Updated as of March 16, 2009

1. How do I determine who my specific payment office is?

Look on the front page of your contract to the box titled 'Payment Will Be Made By'

2. What is the difference between MOCAS (Contract Pay) and Non-MOCAS (Vendor Pay)?

The easiest way is to define what a MOCAS contract is-
MOCAS is a contract administered by a Defense Contract Management Agency (DCMA) and paid by DFAS Columbus, either North, South, or West Entitlements. Basically all other contracts paid by a DFAS location are Non-MOCAS.

3. Where can I find Customer Service phone numbers for assistance?

Go to our web site http://www.dfas.mil ,
Highlight Contract/Vendor Pay
Click on DoDAAC Payment Office/Phone Numbers

4. What constitutes a proper invoice?

1. Contractor's/Vendor's Name and Address
2. Invoice Date/Number
3. Government Contract Number
4. Shipment Number
5. Description of Goods or Services (CLIN, QTY, U/P), Quantity, Unit Price, Total Amount of Invoice
6. Taxpayer Identification Number (TIN) (if applicable)
7. If using a DD250 as an invoice, the wording 'Original Invoice' or 'Invoice' in 1-inch high letters must appear on the invoice. Do not use red or green ink. Black ink works best in our imaging system.
8. Registered and current in Central Contractor Registration (CCR).

Note: An invoice will not be considered proper if it is received manually and the contract requires electronic submission. See response to Question 3 for Customer Service/DoDAAC Phone Numbers.

5. To what address do I mail or Fed-Ex my invoices?

It depends on which applicable payment office supports your particular contract. Contact the applicable Customer Service Office for your contract for the correct FedEx information.

6. How do I invoice electronically? What are the requirements?

The federal government, in order to reform its acquisition process and to meet the needs of an increasing competitive workplace, has implemented various forms of Electronic Commerce (EC). There are several distinct ways to electronically submit your invoices to Defense Finance and Accounting Service (DFAS). DFAS uses Electronic Data Interchange (EDI), Web Invoicing System (WInS), and Wide Area Work Flow (WAWF). Go to: http://www.dfas.mil/contractorpay/electroniccommerce.html for more information.

Note: WInS is being phased out. WInS is only permitted for Enterprise Business System (EBS) and Integrated Accounts Payable System (IAPS).

7. What is WAWF (Wide Area Work Flow)?

WAWF is an interactive web-based application that allows vendors/contractors to electronically submit invoices and receiving reports; and for the Government to inspect, accept, receive, and pay electronically. Go to: http://www.dfas.mil/contractorpay/electroniccommerce.html for more information.
In accordance with Defense Federal Acquisition Regulation Supplement (DFARS) dated March 2008, requires the use of the WAWF electronic system for submitting and processing payment requests and receiving reports under Department of Defense (DoD) contracts. Use of WAWF facilitates timely nad accurate payments of DoD contractors. For WAWF registration and more information, go to: http://www.dfas.mil/contractorpay/electroniccommerce.html

8. What is WInS (Web Invoicing System)?

Web Invoicing System (WInS) enables the current paper- based vendors to send invoices electronically. For additional information, call the E-Commerce Office at 614-693-6868.

Note: WInS is tentatively scheduled to be phased out at the end of Fiscal Year 2009 (September 30, 2009) with the exception of the Navy vendors. Navy vendors will be permitted to continue to submit invoices via WInS for a specific length of time (TBD) and at the end of this set time, WInS will be completely phased out from any further use. Please note: The interface between WInS and MOCAS for commercial invoices and public vouchers has been disconnected, effective 12/31/2007.

In accordance with Defense Federal Acquisition Regulation Supplement (DFARS) dated March 2008, it requires the use of WAWF for submitting and processing payment requests and receiving reports under DoD contracts.

WInS is only permitted for Enterprise Business System (EBS) and Integrated Accounts Payable System (IAPS).

9. What is Electronic Data Interchange (EDI)?

Electronic Data Interchange (EDI) is the computer to computer exchange of routine business information in a standard format. Working with the contracting community, DFAS has implemented EDI transactions to support commercial pay and accounting processes. These EDI transaction sets eliminate the need to re-enter critical data in commercial pay systems and accounting systems. Implementing EDI invoicing capability, coupled with increased use of Electronic Funds Transfer (EFT), have been a major factor in decreasing errors and improving payment processing. Additional areas where EDI has been implemented are: Garnishments, Grants, Purchase Card, Travel, Transportation and Medical Logistics.

Note: The interface between WInS and EDI for commercial invoices and public vouchers has been disconnected effective 12/31/2007.

