1. Analyze Spending Chain Procedures (Payment Process)
U.S. ARMY SOLDIER SUPPORT INSTITUTE
NONCOMMISSIONED OFFICER ACADEMY
Show Slide #1: Analyze Spending Chain Procedures (Payment Process)
Title: Analyze Spending Chain Procedures (Payment Process)
References:
AR1-1 – Planning, Programming, Budgeting, and Execution System
DFAS-IN Regulation 37-1, Finance and Accounting Policy Implementation
DFAS-IN MANUAL FY, The Army Management Structure
GFEBS Performance Support Website (PSW)
Section I. Administrative Data
Academic Hours/Methods
2.0 hrs. / 10 min. DSL (small or large group discussion)
01 hrs. / 10 min. PE (Practical Exercise)
00 hrs. / 00 min. Test
00 hrs. / 00 min. Test Review
03 hrs. / 20 min. Total Hours
Section II. Introduction:
Method of Instruction: DSL - Discussion (large or small group)
Facilitator's to Learner Ratio: 1:16
Time of Instruction: 00 hrs. / 10 min.
Media: PowerPoint Presentation
Facilitator Material: Each primary facilitator should possess a lesson plan, evaluation sheet, scenario event list for exercises, and summary sheet containing the above noted references.
Learners Material: Learners should possess course handouts, access to all systems for exercises, summary sheet containing the above noted references portable laptop, and standard classroom supplies.
Note: "All required references and technical manuals will be provided by the local Command“
Motivator (Concrete Experience): In today’s Army, we define ourselves as being the best trained, equipped and the best led Army that the United States has ever known. So to keep this image, we, as Financial Managers, have to become the best at financially supporting our Soldiers and being stewards of taxpayer dollars. Knowing this, we have embraced our contractual responsibilities with our vendors and contractors in assuring the utmost accuracy in our Purchase Requisitions, Purchase Orders, Invoices and Goods Receipt transactions. 1

2. Terminal Learning Objective
Action: Analyze spending chain procedures for miscellaneous pay subject to Non-Prompt Payment Act.
Conditions: FM Leaders in a classroom environment working individually and as a member of a small group, using doctrinal and administrative publications, self-study exercises, personal experiences, practical exercises, handouts, and discussion.
Standard: With at least 80% accuracy learners must demonstrate proficiency with:
Identify payment program process flow
Create a payment proposal
Certify a payment proposal
Show Slide #2: Terminal Learning Objective
Facilitator’s Note: Read/State the TLO
Action: Analyze spending chain procedures for miscellaneous pay subject to Non-Prompt Payment Act.
Conditions: FM Leaders in a classroom environment working individually and as a member of a small group, using doctrinal and administrative publications, self-study exercises, personal experiences, practical exercises, handouts, and discussion.
Standard: With at least 80% accuracy learners must demonstrate proficiency with:
- Identify payment program process flow
- Create a payment proposal
- Certify a payment proposal
Safety Requirement: In a training environment, leaders must perform a risk assessment in accordance with DA PAM , Risk Management. Leaders will complete a DD Form 2977 RISK MANAGEMENT WORKSHEET during the planning and completion of each task and sub-task by assessing mission, enemy, terrain and weather, troops and support available-time available and civil considerations, (METT-TC). Local policies and procedures must be followed during times of increased heat category in order to avoid heat related injury. Consider the work/rest cycles and water replacement guidelines IAW TRADOC Regulation
Risk Assessment Level: Low
Environmental Considerations: Environmental protection is not just the law but the right thing to do. It is a continual process and starts with deliberate planning. Always be alert to ways to protect our environment during training and missions. In doing so, you will contribute to the sustainment of our training resources while protecting people and the environment from harmful effects. Refer to FM Environmental Considerations and GTA ENVIRONMENTAL-RELATED RISK ASSESSMENT.
Evaluation: Learners will take the Accounting Support and Cost Management exam. Learners must score 80% or higher.
Instructional Lead-In: Today, it is essential that all Soldiers and designated civilians are able (with proper roles) to log into GFEBS, and research regulations and specific links to accurately input purchase requisitions, purchase orders, invoices, and goods receipt documents. This class will first familiarize you and then prepare you to successfully accomplish these very tasks. 2

3. Introduction
The Payment Processing lesson will cover payment proposals and payment runs as they pertain to the Spending Chain Process.
Show Slide #3: Introduction
Facilitator’s Note: The Payment Processing lesson will cover payment proposals and payment runs as they pertain to the Spending Chain and Reimbursable Processes.

