(USF) Setting Up PeopleSoft Payables for U.S. Federal Agencies

This chapter discusses how to:

• Set up electronic funds transfer (EFT) and automated clearing house (ACH) payment formats.

• Define agency location codes.

• Set up vendors for federal payment processing.

• Define federal spending regions.

• Define regional financial codes.

• Specify restrictions for federal payment schedules.

• Configure workstations for Intra-governmental Payment and Collection System (IPAC) inbound processing.

• Set up Central Contractor Registry (CCR) processing.

Setting Up EFT and ACH Payment Formats

To set up EFT and ACH payment formats, use the following components:

• EFT Layout (EFT_LAYOUT).

• ACH Layout (ACH_LAYOUT).

This section provides an overview of EFT and ACH payment format setup and lists the pages used to set up EFT and ACH Payment formats.

Understanding EFT and ACH Payment Format Setup

The PeopleSoft system provides a number of EFT and ACH layouts for transmitting U.S. federal payments:

Note. The U.S. Treasury is phasing out the Electronic Certification System (ECS) and replacing it with the Secure Payment System (SPS). PeopleSoft Payables provides both the ECS and the SPS summary files for payments. You need to determine when your organization begins utilizing the SPS Summary generation based on the timing of the U.S. Treasury turning off the ECS system.

When you set up each format on the EFT File Layouts and ACH File Layout pages, you can indicate if the payment format applies to employee payments, non-employee payments, or both. This allows an edit upon saving a voucher that enforces the following U.S. federal rules:

• Employee ACH payments are generated as PPD or PPD+ payments only.

• Non-employee ACH payments are generated as CCD, CCD+, or CTX payments only.

Note. It is up to you to select whether a payment format applies to employee payments, non-employee payments, or both, but you should select these values based on the requirements laid out by the U.S. Department of Treasury

PeopleSoft Payables also enforces that all EFT/ACH payments contain a bank ID, bank routing number (DFI ID), and bank account number.

See Also

(USF) U.S. Federal ACH and EFT Layouts

Pages Used to Set Up EFT and ACH Payment Formats

Defining Agency Location Codes

To set up agency location codes, use the Agency Location component (AGENCY_LOC_CD).

This section provides an overview of agency location codes and discusses how to:

• Define agency location codes.

• Specify government wide accounting (GWA) reporting options.

Understanding Agency Location Codes

If you represent a U.S. federal agency, you probably pay your vendors through a Treasury Disbursing Office (TDO). You identify your TDOs with Agency Location Codes (ALC). Define an eight-digit ALC for each TDO you set up and assign it to the TDO on the Bank Information page. If you represent a U.S. federal agency that does not disburse through a TDO, you can set up ALCs that bypass the voucher save edit that enforces eight-digit ALCs.

If you represent a U.S. federal agency that uses the Intra-Governmental Payment and Collection System (IPAC), then you must also define an ALC for each of the vendors you pay through IPAC.

The business activity you define for your ALCs on the GWA Reporting Options page determines what type of cash transaction activity you report on the SF224 Statement of Cash Transactions report. The business activity and reporter category combination you define for your ALCs determines what cash reclassification transactions you report on the Partial 224 report. The Partial 224 report is an effort by the U.S. Treasury to ultimately phase out the SF224 Statement of Cash Transactions report over the next several years by having agencies report collection and disbursement activity with a new Business Event Type Code (BETC). Once the cash activity includes the BETC you only need to report cash reclassifications via the Partial 224 report. The U.S. Treasury is taking a phased approach to modify financial systems that agencies interface with today to include the BETC code. These systems include IPAC for collections and payments, CashLink for collections, and Electronic Certification System (ECS) or Secure Payment System (SPS) for payments. The U.S. Treasury requires systems to accommodate future implementation of BETC and therefore, exclude activity from the Partial 224 report that includes the BETC code.

Warning! The reporting of cash reclassifications for the new Partial 224 report is not applicable until the U.S. Treasury completes their requirements for Business Event Type Codes (BETC). The U.S. Treasury plans on phasing the BETC requirements towards the end of 2006. Please contact the U.S. Treasury for more information.

Note. The U.S. Treasury is phasing out the Electronic Certification System (ECS) and replacing it with the Secure Payment System (SPS). PeopleSoft Payables provides both the ECS and the SPS summary files for payments. You need to determine when your organization begins utilizing the SPS Summary generation based on the timing of the U.S. Treasury turning off the ECS system.

