Cash Management Policy

Post date: Apr 11, 2019 6:13:39 PM

Dear Departments All,

We are writing to share a recent presentation about the University’s cash management policy. In sum, the policy outlines the appropriate internal controls and accepted best practices for managing cash or cash equivalents. The purpose of the policy is to provide a process for the collection, accounting, and safeguarding of all negotiable instruments (currency, checks, money orders, gift cards, etc.) on the University’s behalf.

Many of you do not have situations involving cash management, but when situations do arise we want you to be aware of the university policies and compliance requirements. Please see the attached PowerPoint and the full policy here.

Some key takeaways are:

Transaction Support

· Incoming Wire Transfers – Prior to the arrival of the wire, submit an online Cash Claims Form (ServiceLink form) so the Bursar can properly process the wire when it arrives. For any issues or questions about a wire, the best contact is Bursar.Cashiering@nyu.edu.

· Student Check Cashing - NYU student employee payroll checks of up to $ 1,000 may be cashed at the Bursar’s offices located at 383 Lafayette Street (Manhattan StudentLink) and 5 MetroTech Center (Brooklyn StudentLink). There is no fee for students to cash a New York University payroll check.

· Foreign Checks (Non-Gifts) – Gifts to NYU should be managed by UDAR. Any non-gift check not drawn on a U.S. bank or which does not have a U.S. clearing bank listed on it is considered a foreign check even if the check is payable in U.S. funds. Foreign checks must be in excess of one hundred fifty U.S. Dollars ($150.00), or the equivalent currency, before they will be accepted for conversion processing. The Bursar will submit the check(s) to the bank for collection and will only post the amount received to the department's chart fields when the proceeds (U.S. dollars) are remitted back to the University. The collection process for foreign checks may take several weeks to complete. The actual proceeds (U.S. dollars) will be based on bank collection charges and the exchange rate at the time the check is presented for collection.

Policy and Processing Requirements

· Segregation of duties - The responsibilities of receiving cash, recording cash, depositing cash and the reconciliation of the deposit must be separated and performed by different individuals. In no instance should the individual accepting the cash be the same individual responsible for making the deposit and/or performing the reconciliation.

· Proper Receipting and Documentation - When accepting cash on behalf of the University, the following tasks must be performed: (a) record the transaction in a University-approved application and provide a receipt to the customer, (b) place all cash in a secured location, (c) deposit cash on a timely basis to the Bursar (d) reconcile deposits reflected in UDW+ against the department’s receipts.

· Safeguarding of Funds - All forms of Cash (currency, checks, money orders, and negotiable instruments) must be physically protected through the use of safes or vaults, locked cash drawers, locked cash registers, cashier’s cages, locked metal boxes, etc.

· Check Acceptance - All checks must be written payable to “New York University” or “NYU”; any other information on payee line is for the convenience of the department and not necessary for proper credit. All checks must be restrictively endorsed (i.e. “For Deposit only”) immediately upon receipt and recorded appropriately.

· Deposits - Deposits must be made in a timely manner (as defined in the policy) to ensure proper posting of accounts and to ensure the safety of University funds. The transportation of cash and check collections around campus and to/from the Bursar should be kept to a minimum. Money should be carried in a secure bag. NYU Mail Services must never be used for transporting deposits. Currency deposits may be hand-carried by a departmental representative, or in special circumstances by a departmental representative and the NYU Public Safety Office. NYU Public Safety may be contacted if there is a need to schedule an escort from one NYU location to another NYU location on campus.

· Reconciliation - All cash handling units must ensure that all funds are properly deposited and recorded by reconciling their Bursar Transmittal for Funds to Be Deposited forms and departmental records against the UDW+ Budget Detail Report. On a regular basis, at least monthly, departments should retrieve and review their UDW+ reports. Total deposits and account balances should be verified against totals in the departmental records and Bursar Transmittal forms.

Thank you,

Joe

Joseph C. Wright

Senior Director, Fiscal Affairs

Faculty of Arts & Science, NYU

5 Washington Square North

Garden Level, Room B03

New York, New York 10003

212.998.7565 (Office)