campus and student activity funds presented by: internal audit department elizabeth g. henry,...
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CAMPUS AND STUDENTCAMPUS AND STUDENT
ACTIVITY FUNDSACTIVITY FUNDS
Presented by: Internal Audit DepartmentPresented by: Internal Audit Department
Elizabeth G. Henry, AuditorElizabeth G. Henry, Auditor
Angelica R. Salinas, Staff AuditorAngelica R. Salinas, Staff Auditor
Roxanna R. Pedraza, Staff AuditorRoxanna R. Pedraza, Staff Auditor
January 15, 2009January 15, 2009
Campus & Student Activity Campus & Student Activity Funds ManualFunds Manual
Created by Finance department to provide standard policies Created by Finance department to provide standard policies & procedures on the handling of campus and student & procedures on the handling of campus and student activity funds.activity funds.
www.laredoisd.org/departments/finance/sam.htmwww.laredoisd.org/departments/finance/sam.htm
CAMPUS FUNDS DEFINEDCAMPUS FUNDS DEFINED
RAISED AT CAMPUSRAISED AT CAMPUS
MANAGED BY THE PRINCIPAL AND/OR MANAGED BY THE PRINCIPAL AND/OR ADMINISTRATORADMINISTRATOR
USED TO SUPPLEMENT DISTRICT FUNDSUSED TO SUPPLEMENT DISTRICT FUNDS
SHOULD NOT BENEFIT AN INDIVIDUAL OR NON-SHOULD NOT BENEFIT AN INDIVIDUAL OR NON-STUDENT GROUPSTUDENT GROUP
STUDENT FUNDS DEFINEDSTUDENT FUNDS DEFINED MONEY RECEIVED OR HELD BY THE SCHOOL AS MONEY RECEIVED OR HELD BY THE SCHOOL AS
TRUSTEETRUSTEE
RAISED BY INDIVIDUAL STUDENT GROUPSRAISED BY INDIVIDUAL STUDENT GROUPS
DISBURSEMENTS CONTROLLED BY STUDENT DISBURSEMENTS CONTROLLED BY STUDENT GROUPSGROUPS
MUST BE USED FOR DIRECT BENEFIT OF MUST BE USED FOR DIRECT BENEFIT OF STUDENTS OR THE GENERAL BENEFIT OF THE STUDENTS OR THE GENERAL BENEFIT OF THE SCHOOLSCHOOL
Bookkeeper/Student Activity Clerk Responsibilities
• Maintain records as required
• Complete monthly bank statements and activity reports
• Issue checks as authorized by Principal
• Receive money and make receipts
• Deposit monies accordingly
• Notify Principal when Sponsors are not complying with procedures
Basic RecordsBasic Records LISD Official ReceiptsLISD Official Receipts Check Request Form Check Request Form Bank Reconciliation; reportsBank Reconciliation; reports Cash Receipt Voucher Cash Receipt Voucher Deposit LogDeposit Log Fund Raiser Report Fund Raiser Report Incentives Request FormIncentives Request Form Inventory SheetInventory Sheet Money Collected From StudentsMoney Collected From Students Money Disbursed to StudentsMoney Disbursed to Students Returned Check Tracking FormReturned Check Tracking Form IRS Form W-9IRS Form W-9 Gift & Bequest FormGift & Bequest Form
How many sub-accountsHow many sub-accountscan we have?can we have?
Used to account separately for moneyUsed to account separately for money belonging to individual groupsbelonging to individual groups
Do not commingleDo not commingle
Do not overdrawDo not overdraw
Examples of sub-accounts: (Textbooks, Band, Examples of sub-accounts: (Textbooks, Band, Cheerleaders, grade level classes, student clubs, etc.Cheerleaders, grade level classes, student clubs, etc.
Designate at least one account that is used for the Designate at least one account that is used for the benefit of the student body as a whole (ex. Bank service benefit of the student body as a whole (ex. Bank service fees, interest, etc.)fees, interest, etc.)
Official ReceiptsOfficial Receipts
Official LISD receipts must be issued at all timesOfficial LISD receipts must be issued at all times Issued in consecutive orderIssued in consecutive order Original to person submitting moniesOriginal to person submitting monies 11stst copy filed by the bookkeeper copy filed by the bookkeeper 22ndnd copy remains in the book copy remains in the book
Purpose of the Check Request Purpose of the Check Request FormForm
• To provide authorizationTo provide authorization
• To document the purpose of the expenditureTo document the purpose of the expenditure
• To identify the sub-account to be chargedTo identify the sub-account to be charged
• To verify there are enough monies in the accountTo verify there are enough monies in the account
Paying from Activity AccountsPaying from Activity Accounts
Must be paid by Check
Receipts must be provided
Check Request Form must be completed
Not payable to “Cash”
Do not cash checks
Void checks accordingly
Personnel cannot use Federal ID# for personal use
What if sales tax is paid?