See Also

Defining Bank Information

Defining, Generating, Creating, and Printing SF224, SF1219, and SF1220 Reports

Reclassifying Federal Cash Transactions for Partial 224 Reporting

Creating ECS Bulk Payment Summary Certification Files

Pages Used to Set Up Agency Location Codes

Defining Agency Location Codes

Access the Agency Location Code page (Set Up Financials/Supply Chain, Common Definitions, Agency Location Codes, Agency Location, Agency Location Code).

Enter agency name and address information for the ALC.

See Also

Defining Agency Location Codes

Specifying GWA Reporting Options

Access the GWA Reporting Options page (Set Up Financials/Supply Chain, Common Definitions, Agency Location Codes, Agency Location, GWA Reporting Options).

The business activity you define for your ALCs on this page determines what type of cash transaction activity you report on the SF224 Statement of Cash Transactions report. The business activity and reporter category combination you define determines what cash reclassification transactions you report on the Partial 224 report.

See Also

Defining GWA Reporting Options

Setting Up Vendors for Federal Payment Processing

When you, as a U.S. federal agency, set up vendors for payment processing, you may want to specify the default payment schedule type and date basis calculation type for the vendor, along with the standard vendor setup. You can also set up these options at other levels in the PeopleSoft Payables control hierarchy: business unit, origin, and control group.

For vendors, you enter this information on the Federal page in the Vendor Information component, which is available only when you have Enable Federal Payments selected on the Installation Options - Payables page.

When you set up other U.S. federal agencies as vendors, you may also identify the vendors as federal agencies and enter the vendor's ALC and trading partner code. The ALC is required if the vendor is used for inbound or outbound IPAC processing. You enter this information on the Vendor Information - Federal page, as well.

Specific federal payment processes may require particular vendor setup. See the sections of this book that discuss those processes.

See Also

Maintaining Vendor Information

Defining Federal Spending Regions

To define federal spending regions, use the following components:

• Spending Region Installation (SPNDNG_REG_INST).

• ChartField Values (FS_CF_VALUE_HOME).

• Spending Region Definition (SPNDNG_REG_DFN).

This section lists a prerequisite and discusses how to:

• Specify the federal spending region ChartField and processing options.

• Define spending region ChartField values.

• Associate spending region codes with states.

Prerequisite

To define spending region ChartField values, you must first define them on the ChartField Attributes page.

See Also

Creating Generic ChartField Attributes

Pages Used to Define Federal Spending Regions

Specifying the Federal Spending Region Chartfield and Processing Options

Access the Spending Region Install Option page (Set Up Financials/Supply Chain, Product Related, Procurement Options, Federal Spending Region, Spending Region Installation, Spending Region Install Option).

Defining Spending Region ChartField Values

Access the ChartField Values page (Set Up Financials/Supply Chain, Common Definitions, Design ChartFields, Define Values, ChartField Values).

To define spending region ChartField values:

1. Select your spending region ChartField on the ChartField Values page.

   This is the ChartField you defined on the Spending Region Installation page.

2. Access the respective ChartField definition page, and click Attributes.

3. Select the appropriate ChartField attributes and ChartField attribute values for the spending regions.

Associating Spending Region Codes with States

Access the Spending Region Definition page (Set Up Financials/Supply Chain, Product Related, Procurement Options, Federal Spending Region, Spending Region Definition).

Enter a setID and spending region ChartField value for each spending region code you want to associated with the state. You can link multiple spending regions codes to a state, and link the same spending region code to multiple states.

Note that each spending region ChartField value row is keyed by setID. Therefore, if your vendor-to-ChartField relationships involve multiple setIDs, you should add a row for each setID and spending region code combination. For example, assume you are setting up a spending region definition for the state of Alaska, and you have one spending region code—6—for the state. If the vendors in setID US001 share access to one set of ChartField values and the vendors in setID US002 share access to another set of ChartField values, then you should enter two rows:

1. Set ID US001; spending region code 6.

2. Set ID US002; spending region code 6.

Defining Regional Financial Codes

To set up regional financial codes, use the Regional Financial Code component (RFC_CODE).

This section provides an overview of regional finance code definitions and lists a page used to define regional financial codes.

