BOP Program Statement 2250.03 § 6

It is the Business Administrator’s responsibility to determine that all amounts reported as

obligations are accurate and supported by proper documentation. Obligations must be based

upon properly executed documents and amounts must be recorded in official Bureau accounts.

Care must be taken to guard against the deterioration of the open obligation records and files due

to:

■ Accumulation of adjusted differences.

■ Failure to establish an accounts payable.

■ Failure to liquidate obligations that have been paid.

■ Failure to “final” completed obligations.

■ Failure to estimate or record obligations accurately, etc.

The Business Administrator must conduct quarterly reviews of all obligations of $20,000 or

more ($50,000 for Relocation Services, Accounting Operations Section, and the Central Office

Business Office). The reviews must be conducted prior to the end of the quarter, so that the

appropriate corrective action may be taken before the close of business for the quarter.

The quarterly reviews will be evidenced by a list of all obligations of $20,000 or more ($50,000

for Relocation Services, Accounting Operations Section, and the Central Office Business

Office), to specifically certify their accuracy. The list must be signed by the Business

Administrator.

The list must be printed from the Financial System, using the “Future Obligations” option to

ensure obligations through the end of the year are included. The report must be generated on the

first business day of the next month for the previous quarter end.

The Business Administrator will also sign a certification stating that the review and corrective

action was completed prior to the close of business for the quarter. The list of obligations must

be attached to the certification. The Business Administrator will maintain the certifications on

file.

P2250.03 5/8/2017 6

A copy of the third quarter certification must be routed to the Regional Comptroller. Regional

Comptrollers will certify, by July 15 of each year, via memorandum to the Chief, Finance

Branch, that review, certification, and corrective action of open obligations was completed for

institutions in their Region, and attach copies of their institutions’ certifications and lists of

obligations.

The Central Office Business Office, Accounting Operations Section, Relocation Services

Section, and Management Specialty Training Center send their certifications directly to the

Chief, Finance Branch.

The Business Administrator must follow the steps outlined in Section 11 of this PS for fourth-quarter obligations.