10. Can I fax my invoices?

The preferred method of submitting invoices is electronically via WAWF. If you have already submitted the invoice electronically, do not fax it, as it will result in a duplicate and could cause payment delays. Contractors may fax invoices to the following DFAS locations by utilizing the toll free numbers provided in Question 11 below.

11. What fax number do I use?

The preferred method of submitting invoices is electronically. To ensure you are using the correct fax number, you should call the Customer Service Office for the specific payment office listed on the front of your contract. For a list of DFAS toll-free fax numbers, go to:
http://www.dfas.mil
Highlight Contract/Vendor Pay
Click on Customer Service
Click on EDM Fax Numbers.
Also, do not submit a copy of the contract with the
invoice unless requested to do so.

12. What is myInvoice?

It is a web-based application for vendors/contractors to track status on invoices submitted and processed into the payment entitlement system. Government entities can request access for research purposes.

13. What is a DD250?

The DD Form 250, Material Inspection and Receiving Report, can serve multiple functions in the payment process. The form can serve as a shipment document, invoice, and as a material inspection and acceptance document.

14. How do I prepare a DD250?

The DD Form 250 is a vital document in the payment process. In most cases, the government uses the form to verify inspection and acceptance of your material. You must prepare and distribute the DD Form 250 as outlined in Appendix F , Department of Defense (DoD) Federal Acquisition Regulation (FAR) Supplement; additionally, the Prompt Payment Act (Codification of Federal Regulations - 5 CFR 1315.9) outlines the required information that must be contained on receiving reports. Receiving reports should be prepared online electronically via WAWF.
Go to: http://www.dfas.mil/contractorpay/electroniccommerce.html
for more information.
You, the contractor, are ultimately responsible for properly preparing and distributing the DD Form 250. Please take care to ensure that this is done correctly. If you encounter difficulty in preparing this form, your Quality Assurance Representative (QAR) will assist you. Blank forms (DD Form 250) are available at the Contract Administrating Office (CAO) shown on the front of your contract. Blocks 1-21A must be completed. Instructions on preparing the DD Form 250 are included in Appendix I , along with samples of the completed form.

15. Why do I have to create a shipment number when I already have an invoice number?

For Contract Pay (MOCAS):
The construction of a shipment number is explained in Appendix F-301 of the DoD FAR Supplement. Basically, a shipment number contains three alpha and four numeric characters, in the sequence AAA0000. An eighth character (Z) is used to designate the final shipment for the entire contract. Samples can be found in Appendix II of this booklet.

Many contractors use the first two alpha characters to indicate their company name. The third alpha character can indicate the location from which the material is shipped. For example, the company General commodities would use GCD as alphas for all shipments from Dallas and GCA for all shipments from Austin . The same alpha prefixes must not be used for shipments from different locations.

The four numeric characters indicate consecutive shipments from each location; example, GCD0001, GCD0002, GCA0001, GCA0002. The final shipment for the entire contract must carry a "Z" suffix - GCD0003Z or GCA0003Z. We discourage the use of alpha characters I or O as they are too easily mistaken for the numbers 1 or 0.

The shipment number is required on all invoices and on the DD Form 250. The DD Form 250 is required when the contract involves delivery of separate and distinct objects or entities. This includes both the delivery of supplies and services.

This is specified in the terms and conditions of your contract payment instructions, or call your ACO for guidance. MOCAS is contract and shipment number driven for tracking purposes to avoid duplicate payments and to establish an audit trail.

16. What is a progress payment?

Progress payments are payments made based on the cost incurred by the contractor as work progresses under a contract. When authorized in the contract, we can make payments of 80% or more of the accumulated costs on certain items.

17. What is a performance based payment?

Performance based payments (PBP) is an alternative to progress payments for contract financing. This financing is based upon certain specified performance criterion being accomplished versus cost accumulation which is the basis for progress payments. Federal Acquisition Regulation Clause 252.232-32 must be included in the contract for PBP.

18. What is 'Fast Pay'? What DFARS clause must be in my contract for 'Fast Pay'?

A receiving/acceptance report must accompany an invoice before payment for purchases can be made. However, receiving reports are not required before payment for purchases under the fast payment procedures specified by FAR 52.213.1. Payments on contracts with fast pay clauses executed, modified, renewed, or contracts on which options have been exercised on or after April 1, 1989, must be made within 15 days after receipt of invoice. Contracts that include fast pay should be properly marked as " FAST PAY ". Invoice requirements are as follows:

• Invoice must be prominently marked " FAST PAY ".
• If the contract requires a shippers delivery order, the contractor has the option either of preparing such a report, or including the following information on the invoice:
  1. A statement in prominent letters " NO RECEIVING REPORT PREPARED ".
  2. Shipment number.
  3. Mode of shipment.
  4. At line item level:
     1. National stock number and/or manufacturer's part number
     2. Unit of measure
     3. Ship-to point
     4. Mark-for point (if in contract) and
     5. FEDSTRIP/MILSTRIP document number, (if in contract).