4. Payment Program Process Flow
Legend
Goods Receipt
Payment Interface Processing Monitor
Monitors the interface from Wide Area Workflow (WAWF)
Invoice
Invoice Interface Processing Monitor
Monitors the interface for invoices from Wide Area Workflow (WAWF)
Create Payment Proposal
Payment Processor
F110
Enters payment parameters
Schedules Payment Proposal
Certify Payment Proposal
Payment Certifier
Review and Certify Payments
Schedule Payment Run
ADS
GFEBS Operation
Non-GFEBS Operation
Show Slide #4: Payment Program Process Flow
Learning Step Activity 1: Identify payment program process flow
Method of Instruction: DSL – Discussion (Small or Large Group)
Facilitator to Learner Ratio: 1:16
Time of Instruction: 00 hrs. / 25 mins.
Media: PowerPoint Presentation, Handout, Printed Reference Material, Computer Assisted Instruction
Facilitator’s Note: Facilitator read and facilitate discussion using the slide.
The Payment Processing lesson will cover payment proposals and payment runs as they pertain to the Spending Chain and Reimbursable Processes.
Note: The following diagram highlights the key activities in the payment program process.
Goods Receipt Processor and Invoice Receipt Processor will manually enter receipts and invoices in GFEBS if WAWF is not available.
Payment Interface Processing Monitor – Responsible for monitoring the interface from the Wide Area Work Flow.
Invoice Interface Processing Monitor Responsible for monitoring the interface for invoices from the Wide Area Work Flow
Payment Processor – Responsible for collecting all necessary payment information and preparing all payments to be processed by the Payment Certifier.
Payment Certifier - Responsible for verifying, accepting or rejecting the payment proposal prepared by the Payment Processor, as necessary.
Automated Disbursing System (ADS) – is a system that DFAS uses to process disbursements as part of the Standard Disbursing Initiative (SDI). ADS processes payments for vendors in the Continental United States (CONUS). The Payment Method Supplement (PMS) field on the invoice determines if ADS or DDS must be used to perform the disbursement. If the value in the PMS field is equal to "00" then ADS is used.

5. Payment Program Process Flow (Cont.)
Legend
Goods Receipt
Payment Interface Processing Monitor
Monitors the interface from Wide Area Workflow (WAWF)
Invoice
Invoice Interface Processing Monitor
Monitors the interface for invoices from Wide Area Workflow (WAWF)
Create Payment Proposal
Payment Processor
F110
Enters payment parameters
Schedules Payment Proposal
Certify Payment Proposal
Payment Certifier
Review and Certify Payments
Schedule Payment Run
ADS
GFEBS Operation
Non-GFEBS Operation
Show Slide #5: Payment Program Process Flow (Cont.)
Facilitator’s Note: The following diagram highlights the key activities in creating a payment proposal.
Payment Processor – Responsible for collecting all necessary payment information and preparing all payments to be processed by the Payment Certifier.

6. Payment Program Process Flow (Cont.)
Legend
GFEBS Operation
Goods Receipt
Payment Interface Processing Monitor
Monitors the interface from Wide Area Workflow (WAWF)
Invoice
Invoice Interface Processing Monitor
Monitors the interface for invoices from Wide Area Workflow (WAWF)
Create Payment Proposal
Payment Processor
F110
Enters payment parameters
Schedules Payment Proposal
Certify Payment Proposal
Payment Certifier
Review and Certify Payments
Schedule Payment Run
ADS
Non-GFEBS Operation
Show Slide #6: Payment Program Process Flow
Facilitator’s Note: The following diagram highlights the key activities in the payment run process.
Payment Certifier - Responsible for verifying, accepting or rejecting the payment proposal prepared by the Payment Processor, as necessary.

