAL ACCOUNTS BRANCH
                                                         Priscilla E. Irick
                                                     Accountant, Branch Chief                                  Office of the Chief
                                                                                                      Marie A. Watson, Accountant, Assistant to
                                                                                                                      the Chief
                                                                                                         Marie Davis, Lead Acting Technician
                                                                                                      Idah Maindidze, Administrative Assistant(t)

     Customer Service                                          Payables                                             Contracts
Marie A. Watson, Accountant,                            Linda Acker, Accountant,                            Robin Herring, Accountant,
        Team Leader                                        Lead Team Leader                                 Ruth Laughner, Accountant,
                                                                                                              Backup Team Leaders

                                                                                                                Ruth Laughner, Accountant,
                                   Karyn Addison,           Malti Bhatnagar        Karyn Addison,               Backup Team Leader
                                  Accountant, Team           Acting Team            Accountant,
    Karen Johnson                      Leader                   Leader              Team Leader

    Davida Haynes
    Lawanna Deas               Sheila Gopie
                                                          Carolyn Clark            Rubina Ahmed                      Mary McFadden
    Marlene White              Justin Hershman
                                                          Sista Sastry             Robin Jackson                     Jaime Otero-Zuazo
    Ellen McColl               Isabel de Otero
                                                          Mike Walsh               Cynthia McFadden                  Nicolas Lalekos
    Angela Stinney (t)         Martha Tuttle
                                                          Natasha Cepeda           Carlos Reyes                      Diane Johnson
    Sheree Brown               Christopher Porter (t)     (t)
                                                                                   Chisa Harris                      Dorothea Scott
    Kionna Jones               LaJoyce Thomas             Weldon Payne (t)
                                                                                   Irina Rozina                      Frankie, Gibson
                               Katie Roberts              Kristin Rhoads
  In Fiscal Year 1996              In Fiscal Year 2002
  the NIH processed :              the NIH processed :

489,212 invoices for payment    613,281 invoices for payment

121,685 invoices were late      25,980 invoices were late

362,527 invoices were on-time   587,301    invoices were on-time

74.1%     on-time payments      96%     on-time payments
     But, what may surprise you is that….

28,203   invoices were returned to vendors in 2002
         because they were unpayable.

…Key to decreasing the number of unpayable invoices returned to vendors
 and the number of invoices on the (Unpaid) In-House Invoice Report.
             HOW DO WE GET THERE ?

Educate vendors and the NIH
community on ….

    • Bill payment process

    • Invoicing process

    • Federal Regulations affecting bill payment
       (i.e., Debt Collection Improvement Act, Prompt Payment ; Final Rule)

    • Information Technology Systems           (i.e., VIEWSTAR, PAID,
          HOW DO WE GET THERE ?

Bill Payment Process
               Bill Payment Process

A valid procurement mechanism must be obtained
before ordering goods or services.

                       Record of Call
                       Purchase Order
                       Training Nomination
                       Purchase Card

  Be sure to fax a copy of the order to the vendor, especially
  when making procurements over the phone. This will
  ensure the vendor has the correct order number when
  they bill NIH.
          Bill Payment Process

Goods must be delivered to the correct delivery
point. When placing the order, make sure
the order taker has the correct ship to address.

A proper invoice must be submitted to the
Designated Billing Office.

Commercial Accounts is the Designated Billing Office,
      not the Designated Ship to Office
            Bill Payment Process

 Inform vendors that problems, discrepancies,
changes, modifications, inquiries should be made
to the appropriate official.

The Display Order Screen accessible to Commercial
Accounts technicians displays the name of the
Purchasing Agent and the Ship to person. These
individuals are contacted first in an attempt to determine
the correct receiving official for the order.
                Bill Payment Process

For name changes or assignments, vendors should

•   Blanket Purchase Agreements (BPAs): the BPA Branch
    at (301) 496 -5212

• Purchase Orders & Record of Calls: the Procurement

• Contracts: the Contracting Officer
         Bill Payment Process

If a name change or assignment occurs, all invoices
submitted by the vendor from that point on, must
have the new information.

