|
Invoice Package
Links on
this page reference Portable Document Format (PDF) or MS
Word files. Adobe Acrobat, a reader
available for free on the Internet, is required to display or print PDF files. For assistance
with either format please visit
Word help
or
PDF help.
5.1 Invoice Package
This chapter covers the procedures for
completing an Invoice Package and submitting it to the FDIC.
The expert or LSS provider must complete a
separate Invoice Package for each assigned matter. The FDIC assigns
each matter a different matter number. Therefore, each matter should
have its own invoice.
The Invoice Package consists of the following:
• Expert Invoice for Fees and Expenses
(EIF&E - Word)
Form or the Legal Support Services (LSS) Provider Invoice for Fees
and Expenses (IF&E - Word) Form;
• Invoices generated from the firm/business’
accounts receivable system;
• Necessary receipts; and
• Travel vouchers and/or
other supporting documentation.
As discussed in Chapter 3, there must be an
approved budget from the FDIC before the expert or LSS provider can
be paid. An approved budget gives the “all clear” to submit an
Invoice Package for payment of services.
5.2
Invoice Package Submission
Invoice Packages should be submitted on a monthly basis, unless the
amount (fees and expenses) to be invoiced is less than $500. If the
amount (fees and expenses) is less than $500, the Invoice Package
should be submitted on a quarterly basis, unless doing so would
cause undue hardship to the firm/business.
When
Invoice Packages for fees and expenses should be submitted within 30
days of the last day of the billing period, except as noted above.
The Legal Division recognizes that
firms/businesses may experience delays in receiving supporting
documentation for expenses included in the Invoice Package to the
FDIC. Therefore, invoice packages should be submitted for such
expenses within 60 days of the last date in the billing period.
At the conclusion or termination of the matter,
submit final Invoice Package for fees and expenses within 90 days of
the matter’s conclusion or termination (refer to
Chapter 6 and Chapter 7).
|
Note: Do not
bill the FDIC more than once per month. Do not bill for
overlapping service periods (e.g. May through May 31 and
then May 15 through June 15).
Failure to submit invoices in a timely manner
as set forth above may significantly delay the FDIC's invoice
processing and payment.
ABSENT EXTRAORDINARY CIRCUMSTANCES,
THE FDIC WILL NOT PAY INVOICES SUBMITTED OVER ONE YEAR FROM
THE DATE THAT SERVICES ARE RENDERED.
|
Where
The distribution and mailing instructions are
unique to the Legal Division office or section supervising the
matter. Experts or LSS providers should refer to the agreement for
services. The expert or LSS provider may also contact the Oversight
Attorney for instructions.
5.3 Billable Fees and Expenses
The FDIC may be billed reasonable charges for fees
and expenses in accordance with the following guidelines.
The FDIC may be billed reasonable fees at approved
rates as stated on Schedule A of the agreement for services or other
billing arrangements approved by the FDIC in writing for:
• Legal support services on matters as approved;
and
• Unless a lesser rate of reimbursement is set
forth in the agreement, travel time (when no substantive FDIC work
is performed) should be billed at 50% of approved rate on Schedule A
of the agreement for services.
| Note: The
FDIC does not pay for First Class airfares or luxury hotel
accommodations. The FDIC will pay only for air travel at
coach rates, and accommodations at the lower of the
government or corporate discount rates. Travel-related
expenses must be at the lower of the government or corporate
discount rates. Travel-related expenses must be incurred in
a prudent manner and in accordance with the guidelines set
forth in the Deskbook. |
Compensation cannot be based upon a contingent fee
arrangement unless specifically approved in writing. Absent express
Legal Division permission, experts and other professional service
providers may only be compensated for fees and expenses in
accordance with the requirements of this Deskbook.
Expenses
The FDIC may be billed reasonable charges for the
following expenses. Requirements for submitting copies of receipts
are indicated below. These requirements do not alter the duty to
maintain original receipts and other supporting documentation for
all expenses for audit and review purposes.