7. LSA #1 Check on Learning
Q1. What transaction code does the Payment Certifier use to perform the Payment Certification? A1. F110 Q2. T/F: The Payment Processor is responsible for collecting all necessary payment information and preparing all payments to be processed by the Payment Certifier. A2. True
Show Slide #7: Conduct Check on Learning
Facilitator's Note: Read and ask the following check on learning question and facilitate discussion on answers given.
Note: The answer to each question will appear when you hit enter.
Q1. What transaction code does the Payment Certifier use to perform the Payment Certification?
A1. F110
Q2. T/F: The Payment Processor is responsible for collecting all necessary payment information and preparing all payments to be processed by the Payment Certifier.
A2. True

8. LSA #1 Summary Show Slide #8: Summary
Facilitator's Note: On the first part of the lesson, we identified the roles associated with the payment proposal process, key terms and some concepts of spending chain payment proposal process.
“Or”
Facilitator, have each group as a group write down one major main lesson learnt from this LSA, allow a few minutes for them to interact. Once all groups have their one major learnt lesson written, pass it to another group to compare their answer. Facilitate a discussion on each major learnt lesson mentioned by each group. 8

9. Payment Proposal Run transaction F110 to select parameters
Create separate payment files for EFT and check payments
Payment Processor proposal certification options:
Delete Proposal
Display Proposal
Display Proposal Log
Show Slide #9: Payment Proposal
Learning Step Activity 2: Create a payment proposal.
Method of Instruction: DSL – Discussion (Small or Large Group)
Facilitator to Learner Ratio: 1:16
Time of Instruction: 00 hrs. / 30 mins.
Media: PowerPoint Presentation, Handout, Printed Reference Material, Computer Assisted Instruction
Facilitator’s Note: The Payment Processor uses the Payment Program (F110) transaction to select parameters for payment, which then creates the Payment Proposal.
The Payment Proposal distinguishes between the various types of payments to be made. The Payment Proposal displays the open items whose payments are proposed based on the payment parameters selected in the Payment Program. Payment parameters include but are not limited to Payment Due Date, Vendor, and Payment Method (check or EFT). The creation of the Payment Proposal is the first part of a two-part process that involves the same transaction with two different roles. The Payment Processor first sets the different parameters for payment. Once the selection criteria have been set and parameters are saved, he or she will schedule the Payment Proposal. For EFT payments only, the Payment Processor must verify EFT information for vendors. This is discussed in further detail in the “CEFT Validation” lecture in this topic. Later in the process, an authorized official (e.g. Payment Certifier) certifies the Payment Proposal.
Payment Processor proposal certification options: Delete Proposal, Display Proposal, and Display Proposal Log.
The Payment Processor then creates a separate payment file for EFT payments and check payments. The method of a vendor's payment is determined by the information established in the vendor master record.

10. Payment Proposal Show Slide #10: Payment Proposal
Facilitator’s Note: As stated earlier in the lesson, the Payment Processor is responsible for collecting all necessary payment information and preparing all payments to be processed by the Payment Certifier. The Payment Processor uses the Payment Program (F110) transaction to select parameters for payment, which then creates the Payment Proposal.

11. Hands on Exercise
Pay Proposal and Pay Run Exercise Scenario 1-2 Hand Out Scenario 1 F110 - Automatic Payment Transactions: Status
Show Slide #11: Hands on Exercise
Hands on Exercise: The Facilitator will lead you step by step through the activity using the training materials provided
Facilitator’s Notes: Follow instructions below.
Apply (25 Min.)
Ensure Learners have access to PE Pay Proposal and Pay Run Exercise Scenario 1-2 Hand Out and all related material to complete the exercise.
3. Review at the end of the exercise.
F110 - Automatic Payment Transactions: Status / Pay Proposal and Pay Run Exercise Scenario 1-2 Hand Out:
Scenario 1

12. LSA #2 Check on Learning Q1. What does the Payment Proposal display?
A1. The Payment Proposal displays the open items whose payments are proposed based on the payment parameters selected in the Payment Program.
Q2. T/F: The Payment Processor creates separate Payment Run IDs for EFTs and checks?
A2. True
Show Slide #12: LSA #2 Check on Learning
Facilitator's Note: Read and ask the following check on learning question and facilitate discussion on answers given.
Note: The answer to each question will appear when you hit enter.
Q1. What does the Payment Proposal display?
A1. The Payment Proposal displays the open items whose payments are proposed based on the payment parameters selected in the Payment Program.
Q2. True or False – The payment Certifier has the option to “Block” individual invoices from payments.
A2. True

13. LSA #2 Summary Show Slide #13: LSA #2 Summary
Facilitator Note: During this lesson, we discussed how to create a payment proposal and the various roles associated with the Payment Processor.
“Or”
Facilitators at this time, have one learner from each group to explain the most important take away to them from this lesson. 13

