INTERNAL CONTROL RPT

Report of Independent Registered Public Accounting Firm

To the Board of Trustees and Shareholders of
Franklin U.S. Government Money Fund

In planning and performing our audit of the financial statements of
Franklin U.S. Government Money Fund (the "Fund") as of and for the year
ended June 30, 2018, in accordance with the standards of the Public Company
Accounting Oversight Board (United States) ("PCAOB"), we considered the
Fund's internal control over financial reporting, including controls over
safeguarding securities, as a basis for designing our auditing procedures
for the purpose of expressing our opinion on the financial statements and
to comply with the requirements of Form N-CEN, but not for the purpose of
expressing an opinion on the effectiveness of the Fund's internal control
over financial reporting.  Accordingly, we do not express an opinion on
the effectiveness of the Fund's internal control over financial reporting.

The management of the Fund is responsible for establishing and maintaining
effective internal control over financial reporting. In fulfilling this
responsibility, estimates and judgments by management are required to
assess the expected benefits and related costs of controls.  A company's
internal control over financial reporting is a process designed to provide
reasonable assurance regarding the reliability of financial reporting and
the preparation of financial statements for external purposes in accordance
with generally accepted accounting principles.  A company's internal
control over financial reporting includes those policies and procedures
that (1) pertain to the maintenance of records that, in reasonable detail,
accurately and fairly reflect the transactions and dispositions of the
assets of the company; (2) provide reasonable assurance that transactions
are recorded as necessary to permit preparation of financial statements
in accordance with generally accepted accounting principles, and that
receipts and expenditures of the company are being made only in
accordance with authorizations of management and directors of the
company; and (3) provide reasonable assurance regarding prevention or
timely detection of unauthorized acquisition, use or disposition of a
company's assets that could have a material effect on the financial
statements.

Because of its inherent limitations, internal control over financial
reporting may not prevent or detect misstatements.  Also, projections
of any evaluation of effectiveness to future periods are subject
to the risk that controls may become inadequate because of
changes in conditions, or that the degree of compliance with
the policies or procedures may deteriorate.

A deficiency in internal control over financial reporting exists when the
design or operation of a control does not allow management or employees, in
the normal course of performing their assigned functions, to prevent or
detect misstatements on a timely basis.  A material weakness is a
deficiency, or a combination of deficiencies, in internal
control over financial reporting, such that there is a
reasonable possibility that a material misstatement of the company's
annual or interim financial statements will not be prevented
or detected on a timely basis.

Our consideration of the Fund's internal control over financial reporting
was for the limited purpose described in the first paragraph and would not
necessarily disclose all deficiencies in internal control over financial
reporting that might be material weaknesses under standards established by
the PCAOB.  However, we noted no deficiencies in the Fund's internal
control over financial reporting and its operation, including controls
over safeguarding securities, that we consider to be a material
weakness as defined above as of June 30, 2018.

This report is intended solely for the information and use of the
Board of Trustees of Franklin U.S. Government Money Fund and the
Securities and Exchange Commission and is not intended to be and
should not be used by anyone other than these specified parties.



/s/PricewaterhouseCoopers LLP
San Francisco, California
August 16, 2018

INST DEFINING RIGHTS

NAME OF REGISTRANT:
Franklin U.S. Government Money Fund
File No. 811-02605

EXHIBIT ITEM: Terms of new or amended securities
Notice of Automatic Conversion of Class C Shares to
Class A Shares after 10-Year Holding Period