• Itemized In-house copy charges (no more than
$.08 per page; no receipt necessary, but indicate the total number
of copies.)
• Itemized fax charges (telephone long distance
charge {line charge} is the only acceptable charge; no receipt
necessary).
• Itemized long distance telephone charges (no
receipt necessary).
• Itemized overnight delivery (receipts
necessary). Itemization should include name of person to whom the
delivery was sent.
• Itemized electronic research (receipts and/or
invoices necessary). Itemization should include person’s name who is
performing the research. In addition, the FDIC Research Bank should
be consulted before any legal research is performed and it should be
noted on the invoice that you have done so.
Please note: Prior approval by the Oversight
Attorney is required for electronic research.
• Itemized extraordinary postage (i.e., bulk or
certified mail; receipts necessary).
• Outside photocopying (receipts and/or invoices
are necessary).
• Publication notices (receipts and/or invoices
are necessary).
• Other case specific (non-overhead) expenses
(receipts and/or invoices are necessary). Written approval should be
documented in the case file.
• Allowable travel expenses (Refer to
Section 5.7
for submission and receipt requirements).
| Note: State and
local taxes on FDIC allowable expenses will be reimbursed. |
5.4 Non-Billable Fees and Expenses
The FDIC must not be billed, and will not pay, for
the following fees and expenses:
Fees
• Services of billable individuals who have not
been included on the FDIC-approved rate schedule attached to the
agreement for services;
• Excessive number of employees performing
services in a matter;
• Invoice preparation, review, or for corrections
to the invoice required by the FDIC oversight attorney or legal
information technician;
• Secretarial or clerical overtime that has not
been approved by the Oversight Attorney;
• Hourly fees for time spent photocopying, sending
facsimiles, filing etc.;
• Local travel and long distance travel in excess
of the 50% rate;
• Excessive intra-office conferences between
employees for the purpose of providing instruction or status;
• Excessive time spent in “file review”;
• Block-billing of activities by merging different
discrete activities within one period of time (refer to Section
5.6);
• Redundant billing for a single task, document, or activity;
• Travel expenses in violation of the GTR, even if travel is
authorized;
• Excessive time spent in “review and revision” of documents that
are prepared by the expert or LSS provider; or
• Billing for expert or LSS provider time for tasks that should
be performed efficiently and effectively at less expense by a
clerical worker or secretary;
Expenses
• Ordinary postage;
• Expenses charged based on oral contracts with subcontractors,
contractors, or other vendors;
• Charges related to word processing;
• In-house photocopying charges at more than $0.08 per copy;
• Clerical time for photocopying, sending facsimiles, filing
etc.;
• Charges for expense items when a seller’s discount was applied
and the discounted percentage or amount was not paid by buyer or
buyer subsequently recovered discount from seller;
• Excessive/unnecessary overnight mail charges;
• Meals, except as provided for under the travel regulations;
• Daily commuting expenses;
• Sales tax (except for lodging) or surcharges imposed by
utilities or phone services;
• Tax on services;
• Local travel expenses unrelated to approved travel;
• Any costs relating to filing fees in United States District
Courts or Courts of Appeal which the FDIC is not required to pay
(pursuant to
12 U.S.C. 1819(b)(4));
• Cell phone roaming charges;
• A service that is customarily included in the normal overhead
or administrative expense of running a firm/business (e.g., rent,
electricity, local telephone charges, HVAC, storage, bill
preparation); or
• Routine budget preparation.
5.5 Over Budget Invoices
If the full payment of the Invoice Package exceeds the total of
the approved budget, notice will be sent by the FDIC. The Invoice
Package cannot be paid until an amended budget is submitted and
approved (refer to Chapter 3).
| Note: The Invoice
Package will be returned with a notice that an approved
amended budget is required before the Invoice Package can be
properly resubmitted for payment. |
5.6 Expert's and
LSS Provider's Invoice Format
Invoice format requirements are discussed below.
