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F ederal R eserve Bank o f N ew York r Circular No. 6 6 8 1 L January 29, 1971 J COLLECTION OF CASH ITEMS Changes in New York Head Office and Buffalo Branch Time Schedules To the Member BanTcs and Nonmember Clearing BanTcs o f the Second Federal Reserve D istrict: Enclosed are copies of Appendix No. 1, “ New York Head Office Time Schedule,” and Appendix No. 2, “ Buffalo Branch Time Schedule,” both revised effective March 15, 1971, to Operating Circular No. 5. The revised time schedules incorporate the outstanding supplements and reflect advances in the closing times for the receipt of certain cash items and the establishment of separate closing times for the receipt of computer-rejected items, as follow s: New York Head Office Time Schedule. The closing time for immediate-credit items that are fully M ICR qualified and computer-acceptable has been advanced from 6 :00 a.m. to 5 :00 a.m., and for deferred-credit items that are fully M ICR qualified and computer-acceptable, from 1 :30 p.m. to 1 2 :00 noon. The closing time for immediate-credit items that are not M ICR amountencoded has been advanced from 4 :00 a.m. to 3 :00 a.m., and for deferred-credit items that are not MICR amount-encoded, from 12:30 p.m. to 10:00 a.m. Buffalo Branch Time Schedule. The closing time for deferred-credit items payable in the Second Federal Reserve District that are not M ICR amount-encoded has been advanced from 1 :00 p.m. to 1 2 :00 noon. The closing time for deferred-credit items payable in other Federal Reserve Districts that are fully M ICR qualified and computer-acceptable has been advanced from 12 :30 p.m. to 1 2 :00 noon, and for such items that are not M ICR amount-encoded, from 1 1 :30 a.m. to 1 0 :00 a.m. The closing times that have been established in both time schedules for computer-rejected items are the same as for items that are not M ICR amount-encoded. The changes in Appendix No. 1 stem both from a substantial increase in the volume of checks deposited with the Head Office of this Bank for collection at, or just prior to, our present closing times, and from the sizable growth in the number of cash letters received that are not in “ penny p roof.” Despite an increase in staff and the acquisition of addi tional equipment, these factors have prevented us on most days from clearing or dis patching all cash items on the day of receipt. Consequently, the amount of holdover that we are obliged to carry is frequently at unacceptable levels. We have, therefore, revised our time schedule to assure the continued smooth operation of the collection process, the timely presentment of cash items, and the prompt return of unpaid items. The changes in Appendix No. 2 are minor and involve earlier closing times for certain deferred-credit items. We intend to utilize the additional processing time afforded us by the advanced closing hours to minimize errors in our outgoing cash letters. Additional copies of the enclosures will be furnished upon request. A lfr ed H ayes, President. Federal Reserve Ba n k OF N E W YORK Appendix No. 1 to Operating Circular No. 5 Revised effective March 15, 1971 NEW YORK HEAD OFFICE TIME SCHEDULE To the Member Banks and Nonmember Clearing Banks o f the Second Federal Reserve D istrict; 1. Credit for cash items received and accepted at our Head Office will be given, subject to applicable closing times and to sorting and other requirements, as shown below. Immediate credit 2. Immediate credit will be given for the following items received on Mondays through Fridays that are not public holidays: Item s Items on banks in New York City and Northern New Jersey with routing symbols 0210, 0260, 0270, 0280*; checks on the Treasurer of the United States and postal money orders (routing symbol 0000), if not deposited with a separate cash letter and total for each class Closing times If fully MICR qualified and computer-acceptable 5 :00 a.m. I f computer-rejected 3 :00 a.m. I f not MICR amountencoded 3 :00 a.m. (Or later, if the items are cleared on the day of receipt) Checks on the Treasurer of the United States and postal money orders I f deposited with a separate cash letter and total for each class 1 :30 p.m. Redeemed U. S. Department of Agriculture food coupons Must be deposited with a separate cash letter and total 1 :30 p.m. Checks on the Treasurer of the United States in amounts of $5,000 and over Checks on Federal Reserve Bank of New York (including Buffalo Branch) Officers’ checks of other Federal Reserve Banks I f deposited with a separate cash letter and total for each class 3 :30 p.m. * Banks that are participants in the Long Island Check Clearing Bureau should clear 0280 items, as well as 0214 items, through that Bureau. Deferred credit 3. Deferred credit for all items, other than those specified in para graph 2 and transfer drafts (see paragraph 11 of Operating Circular No. 5), that are received on Mondays through Fridays (not public holidays) and, with respect