Advance of Funds for Travel
Reference Points: Center/Institute/Office Administrative Offices, Travel
Resource Contacts, Financial Management Office, Accounts Payable Branch
Manual Guide--Travel CDC-6, Advance of Funds for Travel, 4/25/88
CDC Travel Memorandum No. 85-1, Diners Club Government Credit Card Program,
3/15/85, and Amendment No. 1, 7/23/85
CDC Travel Memorandum No. 89-1, Limiting Travel Advances for Effective Cash
Management, 1/30/89
CDC Travel Memorandum No. 91-1, Diners Club Automatic Teller Machine Cash
Advance Program, 1/31/91
Manual Guide CDC-6, 6/1/94
- PURPOSE
- POLICY
- ELIGIBILITY
- CALCULATION OF ALLOWABLE TRAVEL EXPENSE
- CONTRACTOR-ISSUED CREDIT CARD AND AUTOMATIC TELLER MACHINE (ATM)
- TRAVEL VOUCHER
I.PURPOSE
This guide describes conditions under which an advance of funds for travel may be made, the amount of advance allowable, and the procedures for requesting, obtaining, and liquidating an advance.
Additional information may also be found in the HHS Travel Manual Chapter 3-20 and CDC General Memorandum No. 92-2, Use of Cash Imprest Funds.
II.POLICY
Effective July 1, 1994, cash advances from the Agent Cashier and advances issued by U.S. Treasury check will be eliminated.
CDC* employees traveling on official Government business will obtain travel advances using their Government contractor-issued credit card at automatic teller machines (ATM).
The intent of this policy is to manage cash more effectively without imposing a personal financial burden on traveling employees. Use of this policy is encouraged; however, it is not required in the following situations:
- foreign travel
- travel circumstances which preclude the use of ATM or a Government contractor-issued credit card to purchase transportation, lodging, car rental, or other travel expense that normally would be chargeable
- employees who travel less than twice a year and are not considered frequent travelers.
When any or all of the above exceptions exist, the allowable advance is limited to 80 percent of the traveler's minimum estimated expenses.
These exceptions do not apply if an employee has elected not to use the Government contractor-issued credit card or ATM services or for travelers whose cards have been suspended or revoked because of delinquent payments.
III. ELIGIBILITY
A. Travel Advance
Any CDC civil service employee, commissioned officer, consultant, or private person who is authorized to travel on official business is eligible for a travel advance.
To comply with Office of Management and Budget guidelines, the amount of a travel advance will be limited to those estimated expenses that a traveler is expected to incur in connection with authorized travel (including permanent change of official station) which normally would be paid using cash, personal check, or travelers check.
Cash transaction expenses are those travel expenses that as a general rule cannot be charged and must be paid using cash, personal checks, or travelers checks. Civil service employees and commissioned officers normally will be able to use the Government contractor-issued credit card to charge major expenses such as lodging costs and automobile rental expenses.
B. Government Contractor-Issued Credit Card
Under the terms of the General Services Administration (GSA) contract, consultants, private persons, and contractors may not be issued a Government contractor-issued credit card.
Frequent travelers, employees who travel two or more times a year, are eligible and are encouraged to use the Government contractor-issued credit card.
Participants are reminded that the Government contractor-issued credit card and ATM services are to be used solely for expenses incurred for official Government travel. Employees should be aware that all credit card purchases and ATM withdrawals are indicated on various management reports sent to CDC officials.
IV. CALCULATION OF ALLOWABLE TRAVEL ADVANCES
A. Domestic Travel
The amount of an advance for domestic travel is determined by multiplying the authorized meals and incidental expenses (M&IE) allowance by the number of days or partial days the employee is expected to be in travel status, plus other reimbursable miscellaneous expenses, i.e., taxis, tolls, parking, etc. The amount of the authorized advance shall not exceed the estimated expenses for a period of 45 days.
B. Foreign Travel
The amount of an advance for foreign travel is determined by multiplying the estimated total of per diem and miscellaneous expenses by 80 percent, not to exceed the estimated expenses for a period of 45 days.
Employees traveling outside of the United States may elect to use the Government contractor-issued credit card to charge major expenses and/or to obtain cash through an ATM. Travel agents report that ATM machines in Europe often give very favorable currency exchange rates.
C. Travel of Foreign Nationals
Foreign nationals frequently travel to the United States without access to U.S. currency and may be unfamiliar with American financial transactions. Travel advances for these individuals should be calculated as closely as possible to their actual costs so that repayment of any outstanding advance balance can be eliminated.
