[Federal Register Volume 65, Number 3 (Wednesday, January 5, 2000)]
[Notices]
[Pages 557-558]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-43]
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DEPARTMENT OF THE TREASURY
Fiscal Service
Fee Schedule for the Transfer of U.S. Treasury Book-Entry
Securities Held on the National Book-Entry System
AGENCY: Bureau of the Public Debt, Fiscal Service, Department of the
Treasury.
ACTION: Notice.
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SUMMARY: The Department of the Treasury is announcing a new fee
schedule for the transfer of book-entry securities maintained on the
National Book-Entry System (NBES). This new fee schedule will commence
on April 1, 2000. The new basic fee for a Treasury book-entry security
transfer, will result in a 13% savings for our NBES customers. Based on
current projected volumes, this should amount to a savings of about
$1.7 million annually. Concurrent with Treasury's fee reduction, the
Federal Reserve will be reducing the fee for the movement of funds
resulting from a securities transfer. The combined savings will be 18%,
and should amount to about $2.6 million annually.
In addition to the basic fee, off-line transfers have a surcharge.
The surcharge for an off-line Treasury book-entry transfer will be
increasing 38%.
EFFECTIVE DATE: The new fees will go into effect April 1, 2000.
FOR FURTHER INFORMATION CONTACT:
Edward C. Leithead, Director, Primary & Secondary Market Fixed Income
Securities (Financing), Bureau of the Public Debt, Suite 3014, 26
Federal Plaza, New York, NY 10278, telephone (212) 264-6358.
Diane M. Polowczuk, Government Securities Specialist (Financing),
Bureau of the Public Debt, Room 510, 999 E Street NW, Washington, DC
20239-0001, telephone (202) 691-3550.
SUPPLEMENTARY INFORMATION: On October 1, 1985, the Department of the
Treasury established a fee structure for the transfer of Treasury book-
entry securities maintained on NBES.
Based on the latest review of book-entry costs and volumes,
Treasury will decrease the basic fee and increase the off-line
surcharge from the levels currently in effect. Beginning April 1, 2000,
the basic fee will be $.65 for each securities transfer and reversal
sent and received, a 13% fee reduction per transfer. The current off-
line surcharge of $13.00 will increase to $18.00, which is a 38%
increase.
The basic transfer fee assessed to both senders and receivers
reflects the decreased costs to process a transfer. The increased off-
line surcharge reflects the additional costs associated with the
processing of off-line security transfers.
The Treasury does not charge a fee for account maintenance, the
stripping and reconstituting of Treasury securities, or the wires
associated with original issues, or interest and redemption payments.
The Treasury currently absorbs these costs and will continue to do so.
The fees described in this notice apply only to the transfer of
Treasury book-entry securities held on NBES. The Federal Reserve System
assesses a fee to recover the costs associated with the processing of
the funds component of Treasury book-entry transfer messages, as well
as the costs of providing book-entry services for Government agencies
on NBES. Information concerning book-entry transfers of government
agency securities, which are priced by the Federal Reserve System, is
set out in a separate Federal Register notice published by the Board of
Governors of the Federal Reserve System in this issue of the Federal
Register (Docket No. 1054).
The following is the Treasury fee schedule that will be effective
April 1, 2000, for the book-entry transfers on NBES:
[[Page 558]]
Treasury-NBES Fee Schedule 1
Effective April 1, 2000 [In Dollars]
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Funds 2
Transfer type Basic fee Off-line movement Total fee
surcharge fee
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On-line transfer originated..................................... .65 .00 .05 .70
On-line transfer received....................................... .65 .00 .05 .70
On-line reversal transfer originated............................ .65 .00 .05 .70
On-line reversal transfer received.............................. .65 .00 .05 .70
Off-line transfer originated.................................... .65 18.00 .05 18.70
Off-line transfer received...................................... .65 18.00 .05 18.70
Off-line account switch received................................ .65 .00 .05 .70
Off-line reversal transfer originated........................... .65 18.00 .05 18.70
Off-line reversal transfer received............................. .65 18.00 .05 18.70
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\1\ The Treasury does not charge a fee for account maintenance, the stripping and reconstituting of Treasury
securities, or the wires associated with original issues, or interest and redemption payments. The Treasury
currently absorbs these costs and will continue to do so.
\2\ The funds movement fee is not a Treasury fee, but is charged by the Federal Reserve for the cost of moving
funds associated with the transfer of a Treasury book-entry security.
Authority: 31 CFR 357.45.
Dated: December 17, 1999.
Donald V. HAMMOND,
Fiscal Assistant Secretary.
[FR Doc. 00-43 Filed 1-4-00; 8:45 am]
BILLING CODE 4810-35-P