0730-0005_ss-a_4.16.2021

SUPPORTING STATEMENT – PART A

Personal Check Cashing Agreement – OMB No. 0730-0005

Summary of Changes:

Burden costs have been updated with minimum wage for respondents as it is unknown what their hourly wage would be. The number of respondents has decreased, in turn decreasing the burden. Also, a redeem stamp, used by the disbursing offices, are used in lieu of the DD 2761 in most instances.

1.  Need for the Information Collection

The collection of information is necessary to meet the Department of Defense (DoD) requirement for cashing personal checks overseas and afloat by DoD disbursing activities, as provided in 31 U.S.C. 3342, “Check Cashing and Exchange Transactions.” DoD Financial Management Regulation (FMR) 7000.14, Volume 5, Chapter 4, “Accommodation Exchange,” provides procedures for using the DD Form 2761, Personal Check Cashing Agreement, which includes the eligibility criteria for check cashing services as well as a list of those individuals that may be authorized to receive check cashing services.

2.  Use of the Information

The DD Form 2761, Personal Check Cashing Agreement, is used to meet DoD requirements for personal check cashing and aids disbursing offices in expediting the collection process of dishonored checks. It is available to the respondent from each disbursing office or downloaded from the DoD Forms website (https://www.esd.whs.mil/Directives/forms/) and is kept until the check has cleared. The front of the form will be completed and signed by the authorized individual (respondent) requesting check cashing privileges. By signing the form, the individual is freely and voluntarily consenting to the immediate collection from his/her current pay, without prior notice, for the face value of any check cashed, plus any charges assessed against the government by a financial institution, in the event the check is dishonored. The respondent completes the hardcopy form in person, or submits it by mail. The DoD disbursing office will retain the form.

The reverse side of the form is a Pay Adjustment Authorization (PAA). In the event a check is dishonored, the disbursing office will complete and certify the reverse side of the form and forward it to the applicable payroll office. The disbursing officer’s certification gives the payroll office the authority to deduct the amount indicated on the form from the individual’s pay. The payroll office is then required to inform the submitting disbursing office of the action taken by certifying the PAA as indicated. The completed form will be used to support the disbursing officer’s Statement of Accountability (Standard Form 1219).

3.  Use of Information Technology

Hardcopy forms of the DD 2761 is available from each disbursing office and also, available in fillable PDF format from the DoD forms website. The form is then signed and returned to the disbursing office in person or through the U.S. mail for processing. At this time, 0% electronic submissions are received due to the nature of the form.

4.  Non-duplication

The information obtained through this collection is unique and is not already available for use or adaptation from another cleared source. Although the DoD currently uses the DD Form 139, Pay Adjustment Authorization, to process pay adjustments for military personnel, its use is not normally associated with the actual check cashing process. The Personal Check Cashing Agreement, DD Form 2761 encompasses the check cashing authorization and collection authority, if needed, in one form. The DD Form 2761 is the only collection instrument available for civilians who cash checks that become dishonored.

5.  Burden on Small Business

This information collection does not impose a significant economic impact on a substantial number of small business or entities.

6.  Less Frequent Collection

If the data is not collected, the only means of collection available to the disbursing officer is via the due process procedures. Due process is lengthy, requiring the disbursing office to demonstrate that the debtor has received demand letters and notices of intent to offset the debtors pay. Locating and informing debtors under due process procedures often prove difficult and unsuccessful due to transfers, relocations, and discontinued service. Use of the DD Form 2761 greatly increases the ability to collect the debt and reduce losses to the Government. Therefore, the burden on the respondent cannot be reduced.

7.  Paperwork Reduction Act Guidelines

This collection of information does not require collection to be conducted in a manner inconsistent with the guidelines delineated in 5 CFR 1320.5(d)(2).

8.  Consultation and Public Comments

Part A: PUBLIC NOTICE

A 60-Day Federal Register Notice (FRN) for the collection published on Friday, May 29, 2020. The 60-Day FRN citation is 85 FRN 32372.

No comments were received during the 60-Day Comment Period.

A 30-Day Federal Register Notice for the collection published on Friday, April 16, 2021. The 30-Day FRN citation is 86 FRN 20130.

Part B: CONSULTATION

No additional consultation apart from soliciting public comments through the 60-day Federal Register Notice was conducted for this submission.

9.  Gifts or Payment

No payments or gifts are being offered to respondents as an incentive to participate in the collection.

10.  Confidentiality

A Privacy Act Statement (PAS) is required for this collection; the PAS is provided to respondents at the top of the DD-2761 form.

This collection requires a System of Records Notice (SORN):

T7340, Defense Joint Military Pay System – Active Component at: http://dpcld.defense.gov/Privacy/SORNsIndex/DOD-wide-SORN-Article-View/Article/570191/t7340/.

T7344, Defense Joint Military Pay System – Reserve Component at: http://dpcld.defense.gov/Privacy/SORNsIndex/DOD-wide-SORN-Article-View/Article/570195/t7344/.

T7347b, Defense Military Retiree and Annuitant Pay System at: http://dpcld.defense.gov/Privacy/SORNsIndex/DOD-wide-SORN-Article-View/Article/570196/t7347b/.

M01040-3, Marine Corps Manpower Management Information System Records at: http://dpcld.defense.gov/Privacy/SORNsIndex/DOD-wide-SORN-Article-View/Article/570625/m01040-3/.