D. Change of Official Station
An employee may be authorized an advance of funds for use while traveling and for certain expenses, i.e., per diem, mileage, subsistence while occupying temporary quarters, etc., which may be incurred incident to a transfer.
In no event shall the authorized amount exceed the estimated expenses for a period of 45 days.
Change-of-station benefits are based on the "CONUS" per diem rate. Currently that rate is $66 per day ($40 for lodging and $26 for M&IE). Travel advances for change of station are limited to the estimated out-of-pocket expenses that cannot be charged and must be paid using cash, personal check, or travelers check.
All lodging costs are expected to be charged to the Government contractor-issued credit card. Therefore, travel advances for change of official station, including occupancy of temporary quarters, will be limited to the following:
1. Lodging
For employees residing in non-commercial or non-conventional lodging, where use of the credit card is not possible, an advance not exceeding 80 percent of the estimated cost of the first 30-day period may be authorized. Non-commercial or non-conventional accommodations are anticipated to cost less than commercial facilities.
For the second 30-day period of temporary quarters, an advance not exceeding 80 percent of the first 15-day period may be authorized.
2. Meals and Incidental Expenses
An advance of funds may be authorized for M&IE portion of the per diem rate. This advance may be withdrawn (on an as needed basis) using the ATM feature of the Government contractor-issued credit card program.
Requests for these advances should be made no sooner than 15 days prior to the date the expenses are expected to be incurred.
Submission of a travel voucher will liquidate an existing advance and may entitle an employee to an advance for an additional period of temporary quarters, if needed.
V. USE OF GOVERNMENT CONTRACTOR-ISSUED CREDIT CARD AND ATM
GSA established a contract with a financial services company to provide agency employees with travel charge cards to reduce their cash needs by charging many of their travel expenses.
This contract provides employees with the following benefits: (1) no annual fee; (2) portal-to-portal travel accident insurance; (3) world-wide recognition; and (4) an ATM feature.
Use of the Government contractor-issued credit card is intended to reduce overall costs to the Government and reduce the cash needs of travelers. Therefore, all frequent travelers are expected to utilize fully all cost saving features of the credit card.
A fee (currently 2.75 percent) is associated with each ATM withdrawal. This fee is charged to the employee's Government contractor-issued credit card account. The employee is reimbursed on their travel voucher for the actual ATM fee up to the maximum advance authorized on the travel order.
Some financial institutions and networks assess surcharges for use of their ATMs. These fees are charged to all users of ATMs, not just Government contractor-issued credit cardholders. Cardholders are notified at the ATM about the surcharge prior to the completion of the transaction.
The surcharge is in addition to the 2.75 percent Government contractor-issued credit card fee and will be indicated in addition to the amount withdrawn for a given transaction. Employees should include both the surcharge amount and the 2.75 percent fee on their travel vouchers for reimbursement.
A. Credit Card and ATM Applications
Application forms and assistance are available in each C/I/O Administrative Office.
Applicants should review the policies and procedures governing the use of the card to be sure they fully understand the program.
B. Locating the Nearest ATM
Currently employees can obtain cash from ATMs in the United States and worldwide.
Some of the networks where the ATM card may be used are: Instant Teller, Bank South, Exchange/Accel, Trust Company Bank, and Star System.
There is also a toll-free ATM locator that employees may call to locate the nearest ATM anywhere in the continental U.S. Call 1-800-CASH-NOW.
C. Approval for ATM Withdrawals
Government contractor-issued credit card ATM advances are to be obtained for authorized Government travel only. An ATM advance may be authorized on the travel order or post approved on the travel voucher. The Automated Travel System will calculate and specify the maximum amount to be obtained.
D. ATM Transaction Limits
Travelers may obtain ATM advances up to and including the amount authorized by the travel order. Although the Government contractor-issued credit card limits daily withdrawals to $200 with a maximum of $1,000 in any 7-day period, some individual financial institutions which participate in the ATM program impose a further withdrawal limit.
E. Reimbursement for ATM Transaction Fees
When obtaining a travel advance from an ATM, the traveler receives a receipt indicating the date, location of the ATM, and the amount of the transaction. For reimbursement of ATM transaction fees using the travel voucher, the traveler keeps these receipts to calculate the total amount withdrawn and the respective ATM transaction fees. The amount of the transaction fee is currently a straight 2.75 percent of each authorized amount withdrawn. For example, a withdrawal of $100 would have a fee of $2.75 ($100 x .0275 = $2.75). Enter as "ATM fee" under mileage and other on the Automated Travel System.
