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NPR 9610.1B
Effective Date: August 08, 2022
Expiration Date: August 08, 2027
Printable Format (PDF)

Subject: Accounts Receivable and Debt Administration

Responsible Office: Office of the Chief Financial Officer

| TOC | Preface | Chapter1 | Chapter2 | Chapter3 | Chapter4 | Chapter5 | Chapter6 | AppendixA | AppendixB | AppendixC | AppendixD | ALL |

Chapter 3. Billing

3.1 Overall Requirements for Accounts Receivable Billing

3.1.1 Electronic Funds Transfer (EFT) for Billing and Collection. To the maximum extent possible NASA will collect all funds by EFT when cost-effective, practicable, and consistent with current statutory authority, unless specifically waived by Treasury or statute. NASA will use the Treasury- approved electronic mechanisms for billing and collecting such as pre-authorized debits, credit cards, and electronic payments. NASA will use other processes only when necessary due to system malfunction, or as required by statute or contractual or other legal agreements. When Treasury- approved EFT methods cannot be used, alternative collection mechanisms will be determined jointly with Treasury BFS. NASA may be required to provide a supporting cost benefit analysis when an alternative mechanism is used.

3.1.2 Intragovernmental Accounts Receivable Billing. Accounts receivable transactions with other Federal agencies will be processed through the Treasury’s Intragovernmental Payment and Collection (IPAC) systems and processes. Remittance by check from another Federal agency should not be used and is not allowed between NASA Centers.

a. Bills for amounts due under ongoing reimbursable agreements will be issued at the end of each month.

b. Additional guidance concerning billing requirements for reimbursable work is included inNPR 9090.1, Partnership Agreements – Financial Requirements and Administration. Intragovernmental Business Rules. NASA Centers and the NSSC shall comply with the requirements in TFM Volume 1 pt. 2, ch. 4700 Federal Entity Reporting Requirements for the Financial Report of the U.S. Government and NPR 9220.1, Journal Voucher Preparation and Approval and Intragovernmental Transactions. These references address billing and timeframes, as well as reconciliation requirements when one Federal entity provides goods or services to another Federal entity on a reimbursable basis, and dispute resolution guidance and timeframes. Standard Form (SF) 1080, Voucher for Transfer between Appropriations and/or Funds, should be used to bill other Government agencies. SF 1081, Voucher and Schedule of Withdrawals and Credits, should be used to bill other Government agencies when both the billing and the paying agency are serviced by a Treasuryfinancial center. Before using a SF 1081, the agency will be contacted to ensure that it cannot accept IPAC charges.

3.1.3 Deferred Billing When Not Cost Effective. Unless specifically called for in a billing agreement, a regular interim billing can be deferred when the amount of a periodic billing would not be cost-effective to process, and the Center expects that additional cost will be recorded. Generally, there is justification for deferring a billing if the amount of the bill is less than the incremental cost of processing the bill and the related collection and NASA expects to incur additional billing amounts. Consequently, incremental costs of processing billings and collections should be periodically analyzed. Agency collection procedures should provide for periodic comparison of costs incurred and amounts collected. An amount that remains unbilled (because an interim billing has been deferred) would be brought forward in the next billing cycle as a beginning unbilled balance. If a new total balance is then cost-effective to bill the entity (i.e., cost-effectiveness based on where the amount billed is at least the cost of processing the bill and collection), a bill would be produced.

3.1.4 Waived Travel Billing When Not Cost Effective. Unless required in a billing agreement, an employee travel bill can be waived if the recoverable amount is less than the required receipt and the cost of billing and collection is anticipated to exceed the recoverable amount. Center CFO will be consulted prior to waiving a travel billing.

3.2 Billing - Other than NASA Employee Debt

3.2.1 NASA should initiate the billing process when they determine a debt exists. The NSSC will send a bill to the debtor containing a specific due date. The due date for a receivable is normally 30 days from the date of invoice or notice of payment due unless a specific due date is established by statute, contract provision, or notice of indebtedness. Refer to Chapter 5 Delinquent Debt for additional information related to notice of indebtedness.

3.2.2 Billing preparation and mandatory letters of notification for non-federal organizations are automated in NASA’s core financial system. Bills will be sent promptly by NSSC to the debtor after goods have been shipped or released, services have been rendered, or payment is otherwise determined to be due.