However, once a payment has been made on an order,
a name change can not be made to that order. The
company will have to submit invoices with both the
new and the old name.
            Bill Payment Process

For inquiries concerning the status of invoices,
In-House personnel can call the

Commercial Accounts, Customer Service office at

                   (301) 402-1595


or In-House personnel can utilize the Customer Viewer
Application located in the Customer Service office
to view the progress of any invoice in the workflow.
       Bill Payment Process

Customer Service hours of operation are

           Monday - Friday
        8:30 A.M. to 4:30 P.M.
however, the office is closed each day from
       12:00 P.M. to 1:00 P.M.
          Bill Payment Process

Vendors may contact Customer Service at
            (301) 496-6088
or they may visit the Treasury PAID website at

                 Bill Payment Process

Let vendors know when they contact Customer
Service, they should know
what they want:
       * invoice inquiry
       * receiving status
       * payment status
       * ACH/check tracer

They should provide:
       * order number
       * invoice number
       * invoice amount
Invoicing Process
                        Invoicing Process

• In order for vendors to get paid, they must invoice
  in accordance with the Prompt Payment; Final Rule.
  A valid invoice must include:
    Name                               Description, Quantity, Unit
    Address                              price, etc
    Vendor’s TIN                       Shipping/Payment Terms
    Invoice Date
    Order Number                       Remit to/Correspondence
    Discount Terms                      address
    Invoice Number                     EFT/ACH information
   (Not required by PPFR, but highly

     The vendor remittance name on the invoice must agree
             with the name on the order/contract.
             Invoicing Process

When a vendor submits a proper invoice to Commercial
Accounts, the invoice is Indexed and tracked into the
ADB and the ViewStar system. If the invoice is payable,
it can be scheduled for payment. On the PAID INVOICE
DISPLAY SCREEN the JT (for ACH payments) and JS
(for check payments) are Treasury payment schedules.
The numbers after the JT or JS represent the fiscal year
and Julian date.
             Invoicing Process

On this order, the Treasury schedule JT3038 is an ACH
payment that will close on the 38th day of the year
(02/07/03). This payment will be certified and transmitted
to Treasury on the next business day. Treasury has
48 business hours, from that point, to disburse the funds.
              Invoicing Process

If an invoice is not payable it is routed to a Pending
Queue or a Process Hold Queue where it will appear on the
the Pending Queue are awaiting receiving. The invoices in
the Process Hold Queue are awaiting a resolution to a
discrepancy, i.e.…quantity on invoice is 85, but on the order
the quantity is 58. The quantity on the order could have
been mistakenly transposed.
                               Process Hold Queue
                            Pending Queue
               Invoicing Process

lists all invoices that have been received by Commercial
Accounts, that have not be paid due to receiving
or other issues.

This report should be reviewed often, however, make sure
the report you are reviewing is current. It is updated
Invoicing Process
             Invoicing Process

Partial Rcvd - a particular line needs to be received

Needs Rcvng - the entire order needs to be received

Payable - the invoice is payable, however, the system did
          not route the invoice to the payables queue or
          the invoice is not necessarily payable due to
          a discrepancy with the amount of money or line
          line item received
            Invoicing Process

Maybe Error - indicates the invoice has been paid and a
             duplicate is on file.

Purged - an order is no longer in the ADB and was removed
         based on purge criteria. (see Purge Criteria memo)
        This order can still be paid through the Central
        Accounting System, however, a hardcopy receiving
        report signed by the receiving official is required
        before payment can be made.
Federal Regulations Affecting Bill Payment

               Debt Collection Improvement Act

                 Prompt Payment; Final Rule
Federal Regulations Affecting Bill Payment

requires that all Federal payments to vendors
be made via Electronic Funds Transfer (EFT).

Vendors must complete a Standard Form 3881, “ACH
Vendor/Misc Payment Enrollment Form” for each
Federal agency they conduct business with.

If a vendor’s banking information changes,
they must notify the OFM, Government Accounting
Branch and submit updated enrollment form immediately
prior to closing the old account.
Federal Regulations Affecting Bill Payment

 requires that all Federal agencies

      $    Make payments on time

      $    Pay interest penalties when
           payments are late

      $    Take discounts only when payments
           are made on or before the discount date
  Federal Regulations Affecting Bill Payment

PAYMENT DUE DATE - once a proper invoice has been
submitted and acceptance of the goods/services has taken
place, the payment due date is established.

                               DUE TODAY
 Federal Regulations Affecting Bill Payment

Unless the contract specifies otherwise, payment is
due on/before the 30th day from the later of :

(1) The date a proper invoice is received in the
    designated billing office; or

(2) The date the receiving official acknowledges
    receipt of the goods or services.
Federal Regulations Affecting Bill Payment

LATE PAYMENTS - Invoices that are paid after the
payment due date are considered late.

The Prompt Payment; Final Rule requires us to pay
interest whenever an invoice is paid after the payment
due date, however, interest under $1.00 need not be paid.
Federal Regulations Affecting Bill Payment

  DISCOUNTS - are taken if the invoice can
  be paid within the specified discount period.
  The discount must be advantageous to the

  EXAMPLE - if an invoice dated 05/20/03 offered the
  following payment terms [ 3%/10, Net 30], the check
  must be dated or the EFT must be deposited
  on or before the discount date of 05/30/03.
Information Technology Systems

                   - Customer Viewer



                         Information Technology Systems

Invoices are Scanned

                       VIEWSTAR - is not an accounting system.
                       It is a workflow automation system that
                       automates a paper-based process where Invoicesarchived are

                       multiple workers interact with the same

Invoices are Indexed/Tracked

                                                            Payments are validated
                                                             by Customer Service
                                                                                     Payments are disbursed
                           Payable invoices are processed
                                                                                         by Treasury
          Information Technology Systems

CUSTOMER VIEWER - is a view only interface in the
ViewStar system. It is located in the OFM, Commercial
Accounts, Customer Service office. This application is
for in-house personnel only. It provides customers with
the ability to retrieve requested invoices and their related
documents through the Optical Library. In addition,
this application gives the customer a status of those
invoices as they move through the Work in Process queues.
           Information Technology Systems

is the Treasury internet system which provides vendors
with invoice payment information

PAID provides the order number, invoice number, payment
amount, date of payment and other remittance information
such as interest penalty or discounts taken.

PAID provides information within 24 hours after the date of
payment and retains the information for 60 days.

PAID is a “no cost” service to the vendor.
         Information Technology Systems

Vendors can register for PAID through the internet at:


The vendor must complete the on-line registration form
using their Tax Identification Number (TIN).
           Information Technology Systems

PACER - is an on-line check and ACH Tracer System.
Using this system, Customer Service Technicians can
view payment information, create claims and request digital
images of negotiated checks for all payments issued by NIH.

The disposition of claims are usually available within
72 hours, however, archived images can take up to a

When a claim is requested on an ACH payment, the
the disposition will include the vendor’s name, bank acct #,
ABA#, payment amount, schedule #, and date payment
was deposited into the account.
       Information Technology Systems

is designed to help agencies collect delinquent debt
owed to the Federal Government.
Treasury Offsets can occur on vendor payments for:

 Taxes
 Child support
 Alimony
 Student Loans
           Information Technology Systems

Treasury will only take 99% of the vendor’s payment. Treasury
will leave 1 % so that the vendor is aware that a payment was
made to them. Vendors are provided written notification
from Treasury when a payment has been offset.

Description: Invoice for Payment Due to Customer document sample