[Federal Register Volume 60, Number 2 (Wednesday, January 4, 1995)]
[Proposed Rules]
[Pages 416-417]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-53]



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DEPARTMENT OF THE TREASURY
Fiscal Service

31 CFR Part 209

RIN 1510-AA30


Payment to Financial Institutions for Credit to Accounts of 
Employees and Beneficiaries

AGENCY: Financial Management Service, Fiscal Service, Treasury.

ACTION: Proposed rule.

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SUMMARY: This document proposes to remove part 209 from title 31. This 
part governs the regular remittance to financial institutions of 
Federal payments which are for credit to the accounts of employees and 
beneficiaries. Regulations implemented July 1, 1994, require that 
financial institutions receive Government ACH transactions through 
electronic means. This regulatory change to 31 CFR part 210 made a 
separate part 209 regarding checks unnecessary. In addition, proposed 
revisions to 31 CFR part 210, Federal Government Participation in the 
Automated Clearing House, make substantive changes that supersede the 
savings allotment provisions of part 209, because savings allotment and 
recurring benefit payments formerly under the terms of part 209 are 
made by the ACH method under the terms of part 210.

DATES: Comments must be received on or before February 3, 1995.

ADDRESSES: Comments may be mailed to the Cash Management Policy and 
Planning Division, Financial Management Service, U.S. Department of the 
Treasury, Room 420, Liberty Center, 401 14th Street, SW., Washington, 
DC 20227.

FOR FURTHER INFORMATION CONTACT: John Galligan (202) 874-6657 
(Director, Cash Management Policy and Planning Division).

SUPPLEMENTARY INFORMATION:

Background

    This amendment removes part 209 from title 31 of the Code of 
Federal Regulations. This action renders moot the two recently proposed 
amendments to part 209. On December 4, 1992, the Financial Management 
Service [[Page 417]] published a Notice of Proposed Rulemaking revising 
31 CFR part 209 (57 FR 57400). That notice invited comments for a 30 
day period ending January 4, 1993. No comments were received. A review 
of part 209 conducted independently of the formal notice and comment 
procedure determined that an additional revision to the language of 
part 209, not included in the December 4, 1992, notice, was necessary. 
Thus a Supplemental Proposed Rule was published on August 4, 1993 (58 
FR 41449). That notice invited comments for a 30 day period ending 
September 3, 1993. No comments were received.
    Since then, other actions have occurred which make 31 CFR part 209 
obsolete. First, regulations implemented July 1, 1994, require that 
financial institutions receive Government ACH transactions through 
electronic means. (58 FR 21634). This regulatory change to 31 CFR part 
210 made a separate part 209 regarding checks unnecessary. Second, 
revisions have been proposed for 31 CFR part 210, which define the 
responsibilities and liabilities of the Federal Government, Federal 
Reserve Banks, financial institutions, receivers, and originators doing 
business with the Government through the ACH system (59 FR 50112). The 
3 revisions proposed for part 210 supersede the savings allotment 
provisions of part 209 because savings allotment and recurring benefit 
payments formerly made under the terms of part 209 are made by the ACH 
method under the terms of part 210.

Rulemaking Analysis

    Treasury has determined that this regulation is not a significant 
regulatory action as defined in Executive Order 12866. Accordingly, a 
regulatory assessment is not required. It is hereby certified that this 
revision will not have a significant economic impact on a substantial 
number of small entities. Accordingly, a regulatory flexibility 
analysis is not required. The included changes are expected to result 
in improvements to the ACH process with advantages to institutions and 
recipients.

List of Subjects in 31 CFR Part 209

    Automated Clearing House, Banks, Banking, Electronic funds 
transfer, Federal Reserve Banks, Financial institution, Government 
employees, Wages.

    Accordingly, Part 209 of Title 31 of the Code of Federal 
Regulations is proposed to be removed.

    Dated: October 5, 1994.
Russell D. Morris,
Commissioner.
[FR Doc. 95-53 Filed 1-3-95; 8:45 am]
BILLING CODE 4810-35-P