credit account, the COPE remits overages to the
NPFO by check along with a copy of the audit.
For flexible credit accounts, the COPE provides
the clerk with a PS Form 1096, then adjusts the
clerks account using the trust function of the
· Shortages, to include the amount of tolerance,
are replaced by the postal finance clerk at the
time of the audit. The COPE will provide the
clerk with a receipt for the amount. With flexible
accounts, an additional procedure is required by
the COPE, the restitution will be documented
using the suspense function.
· Under certain circumstances, an overage in one
clerks credit may offset a shortage in another
The transfer of funds will be
documented using PS Form 1096, prepared and
signed by the receiving clerk, and provided as a
receipt to the clerk relinquishing the funds. This
can only be done when the auditor has proof the
two clerks exchanged money or stamp stock.
· During audits, individual credit accounts do not
require re-auditing when a shortage or overage
exists within tolerance limits.
differences forward to the next audit. However,
if the individual being audited requests a
re-audit, the auditor shall comply. If the re-audit
agrees with the original audit no further audits
PREPARING DD FORM 2259 FOR FIXED
When conducting an audit, the auditor completes
DD Form 2259, Report of Audit of Postal Accounts
(see figure 14-2 and 14-3). A separate DD Form 2259
will be completed for each account audited.
auditor completes DD Form 2259 (front side) as
Block 1: Enters the units address.
Block 2: Checks the appropriate box for the type of
audit being conducted.
Block 3: Enters the time and date of the audit (six-digit
YR, MO, DAY).
Block 4: Enters the name (last, first, middle initial) and
paygrade of the person being audited and of the auditor.
Block 5: Enters the total amount that the person being
audited is accountable for as listed in the credit amount
block of PS Form 3369.
Completes this section after counting the
entire fixed credit. The blocks correspond to the results
on the back of the form. If applicable, the auditor checks
the overage/shortage block according to the audit
results and lists the amount of overage or shortage next
to the dollar sign.
Block 7: The money order account section must always
be checked and if money orders are in the custody of the
clerk being audited, the serial numbers (first and last)
must be recorded. Money orders must be individually
checked to ensure all blank money order forms are
Block 8: If a postage meter is in the custody of the clerk
being audited, the auditor verifies the beginning and
ending ascending and descending numbers (records in
the remarks section), indicates ending amount, and
ensures the funds are accounted for.
Completes the remarks section with
information given in special instructions (refer to the
NPFO Handbook chapter 3).
Block 10: The signature of the individual being audited
and of the two auditors must be in this block.
The auditor completes DD Form 2259 (reverse
side) as follows:
Block 1: Lists the quantity, denomination, and value of
all stamps in the stamp stock of the clerk being counted.
Block 2: Lists the quantity, denomination, and value of
all cash counted.
Block 3: If a stamp requisition (PS Form 17) has been
submitted and not received, then the auditor indicates
the requisition number, date dispatched, check number,
and the value of the requisition as shown on the file copy
of PS Form 17.
Auditing Money Order Accounts
A postal clerk conducting window transactions
may be selling money orders. An audit of funds from
these sales must also be conducted. This is done by
totaling the amount shown on the money order
vouchers and the amount of fees charged, then
subtracting paid money orders, if any. The clerk must
make up any shortage in the money order fund and any
overages must be collected using PS Form 1096.
Tolerance limits do not apply. The required data is
recorded on DD Form 2259 by the auditors.
Auditors will also verify money order reports to
ensure that money order serial numbers are in sequence
from one report to the next, that spoiled money order