The Federal Reserve Banks have announced that the Federal Reserve Bank of Cleveland will serve as the single paper check processing and adjustments site and that the Federal Reserve Bank of Atlanta will serve as the single electronic check processing site for the Federal Reserve System. The Reserve Banks also announced they will utilize a flexible restructuring schedule that scales back or shifts operations at their other sites when paper check volumes no longer justify the existing operation.
This strategy updates the June 2007 announcement that identified the Federal Reserve Banks of Atlanta, Dallas, Philadelphia and Cleveland as regional processing sites. Since that time, paper check volumes have declined significantly and no longer support the need for four full-service regional sites.
Under the Reserve Banks’ plans, selected sites may remain as capture/print sites or print-only sites for a period of time during this transition based on market conditions and remaining paper check volume. The specific transition dates for all paper processing sites, including Atlanta, Dallas and Philadelphia, will be determined on that same basis. Customers in affected territories will receive a minimum of 60 days notice before processing operations are shifted to a new site or any service level changes take place.
The transition from four to one full service paper processing site is likely to take place by the end of 2009. In addition, the schedules for transitioning the other current processing sites are being accelerated to take place earlier in 2009 than previously planned.
See the press release for full details.