GSA Starts Issuing Offsets for Outstanding Overcharges

During the recent AMSA Conference, GSA Audit personnel stated they have begun issuing offsets in the US Bank Payment system for uncollected Notices of Overcharges. They are currently withholding money to satisfy overcharges that were issued in the June 2009-December 2009 time frame. By statute, GSA has three years after the date of the last invoice to recover money from a TSP.

GSA is using the eBill process in US Bank’s payment system to collect this money. Once a negative eBill has been issued against a SCAC, any money that would have been paid to that SCAC will be directed to GSA until the amount owed is satisfied. Invoices that remain in “Payment Initiated” status in US Bank’s payment system for more than 48 hours generally indicates that an eBill has been issued. (Click here to see more detail on the eBill process.) As a result of GSA’s collection efforts, we have seen recent increases in the number of “Payment Initiated” invoices being held to satisfy eBills that have been issued.

GSA Audit personnel did make a point of mentioning that they have worked out a payment plan for a number of TSPs that had a large backlog of unpaid offsets. Also, they stated that if they would still be willing to work out payment plans with others if a TSP contacts them about their offsets. However, TSPs who have not contacted them, and still have overcharges that were neither protested nor paid, will soon see GSA recover that money through an offset.

Have you seen offsets being taken by GSA for past notices of overcharge? Please use the comments below to share your thoughts.

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3. Army Claims Starts Offset Process - April 13th, 2011