14. Payment Proposal Certification
Payment Certifier Validation Process:
Verify Proposal
Separate Payment Run IDs are created for EFTs and checks
Accept
Process unblocked Invoices
Reject
Block invoices for payment
Show Slide #14: Payment Certification
Learning Step Activity 3: Certify a payment proposal
Method of Instruction: DSL – Discussion (Small or Large Group)
Facilitator to Learner Ratio: 1:16
Time of Instruction: 00 hrs. / 25 mins.
Media: PowerPoint Presentation, Handout, Printed Reference Material, Computer Assisted Instruction
Facilitator’s Note: Payment Certification and Payment Run are the last part(s) of this two part process that falls under the Payment Certifier’s responsibility.
Once the Payment Proposal is created, it’s subject to certification.
The Payment Certifier performs the certification process directly in the Payment Program via the F110 transaction code by selecting the Payment Run ID (a combination of the Payment Run date and payment identifier) and reviewing the data created in the Payment Proposal.
Payment Certifier verify the Proposal, they ensure separate Payment Run IDs are created for EFTs and checks. He/she accepts and process unblocked Invoices, and rejects blocked invoices from payment.

15. Payment Run Payment Certifier Payment Run Process: Certify Payment
Complete Payment Run
Record Disbursements in Transit (DIT)
Manually upload Ready-to-Pay file into DS
Liquidate DIT upon receipt of payment confirmation from ADS or DDS on the Post-Pay file
View Final Log
Show Slide #15: Payment Run
Facilitator’s Note: After all payments have been certified, the Payment Certifier completes the Payment Run, which creates the payment transaction file (Ready-to-Pay file).
Disbursements In Transit (DITs) are recorded in GFEBS when the Payment Proposal is certified and the Ready-to-Pay file is sent to Disbursing System.
The DIT is liquidated upon receipt of payment confirmation from ADS (Automated Disbursing System) or DDS on the Post-Pay file.
The Payment Certifier can view the final log that pertains to the completed Payment Run.

16. Payment Run (Cont.) Un-cashed Checks/EFT Rejections:
Monitor payments between GFEBS, ADS, ITS, and DCAS
EFT rejection notifications received
Payment Certifier notifies Invoice Processor
Invoice Processor clears the unmatched collections
Show Slide #16: Payment Run (cont.)
Facilitator’s Note: The Payment Certifier monitors the payments between GFEBS, ADS, ITS, and DCAS. He or she is notified of EFT rejections by monitoring unmatched collections (received from ADS) related to EFT rejects.
The Payment Certifier will notify the Invoice Processor who clears the unmatched collections using the Reset Cleared Items (FBRA) transaction code to reverse the payment postings within GFEBS.
When notified by ADS of a payment cancellation (i.e. a check cancellation or EFT rejection), the Invoice Processor resets the cleared items to reverse the payment postings within GFEBS.
In addition to reversing payment documents created earlier, this transaction (FBRA) reopens the invoice so that a payment with corrected remittance information can be made.
NOTE: FBRA does not automatically block the invoice. Therefore, if the remittance information has not been corrected, another undeliverable payment transaction may result.

17. Payment Run (Cont.) Show Slide #17: Payment Run
Facilitator’s Note: As stated in the previous lesson, the Payment Certification and Payment Run are the last part(s) of this two part process that falls under the Payment Certifier’s responsibility.
Once the Payment Proposal is created, it’s subject to certification.
The Payment Certifier performs the certification process directly in the Payment Program via the F110 transaction code by selecting the Payment Run ID (a combination of the Payment Run date and payment identifier) and reviewing the data created in the Payment Proposal.

18. Hands on Exercise
Pay Proposal and Pay Run Exercise Scenario 1-2 Hand Out Scenario 2 F110 - Automatic Payment Transactions: Status
Show Slide #18: Hands on Exercise
Hands on Exercise: The Facilitator will lead you step by step through the activity using the training materials provided
Facilitator’s Notes: Follow instructions below.
Apply (25 Min.)
Ensure Learners have access to PE Pay Proposal and Pay Run Exercise Scenario 1-2 Hand Out and all related material to complete the exercise.
3. Review at the end of the exercise.
F110 - Automatic Payment Transactions: Status / Pay Proposal and Pay Run Exercise Scenario 1-2 Hand Out:
Scenario 1