See Also

Defining External Account Information

Creating ECS Bulk Payment Summary Certification Files

Understanding Regional Finance Code Definition

You define regional financial codes to produce federal ECS or SPS summary data files. First you create a regional financial code, then specify it on the External Accounts page. Next, on the ECS Summary Total (electronic certification system summary total) page or the SPS Summary Totals (secure payment system summary totals) page, you specify the code before generating the summary data file to send to the Department of Treasury.

Page Used to Define Regional Financial Codes

Specifying Restrictions for Federal Payment Schedules

To set up federal payment schedule restrictions, use the Payment Schedule component (SCHD_PYMNT_MTHD).

This section provides an overview of federal payment schedule restrictions and discusses how to specify federal payment schedule restrictions.

Understanding Federal Payment Schedule Restrictions

If you use federal payment schedules you must define the maximum number of payments and maximum number of appropriations you want included on each payment schedule. When the maximum number of payments or appropriations is reached, the system assigns the remaining payments in a pay cycle to a new Treasury schedule ID.

Page Used to Specify Restrictions for Federal Payment Schedules

Specifying Federal Payment Schedule Restrictions

Access the Payment Schedule Restrictions page (Set Up Financials/Supply Chain, Product Related, Procurement Options, Payments, Federal Payment Schedule, Payment Schedule Restrictions).

Configuring Workstations for IPAC Inbound Processing

This section discusses how to configure workstations for IPAC inbound processing.

Configuring Workstations for IPAC Inbound Processing

To configure a workstation for IPAC inbound processing:

1. On the workstation, go to Windows Start, Settings, System, Advanced, and click the Environment Variables button to access the Environment Variables dialog box.

2. In the Environment Variables dialog box, enter a new user variable of PS_FILEDIR with a value of c:\temp.

   Although the value is c:\temp, the flat file does not need to be located in the c:\temp file.

3. Click OK.

See the following screenshot:

Setting Up CCR Processing

To set up CCR processing, use the following components:

• Installation (INSTALLATION).

• Maintain CCR Codes (MAINTAIN_CCR_CODE).

• Vendor Information (VNDR_ID).

This section provides an overview of CCR processing setup, and discusses how to:

• Enable CCR processing.

• Maintain CCR codes.

• Define CCR registration status and Dun & Bradstreet suffixes.

• Define CCR ID numbers.

Understanding CCR Processing Setup

The CCR database is a common vendor database used for the U.S. Federal Government.

Note. While CCR is used by many federal agencies, some agencies do not use CCR.

Setting up PeopleSoft Payables for CCR processing involves:

• Establishing CCR and related CCR codes as an installation to the system.

• Establishing vendors as CCR vendors.

PeopleSoft Payables currently supports the use of SIC (Standard Industrial Classification) and NAICS (North American Industry Classification System) codes. However, it is critical for CCR processing that these codes are updated and kept current. Codes that are not maintained can cause processing problems between the PeopleSoft Payables system and the CCR database. We have added functionality to automatically add updated code information when this information is not regularly maintained. To ensure that the system uses the updated code information, leave the applicable check boxes deselected on the Installation Options - Payables page.

After you have established the installation options, you can establish CCR vendor information and assign one of four status values, depending on each vendor's registration status with the government. This status determines if vendors can submit CCR vouchers.

See Also

CCR Voucher and Vendor Processing

Pages Used to Set Up CCR Processing

Enabling CCR Processing

Access the Installation Options - Payables page (click the Payables link on the Installation Options page).

Note. Failure to maintain your implementation's SIC and NAICS codes can cause synchronization problems between the system and the CCR database. Select the check boxes only when you are certain your organization regularly maintains the implementation's SIC and NAICS codes. If you are uncertain, leave these check boxes deselected, as the system will automatically implement and use the correct, updated codes.

Maintaining CCR Codes

Access the Maintain CCR Codes page (Vendors, Central Contractor Registry, Maintain CCR Codes).

Defining CCR Registration Status and Dun & Bradstreet Suffixes

Access the Additional ID Numbers collapsible region on the Vendor - Identifying Information page (click to expand the Additional ID Numbers region on the Vendor - Identifying Information page).

Defining CCR ID Numbers

Access the Central Contractor Registry Id Numbers page (click the Review CCR Information link on the Vendor - Identifying Information page. This link appears only for active CCR vendors).

To define CCR ID numbers for a vendor:

1. Select a Code Type value and corresponding CCR Vendor Code field value.

2. Add rows to establish all applicable ID numbers for the vendor.