Purpose: To establish policy and procedures for the handling of cash receipts and deposits, to include currency, coin, checks, ACH transactions, and credit card transactions.
Scope: This policy applies to all school and district operations, administration, licensed educators, staff, students, organizations, and individuals that handle cash receipts or accept payment in any form on behalf of the district or any school. The scope includes all activities and locations where funds are collected.
Segregation of Duties: Wherever possible, duties such as collecting funds, maintaining documentation, preparing deposits and reconciling records should be segregated among different individuals. When segregation of duties is not possible due to the small size and limited staffing, compensating controls such as management supervision and review of cash receipting records by independent parties should be implemented.
Definition: "Public funds" are defined as money, funds, accounts, regardless of the source from which the funds are derived, that are owned, held, or administered by the state or any of its political subdivisions, including LEAs or other public bodies (Utah Code 51-7-3(26)).
START-UP CASH/CHANGE BOXES POLICY
(Proposed March 2014)
1. Each location is authorized to keep a maximum of $200 for start up cash/change box needs. The purpose of the cash/change box is to provide cash and change for student fees, school events, and food service collections. The cash/change box amount kept on hand for cash is not considered to be part of the $500/$1,000 amounts outlined in the frequency of deposits Cash Receipts & Deposits - General Procedures.
2. The cash/change box shall be secured in the safe when not in use.
3. The cash/change box shall be accounted for and counted by at least two individuals each day.
4. Each school administrator shall inspect and verify the count at least one time each week.
5. All daily counts must be recorded and logged daily--including the name of each person involved with the count, date, and time of count. The log shall be available at any time for audit and inspection.
6. Schools must deposit with the bank all amounts received above the $200 being retained for the cash/change box. Schools shall follow Cash Receipts & Deposits - General Procedures.
7. The amount being maintained in the daily cash box must be accounted for on the school's balance sheet.
8. When schools need more than $200 for start up cash/change box needs, the school should write a check to a specific individual who will then go to the bank and cash the check. An annotation or memo should be made on the check indicating the purpose of the check--i.e. "cash box for BHS Basketball". Under no circumstances should a cash box check be written to "Cash" or "Bearer". The check is usually issued to a responsible employee who then delivers the check to the bank to be cashed and then returns the cash back to the school.
***Principle of Two: When dealing with cash collections and cash boxes, great care should be given to ensure two people are working together closely through the event. This protects the integrity of those involved and the safeguarding of cash.
Related Procedures: