1. Analyze Spending Chain Procedures (Payment Process)
U.S. ARMY SOLDIER SUPPORT INSTITUTE
NONCOMMISSIONED OFFICER ACADEMY
Show Slide #1: Analyze Spending Chain Procedures
SECTION I. ADMINISTRATIVE DATA
Academic Hours / Methods
2 hrs / 10 min Large group Instruction
/ 40 min Practical Exercise (Hands On)
/ 0 min Test
/ 0 min Test Review
2 hrs / 50 min Total Hours
SECTION II. INTRODUCTION: Today we are Payment Process in GFEBS
Method of Instruction. Conference / Discussion
Instructor to Student Ratio: 1:24
Time of Instruction 2 hrs 50 mins
Media: Large Group Instruction
Motivator: 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 Leaders and Managers have to become the best at financially supporting our Soldiers and being stewards of taxpayer dollars. Knowing this we have embraced Standard Financial Information System (SFIS) and the General Fund Enterprise Business System (GFEBS) in that it provides our Army decision makers with accurate, reliable, timely business and financial information to keep our War Fighters within their fiscal responsibilities.
Student Materials:
DFAS-IN Regulation 37-1, Finance and Accounting Policy Implementation
DFAS-IN Manual , The Army Management Structure
DODFMR R, Vol 10, Department of Defense Financial Management Regulation 1

2. Terminal Learning Objective
Action: Identify the Payment Process in GFEBS
Conditions: Given access to financial management documents and DFAS-IN Regulation 37-1, and DFAS-IN Manual
Standards: Successfully perform the Payment Process in GFEBS with 80% accuracy.
Show Slide #2: Terminal Learning Objective
Facilitator’s Note: COVER the TLO with students
Action: Identify the Payment Process in GFEBS
Conditions: Given access to financial management documents and DFAS-IN Regulation 37-1, and DFAS-IN Manual FY
Standards: Successfully perform the Payment Process in GFEBS with 80% accuracy.
SAFETY REQUIREMENTS: In a training environment, leaders must perform a risk assessment in accordance with FM 5-19, Composite Risk Management. Leaders will complete a DA Form 7566 COMPOSITE 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). Note: During MOPP training, leaders must ensure personnel are monitored for potential heat injury. Local policies and procedures must be followed during times of increased heat category in order to avoid heat related injury. Consider the MOPP work/rest cycles and water replacement guidelines IAW FM , NBC Protection, FM , CBRN Decontamination.
RISK ASSESSMENT LEVEL: Low
ENVIRONMENTAL STATEMENT: 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. You will be given an exam which will include Review Detailed Expenditure Accounting Documents. A passing score on this examination is 80% and for International Students (70%).
INSTRUCTIONAL LEAD IN - Before we can understand how to make disbursements, we must briefly discuss how payment are processed in the system. 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 to Payment Process
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
Good 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
Create Payment Run
Payment Certifier
Review and Certify Payments
Schedule Payment Run
ADS
Show Slide #4: Payment Program Process Flow
Facilitator’s 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.

5. Payment Program Process Flow
Good 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
Create Payment Run
Payment Certifier
Review and Certify Payments
Schedule Payment Run
ADS
Show Slide #5: Payment Program Process Flow
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 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 #6: Payment Proposal
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.

7. Payment Program Process Flow
Legend
GFEBS Operation
Good 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
Create Payment Run
Payment Certifier
Review and Certify Payments
Schedule Payment Run
ADS
Non-GFEBS Operation
Show Slide #7: 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.

8. Payment 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 #8: Payment Certification
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.

9. Check on Learning
What transaction code does the Payment Certifier use to perform the Payment Certification? A.
T/F: The Payment Processor creates separate Payment Run IDs for EFTs and checks?
F110
Show Slide #9: Conduct Check on Learning
Facilitator’s Note:
Answers:
What transaction code does the Payment Certifier use to perform the Payment Certification?
A. F110
Q. T/F: The Payment Processor creates separate Payment Run IDs for EFTs and checks?
A. True
True

10. Summary: Payment Proposal
Show Slide #10: Summary
Facilitator's Note: On the first part of the lesson, we identified the roles, key terms and some concepts of Spending Chain
“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. 11

11. 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 #11: 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 or DDS on the Post-Pay file.
The Payment Certifier can view the final log that pertains to the completed Payment Run.

