For military service members and Department of Defense (DoD) civilian employees utilizing government travel cards, a key process to understand is split disbursement to the travel card vendor. This system is designed to streamline the payment of official travel expenses charged to the government travel card, ensuring timely payments directly to the vendor, primarily Citi Bank. This article will detail how split disbursement works and why it’s a critical requirement for military personnel and a highly recommended practice for civilians.
For military service members, split disbursement is not optional; it is a mandatory requirement. When filing travel vouchers, whether it’s a SF 1164 for local travel expenses or a DD Form 1351-2 for temporary duty travel (TDY), it is imperative to include all official expenses incurred on the government travel card in the split disbursement section, specifically Box 1 of the DD Form 1351-2. This applies to all charges during official travel periods, including partial or accrual payments for extended temporary travel and even local travel if the card was used.
Supervisors, approving officials, and reviewers play a crucial role in this process. They are now instructed to return any travel claims that do not accurately reflect the credit card charges intended for split disbursement. This measure ensures that the correct amount is directed to Citi Bank. Any remaining balance, after the credit card vendor is paid, will be disbursed to the traveler’s personal bank account via electronic funds transfer (EFT). For all claims processed through the Defense Finance and Accounting Service (DFAS), a reviewer’s signature is mandatory on the travel claim before it can be submitted for payment, adding another layer of oversight to the split disbursement process. For further clarification or assistance regarding this mandatory policy, travelers are encouraged to reach out to their local travel office.
While mandatory for military personnel, DoD civilian employees using government travel cards are strongly encouraged to utilize split disbursement to the maximum extent possible. This best practice also extends to partial and accrual payments for long-term TDY when a government travel card is used. Similar to military claims, partial or accrual payment vouchers require a reviewer’s signature. Claims submitted without a reviewer’s signature and date will be returned unprocessed, highlighting the importance of this step even for voluntary split disbursements.
When travel vouchers are processed by DFAS, the disbursement method is determined by the instructions provided in block 1 of the DD Form 1351-2. However, if block 1 is left blank, DFAS will follow a default procedure to determine fund disbursement. Initially, the travel office will refer to the traveler’s official travel orders. Travel orders are required to indicate whether the traveler is a government travel card holder.
If the travel order confirms that the traveler is a cardholder, and block 1 of the DD Form 1351-2 is empty, the travel office will automatically initiate default split disbursement. This involves calculating the sum of lodging, rental car, and airfare expenses (if claimed on the DD Form 1351-2) and directing this amount to the government travel card company on behalf of the civilian traveler. This default provision ensures that travel card charges are prioritized for payment. Any remaining funds beyond what is owed to the travel card company will then be sent to the traveler’s designated EFT account.
Conversely, if block 1 is empty and the travel order indicates that the traveler is not a travel cardholder, the entire travel payment will be processed and sent directly to the traveler’s EFT account. In situations where block 1 is empty and the travel order does not specify whether the traveler holds a travel card, the travel office will attempt to contact the traveler for clarification. If no clarification is received within 48 hours, the voucher will be returned to the traveler for correction. For more detailed information regarding the implementation of this default split disbursement policy, travelers should contact their local travel office.
It’s important to note that the split disbursement requirement was officially implemented on April 23, 2003. This policy originated from Public Law 107-314, also known as The Bob Stump National Defense Authorization Act for FY 2003, section 1008, and was further detailed in an Under Secretary of Defense (Comptroller) memorandum dated April 23, 2003, titled “Implementation of Legislative Changes to the Department of Defense (DoD) Travel Charge Card Program.” This memorandum also extended the default split disbursement provision to civilian travelers, solidifying its importance across the DoD.
In conclusion, understanding and correctly applying split disbursement to the travel card vendor is crucial for both military service members and DoD civilian employees using government travel cards. Military personnel are required to use it, while civilians are strongly encouraged to do so. By ensuring accurate completion of travel vouchers and understanding the default procedures, travelers can facilitate smooth processing of their claims and maintain compliance with DoD regulations. For any questions or further assistance, your local travel office remains the primary point of contact.
