On March 25, 2025, Executive Order 14247 (Modernizing Payments To and From America’s Bank Account) was issued to phase out paper check disbursements and receipts by September 30, 2025. 

To ensure compliance and to avoid any unnecessary payment delays, it is strongly encouraged that you contact your contracting office to update your payment method to Electronic Funds Transfer (EFT) or FEDWIRE. 

Compliance is required by September 30, 2025, so contractors who currently receive paper checks should begin the change process now.

SUBJECT: 2025 Fiscal Year-End Processing for Cancelling Year Invoices – Mechanization of Contract Administration Services (MOCAS) Division

In accordance with Public Law 101-510, invoices that cite cancelling year appropriations must be disbursed before the funds cancel on September 30, 2025. As of February 21, 2025, year-to-date funds in jeopardy of cancelling on 22,498 Accounting Classification Reference Numbers (ACRNs) total $3.5 Billion. For assistance in identifying cancelling appropriations and contracts which cite them, please contact your Defense Contract Management Agency (DCMA) representative for a list of the affected contracts and fund codes. Defense Finance and Accounting Service (DFAS) Columbus, MOCAS Division (DFAS-JAL) requests for invoices citing canceling appropriations to be submitted by Tuesday, July 1, 2025. The last MOCAS cycle for fiscal year-end will run the night of Thursday, September 25, 2025, with payments dated Friday, September 26, 2025. DFAS will make every effort to pay invoices received after July 1, 2025, but cannot ensure payment will be made prior to the cancelation of funds.