12. 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 #12: 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.

13. Check on Learning
After all payments are certified, which role is responsible for completing the Payment Run? A.
T/F: Invoices not blocked are further processed during the Payment Proposal?
Which role can view the final log that pertains to the completed Payment Run?
Payment Certifier
False
Show Slide #13: Conduct Check on Learning
Facilitator’s Note: Answers:
After all payments are certified, which role is responsible for completing the Payment Run?
A. Payment Certifier
T/F: Invoices not blocked are further processed during the Payment Proposal?
A. False
Q. Which role can view the final log that pertains to the completed Payment Run?
A. Payment certifier
Payment Certifier

14. 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 #14: 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.

15. 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 #15: 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.

16. Check on Learning
Which role(s) have access to view payment reports within GFEBS? A.
Which transaction code is used to display the Vendor Line Item report?
What is the path to export a report?
Invoice Interface Processing Monitor,
Payment Certifier, Payment Interface Processing
Monitor, Payment Processor
Show Slide #16: Conduct Check on Learning
Facilitator’s Note: Answer:
Q. Which role(s) have access to view payment reports within GFEBS?
Invoice Interface Processing Monitor, Payment Certifier, Payment Interface Processing Monitor, Payment Processor
Q. Which transaction code is used to display the Vendor Line Item report?
FBL1N
Q. What is the path to export a report?
Menu → List → Export → Local File
FBL1N
Menu → List → Export → Local File

17. Summary: Payment Run 17 Show Slide #17: Summary
Facilitator's Note: On the first part of the lesson, we identified the roles, key terms and some concepts of Spending Chain
“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. 17

18. Payment Proposal Show Slide #18: 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.

19. F110 - Automatic Payment Transactions: Status
Simulation
The instructor demonstrates this activity while you follow along
Hands on Exercise
The instructor will lead you step by step through the activity using the training materials provided
Show Slide #19: F110 - Automatic Payment Transactions: Status
Facilitator’s Note: Simulation The instructor demonstrates this activity while you follow along
Hands on Exercise; The instructor will lead you step by step through the activity using the training materials provided

20. Check on Learning What does the Payment Proposal display? A.
The open items whose payments are proposed based
on the payment parameters selected in the Payment
Program.
Show Slide #20: Conduct a Check on Learning
Facilitator’s Note: Answers:
Q. What does the Payment Proposal display?
A. The Payment Proposal displays the open items whose payments are proposed based on the payment parameters selected in the Payment Program.

21. Payment Run Show Slide #21: 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.

22. F110 - Automatic Payment Transactions: Status
Simulation
The instructor demonstrates this activity while you follow along
Hands on Exercise
The instructor will lead you step by step through the activity using the training materials provided
Show Slide #22: F110 - Automatic Payment Transactions: Status
Facilitator’s Note: Start PE
Simulation
The instructor demonstrates this activity while you follow along
Hands on Exercise
The instructor will lead you step by step through the activity using the training materials provided

23. Check on Learning
T/F: The payment Certifier has the option to “Block” individual invoices from payments? A.
True
Show Slide #21: Conduct Check on Learning
Facilitator’s Note:
Answers:
Q. True or False – The payment Certifier has the option to “Block” individual invoices from payments?
A. True

24. Summary: Questions? 17 Show Slide #24: Questions Slide
Facilitator’s Note: Ask students if they have any questions and restate TLO.
Action: Identify the Payment Process in GFEBS
Conditions: Given access to financial management documents and DFAS-IN Regulation 37-1, and DFAS-IN Manual FY
Standards: Successfully perform the Payment Process in GFEBS with 80% accuracy. 17

25. TLO Summary Action: Identify the Payment Process in GFEBS
Given access to financial management documents and DFAS-IN Regulation 37-1, and DFAS-IN Manual
Successfully perform the Payment Process in GFEBS with 80% accuracy.
Conditions:
Standards:
Show Slide #25: Restate TLO
Action: Identify the Payment Process in GFEBS
Conditions: Given access to financial management documents and DFAS-IN Regulation 37-1, and DFAS-IN Manual FY
Standards: Successfully perform the Payment Process in GFEBS with 80% accuracy. 2