to certain items, that are received on Saturdays (not otherwise public holidays) will be given as indicated below : (a) Unsorted items from certain sending banks and items pay able in the Second Federal Reserve District — ONE BUSINESS DAY AFTER RECEIPT Unsorted items Closing times Mixed cash letters from banks with daily averages of not more than 300 items as specified in para graph 6(a) of Operating Circular No. 5 Mondays through Fridays 12 :00 noon Mixed cash letters from banks with daily averages of not more than 2,000 MICR amount-encoded items as specified in paragraph 6(b) of Operating Circular No. 5 Mondays through Fridays 5 :00 a.m. ( Or later if the immediate-credit items are cleared on the day of receipt) TWO BUSINESS DAYS AFTER RECEIPT Item s payable in Second Federal R eserve D istrict Closing times Items on banks with routing sym bols 0211 through 0217, and 0223 Mondays through Fridays I f fully MICR qualified and computeracceptable 1 2 :00 noon I f computer-rejected 10 :00 a.m. I f not MICR amountencoded 10 :00 a.m. Items fully MICR qualified in both the transit number and amount fields and sorted by depositing banks by means of computer equipment into a separate cash letter for each group of banks listed in separately furnished schedules Mondays through Fridays Saturdays 9:30 p.m. 11 :Q0 a.m. (b) Items payable in the following Federal Reserve Bank or Branch cities* — ONE CALENDAR DAY AFTER RECEIPT Atlanta Baltimore** Boston Buffalo Charlotte Chicago Cincinnati Cleveland Dallas Detroit Houston Kansas City, Kan. Kansas City, Mo. Louisville Minneapolis Nashville New Orleans Philadelphia Pittsburgh Richmond St. Louis St. Paul, Minn. San Francisco TWO CALENDAR DAYS AFTER RECEIPT Little Rock Memphis Oklahoma City Omaha Portland Birmingham Denver El Paso Helena Jacksonville Salt Lake City San Antonio Seattle TWO BUSINESS DAYS AFTER RECEIPT Los Angeles (c) Items payable at banks on the Par List in other Federal Reserve Districts, outside Federal Reserve Bank or Branch cities— TWO BUSINESS DAYS AFTER RECEIPT The closing times for the items listed in subparagraphs (b) and (c) above are as follows: Mondays through Fridays I f fully MICR qualified and computer-acceptable I f computer-rejected I f not MICR amount-encoded 12 :00 noon 1 0 :00 a.m. 10:00 a.m. Saturdays I f fully MICR qualified and computer-acceptable 11:00 a.m. Sorting requirements 4. Except as provided in paragraphs 4, 6, 7, and 11 of Operating Circular No. 5, the general sorting requirements set forth below will apply. * For purposes of this circular, the term “ Federal Reserve Bank or Branch cities” includes Kansas City, Kan., and St. Paul, Minn. ** Includes items drawn on banks participating in the Baltimore regional check clearing center bearing routing symbols 0520, 0540, 0550, and 0560. Immediate-credit items 5. All immediate-credit items may be deposited in a single sort, including checks on the Treasurer of the United States and postal money orders (routing symbols 0000, 0210, 0260, 0270, and 0280). However, if such items are not M ICR amount-encoded we may require, where volume warrants, a separate sort of checks on the Treasurer of the United States and postal money orders, or of each. D e j e r r e d 'C r e d i t i t e m s 6 . All deferred-credit items, including items payable in other Federal Reserve Districts (all routing symbols other than those indi cated in paragraph 5 above), may be deposited in a single sort. How ever, we may require, where volume warrants, that such items payable in other Federal Reserve Districts or in the territory served by our Buffalo Branch be sent direct and that such items that are not MICR amount-encoded be sorted into the following two classes: (a) Those payable in the Second Federal Reserve District with routing symbols 0211 through 0217, and 0223, and (b) Those payable in other Federal Reserve Districts, and in the City of Buffalo with routing symbol 0220, where the volume is not suffi cient to require direct sending. Effect of this appendix upon previous appendix 7. This appendix supersedes Appendix No. 1, Revised effective September 2, 1969, and the First and Second Supplements thereto dated January 2, 1970 and July 29, 1970. A lfred H ayes, President. Federal Reserve of New Ba n k York Appendix No. 2 to Operating Circular No. 5 Revised effective March 15, 1971 BUFFALO BRANCH TIME SCHEDULE To the Member Banks and Nonmember Clearing Banks o f the Second Federal Reserve D istrict; 1. Credit for cash items received and accepted at our Buffalo Branch will be given, subject to applicable closing times and to sort ing and other requirements, as shown below. Immediate credit 2. Immediate credit will be given for the following items received on Mondays through Fridays that are not public holidays: Item s Closing times Items on banks in Buffalo (routing symbol 0220); checks on the Treasurer of the United States and postal money orders (routing symbol 0000), if not deposited with a separate cash letter and total for each