19. Payment Reports Payment Report Roles: Payment Processor
Payment Certifier
Payment Interface Processing Monitor
Payment Report:
Vendor Line Item Display (FBL1N):
Displays the account of a particular vendor(s)
Show Slide #19: Payment Reports
Facilitator’s Note: The Payment Certifier monitors the payments between GFEBS, ADS, ITS, and DCAS. He or she is notified of EFT rejections by monitoring unmatched collections (received from ADS) related to EFT rejects.
The Payment Certifier will notify the Invoice Processor who clears the unmatched collections using the Reset Cleared Items (FBRA) transaction code to reverse the payment postings within GFEBS.
When notified by ADS of a payment cancellation (i.e. a check cancellation or EFT rejection), the Invoice Processor resets the cleared items to reverse the payment postings within GFEBS.
In addition to reversing payment documents created earlier, this transaction (FBRA) reopens the invoice so that a payment with corrected remittance information can be made.
Facilitator’s Note: FBRA does not automatically block the invoice. Therefore, if the remittance information has not been corrected, another undeliverable payment transaction may result.
Facilitator’s Note: Payment reports will be covered in more detail during the Comprehensive Reporting block of instructions.

20. Payment Reports (Cont.)
Export Report to Local File
The Payment Processor, Payment Certifier and/or the Payment Interface Processing Monitor can export a report to a local file (spreadsheet or in HTML format)
Once the report is displayed, go to Menu  List  Export  Local File, select the appropriate format and save the file.
Show Slide #20: Payment Reports (cont.)
Facilitator’s Note: If there’s a need to save a report to your computer for later use, the Payment Processor, Payment Certifier, and/or the Payment Interface Processing Monitor can export a report to a local file, such as in a spreadsheet or in an HTML format. The preferred method is to use the HTML format for best results. Once the report is displayed go to Menu  List  Export  Local File, select the appropriate format of choice, and save the file on your computer where desired.

21. LSA #3 Check on Learning
Q1. After all payments are certified, which role is responsible for completing the Payment Run?
A1. Payment Certifier
Q2. T/F: Invoices not blocked are further processed during the Payment Proposal.
A2. False
Q3. Which role(s) have access to view payment reports within GFEBS?
A3. Invoice Interface Processing Monitor, Payment Certifier, Payment Interface Processing Monitor, Payment Processor
Q4. Which transaction code is used to display the Vendor Line Item report?
A4. FBL1N
Show Slide #21: LSA #3 Check on Learning
Facilitator's Note: Read and ask the following check on learning question and facilitate discussion on answers given.
Note: The answer to each question will appear when you hit enter.
Q1. After all payments are certified, which role is responsible for completing the Payment Run?
A1. Payment Certifier
Q2. T/F: Invoices not blocked are further processed during the Payment Proposal.
A2. False
Q3. Which role(s) have access to view payment reports within GFEBS?
A3. Invoice Interface Processing Monitor, Payment Certifier, Payment Interface Processing Monitor, Payment Processor
Q4. Which transaction code is used to display the Vendor Line Item report?
A4. FBL1N

22. LSA #3 Summary Show Slide #22: LSA #3 Summary
Facilitator's Note: During this part of the lesson, we identified the roles, key terms and some concepts of spending chain to include certifying a payment proposal and reviewing payment reports.
“Or”
Facilitator, have each group as a group write down one major main lesson learnt from this LSA, allow a few minutes for them to interact. Once all groups have their one major learnt lesson written, pass it to another group to compare their answer. Facilitate a discussion on each major learnt lesson mentioned by each group. 22

23. TLO Summary
Action: Analyze spending chain procedures for miscellaneous pay subject to Non-Prompt Payment Act.
Conditions: FM Leaders in a classroom environment working individually and as a member of a small group, using doctrinal and administrative publications, self-study exercises, personal experiences, practical exercises, handouts, and discussion.
Standard: With at least 80% accuracy learners must demonstrate proficiency with:
Identify payment program process flow
Create a payment proposal
Certify a payment proposal
Show Slide #23: TLO Summary
Facilitator’s Note: Reiterate Terminal Learning Objective
Action: Analyze spending chain procedures for miscellaneous pay subject to Non-Prompt Payment Act.
Conditions: FM Leaders in a classroom environment working individually and as a member of a small group, using doctrinal and administrative publications, self-study exercises, personal experiences, practical exercises, handouts, and discussion.
Standard: With at least 80% accuracy learners must demonstrate proficiency with:
- Identify payment program process flow
- Create a payment proposal
- Certify a payment proposal
Facilitator’s Notes: During this lesson, we identified the payment program process flow, along with creating and certifying a payment proposal.
“Or”
Facilitators at this time, have one learner from each group to explain the most important take away to them from this lesson. 23