UNCASHED OR UNCLAIMED AGENCY CHECKS 8042 (Revised 12/2003) Uncashed checks are those that have been issued by the agency but remain uncashed by the payee. Unclaimed checks are those that have been returned to the agency and for which the payee cannot be located. Agency checks are checks issued from an agency’s account: (1) office revolving fund (ORF), (2) general cash, or (3) trust. ORF and general cash checks have a one-year period of negotiability. Unless specific provisions of law require cancellation in a different period of time, trust fund checks also have a one-year period of negotiability. Agencies will send a Stop Payment Request form, , to the STO for all uncashed checks timed to arrive at least one week prior to the end of the one-year period of negotiability. The STO is able to stop payment of stale dated checks only through the receipt of stop payment requests from agencies. See SAM Section 8045 for specific procedures on processing stop payments. Entries to record the cancellation transactions will be made in the appropriate disbursement register or the Revolving Fund Cash Book. Agencies will issue stop payment notices as required (by the banking institution) for those bank accounts not in the centralized State Treasury System. Upon confirmation from the STO of stop payment request for uncashed checks, agencies will: General cash checks Cancel the checks and remit the amount to an escheat revenue account in the fund from which the checks were drawn. ORF checks Reimbursement to Cancel the checks and credit the amounts the ORF has not back to the ORF. been received Reimbursement to Cancel the checks and remit the amount to the ORF has been an escheat revenue account in the fund that received has established the ORF. Trust fund checks Cancel the checks and credit the amounts back to the depositors’ or special trust accounts unless otherwise provided in the trust agreement or statute under which the trust was established. See SAM Section (Continued) (Continued)
UNCASHED OR UNCLAIMED AGENCY CHECKS 8042 (Revised 12/2003) Uncashed checks are those that have been issued by the agency but remain uncashed by the payee. Unclaimed checks are those that have been returned to the agency and for which the payee cannot be located. Agency checks are checks issued from an agency’s account: (1) office revolving fund (ORF), (2) general cash, or (3) trust. ORF and general cash checks have a one-year period of negotiability. Unless specific provisions of law require cancellation in a different period of time, trust fund checks also have a one-year period of negotiability. Agencies will send a Stop Payment Request form, , to the STO for all uncashed checks timed to arrive at least one week prior to the end of the one-year period of negotiability. The STO is able to stop payment of stale dated checks only through the receipt of stop payment requests from agencies. See SAM Section 8045 for specific procedures on processing stop payments. Entries to record the cancellation transactions will be made in the appropriate disbursement register or the Revolving Fund Cash Book. Agencies will issue stop payment notices as required (by the banking institution) for those bank accounts not in the centralized State Treasury System. Upon confirmation from the STO of stop payment request for uncashed checks, agencies will: General cash checks Cancel the checks and remit the amount to an escheat revenue account in the fund from which the checks were drawn. ORF checks Reimbursement to Cancel the checks and credit the amounts the ORF has not back to the ORF. been received Reimbursement to Cancel the checks and remit the amount to the ORF has been an escheat revenue account in the fund that received has established the ORF. Trust fund checks Cancel the checks and credit the amounts back to the depositors’ or special trust accounts unless otherwise provided in the trust agreement or statute under which the trust was established. See SAM Section (Continued) (Continued)
Chap8000(Notebook).docx