class I f fully MICR qualified and computer-acceptable I f computer-rejected I f not MICR amountencoded ( Or later, if the items are the day of receipt) Checks on the Treasurer of the United States and postal money orders I f deposited with a separate cash letter and total for each class 2 :30 p.m. Redeemed U. S. Department of Agriculture food coupons Must be deposited with a separate cash letter and total 2 :30 p.m. Checks on the Treasurer of the United States in amounts of $5,000 and over Checks on Federal Reserve Bank of New York (including Buffalo Branch) Officers’ checks of other Federal Reserve Banks I f deposited with a separate cash letter and total for each class 3 :30 p.m. 8 :00 a.m. 6 :00 a.m. 6 :00 a.m. cleared on Deferred credit 3. Deferred credit for all items, other than those specified in para graph 2 and transfer drafts (see paragraph 11 of Operating Circular No. 5), that are received on Mondays through Fridays (not public holidays) will be given as indicated below : (a) Unsorted items from certain sending banks and items pay able in the Second Federal Reserve District— ONE BUSINESS DAY AFTER RECEIPT Closing times Unsorted items M ixed cash letters from banks with daily averages o f not more than 300 items as specified in p ara graph 6 (a ) o f O perating Circular N o. 5 2:00 p.m. M ixed cash letters from banks with 8 :00 a.m. daily averages o f not more than ( Or later i f the im mediate-credit 2,000 M IC R amount-encoded items are cleared on the day o f items as specified in paragraph receipt) 6 (b ) o f O perating Circular No. 5 TWO BUSINESS DAYS AFTER RECEIPT Item s payable in Second F ederal R eserve D istrict Closing times Items on banks with routing symbols 0211 through 0217, and 0223 I f fu lly M IC R qualified and com puter-acceptable 2 :00 p.m. I f com puter-rejected 12 :00 noon I f not M IC R amountencoded 1 2 :00 noon Items o f $500 and over on above banks, i f M IC R am ount-encoded and deposited in a separate cash letter 3 ;00 p.m. (b) Items payable in the following Federal Reserve Bank or Branch cities*— ONE CALENDAR DAY AFTER RECEIPT Atlanta Baltimore** Birmingham Boston Charlotte Chicago Cincinnati Cleveland Dallas Denver Detroit Houston Jacksonville Kansas City, Kan. Kansas City, Mo. Little Rock Louisville Memphis Minneapolis Nashville New Orleans New York City Oklahoma City Omaha Philadelphia Pittsburgh Portland, Ore. Richmond St. Louis St. Paul, Minn. Salt Lake City San Antonio San Francisco Seattle * For purposes o f this circular, the term “ Federal Reserve Bank or Branch cities” includes Kansas City, Kan., and St. Paul, Minn. ** Includes items drawn on banks participating in the Baltimore regional check clearing center bearing routing symbols 0520, 0540, 0550, and 0560. TWO CALENDAR DAYS AFTER RECEIPT El Paso Helena TWO BUSINESS DAYS AFTER RECEIPT Los Angeles (c) Items payable at banks on the Par List in other Federal Reserve Districts, outside Federal Reserve Bank or Branch cities— TWO BUSINESS DAYS AFTER RECEIPT The closing times for the items listed in subparagraphs (b) and (c) above are as follow s: M ondays through Fridays I f fu lly M IC R qualified and com puter-acceptable 1 2 :00 noon I f com puter-rejected 1 0 :00 a.m. I f not M IC R amount-encoded 1 0 :00 a.m. Sorting requirements 4. Except as provided in paragraphs 4, 6, 7, and 11 of Operating Circular No. 5, the general sorting requirements set forth below will apply. Immediate-credit items 5. All immediate-credit items may be deposited in a single sort, including checks on the Treasurer of the United States and postal money orders (routing symbols 0000 and 0220). However, if such items are not MICR amount-encoded we may require, where volume warrants, a separate sort of checks on the Treasurer of the United States and postal money orders, or of each. Deferred-credit items 6 . All deferred-credit items, including items payable in other Federal Reserve Districts (all routing symbols other than those indi cated in paragraph 5 above), may be deposited in a single sort, pro vided they are deposited prior to the closing hours applicable to items specified in paragraphs 3 (b ) and 3 (c) above. However, we may re quire, where volume warrants, that such items payable in other Fed eral Reserve Districts or in the territory served by our Head Office be sent direct and that such items that are not MICR amount-encoded be sorted into the following two classes: (a ) Those payable in the Second Federal Reserve D istrict with routing symbols 0211 through 0217, and 0223, and (b ) Those payable in other Federal Reserve Districts, and in New Y ork City and Northern New Jersey with routing symbols 0210, 0260, 0270, and 0280, where the volume is not sufficient to require direct sending. Effect of this appendix on previous appendix 7. This appendix supersedes Appendix No. 2, Revised effective September 2, 1969, and the First Supplement thereto dated January 2, 1970. A lfred H ayes, President.
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