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TREAS/FISCAL RIN: 1530-AA22 Publication ID: Fall 2023 
Title: Updating "Reasonable Efforts" to Verify the Validity of U.S. Treasury Checks 

The Fiscal Service is proposing a revision of its regulations governing the responsibilities of financial institutions when processing Treasury checks. Under the current rule, the definition of reasonable efforts to verify the validity of Treasury checks does not include a requirement for financial institutions to query Treasury’s check verification tool. Technological advances allow near-real time verification for Treasury checks. The proposed changes would revise the regulations such that verifying the status of a Treasury check via Treasury’s verification tool is a component of reasonable efforts to ensure that a Treasury check is valid. This will help to eliminate payments over cancellation and enable Treasury to implement true stops on Treasury checks.   Financial institutions will be charged back for the presentation of invalid checks which have been stopped by Treasury or the issuing Federal Program Agency.

Agency: Department of the Treasury(TREAS)  Priority: Substantive, Nonsignificant 
RIN Status: Previously published in the Unified Agenda Agenda Stage of Rulemaking: Final Rule Stage 
Major: Undetermined  Unfunded Mandates: No 
CFR Citation: 31 CFR 240   
Legal Authority: 31 U.S.C. 301    31 U.S.C. 321    31 U.S.C. 3327    31 U.S.C. 3328    12 U.S.C. 391    ...   
Legal Deadline:  None
Action Date FR Cite
NPRM  02/01/2023  88 FR 6674   
NPRM Comment Period End  04/03/2023 
Final Action  12/00/2023 
Regulatory Flexibility Analysis Required: Undetermined  Government Levels Affected: None 
Federalism: No 
Included in the Regulatory Plan: No 
RIN Data Printed in the FR: No 
Agency Contact:
Thomas Kearns
Senior Attorney
Department of the Treasury
Bureau of the Fiscal Service
401 14th Street SW.,
Washington, DC 20227
Phone:202 874-6680
Fax:202 874-6627