Foreign Currency Transactions
The following questions are frequently asked of Treasury's Bureau of Fiscal Service (Fiscal Service) by Federal agencies that process foreign currency transactions through State Department (DOS) Financial Service Centers (FSC).
The DOS Financial Service Centers (FSC) send a package of month-end reports to each Agency doing business overseas. These reports include the "Voucher Auditor Detail Report" (VADR-ACVR.070).
The VADR describes each transaction, and includes the appropriation account charged, the US dollar equivalent amount to be recorded by the agency, and a description of each transaction.
The VADR is accompanied by the SF 1221 "Statement of Transactions" (ACDA.045), which summarizes the transactions by appropriation and amounts to be charged, and "the List of Vouchers Processed" (ACDA.057) which lists transactions by originating Post.
These reports may be sent via email or by direct download from the service centers.
Each month your agency looks at the Account Statement in the Central Accounting and Reporting System (CARS), for each active appropriation.
On the Account Statement, each "NET DISB" line will show an amount reported to Treasury on a specific SF 1221 "Statement of Transactions" (ACDA.045). Each Net Disbursement line on the Account Statement shows the dollar amount reported as net disbursements/ receipts as indicated by Tran Code 61-disbursement or 71- receipt, listed on the SF 1221.
The location code column indicates who reported the amount. The first four digits for transactions processed by the Department of State's US Disbursing Officere (USDO) will be 1900. The next four digits represent the USDO symbol where the transaction was processed, not where it originated.
USDO Symbol 8768 is the Bangkok Financial Service Center.
USDO Symbol 8769 is the Charleston Financial Service Center.
Contact: Department of State, Interagency Liaison Office 703-875-6455, FAX: 703-516-1588, e-mail: InteragencyLiaison@state.gov
Contact: Department of State, Interagency Liaison Office 703- 875-6455, FAX: 703-516-1588, e-mail: InteragencyLiaison@state.gov
The erroneous transaction will appear on the Account Statement posted to your Suspense account, F3875.
- Verify that Fiscal Service converted the transaction to your F3875 Suspense account
- Locate the original document by contacting the Department of State Interagency Liaison Office 703-875-6455, FAX: 703-516-1588, e-mail: InteragencyLiaison@state.gov
Review the SF 1221 for each appropriation taking into consideration the amount on the Account Statement may include more than one transaction and account date.
Verify that the VADR equals the SF 1221, Statement of Transactions.
- If not, contact Department of State, Interagency Liaison Office, InteragencyLiaison@state.gov.
- Also review your monthly "Agency Erroneous Account Report" and adjust the transactions from your Suspense Account to the correct account.
It's a Treasury monthly report generated and mailed to agencies after the Fiscal Service processes all transactions into the STAR (Central Accounting and Reporting) system.
These include the data from the State Department Financial Service Centers. The STAR system performs integrity checks and edits the file to assure each appropriation account is valid.
Amounts reported to invalid appropriation accounts are charged to the agency's Suspense account - F3875.and then the Erroneous Account report is generated.
Each agency should review the invalid appropriation account and make any adjustments necessary to transfer the transaction to a valid appropriation before the next reporting period.
If there are questions concerning a transaction, obtain a copy of the supporting document through the Department of State, Interagency Liaison Office.
Verify if the VADR and SF 1221 Statement of Transactions were correctly posted. If not, make adjustments.
- Review "Agency Erroneous Account Report" and report adjustments between F3875, Suspense account, and the correct account on the next FMS 224/FMS 1220. Also, verify another agency did not erroneously report to your agency account. If they did, coordinate adjustments with the other Agency.
Go to the Department of State website: www.state.gov.
- Click on the "search"
- Type in the "search" block: 4 FAH 2.
- When the search results appear, select "4 FAH 2 Disbursing Officer Handbook".
- The next screen is "Table of Contents" for 4 FAH - 3 Financial Management Procedures Handbook.
- Scroll down and select "700 U.S. DISBURSING OFFICE REPORTING AND DISBURSING REQUIREMENTS".
Last modified 04/17/18