For FAR and DFARS: http://farsite.hill.af.mil

19. What is prevalidation?

It entails matching disbursements to specific obligations in the accounting system prior to the release of the disbursement. In 1995, prevalidation legislation was passed that required the Department of Defense to match disbursements to specific obligation(s) prior to disbursement. The 1995 statute established the threshold at $5 million for MOCAS contracts. Congress also required the Department to prepare a plan for bringing the prevalidation threshold to zero. For payments made through MOCAS at DFAS Columbus , the reduction was gradual and is not yet at the target level. The MOCAS prevalidation threshold is currently at $5,000. For additional details, go to: http://www.dfas.mil/contractorpay/vendorpayinfo/prevalidation.html

20. How is a payment due date calculated?

Payment due dates are calculated in accordance with Federal Acquisition Regulation (FAR) 52.232-25. The due date for making invoice payments by the designated payment office shall be the later of the following two events (excluding the exceptions noted in FAR 52.232- 25):

1. The 30^th day after the designated billing office has received a proper invoice from the contractor.
2. The 30^th day after the Government acceptance of supplies delivered or services performed by the Contractor. However, if the designated billing office fails to annotate the invoice with the actual date of receipt, the invoice payment due date shall be deemed to be the 30 th day after the Contractor's invoice is dated, provided a proper invoice is received and there is no disagreement over quantity, quality, or Contractor compliance with contract requirements, whichever is the later date.

Note: Progress payments are payable within seven days. Cost vouchers, performance based payments, and BVNs are payable within 14 days. Commercial invoices and DD250 payable within 30 days.

21. Will I get paid interest for an overage invoice?

Effective October 23, 2002, MOCAS interest payments are being paid in the same manner as the original late paid invoice. If the original invoice paid by Electronic Funds Transfer (EFT), the interest will be processed as an EFT payment and sent to the same financial institution as the original late invoice payment.

Conversely, if the invoice was paid using a hard copy check, the interest will also be paid in the same fashion and mailed to the same address.

Also an EFT interest payment will also have an electronic Advice of Payment (AOP) that accompanies the payment to the financial institution. This AOP contains all of the information that was included with the previously mailed hard copy interest checks. If you experience problems with the AOP not containing sufficient information, advise your financial institution that the version of the AOP (Form 820) is 3050, not 4010 as used for MOCAS payments. Contractors must inform their financial institution of this. Most financial institutions can switch from one to the other.

Non-MOCAS contracts pay interest with the payment. For additional information, review the Prompt Payment Act information at http://pcc.nps.navy.mil/PPayAct

22. When does the government take a discount when offered?

Time periods for discounts are calculated differently than in commercial practice. Defense Acquisition Regulation 7-103.14 and Federal Acquisition Regulation 52.232-8 establish these rules:

For contracts issued on or after October 1, 1982, but prior to March 31, 1989:

1. Acceptance of material at your facility. The time is computed from the date of delivery of supplies to the carrier or from the date a proper invoice is received at the designated payment office, whichever is later. If your invoice contains errors and must be returned for correction, the time period for discount purposes starts again when the corrected invoice is received.
2. Acceptance at destination. The time is computed from the date of delivery of material to the correct destination or from the date a proper invoice is received, whichever is later.

For contracts issued on or after April 1, 1989, the provisions of the Prompt Payment Act Amendment (PPAA) of 1988 apply. (For information of the Prompt Payment Act, go to http://pcc.nps.navy.mil/PPayAct .) The discount period is computed from the date of your invoice. Mail time counts against the discount period.

Delays in submitting either a proper DD Form 250 to the Contract Administration Office or a proper invoice to the payment office will impair our ability to process payments in a timely manner.

In determining whether or not a discount is earned, the date of the government check or Electronic Funds Transfer (EFT) will serve as the date an invoice is considered to be paid.

If your invoice offers discount terms better than those specified by the contract, we will take the better of the terms offered. You may offer a discount on your invoice even though the contract terms are net 30 days.

In all cases, we reserve the right to refuse any discount if the annual rate of return on the discount is less than the rate in effect at the time, as established by the U.S. Treasury Department.