At Board meetings held on February 26 and 27, 2018, the Board of Trustees
approved an automatic conversion feature for the Fund's Class C shares
(which includes Class C1 shares as applicable) that will automatically
convert shareholders' Class C shares into Class A shares of the same
Fund after they have been held for 10 years. After conversion, your new
shares will be subject to Class A shares' lower Rule 12b-1 fees.  The
conversion feature will become effective on or about October 5, 2018.Later
that month Class C shares of the Fund that have been outstanding for
10 years or more will automatically convert to Class A shares of
such Fund on the basis of the relative net asset values of the
two classes. Thereafter, Class C shares of the Fund will convert
automatically to Class A shares of such Fund on a monthly basis in the
month of, or the month following, the 10-year anniversary of the
Class C shares' purchase date. Class C shares of the Fund acquired
through automatic reinvestment of dividends or distributions will
convert to Class A shares of the Fund on the conversion date pro
rata with the converting Class C shares of the Fund that were not
acquired through reinvestment of dividends or distributions.
Shareholders will not pay a sales charge, including a contingent
deferred sales charge, upon the conversion of their Class C shares
to Class A shares pursuant to this conversion feature. The automatic
conversion of the Fund's Class C shares into Class A shares after
the 10-year holding period is not expected to be a taxable event for
federal income tax purposes. Shareholders should consult with their
tax advisor regarding the state and local tax consequences
of such conversions.
Class C shares held through a financial intermediary in an omnibus
account will be converted into Class A shares only if the intermediary
can document that the shareholder has met the required holding period.
In certain circumstances, when shares are invested through retirement plans,
omnibus accounts, and in certain other instances, the Fund and its agents
may not have transparency into how long a shareholder has held
Class C shares for purposes of determining whether such Class C shares
are eligible for automatic conversion into Class A shares and the financial
intermediary may not have the ability to track purchases to credit
individual shareholders' holding periods.  This primarily occurs when
shares are invested through certain record keepers for group retirement
plans, where the intermediary cannot track share aging at the participant
level.In these circumstances, the Fund will not be able to automatically
convert Class C shares into Class A shares as described above. In order
to determine eligibility for conversion in these circumstances, it is the
responsibility of the shareholder or their financial intermediary to
notify the Fund that the shareholder is eligible for the conversion
of Class C shares to Class A shares, and the shareholder or their
financial intermediary may be required to maintain and provide the Fund
with records that substantiate the holding period of Class C shares.
It is the financial intermediary's (and not the Fund's) responsibility
to keep records and to ensure that the shareholder is credited with the
proper holding period. Please consult with your financial intermediary
about your shares' eligibility for this conversion feature.
Also effective October 5, 2018, new accounts or plans may not be eligible
to purchase Class C shares of the Fund if it is determined that the
intermediary cannot track shareholder holding periods to determine
whether a shareholder's Class C shares are eligible for conversion
to Class A shares.  Accounts or plans (and their successor, related
and affiliated plans) that have Class C shares of the Fund available to
participants on or before October 5, 2018, may continue to open accounts
for new participants in such share class and purchase additional shares
in existing participant accounts.  The Fund has no responsibility for
overseeing, monitoring or implementing a financial intermediary's process
for determining whether a shareholder meets the required holding
period for conversion.
A financial intermediary may sponsor and/or control accounts, programs or
platforms that impose a different conversion schedule or different
eligibility requirements for the conversion of Class C shares
into Class A shares. In these cases, Class C shareholders may
convert to Class A shares under the policies of the financial
intermediary and the conversion may be structured as an exchange of
Class C shares for Class A shares of the same Fund. Financial
intermediaries will be responsible for making such exchanges in
those circumstances. Please consult with your financial intermediary
if you have any questions regarding your shares' conversion from
Class C shares to Class A shares.

MATERIAL AMENDMENTS

NAME OF REGISTRANT:
Franklin U.S. Government Money Fund
File No. 811-02605

EXHIBIT ITEM: Copies of any material amendments to the registrant's
charter or by-laws

Amendment Effective February 1, 2018
To the By-Laws of Franklin U.S. Government Money Fund (the "Trust")

WHEREAS, Article VIII, Section 2 of the By-Laws provides that the By-Laws
may be amended by the Board of Trustees; and

WHEREAS, by resolutions adopted October 24, 2017 at a meeting of the
Board of Trustees of the Trust, the Board of Trustees unanimously
authorized the By-Laws to be amended as set forth below.

NOW THEREFORE, the By-Laws are hereby amended as follows:

1.	ARTICLE VII, Sections 3, 4  and 6 are replaced in their entirety
with the following:


Section 3.	CERTIFICATES FOR SHARES.  No certificate or certificates for
Shares shall be issued to Shareholders and no Shareholder shall have the
right to demand or require that a certificate for Shares be issued to it.
The Trust shall adopt and use a system of issuance, recordation and
transfer of its shares by electronic or other means.
Section 4.	LOST CERTIFICATES.  No new certificate for
Shares shall be issued to replace an old certificate that is
surrendered to the Trust for cancellation.  In case any Share certificate
or certificate for any other security is lost, stolen, or destroyed, such
certificate shall be cancelled and the ownership of an uncertificated Share
shall be recorded upon the books of the Trust, on such terms and conditions
as the Board may require, including a provision for indemnification of
the Board and the Trust secured by a bond or other adequate security
sufficient to protect the Trust and the Board against any claim that may be
made against either, including any expense or liability on account of the
alleged loss, theft, or destruction of the certificate.


Section 6.	TRANSFERS OF SHARES.  Shares are transferable,
if authorized by the Declaration of Trust, only on the record books
of the Trust by the Person in whose name such Shares are registered,
or by his or her duly authorized attorney-in-fact or representative.
Upon receipt of proper transfer instructions from the registered
owner of certificated Shares, and upon the surrender for cancellation
of such certificates representing the number of Shares to be transferred
with an assignment and power of transfer endorsed thereon or attached
thereto, duly executed, with such proof of the authenticity of the
signature as the Trust or its agents may reasonably require, the Trust
shall cancel the old certificate and record the transaction and ownership of
uncertificated Shares upon the books of the Trust.  Upon receipt of proper
transfer instructions from the registered owner of uncertificated Shares,
such uncertificated Shares shall be transferred on the record books to
the Person entitled thereto.  The Trust, its transfer agent or other duly
authorized agents may refuse any requested transfer of Shares, or request
additional evidence of authority to safeguard the assets or interests of
the Trust or of its Shareholders, in their sole discretion.  In all cases of
transfer by an attorney-in-fact, the original power of attorney, or an
official copy thereof duly certified, shall be deposited and remain
with the Trust, its transfer agent or other duly authorized agent.
In case of transfers by executors, administrators, guardians or
other legal representatives, duly authenticated evidence of their
authority shall be presented to the Trust, its transfer agent or
other duly authorized agent, and may be required to be deposited
and remain with the Trust, its transfer agent or other duly authorized agent.


Adopted and approved as of October 24, 2017 by the Board of Trustees.


/s/ Steven J. Gray__________
(Signature)

Steven J. Gray
(Name)

Assistant Secretary
(Title)