The Cash Management functions of the Treasury have been developed to speed the flow of funds into the Treasury. These funds are used to pay for state government services to the public. Funds awaiting disbursement are invested. Cash management techniques used includes maintenance of a statewide cash concentration system for deposits and a consolidated revolving account.
The cash concentration system allows state agencies to deposit funds directly to the Treasury bank account at hundreds of bank locations.
The consolidated revolving account allows state agencies to receive interest on account balances and operate small disbursement accounts with no service charges.
The Chief Financial Officer's Concentration Account is the statewide system of accounts, established and administered by the Chief Financial Officer for receiving moneys collected by state agencies.
The Receipts Section of the Bureau of Funds Management, Division of Treasury, is responsible for the verification of deposits into the Treasury for all departments, agencies, and commissions in the State of Florida. The receipts section works closely with the cash management section in accounting for money coming into the Treasury. It is essential to promptly credit the correct account in the Florida Accounting Information Reporting (FLAIR) system in order to make funds available for disbursement. This process is initiated by the individual state agencies that deposit funds or expect to receive funds through Electronic Funds Transfer (EFT). The agency enters the transaction into FLAIR pending verification of receipt by the Chief Financial Officer.
The Receipts Section also must charge back, to the appropriate agency, all checks and EFT transactions that have been returned unpaid. These returned items are listed on a debit memorandum, which reduces the balance in the FLAIR account that has previously been credited. State agencies can access their returned items via the Cash Management System (CMS) website.
The basis for identifying incoming ACH payments is the use of information received with the payments in the standard NACHA formats. The key component of the identification system will be information in the payment detail record (CCS, CTX, or PPD) field number 7, IDENTIFICATION NUMBER. Data in this field is currently received and identifiable for many payments, including credit card settlements, and some federal ID numbers and PIN numbers. Field number 7 data for these payments is converted by the Treasury to the agency's Operating Level Organization (OLO) and site number for the particular type of payment.
ACH Enrollment forms can be obtained by logging into the Cash Management System.
Forms and Documents
Clearing Account Administration
A clearing account is a demand deposit account outside the state Treasury and controlled by a state agency as a means of forwarding funds to the state Treasury, refunding, or transmitting funds to the Department of Revenue.
Establishing Clearing Accounts
Any agency, board, bureau, commission, institution, or department desiring to establish a clearing account must forward a letter to the state Treasury requesting approval thereof and a completed Request New Clearing Account form.
Reestablishing Clearing Accounts
The state Treasury will review all clearing accounts each biennium and determine if the volume and complexity justify continuing the account. On or after July 1, of each odd-numbered year, the Chief Financial Officer will notify each agency, board, bureau, commission, institution or department which clearing accounts are not approved for continuation.
Moneys in clearing accounts that are to be forwarded to the state Treasury must be forwarded using the general schedule contained within Rule 69C-1.005, F.A.C. unless another schedule is approved by the Chief Financial Officer.
All organizations having clearing accounts shall report the balances in each account at the end of each calendar quarter to the state Treasury on or before the twentieth (20th) day of the following month. (This information should be provided on-line at this site). A copy of account analysis information required by Rule 69C-1.005, F.A.C. should be forwarded to the state Treasury at the same time.
Quarterly balances in revolving funds outside the statewide consolidated revolving account are to be reported to the Treasury under the same guidelines as clearing accounts.
The Consolidated Revolving Account system consists of a single bank account at a financial institution with the capability to track activity of multiple statewide participants through the use of "sub-accounts". The consolidated revolving account concept allows state agencies to establish signatory authority, write checks, and fund disbursement activity on their individualized sub-account.
A sub-account numbering system allows the Treasury to operate an internal system to sort and post transactions and prepare monthly statements. Balances in the sub-accounts are automatically invested in the Treasury Investment Pool. This program allows state agencies to avoid bank service charges and earn interest on their balances.
Forms for consolidated revolving account
The Chief Financial Officer's role in approval for procurement of banking services is described in Rule 69C-9, Florida Administrative Code. This rule specifically establishes procedures to be followed for the development of specifications for bids and requests for proposals including methods of evaluation, evaluation criteria and standard contract terms related to banking contracts.