1. 0 Collections 2011 and Beyond- Requirements for Agency Conversion What Agencies Need to Know to Convert to New End State Systems Financial Management Service U.S. Department of the Treasury Presented by:

2. Collections 2011 and Beyond-Requirements for Agency Conversion What Agencies Need to Know to Convert to New End State Systems Financial Management Service U.S. Department of the Treasury Welcome 1 Lisa Taylor Acting Director, Agency Relationship Management Division

3. Collections 2011 and Beyond-Requirements for Agency Conversion What Agencies Need to Know to Convert to New End State Systems Financial Management Service U.S. Department of the Treasury Collections and Cash Management Modernization Gregory Till Director, Modernization Planning Office 2

4. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury CCMM is an initiative to simplify and modernize FMS’s and Treasury’s collections and cash management programs It began in 2006 and is expected to be complete by the end of 2012 Collections and Cash Management Modernization (CCMM) 3

5. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Several programs have ongoing CCMM changes that will impact agencies –Transaction Reporting System (TRS) –Over the Counter Channel Application (OTCnet) –Pay.gov –Credit Gateway –Treasury Collateral Management and Monitoring (TCMM) System The changes caused by TRS and OTCnet are the most significant for agencies In addition, CA$HLINK II is being decommissioned These changes are mentioned in a recent letter from the FMS Commissioner to agency CFOs (available at: fms.treas.gov/ccmm) Collections and Cash Management Modernization (CCMM) 4

6. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Timeline of CCMM Changes Collections and Cash Management Modernization (CCMM) 5

7. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury An easier-to-understand mix of revenue collection programs Consolidation of transaction and deposit reporting in a centralized location Elimination of daily reconciliations to deposit reports (CA$HLINK II) Capturing of TAS/BETC information at the time of transaction Standardization of file format (XML) for transaction details Improved access to collateral data Better service in general Agency Benefits— Collections and Cash Management Modernization (CCMM) 6

8. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Agency Preparation - Collections and Cash Management Modernization (CCMM) Convert to the end-state systems sooner rather than later Work with FMS to determine the Treasury Account Symbols (TASs), Business Event Type Codes (BETCs) and Classification Keys (C-Keys) that channel applications should capture when processing revenue collections Stop using paper SF 215 deposit tickets and start using OTCnet’s electronic deposit processes Re-program agency systems that receive automated files from CA$HLINK II (and ACH credit & Fedwire electronic lockboxes) to instead receive XML files from TRS Inform Fedwire and ACH credit electronic lockbox remitters of the need to use new routing numbers 7

11. Collections 2011 and Beyond-Requirements for Agency Conversion What Agencies Need to Know to Convert to New End State Systems Financial Management Service U.S. Department of the Treasury OTCnet Reginald McKinney Business Lead,OTC Revenue Collection Division 10

12. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Over the Counter Channel Application (OTCnet) OTCnet is a web-based system that enables federal agencies to integrate check conversion and deposit reporting activities, so that all check and cash deposits are handled by one web-based application. OTCnet will improve over the counter collection by fully automating the collection, reconciliation, research, and reporting processes, in a single, secure web-based application. 11

13. Financial Management Service U.S. Department of the Treasury Benefits of OTCnet Easy to Use  Simple. A more user friendly, and easy to navigate system with a common look and feel and intuitive features  Convenient. One system to use for deposit processing  Accessible. Access information and reports anytime, anywhere One System  Efficient. Use of Single Sign On—One secure username and password combination to access OTCnet financial services, and other FMS systems  Flexible. A new web-based application that can be accessed online and offline (Check Capture activities only)  More Control. Security Administrators from each agency will manage their users centrally Training and Fully Compliant  Online Training. Integrated Web-based-Training (WBT) can be easily accessed by agencies and financial institutions  GWA Compliant. Accommodates deposit reporting and check capture "the GWA way” (check capture will be in a future release)  Secure. Compliant with FISMA, 508 regulations, and HSPD-12 and PIV standards Easy to Use  Simple. A more user friendly, and easy to navigate system with a common look and feel and intuitive features  Convenient. One system to use for deposit processing  Accessible. Access information and reports anytime, anywhere One System  Efficient. Use of Single Sign On—One secure username and password combination to access OTCnet financial services, and other FMS systems  Flexible. A new web-based application that can be accessed online and offline (Check Capture activities only)  More Control. Security Administrators from each agency will manage their users centrally Training and Fully Compliant  Online Training. Integrated Web-based-Training (WBT) can be easily accessed by agencies and financial institutions  GWA Compliant. Accommodates deposit reporting and check capture "the GWA way” (check capture will be in a future release)  Secure. Compliant with FISMA, 508 regulations, and HSPD-12 and PIV standards Collections 2011 and Beyond-Requirements for Agency Conversion 12

14. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury System Update March 2010 – December 2010- Completed three successful rounds of User Acceptance Testing with select agencies during development of OTCnet January 31, 2011 – Certification and Accreditation (C&A) completed for Release 1 February 5, 2011 – OTCnet Release 1 into production, includes Deposit Processing and Online Check Capture February 6, 2011 - OTCnet Pilot period (small number of agencies will participate as early adopters) OTCnet 13

15. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury OTCnet Timeline of upcoming releases (release functionality) Releas e FunctionalityEst. Release Date 1.0The initial release of the OTCnet application delivering all existing functionalities of PCC OTC and TGAnet applications. The main functionalities including TGAnet’s Deposit Reporting and an online version of PCC OTC for Check Capture. February 5, 2011 1.2Delivery of OTCnet client software that will allow users to perform check capture in offline mode. The client software will be certified and accredited and will support the processing of checks in environments where there is insufficient bandwidth, intermittent connectivity, or no communications. The model for offline check capture will be similar to the existing POS software (ie., install client software on the desktop, scan checks offline, and transmit batches over the internet when connectivity is available). Online batch upload service interface to allow agencies to scan checks in their own point of sale system and upload check transaction data in batches to the online OTCnet application for settlement. June 2011 1.3This release will provide the capability to report the check capture accounting data the GWA way. Check capture transactions will be reflected in TRS. Update for the online batch upload service interface specifications to include the check conversion accounting data. Nov/Dec 2011 14

16. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury OTCnet Timeline for agency conversions February 6, 2011 - OTCnet Pilot period (small number of agencies will participate as early adopters for Deposit Reporting and Check Capture) March 19, 2011 - TGAnet Full Conversion to OTCnet (all agencies and financial institutions will be converted at one time) April 2011 - PCC OTC Conversion to OTCnet (Individual agency conversion occurs between April 2011 through 2012) April 2011- OTCnet Onboarding begins for New Agencies and expansions for existing agencies 15

17. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury OTCnet Requirements for Agency Conversions Technical System Requirements Web Browser: Internet Explorer 7.0 or 8.0. Operating system independent- compatible with Windows XP, Vista, and Windows 7 Treasury Root Certificate: The Treasury Root Certificate must be installed in the “Trusted Root Certification Authorities“ certificate store on the “local machine” (all user profiles) for the workstation. Entrust Root Certificate: The Entrust (2048) Root Certificate must be installed in the “Trusted Root Certification Authorities“ certificate store on the “local machine” (all user profiles) for the workstation. This certificate is normally installed by default with Internet Explorer. If it has been removed, you will need to have your agency re-install the certificate. Internet Options Security Settings: “Use TLS 1.0” must be enabled in the advanced tab of Internet Options for all user profiles on the workstation. Ports: Router/Firewall Administrators must ensure and verify that outbound ACL (Access Control List) has complete https access on port 443. Workstation Memory: 1 GB physical memory is required; 2 GB is recommended. Free Disk Space: 20 MB of free disk space is required. Window Resolution: Windows Resolution should be 1024x768 or 800x600. 16

18. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury OTCnet Requirements for Agency Conversions Additional System Requirements for OTCnet Check Capture functionality ActiveX must be enabled in browser – This must be enabled for all user profiles on the workstation that use OTCnet. It may be enabled by default. Scanner Drivers (.MSI installation file) - Scanner driver and firmware (provided in an.MSI installation file) must be installed on the workstation. Java Runtime Environment (JRE) 1.6.0_20 – The Java Runtime Environment 1.6.0_20 (Java SE 6 Update 20) must be installed and enabled on the workstation. Adobe Reader – Adobe Reader version 7.x or higher must be installed on the workstation to support the optional receipt printing functionality. OTCnet URLs Added to Trusted Sites Zone - OTCnet URLs must be assigned to the Trusted Sites zone for Windows Vista and Windows 7 for all user profiles on the workstation. Note that this requirement is not necessary for Windows XP workstations. 17

19. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury OTCnet-Check Processing Hardware Requirements OTCnet will be compatible with the suite of scanners and keypads currently in the field - Supported Hardware for Windows XP, Windows 7, and Vista - Scanners: RDM EC601x and EC7000i Panini Myvision and visionX - Keypads: Ingenico i3050 and eN-Crypt Supported Hardware for Windows XP (vendor has discontinued support for scanner in Windows 7 and Vista) - Scanners: RDM EC5000i and EC6000i (non-Gen2) FMS encourages agencies using the RDM EC5000i and early versions of the EC6000i to transition to the current EC7000i model 18

20. Financial Management Service U.S. Department of the Treasury OTCnet Special Instructions for Agency Conversions Current TGAnet Agency to OTCnet Conversion Steps Collections 2011 and Beyond-Requirements for Agency Conversion TGAnet Agency Conversion StepsProcess Step 1Validate that you can support technical system requirements immediately. 1.Work with IT area at your respective agency 2.Report any issues or direct questions to Customer Service at fms.otcchannel@citi.com or 1-866-945-7920 fms.otcchannel@citi.com Step 2Complete Web-based Training for all users between now and March 19, 2011. 1.Go to http://fms.treas.gov/otcnet/training/wbt/index.htm 2.Direct users to complete all modules relevant to their user role TGAnet Conversion Occurs- March 19, 2011 Step 3Validate migration of your historical data 1.Log in to OTCnet and validate your hierarchy and your data 2.Report any discrepancies in your hierarchy or data to the Deployment team or Customer Service at fms.otcchannel@citi.com or 1-866-945-7920 fms.otcchannel@citi.com Step 4Make First Deposit into OTCnet after March 19, 2011 1.Enter into OTCnet 2.Navigate to OTCnet Deposit Processing module 3.Make Deposit TGAnet will be turned off after agency conversion 19

21. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury OTCnet Special Instructions for Agency Conversions PCC OTC to OTCnet Conversion Steps Conversion Steps High-Level Summary Continue to use PCC OTC until you have been contacted by the Conversion Team to schedule your migration Step 1Visit the OTCnet Website: Visit the OTCnet web page (Go To http://www.fms.treas.gov/otcnet/index.html and review documentation providedhttp://www.fms.treas.gov/otcnet/index.html Step 2Review the System Requirement Document: Review the System Requirements document to ensure your workstation has the necessary system requirements Your Conversion Specialist will contact your Agency to schedule your Conversion and will assist you in preparation for your Conversion Step 3Complete training prior to making your first deposit in OTCnet (Go To http://fms.treas.gov/otcnet/training/wbt/index.htm). Training must be completed by all OTCnet users. PCC OTC Scheduled Agency Conversion Occurs Step 4Work with the conversion team to create user identities through ITIM to establish new user IDs and passwords Step 5Validate migration of your historical data 1.Log in to OTCnet and validate your hierarchy and your data 2.Report any discrepancies in your hierarchy or data to the Conversion team Step 6Make First Deposit into OTCnet 20

22. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury OTCnet Special Instructions for CA$HLINK II Agency Onboarding Non TGAnet Agency Onboarding Steps Conversion Steps High-Level Summary Recommend Agencies perform steps 1- 3 starting February 3, 2011 Step 1Visit the OTCnet Website: Visit the OTCnet web page (Go to http://www.fms.treas.gov/otcnet/index.html and review documentation provided)http://www.fms.treas.gov/otcnet/index.html Step 2Review the System Requirement Document: Review the System Requirements document to ensure your workstation has the necessary system requirements Step 3Contact FMS Deployment team: Email the deployment team at fms.otcdevelopment@citi.com and provide a point of contact for your agency. FMS will work with this point of contact through the onboarding process.fms.otcdevelopment@citi.com FMS will contact agencies directly in February to perform steps 4 - 8 Step 4FMS will provide onboarding information: Agency is required to review onboarding notice and respond within 45 days to proposed onboarding schedule. Step 5Agency will complete OTCnet user provisioning and setup information: Complete OTCnet user provisioning and setup information and provide it to your FMS Deployment Specialist for validation. Step 6Agency will complete training for Deposit Reporting. Go to http://fms.treas.gov/otcnet/training/wbt/index.htm Step 7Setup FIs and Agencies: FIs and Agencies will begin setup in OTCnet Deposit Reporting. Step 8Use OTCnet: Begin preparing deposit tickets using OTCnet Deposit Reporting. 21

23. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury OTCnet Next Steps - Contact FMS OTCnet representatives and inform FMS of the best contacts to communicate CCMM and transition planning information to. An executive contact, technical contact, and business/program contacts are needed. - Pass on the OTCnet technical requirements contained in this presentation to your agency technical/IT support personnel. - Agencies making TGA, International TGA, and Federal Reserve Bank TGA deposits must contact FMS OTCnet representatives as soon as possible to be informed of your projected conversion date and the requirements to do deposit reporting in OTCnet. Cashlink II is being decommissioned in December 2012 and there will be no exceptions. - Take advantage of the OTCnet WBT and learn more about the fabulous new web-based OTCnet system. 22

24. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury OTCnet Contact Information - OTCnet Website: www.fms.treas.gov/otcnetwww.fms.treas.gov/otcnet -OTCnet FMS Representative: Angela D. Smith 202- 874-4080 Angela.smith@fms.treas.gov -OTCnet Agency Adoption Team 703-377-5586 fms.otcdeployment@citi.comms.otcdeployment@citi.com - OTCnet Business Lead: Reginald McKinney 202-874-6893 reginald.mckinney@fms.treas.gov - OTCnet Project Manager: Bonnie Ray 202-874-2138 bonnie.ray@fms.treas.gov 23

25. Collections 2011 and Beyond-Requirements for Agency Conversion What Agencies Need to Know to Convert to New End State Systems Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) Monica Shelton Deputy Project Manager, TRS 24

26. Financial Management Service U.S. Department of the Treasury Collections 2011 and Beyond-Requirements for Agency Conversion Transaction Reporting System (TRS) Program/System Overview –As FMS’s collections transaction broker, data warehouse, and reporting solution, TRS will benefit agencies by: Providing a single touch-point for the exchange of all financial transactions across all collections systems Offering a centralized repository containing detailed and summarized records of all revenue collections transactions processed by FMS systems Supporting the reporting of classification information for the Government-Wide Accounting (GWA) Modernization initiative Normalizing financial transaction reporting and standardize the availability of financial information across all settlement mechanisms and collections systems 25

27. Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) Collections 2011 and Beyond-Requirements for Agency Conversion How TRS Benefits Enrolled Agencies –Agencies working to use TRS as their primary source of collections information will have the opportunity to: View detail transaction data (that is not available in CA$HLINK II) and its associated voucher information in one location Gain a clear understanding of how TRS works prior to the CA$HLINK II decommission date Compare system usability and overall functionality Have sufficient lead time to implement data downloads and system to system interfaces before CA$HLINK II decommission date Provide feedback to the TRS Team. Numerous TRS enhancements and features are the direct result of feedback from agency users 26

28. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) System Update (Status of Data Availability) Note: Plan dates are current targets as of 1/21/2011 and subject to change 27

29. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) System Update (Timeline of Software Release Projects) Note: Plan dates are current targets as of 1/21/2011 and subject to change 28

30. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) System Update (Current Functionality) –TRS provides agency access to information in the following ways: Standard Reports and System to System XML Files TRS Standard Reports - Formatted subset of data, predetermined by the report  Accessed online and may be downloaded into PDF, Excel and CSV formats  Agency Requirements –TRS supports the two most recent versions of Internet Explorer currently versions 7 and 8 29

31. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) System Update (Current Functionality, continued) –Available Transaction Reports Voucher / Voucher Detail Financial Transaction Summary / Detail Fedwire Message Summary / Detail Plastic Card Summary / Detail ACH Summary / Detail GWA Entries 30

32. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) System Update (Current Functionality, continued) –TRS XML Extract Files - Scheduled extract of collections data viewable online or for system-to-system interface Created in the FMS XML Schema format  TRS XML Extract Files Specification http://www.fms.treas.gov/trs/documents/xml_spec.pdf http://www.fms.treas.gov/trs/documents/xml_spec.pdf  FMS XML Schema http://fms.treas.gov/eda/xml Agency Requirement  TRS standard for system-to-system interface is VPN over the Internet using Connect:Direct 31

33. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) System Update (Current Functionality, continued) –TRS XML Extract Data Summary Only –Voucher-level information Detail Only – Individual collection transaction-level information (credit card transactions, wires, ACH transactions) Summary and Detail – Voucher-level information along with any associated detail transactions 32

34. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) System Update (Upcoming Functionality with ARI3) –Report updates to introduce optional prompts and scheduling –Creation of downloadable reports for the following: Voucher Detail Financial Transaction Detail Fedwire Message Detail –Updates to the existing User Profile Summary Report to assist Security Users –Updates to the existing Voucher Report to view preliminary vouchers 33

35. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) Timeline for Agency Enrollment (High-Level) –As of January 21, 2011 –Target: 173 Agencies 34

36. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) Timeline for Agency Enrollment (Impact to Processes) PhaseTime Frame Impact to Existing Processes Details Short to Medium Term Now through approximately Q3 2012 Minimal ** Granted access to TRS, but continue to use CA$HLINK II & other collection sources for day- to-day operations Opportunity to compare TRS and CA$HLINK II functionality Develop procedures and modify file interfaces, if necessary, to use TRS in place of CA$HLINK II Long Term Beginning Mid-2012 Minimal to Significant ** CA$HLINK II is decommissioned (Q4 2012) TRS is the primary system for Federal collections reporting Direct data feeds from collection channels may be turned off ** Depending on the agency and the time of enrollment in TRS. Earlier enrollment allows agencies more time to address impacts. 35

37. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) Timeline for Agency Enrollment (Scheduling Criteria) Wave 1 (Completed) Wave 2 (Now – Q2 2011) Wave 3 (Now – Q1 2012) Data available in TRS Needed real- time same-day Fedwire messages Needed future- dated ACH items Data available in TRS Initial TRS Pilots Agencies which have requested to enroll in TRS Active in TRS feedback activities Attended “Intro to TRS” session Agencies with all collections reported through TRS Agencies with ONLY over-the- counter collections Remaining agencies 36

38. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) Agency Preparation –Visit the TRS website (http://fms.treas.gov/trs/index.html) and utilize a comprehensive set of resources:http://fms.treas.gov/trs/index.html Overview information about TRS Information about preparing for TRS and enrollment Time frames for data availability in TRS Sign up for updates for TRS And much more –Enroll in TRS TRS Agency Enrollment Team works with Agency Agency and FMS review and approve TRS Enrollment Configuration Summary TRS Team creates access group and user profiles and emails User IDs and Passwords to Agency users Users access TRS and web-based training 37

39. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) Next Steps (TRS Team) –Continue enrolling Agencies in TRS –Implement Pay.gov and ECP FRB Deposit Reporting and Agency Reporting Iteration 3 (ARI3) –Interface with OTCnet –Continue interaction with agencies through outreach efforts Conduct new “Introduction to TRS” webinars Continue conference participation Conduct ARI3 functionality webinars Encourage enrolled agencies to maximize TRS usage and participate in feedback activities 38

40. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) Next Steps (Agencies) –Assess what internal preparations your agency will need to make to support a smooth transition to TRS Policies/ processes that may be impacted Work redesign activities Reports and data downloads that your agency may need to modify or develop Budget modifications for system-to-system interface needs 39

41. Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) Collections 2011 and Beyond-Requirements for Agency Conversion Next Steps (Agencies, continued) –Work with FMS to enroll in new Treasury collections systems –Develop procedures and modify file interfaces, if necessary, to use TRS in place of CA$HLINK II –Increase your reliance on TRS for deposit reporting –Ensure staff is familiar with how TRS fits into your agency’s financial management processes –Submit the TRS Request Form if interested in a system-to- system interface (once enrolled) –Sign up for TRS Website updates to stay informed 40

42. Collections 2011 and Beyond-Requirements for Agency Conversion Financial Management Service U.S. Department of the Treasury Transaction Reporting System (TRS) Contact Information –TRS Website: http://fms.treas.gov/trs –TRS Agency Outreach Team: 301-699-6814 TRSAgencyOutreach@pnc.com –TRS Call Center 1-800-346-5465 or 301-887-6600 trs@pnc.com –TRS Deputy Project Manager: Monica Shelton 202-874-1346 monica.shelton@fms.treas.gov 41

43. 42 For additional information, visit ww.fms.treas.gov/ccmm or email ccmm@fms.treas.govww.fms.treas.gov/ccmm Questions? 42