Use the following format when totaling the hours and charges for
all services:
Fees
| Date of Service
| Name/Initials of Individual |
Service/Activity Description
| Approved Hourly
Rate
| Time
Charged
| Amount
(Rate x Time)
|
8/11/05 |
JFB |
Prepare for and provide testimony at trial. |
$120.00 |
5 hrs |
$600.00 |
|
Use the following format for recapitulation of the total services
billed on the statement:
Service
By
| Title |
Hours
| Hourly
Rate
| Total
John Brown
Jane Green
Brian White |
|
10
20
9.5 |
$150.00
110.00
45.00 |
$1,500.00
$2,200.00
$ 427.50 |
|
Block Billing of Services
Time billed for each activity should be identified separately. Do
not combine different types of activities in one entry on the
invoice. “Block billing” of fees is not acceptable, even if the same
individual performed the activities, except for multiple, related
activities for which only a small amount of time (no more than 30 minutes) is expended, as in the following example:
| Date of Service
| Name/Initials of Individual |
Service/Activity Description
| Approved Hourly
Rate
| Time
Charged
| Amount
(Rate x Time)
|
8/18/05 |
RJG |
Telephone conference with J. Brown regarding filing brief (.2
hrs); Review jury list (.1 hrs.); Telephone conference with J.
Brown regarding jury list (.2 hrs). |
$120.00 |
.05 hrs |
$60.00 |
|
Description of Fees
The description of service or activity should be brief and
informative.
|
Not Acceptable
|
Acceptable |
|
“Research” |
“Research on loan loss values.”
|
|
“Telephone calls”
|
“Telephone calls to J. James and M. Smith re: motion to dismiss.”
|
Time Increments
Billing in increments of less than 0.1 billing hour (6
minutes) is unacceptable.
Expenses
Use the following format for expenses:
• Copy charges (unit cost multiplied by unit amount).
• Fax charges (date, phone number, and amount); telephone long
distance charge (line charge) is the only acceptable charge.
• Long distance telephone charges (date, phone number, and
amount).
• Overnight delivery (date and amount, name to whom delivery was
sent).
• Electronic research (subject, date, and amount, name of person
performing research.
• Extraordinary postage (i.e., bulk or certified mail) (date and
amount).
Claims for travel-related expenses must be made using the Travel Voucher (refer to Section 5.7) and should be in accordance with the FDIC’s General Travel
Regulations.
Example of Itemized Expenses
|
Expense
|
Amount |
|
Photocopy |
(46@ .08 pp) |
$.3.68 |
|
Fax |
02/28/05 (617-261-9192) |
3.26 |
|
Telephone |
02/15/05 (617-262-8119) |
6.78 |
|
Overnight Delivery |
02/19/05 |
15.00 |
|
overnight delivery |
02/19/05 |
6.75 |
Extraordinary Postage -
Certified |
02/19/05 |
2.75 |
J. Smith
-- Expert Witness |
02/19/05 - 02/25/05 |
10,500.00 |
|
Acme Reporting |
empty cell |
425.00 |
|
Panic Copying |
empty cell |
230.00 |
Travel for J. Cox
Washington, DC to Boston, MA |
02/5 - 06/05
Settlement Conference |
780.00 |
5.7 Travel Reimbursement Guidelines
The following guidelines are provided to assist in compliance
with requirements to limit expense reimbursement to those costs that
do not exceed FDIC travel reimbursement regulations.
Eligibility for Reimbursement
To be entitled for travel reimbursement, the expert or LSS
provider must be on a temporary assignment that is at least 50 miles
in distance from either the expert’s or LSS provider’s office or
residence. If a temporary assignment concludes during the workday
and is located within 100 miles of the office or residence, it is
expected that the expert or LSS provider return to the residence,
rather than remain at the temporary location overnight.
Travel Authorization
All travel on behalf of the FDIC must be necessary and approved
by the Oversight Attorney.
