The Bureau of Engraving and Printing delivered 8.4 billion Federal
Reserve notes of all denominations to the Federal Reserve in Fiscal
Year 2012, according to the 2012 BEP Chief Financial Officer
Performance and Accountability Report, released in late May 2013.
Of that total, 3.4 billion notes were produced at the BEP’s
Washington, D.C., plant, and 5 billion notes were produced at the
BEP’s Western Currency Facility in Fort Worth, Texas.
Sales of the notes to the Federal Reserve resulted in revenue of
$736 million and an excess of revenue over expenses of $54 million,
according to the report.
That compares with FY2011, when the BEP delivered 5.8 billion FRNs
to the Federal Reserve Board. Of that total, the BEP’s Washington,
D.C., facility delivered 2.3 billion FRNs; the Western Currency
Facility in Fort Worth, Texas, delivered 3.5 billion FRNs.
Sales of the notes to the Federal Reserve Bank in FY2011 resulted
in revenue of $548 million, and an excess of revenue over expenses of
Notes delivered during FY2012 included a long-delayed issue.
The Federal Reserve Board “has begun to accept delivery and build
inventories” of the new Series 2009 $100 Federal Reserve notes,
according to the report, released in late May 2013.
The new $100 FRNs are expected to be released into circulation
Oct. 8, 2013, more than two years later that originally announced by
the Federal Reserve.
The new designs for the $100 Federal Reserve notes were unveiled
April 21, 2010, and the notes were expected to be placed into
circulation Feb. 10, 2011. However, problems that arose early in the
production of the notes resulted in delays as causes of the problems
were identified and corrected.
The new $100 FRNs are among the 7.8 billion FRNs of all
denominations that the Federal Reserve Board has ordered for Fiscal
During FY2012, the BEP continued to install a new overprinting
system known as Large Examining and Printing Equipment that will
enable the BEP to produce 50-subject sheets of FRNs. Two LEPE systems
were installed at the BEP’s Texas facility and the bureau received
approval to begin production of the $1 FRNs there in 2013. Testing of
a LEPE in the Washington, D.C., plant began in 2012.
Looking ahead to FY2013
The implementation of 50-subject production of $1 FRNs is high on
the priority list for Fiscal Year 2013, according to the report. To
that end, the installation of the first Computerized Inspection System
was installed in Washington, D.C., during FY2012. The system is
capable of inspecting offset/intaglio printed sheets of up to 50
subjects and will be used to inspect 32-subject sheets for both the
conventional overprinting equipment (COPE) and the new LEPEs.
Also looking ahead for Fiscal Year 2013, the BEP is continuing to
work on the development of tactile features and the use of large,
high-contrast numerals for Federal Reserve notes to help blind and
visually impaired persons identify FRN denominations. The
accommodations fulfill a requirement of a court decision in a lawsuit
filed in 2002.
The use of a raised tactile feature will be something new for U.S.
paper money. Tactile features are common on notes of other nations.
The tactile feature will be unique to each FRN denomination and
provide users with a means of identifying each denomination by way of
touch, the BEP states.
The size, color, placement, background contrast and other aspects
of the larger numerals are all factors that will have to be considered
in any future redesign.
The BEP has said it will be incorporating these features into the
next redesign of FRNs, after the Series 2009 $100 FRN is released.
Copies of the 2012 CFO report may be requested from the BEP by
telephoning the agency at 877-874-4114. ■