The Federal Reserve Banks provide a range of services to the U.S. government, including financial and securities services, application development, and technology infrastructure support. The Reserve Banks maintain the Treasury's operating account, accept deposits, pay checks drawn on the Treasury, and make electronic payments on behalf of the Treasury and government agencies. The Reserve Banks also process food coupons and U.S. postal money orders and conduct other activities on behalf of certain government agencies.
In addition, the Reserve Banks provide securities services on behalf of the Treasury, other federal agencies, and certain government-sponsored entities. For example, the Reserve Banks support the auction, issuance, and redemption of marketable Treasury securities as well as the processing of U.S. savings bonds. The Reserve Banks also perform monitoring and management activities in support of several Treasury collateral programs.
The Reserve Banks also provide application development and infrastructure support services to the Treasury's efforts to improve government cash and debt-management processes. The Treasury and government agencies reimburse the Reserve Banks for the cost of providing these services.
Further information on fiscal agency services.