Air travel
Air travel should be in coach class only, unless the expert or
LSS provider bears the cost of the difference between coach and
business or first class. Travel should be planned as far in advance
as possible to take advantage of discounted fares, especially if
reasonable certainty exists that the event will take place. If a
restricted fare is booked and a change is required, a reasonable
exchange fee may be claimed. Special approval is required for
international air travel.
Rental Cars
Generally, no car larger than a mid-size should be rented, unless
there are three or more passengers or a larger vehicle is necessary
to transport equipment, files, etc. Deviations from standard policy
should be documented. Original receipts must support claims for
rental car gasoline. The FDIC will not reimburse for Personal
Accident Insurance (PAI) or Personal Effects Coverage (PEC). The
cost of Collision Damage Waiver (CDW) coverage is allowed if the
expert or LSS provider does not have insurance coverage for
collision damage.
Lodging
The expert or LSS provider should make use of government rates
whenever possible. Any hotel expenses considered excessive or
unreasonable will not be reimbursed.
Subsistence
On overnight travel status you may only be reimbursed on a per diem
basis. The current FDIC prorated per diem rates allowable are
listed below. The current FDIC per diem rates allowable are
listed in Section 16.0 of the
Contractor Travel Reimbursement Guidelines - Word. Specific per diem
rates for different localities may be found on the
General Services Administration (GSA) web site. Where the
information contained on the GSA web site and
FDIC
Guidelines differs, the GSA web site controls. When you are on
per diem, incidental expenses such as laundry and cleaning are
considered to be covered by the per diem.
Per Diem for Overnight Travel (SAMPLE)
|
Departing
If you leave your office/residence between:
|
Prorated Per Diem Rates
|
|
12 Midnight to 5:59 AM |
100% |
|
6:00 AM to 11.59 AM |
75%
|
|
12 Noon to 5:59 PM |
50% |
|
6:00 PM to 11:59 PM |
25%
|
|
Returning
If you leave your office/residence between:
|
Prorated Per Diem
Rates
|
|
12 Midnight to 5:59 AM |
25% |
|
6:00 AM to 11.59 AM |
50% |
|
12 Noon to 5:59 PM |
75% |
|
6:00 PM to 11:59 PM |
100%
|
If you depart from and/or directly to your residence, per diem is
allowed from the time of departure from your residence until the
time of return to your residence. If departure is from and/or return
is to your office, per diem is allowed from the time of departure
from your official station until the time of return to your official
station. Traveler must provide start and return times with their
supporting travel documentation to demonstrate the number of
quarters of the per diem allowance they are entitled to receive.
Miscellaneous Meal Expense
If the expert or LSS provider is in non-overnight travel status
and is away from his/her residence for at least 11 consecutive hours
excluding mealtime, the expert or LSS provider may be reimbursed on
an actual expense incurred basis with the meal costs limited to a
$10 charge (receipt required) or $6.00 without a receipt.
Long Distance Personal Calls
While on an overnight travel assignment, there may be a claim for
the actual amount incurred, not to exceed $3 per day, for personal
long distance calls. This is in addition to per diem, if applicable.
Itemize the call(s) on the Travel Voucher.
Use of Privately-Owned Vehicle
There may be reimbursement for use of a privately-owned vehicle
while on FDIC-related business. The maximum reimbursement rate will
be the rate stipulated by the IRS.
If a vehicle is used in lieu of air travel, the maximum
reimbursement will be the lesser of the cost of air travel or
mileage reimbursement and the additional per diem, if any.
| Note: FDIC does
not insure privately-owned vehicles for liability. |
Taxicabs
The use of taxicabs is permitted while on official travel for
FDIC. Reimbursement for taxicab fares (plus the customary 15% tip)
will be made only if an appropriate receipt is submitted.
Taxi hire is appropriate when:
• Public transportation, airport limousine service, and/or hotel
courtesy transportation is not available or when time or other
factors make it impractical to use available public conveyances;
• Traveling between transportation terminals and a residence,
hotel or office while on official travel status; or for
• Traveling from a residence to the office to depart on
assignment requiring at least one night’s lodging and from the
expert or LSS provider's office to the expert or LSS provider's
residence upon returning from the trip.