If the payment due date is not clearly defined, we will use a due date 30 days following receipt of a proper invoice or the seventh day after property is actually delivered or the services are completed. However, if the agency has actually accepted the property or services before the seventh day, we will use a due date 30 days from the date of acceptance.

The government is authorized to take a discount on the recoupment amount of work-in-progress invoices, whether or not the discount offered has expired. Where a payment has already been made (as in the case of Progress Payments), the government is entitled to a discount on any part of material payments applied in the liquidation of Progress Payments. A determination is made on whether the discount terms have been met or not. If the discount conditions are met, the discount is taken against the gross amount of the invoice. When the conditions are not met, the discount is taken against the amount of the recoupment. An example of the process follows:

When discount conditions are met:	When discount conditions are not met:
$1,000,000	$1,000,000
1% ( discount)	80% (recoup)
$ 10,000	$ 800,000
$ 990,000 (invoice less discount)	$ 800,000
	1%
(800,000) =80% full invoice amount
$ 190,000 (check amount)	$ 8,000
	$ 992,000
	(800,000)
	$ 192,000

When it is advantageous to the Government based on different factors.

23. To what DFAS address do I return an overpayment? And what type of information must be included with the overpayment?

There are instances when an overpayment has been issued to a government vendor, contractor, or traveler, and reimbursement to the government is required.

To ensure you are using the correct address, you should call the Customer Service Office for the specific payment office listed on the front of your contract. See Question #3 for the list of DFAS Customer Service phone numbers.

For DFAS Columbus MOCAS contracts :
The customer should promptly forward a check made payable to the Finance and Accounting Office, DFAS-CO, at the following address:

Regular Mail:
Defense Finance and Accounting Service
Columbus Center
Attn: DFAS-JDCBB/CO
P.O. Box 182204
Columbus , Ohio 43218-2204

Express or Fed-Ex:
Defense Finance and Accounting Service
Columbus Center
Attn: DFAS-JDCBB/CO
Building 21
3990 E. Broad Street
Columbus , Ohio 43213-1152

To ensure that all payments received by DFAS Columbus will be credited to the correct account and the debt will be properly offset, the following information should accompany all checks and/or correspondence:

• Copy of demand letter (if issued)
• Contract number and delivery order number (if applicable)
• Include invoice/shipment number
• Contract Line Item Number (CLIN) (if applicable)
• Accounting Classification Reference Number (ACRN) (if applicable)
• Payment system from which overpayment was received (if known)
• Point of contact information (name, phone, etc) at which we may contact you
• Copy of remittance advice (if available)
• Treasury check number, date, and amount (when available)
• Any other identifying information that may be helpful in identifying the correct account for the deposit of funds.

NOTE - For Non-MOCAS Vendor Payments:

When applicable, the vendor needs to provide the following additional information when sending a refund check:

• Line of Accounting
• DCN#
• Document Number
• Pseudo Social (i.e. SNK2025DC)

24. What is Central Contractor Registration (CCR)?

The CCR is the primary vendor database for the U.S. Government. The CCR collects, validates, stores, and disseminates data in support of agency acquisition missions. Both current and potential government vendors are required to register in CCR in order to be awarded contracts by the government. For additional information, go to http://www.ccr.gov .

25. What is a CAGE code? How do I obtain one?

The Commercial and Government Entity (CAGE) code is a five character ID number used extensively within the Department of Defense and NASA. Go to web site http://www.ccr.gov

26. What is a DUNS number? How do I obtain one?

The Data Universal Numbering System (DUNS) number is a unique nine character identification number provided by the commercial company Dun and Bradstreet (D&B). Call D&B at 1-866-705-5711 if you do not have a DUNS number. Go to http://www.dnb.gov

27. What is the Contractor Open House?

DFAS Columbus holds a quarterly Contractor Open House where contractors can visit our center to obtain information of our day to day operation processes. There is no registration fee, and contractors are responsible for their own transportation and lodging.

For additional information, call 1-800-756-4571, option 6; or commercial 614-693-8507, option 6; or e-mail: CCO-DFAS-OPENHOUSE@DFAS.MIL
For calendar year 2009, we have tentatively scheduled:
August 12
November 18

For 2010, we have tentatively scheduled the following Open Houses:

March 10

May 12

August 11

November 17

The WAWF 'hands-on' workshop in conjunction with Open House will be:

March 11

May 13

August 12

November 18

28. Do you have an 'Open House' for government entities?

They are called Government Roadshows. For additional information, call 1-800-756-4571, option 6; or commercial 614-693-8507 option 6; or e-mail: CCO-DFAS-ROADSHOW@DFAS.MIL