3.2.3 The initial billing notice for a public debt should include the following:

a. Amount of debt.

b. Basis of indebtedness.

c. Opportunities available to the debtor to dispute the debt, instructions for obtaining copies of documents related to the debt, and instructions for requesting a repayment agreement acceptable to NASA if the debtor is unable to pay the debt in full.

d. Date payment is due, usually 30 days after the date of billing.

e. Steps NASA will take to enforce collection include reporting debt to a credit bureau; referring the debt to Treasury for collection actions, including offset; referral to a Private Collection Agency (PCA); administrative wage garnishment; and litigation.

f. Request that the debtor provide his/her taxpayer identification number (TIN).

g. Name, phone number, and address of an individual to contact within NASA concerning the debt.

h. Instruction that payment will be made to “NASA”, not a NASA official.

i. Notice that pursuant to 31 U.S.C. § 3717, additional charges will be assessed on payments received after the due date, including:

(1) Interest rate to be applied from the date the debt is owed (See section

(2) Administrative charges.

(3) Penalties, not to exceed six percent per year on any portion of the debt delinquent for more than 90 days, accrued from the date the debt became delinquent.

3.2.4 NASA will maintain the following information related to public bills:

a. A uniform numbering system for all bills tendered.

b. A filing system to separately identify uncollected bills and collected bills.

c. A bill register for bills issued. The bill register should include the date of the bill, the bill number, the name of the debtor, the amount of the bill, and a description. NASA’s core financial system provides automated mechanisms to do this.

3.2.5 NASA’s core financial system’s analytical capabilities will be used to assist in determining delinquent debts including aging of accounts receivable and tracking of delinquent accounts, with reporting capability.

3.2.6 Late payment interest, other penalties, and administrative costs will be calculated by the NSSC and recorded in NASA’s core financial system.

3.2.7 Manual Billing. When manual billing is required, billing will be posted in NASA’s core financial system before mailing. Optional Form 1114, Bill for Collection, should be used to bill debtors other than other Federal agencies. Letters and other supporting documents, when necessary, should be used to transmit and explain the billing. Consolidated Billing. A consolidated monthly bill should be sent to each debtor to lessen the volume of paper and accounting work involved, unless the unpaid dollar amount is so small that preparing and issuing a bill would not be cost effective and there is ongoing work on the reimbursable agreement.

3.3 Billing - NASA Employee Debt

3.3.1 When a NASA employee owes a debt, NASA will send the employee a bill for collection or request for payment. If the employee does not pay the debt within 30 days, the NSSC shall issue a demand letter that will include notification that NASA will collect the debts via salary offset if the debt is not paid within 30 days. The notification and the demand letter will conform to the requirements in Demand for Payment, 31 CFR § 901.2. In certain cases, such as health insurance premiums for personnel on leave without pay, the debt does not become payable until a specific event occurs. In such cases the 30-day period begins when the repayment period begins, and in some cases NASA may authorize repayment in installments.

3.3.2 Payroll Deduction. Bills should not be issued when collections are to be made by payroll deductions.

3.3.3 Jury Duty Fees. The collection of jury duty fees can normally be accomplished without formal billing. Employees serving on jury duty should be informed to refund jury duty fees received to compensate them for lost salary, if applicable, upon return to work. The pay records of employees serving on jury duty will be annotated so that proper follow-up actions can be taken to ensure the refund is received. However, any portion of jury fees received that represent reimbursement for expenses (rather than for their salary) may properly be retained by the juror. See Crediting Amounts Received for Jury or Witness Service, 5 U.S.C. § 5515, Government Accountability Office (GAO) ruling, Glenell v. Hines, B-214558, July 23, 1984, and Office of Personnel Management (OPM) guidance on court leave (Note: https://www.opm.gov/policy-data-oversight/pay-leave/leave-administration/fact-sheets/court-leave/)

3.3.4 Travel Advances. Each Center’s OCFO shall establish a system of review to ensure that travel advances are recovered.

| TOC | Preface | Chapter1 | Chapter2 | Chapter3 | Chapter4 | Chapter5 | Chapter6 | AppendixA | AppendixB | AppendixC | AppendixD | ALL |
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