Do not claim the ADVANCE as a line item expense itself. Instead, claim only the authorized expenses as they were incurred. The only ATM expense that should be referenced on the voucher should be the 2.75 percent transaction fee. Claims for ATM fees are not reimbursable for withdrawals made after the last day of travel or in excess of the amount authorized.
If an ATM advance is obtained and the trip is subsequently cancelled, the employee is still responsible for that amount in addition to any others incurred that month. In addition, for reimbursement of the employee's ATM fee, a voucher is submitted to claim the fee and explain the reason for the trip cancellation.
F. ATM Billing on Government Contractor-Issued Credit Card Statement
ATM cash advances will appear on the employee's monthly Government contractor-issued credit card statement with other travel and expense transactions. The entire card balance, including the cash advance, is due within 25 days from the billing date on the statement. The employee will be solely liable for the payment of both the amount of the withdrawal and the reimbursable transaction fee.
VI. TRAVEL VOUCHER
According to current regulations, employees are to submit their travel vouchers, along with necessary supporting documents and receipts, within 5 workdays after completing their travel. Employees who are in an extended travel status should submit their travel vouchers monthly.
Travel advances received from CDC cashier locations or by U.S. Treasury check will be deducted from travel voucher claims. If the amount of the reimbursement to the employee is inadequate to liquidate the advance, the employee must refund the difference by check or money order. Payment should accompany the travel voucher.
Travel advances received through the ATM WILL NOT BE DEDUCTED from travel voucher claims.
The Automated Travel System provides for expeditious processing of all travel vouchers. Assuming vouchers are filed promptly, employees should normally be reimbursed for allowable travel expenses before the payment of their credit card bills is required.
6/1/94 TRANSMITTAL NOTICE--TRAVEL CDC TN-94.1
MATERIAL TRANSMITTED
Manual Guide--Travel No. CDC-6, Advance of Funds for Travel, 6/1/94
MATERIAL SUPERSEDED
Manual Guide--Travel CDC-6, Advance of Funds for Travel, 4/25/88
CDC Travel Memorandum No. 85-1, Diners Club Government Credit Card Program,
3/15/85, and Amendment No. 1, 7/23/85
CDC Travel Memorandum No. 89-1, Limiting Travel Advances for Effective Cash
Management, 1/30/89
CDC Travel Memorandum No. 91-1, Diners Club Automatic Teller Machine Cash
Advance Program, 1/31/91
BACKGROUND
In accordance with the General Services Administration contract with American Express, the Citicorp Diners Club Government Card was replaced by the American Express Government Card which also provides an Automatic Teller Machine (ATM) Cash Advance Program.
Effective July 1, 1994, cash advances from the Agent Cashier and advances issued by U.S. Treasury check will be eliminated. CDC and ATSDR employees traveling on official Government business will obtain travel advances using their Government contractor-issued credit card at automatic teller machines (ATM).
Use of this policy is encouraged; however, it is not required in the following situations: foreign travel, travel circumstances precluding use, and employees who travel less than twice a year. When any or all of these exceptions exist, the allowable advance is limited to 80 percent of the traveler's minimum estimated expenses.
These exceptions do not apply if an employee has elected not to use the Government contractor-issued credit card or ATM services or for travelers whose cards have been suspended or revoked because of delinquent payments.
Employees are reminded that the service enables us to improve cash management and to minimize the amounts of cash advanced by CDC without imposing a financial burden on traveling employees.
Arthur C. Jackson
Associate Director for
Management and Operations
REFERENCE POINTS:
Center/Institute/Program Offices, Staff Offices, and Staff Services Travel
Resource Contacts
Financial Management Office, Accounts Payable Branch
FILING INSTRUCTIONS: See page 2
DISTRIBUTION: Mailing List No. 1, Code 7
2
FILING INSTRUCTIONS
REPLACE the superseded Guide with the attached Guide. (Note: HHS Travel Manual holders should file it after Chapter 3-20. Others should file it in the three-ring binder for CDC Guides behind the separator sheet entitled
"Travel.")
DISCARD other superseded materials.
POST receipt of this Transmittal Notice on the Checklist of CDC Transmittal Notices--Travel.
CDC:FMO:APB:EFriedman;FRiley:MASO:MPB:BRoark:brr:5/19/94:(404)639-2940
Doc. l:\link\mpb\wp51\issuance:advances.d3
Spelling verified by:brr:5/19/94
* References in this guide to Center, Institute, and Office also apply to Staff Offices and Staff Services and to CDC also apply to ATSDR.