Taxi fares for trips used to obtain meals will not be reimbursed.
Non-Reimbursable Travel Expenses
Examples of expenses that will not be reimbursed include the
following; unless specifically agreed upon in writing in the expert
or LSS providers agreement with the FDIC:
• Alcoholic beverages, entertainment;
• Laundry, dry cleaning, and pressing (covered by per diem
reimbursement);
• Travel insurance;
• Parking fines;
• Gratuities and tips paid to service staff inside the lodging
facility (covered by per diem reimbursement); or
• Cost of travel for spouses, other family members, and friends
is not allowable under any circumstances.
Travelers will not be reimbursed for excess costs caused by:
• An indirect route as a matter of personal preference;
• Premature departure for personal reasons from a temporary
location; or
• Extending a stay for personal reasons.
Travel Voucher Completion
After completion of travel, a
travel voucher - Word must be submitted
with the Invoice Package for reimbursement. Indicate the purpose of
travel on the first line. Dates and times of each departure from
residence or office, arrival at the place of temporary assignment,
and arrival at the office or residence must be shown on the travel
voucher.
Except for per diem expenses, valid original receipts must be
submitted with the travel voucher for all travel expenditures
regardless of cost. If a receipt is not normally provided for the
expense (bus or subway token, etc.) the certification signed by the
traveler on the travel voucher will justify the expense.
Receipts submitted with the travel voucher should be originals
indicating the name of the payee, date paid, amount, and the service
rendered. This includes the original Passenger Receipt Coupon of the
airline ticket. If an electronic ticket is used, the boarding passes
for each flight must be submitted with the Travel Voucher.
| WARNING: The penalty
for submitting a Travel Voucher that knowingly
falsifies any item in the claim can be three times the
amount of the claim plus a civil money penalty of $10,000
under the False Claims Act. 31 U.S.C. 3729. Also, false
statements may be criminally prosecuted under 18 U.S.C.
1001. The penalty can be up to 5 years in jail. A
corporation that violates 18 U.S.C. 1001 can be fined up to
$500,000. 18 U.S.C. 3571. |
5.8 Expert Invoice For Fees and Expenses (EIF&E) Form and LSS
Provider Invoice For Fees and Expenses (IF&E) Form
The following provides guidance when completing the Expert
Invoice For Fees and Expenses (EIF&E - Word)
Form or the LSS Provider
Invoice For Fees and Expenses
(IF&E - Word) Form.
• Each invoice must have an invoice number unique to the expert
or LSS provider's firm/business that is submitting the invoice.
| Note: If the
expert or LSS provider is submitting multiple Invoice
Packages, ensure a separate EIF&E Form or the IF&E Form for
each Invoice Package is included. |
The invoice number can be no longer than 20 characters. Omit any
dashes, slashes, spaces, leading zeros, or other special characters.
• The business and financial institution involved with the matter
must be the same as identified in the retention letter or as
identified in the written agreement with the FDIC.
• The billing period should be monthly. For example: FROM: 12/01/05 THROUGH: 12/30/05.
• The billing period should be quarterly when monthly fees and
expenses are less than $500. For example: FROM: 01/01/05 THROUGH: 03/31/05.
• If there are expenses incurred for anything other than the
present billing period or the immediately preceding billing period,
ensure that the expenses have not been previously reimbursed.
• Sign at the bottom to certify that the EIF&E Form or the IF&E
Form is true and correct. An original signature is required on the
EIF&E Form and the IF&E Form.
| Note: If the
Invoice Grand Total (plus all prior Invoice Package
payments for that matter) exceeds the Total of the
approved budget for the matter, an approved amended budget
is required before FDIC can process the Invoice Package. |
5.9 FDIC Invoice Package Review
The Invoice Package should be submitted in a timely manner and as
directed in the retention letter or by the Oversight Attorney. Upon
receipt, the FDIC Legal Information Technician reviews the package
and does one of three things:
a. Forwards it to the Oversight Attorney for review and/or
approval;
b. Rejects it. If the Invoice Package is rejected, the Oversight
Attorney or the Legal Information Technician will notify the expert
or LSS provider of the deficiencies to be corrected; or
c. The Oversight Attorney performs a substantive review of the
invoice. If any amounts are disallowed, the expert or LSS provider
will be notified at the time of payment; such information appears on
the check stub or EFT remittance form.
| Note: FDIC
invoice processing time is a minimum of thirty (30) days
after receipt of a correct or proper Invoice Package.