This collection requires a Privacy Impact Assessment (PIA):

Defense Joint Military Pay System – Active Component at: http://www.dfas.mil/dam/jcr:be70afa1-215d-4bcf-97c4-adce535e0c34/PIA_DJMSAC.pdf

Defense Joint Military Pay System – Reserve Component at: http://www.dfas.mil/dam/jcr:2f01624a-1823-4881-bdde-157e84009ed7/PIADJMSRC.pdf

Defense Military Retiree and Annuitant Pay System at:

http://www.dfas.mil/dam/jcr:4c735dde-6b84-4f24-8153-bd83643c98b1/PIA_DRAS_2010.pdf

Marine Corps Manpower Management Information System (Total Force Data Warehouse) at: http://www.doncio.navy.mil/uploads/Summary_USMC_TFDW_PIA_11-29-2011.pdf.

Records Retention:

T7340, Defense Joint Military Pay System – Active Component: Records may be temporary in nature and destroyed when actions are completed, superseded, obsolete, or no longer needed. Other records may be cutoff at the end of the payroll year or fiscal year, and destroyed 6 years and 3 months after cutoff. Active Duty pay records created prior to automation were cutoff on conversion to Defense Joint Military Pay System (DJMS), and will be destroyed October 1, 2033, or 56 years after implementation of DJMS. The records are destroyed by tearing, shredding, pulping, macerating, and degaussing the electronic storage media.

T7344, Defense Joint Military Pay System – Reserve Component: Records may be temporary in nature and destroyed when actions are completed, superseded, obsolete, or no longer needed. Other records may be cut off at the end of the payroll year or fiscal year, and destroyed 6 years and 3 months after cutoff. Reserve pay records created prior to automation were cut off on conversion to the Joint Uniformed Military Payroll System (JUMPS), and will be destroyed 56 years after the year in which created. Records created after conversion to Defense Joint Military Pay System - Reserve Component (DJMS-RC) are cut off at end of payroll year and destroyed 56 years after year in which created. The records are destroyed by tearing, shredding, pulping, macerating, burnings or degaussing the electronic storage media.

T7347b, Defense Military Retiree and Annuity Pay System: Disposition for Retired and Annuitant Pay records range from 30 days to 56 years. The administrative records such as, change of address, electronic messages or tax records that are not pay affecting, are destroyed using retention of 30 days to less than 6 years. All pay affecting documents such as retirement documents, account computation information or entitlement/ eligibility records are retained for six years or more and the pay histories are retained for 56 years. Records are destroyed by tearing, shredding, pulping, macerating, burning, or degaussing the electronic storage media.

M01040-3, Disposition pending (until the National Archives and Records Administration approves retention and disposal schedule, records will be treated as permanent).

11.  Sensitive Questions

Disclosure of the Social Security Number (SSN) is used for positive identification due to the payment of a benefit. An approved justification memo is being submitted as part of the OMB package.

12.  Respondent Burden, and its Labor Costs

a.  Estimation of Respondent Burden

Estimation of Respondent Burden Hours
	Number of Respondents	Number of Responses per Respondent	Number of Total Annual Responses	Response Time	Respondent Burden Hours
DD 2761, Personal Check Cashing Agreement	1020	1	1020	.25 hour (15 minutes)	255 hours
Total	1020	1	1020	.25 hour (15 minutes)	255 hours

b.  Labor Cost of Respondent Burden

Labor Cost of Respondent Burden
	Number of Responses	Response Time per Response	Respondent Hourly Wage	Labor Burden per Response	Total Labor Burden
DD 2761, Personal Check Cashing Agreement	1020	.25 hour (15 minutes)	$7.25	$1.8125	$1848.75
Total	1020	.25 hour (15 minutes)	$7.25	$1.8125	$1848.75

*The respondent hourly wage was determined by using the Federal minimum wage at: (https://www.dol.gov/general/topic/wages/minimumwage).

13.  Respondent Costs Other Than Burden Hour Costs

Postage costs in the amount of $15.19 (31 respondents (3% who use mail to return form) x $0.49 cost of postage). There are no capital and start-up costs involved in this information collection.

14.  Cost to the Federal Government

	DD 2761	Total
Number of Responses	1020	1020
Processing Time Per Response (in hours)	.25 hour (15 minutes)	.25 hour (15 minutes)
Hourly Wage of Worker(s) Processing Responses (Federal Civil Service 2017 Pay Structure)	$15.50	$15.50
Cost to Process Each Response	$3.875	$3.875
Total Cost to Process Responses	$3952.50	$3952.50

** OPM Federal Pay Tables 2017 (https://www.opm.gov/policy-data-oversight/pay-leave/salaries-wages/salary-tables/pdf/2017/GS_h.pdf).

Operational and Maintenance Costs
Equipment	Printing***	Postage	Software Purchases	Licensing Costs	Other	Total
$0.00	$98.94	$0.00	$0.00	$0.00	$0.00	$98.94

***Printing costs based on 97% of forms issued at disbursing office multiplied by $0.10 (97% x 1020 respondents x $.10 = $98.94.

Total Cost to the Federal Government
Operational and Maintenance Costs	Labor Cost to the Federal Government	Total Cost
$98.94	$3952.50	$4051.44

15.  Reasons for Change in Burden

This is a reinstatement with change to an expired collection. Burden costs have been updated with minimum wage for respondents as it is unknown what their hourly wage would be. Also, a redeem stamp, used by the disbursing offices, are used in lieu of the DD 2761 in most instances.

16.  Publication of Results

The results of the information collection will not be published.

17.  Non-Display of OMB Expiration Date

We are not seeking approval to omit the display of the expiration date of the OMB approval on the collection instrument.

18.  Exceptions to "Certification for Paperwork Reduction Submissions"

We are not requesting any exemption to the provisions stated in 5 CFR 1320.9.

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