Payment in generally not made in less than thirty (30 days).
The FDIC is required by statute to make
payments by electronic funds transfer (wire transfer) absent
a waiver. |
5.10 Reconsideration of Disallowances
The expert or LSS provider must submit all requests for
reconsideration of disallowances within 90 days from receipt of
notice of disallowance. The request must include matter number,
invoice number, and the amount disputed, along with justification
for reconsideration (e.g., copies of missing documentation,
narrative rationale).
| Note: (1) The
submission of erroneous bills or requests for reimbursement
of inappropriate charges may result in civil or criminal
sanctions. (2) Under no circumstances may the expert or LSS
provider attempt a set-off or recoupment, obtain a charging
or retaining lien, or withhold files in the event of a
dispute over payment for services rendered. |
5.11 Audit and Records Retention
Experts and LSS providers must permit the FDIC, the FDIC Office
of Inspector General, the FDIC Legal Division’s Internal Review
Group
and the Government Accountability Office, or their representatives, to
conduct audits or reviews of the FDIC billings, including previously
paid Invoice Packages.
For purposes of subsequent audits, experts and LSS providers must
retain the following:
• Copies of all Invoice Packages;
• Original underlying support documentation not submitted with
the Invoice Package; and
• Original time sheets, and time and expense adjustment
records. Example of adjustment records includes documentation
explaining differences between time sheet hours and invoice hours
for billable individuals.
See Electronic Billing for record
keeping and time keeping system requirements.
The FDIC reserves the right to obtain additional information upon
audit or review of any itemized fee bill or support documentation.
5.12 Frequently
Asked Questions
Below are answers to questions often raised when submitting
Invoice Packages.
When should an expert or LSS provider submit an Invoice Package?
On a monthly basis, if the total equals $500.00 or more. If the
total is less than $500.00, submit the Invoice Packages quarterly,
unless this causes undue hardship or is superseded by a written
agreement with the FDIC.
Can clerical or secretarial overtime be billed?
No, unless such overtime is requested by the Legal Division or
occasioned by an emergency situation created by the FDIC. In any
case, the Oversight Attorney assigned to the matter must approve, in
writing, clerical or secretarial overtime.
The FDIC allows billing for extraordinary postage (e.g. bulk or
certified mail). Can ordinary postage also be claimed?
No.
What common mistakes should be avoided when submitting an Invoice
Package?
Experts or LSS providers should:
Make sure each invoice has a different invoice number for each
Invoice Package submitted.
Ensure the totals on the Invoice Package equal the totals on the
EIF&E Form or the IF&E Form.
Submit all necessary receipts.
Make sure the “billing from” and “billing through” dates do not
overlap. For example, if an Invoice Package covers the period from
January 2 to January 16, a subsequent Invoice Package should not
cover the period from January 10 to January 29.
Be sure to itemize experts and non-experts (including LSS
providers) fees separately.
If a business charges $0.10 per page for in-house photocopying,
can it bill the FDIC for this amount?
No, the allowable charge is $0.08 per page.
What information is required when fax and phone charges are being
claimed?
The expert or LSS provider needs to include the date, phone
number, and charge for each call. The bill from the carrier must be
retained for three years after final payment for audit purposes.
What happens if there is something wrong with the Invoice
Package?
An FDIC Legal Information Technician will notify the expert or
LSS provider via telephone or fax. However, if certain fees and
expenses are disallowed, the expert or LSS provider will be notified
on the check stub or EFT remittance form.
|