CHECKS
• Never keep any pre-signed checksNever keep any pre-signed checks
• Never issue out any pre-signed checksNever issue out any pre-signed checks
• Manual signatures at all times—one signature must be Manual signatures at all times—one signature must be that of the Principalthat of the Principal
BANK RECONCILIATION
MUST RECONCILE THE MONTHLY ACTIVITY STATEMENT TO THE BANK BALANCE
RECONCILIATION FORM MUST BE COMPLETED MONTHLY
THE BANK RECONCILIATION MUST BE SIGNED BY THE PRINCIPAL AND THE PREPARER????
Cash Receipt Voucher
• A RECORD OF A DEPOSIT GIVEN TO THE BOOKKEEPER BY A FACULTY SPONSOR
• DO NOT RECEIVE ANY FORM OF PAYMENT WITHOUT A COMPLETED CASH RECEIPT VOUCHER
Deposits
Daily deposits SHOULD be done unless monies are under $100
Deposits SHOULD be recorded in the deposit log
Deposits SHOULD be recorded in the cash receipt and disbursement journal
Monies entrusted to the bookkeepers SHOULD be kept in a safe place under lock and key
Fundraiser Report Form
The Fundraiser Report is used to document & authorize an activity before it begins
The Principal’s signature is required prior to the activity been held
The Sponsor/Faculty must complete the report within 10 school The Sponsor/Faculty must complete the report within 10 school days of the conclusion of the fundraising eventdays of the conclusion of the fundraising event
Reports which are incomplete and incorrect should be returned to the sponsor
It is the responsibility of the Faculty/Sponsor to account for the fundraised activity
Activity reports SHOULD NOT be completed by the bookkeeper
Voiding Outstanding Checks
A copy of the check will be provided to the Faculty/Sponsor to collect
The check amount will be reversed from accounting records
When the cash is collected the original check will be released
The receipt will indicate NSF redeposit
Lost Checks – Stop Payment
Document reason for voiding
Remove from list of O/S checks
Mark “Void” if check is available
Cut off signature lines
DonationsDonations
How should donations be handled?How should donations be handled?
1. Complete a Gift & Bequest form1. Complete a Gift & Bequest form
2. Attach a copy of the form of payment2. Attach a copy of the form of payment
3. Ask the Principal or Assistant Principal3. Ask the Principal or Assistant Principal
to complete the cash receipt voucherto complete the cash receipt voucher
4. Make note on the receipt 4. Make note on the receipt
Who can collect money?Who can collect money?
a.a. Sponsors/TeachersSponsors/Teachersb.b. CustodianCustodianc.c. PrincipalPrincipald.d. Neighbor down the streetNeighbor down the streete.e. BookkeeperBookkeeperf.f. a & c onlya & c onlyg.g. All of the aboveAll of the above
Principal’s Summary of Principal’s Summary of Fundraising ActivitiesFundraising Activities
Can be prepared monthly or annually
Used by the Principal to plan the activities that will be Used by the Principal to plan the activities that will be held throughout the yearheld throughout the year
Can be used by Bookkeeper to follow up on Can be used by Bookkeeper to follow up on Teachers/Sponsors to turn in moniesTeachers/Sponsors to turn in monies
Can be used to track un/successful activitiesCan be used to track un/successful activities
Internal Audit dept. Internal Audit dept. ResponsibilitiesResponsibilities
• Auditing C & SA funds, periodically or upon requestAuditing C & SA funds, periodically or upon request
• Provide recommendationsProvide recommendations
• Provide assistanceProvide assistance
• Website - anonymous report onlineWebsite - anonymous report online
• Remember you have at your fingertips
A partner…A consultant…A team member…
An Auditor
What should a bookkeeper do if a What should a bookkeeper do if a sponsor doesn’t follow policy as sponsor doesn’t follow policy as required?required?
Notify the Principal Notify the Principal
Do not issue any more checksDo not issue any more checks
Parent Organizations
Monies raised by PTC, PTA, PTO, Booster Club etc. cannot be deposit in the campus account.
A campus bookkeeper can not be a key officer.
FACULTY ACCOUNTSFACULTY ACCOUNTS
Must be maintained in a separate bank account and may Must be maintained in a separate bank account and may not use the employer identification number of the school not use the employer identification number of the school district.district.
Fundraisers held by faculty club members cannot be held Fundraisers held by faculty club members cannot be held during instructional time.during instructional time.
Fundraisers held to benefit the faculty club account cannot Fundraisers held to benefit the faculty club account cannot be held on campus.be held on campus.
RememberRemember
If you don’t make your Principal aware of any problems youIf you don’t make your Principal aware of any problems you
may be having, how do you expect for action to be taken.may be having, how do you expect for action to be taken.
Keep in mind the following:Keep in mind the following:
Sponsors/Teachers must turn in money on a Sponsors/Teachers must turn in money on a daily basisdaily basis
Personal checks cannot substitute for cash Personal checks cannot substitute for cash that was collectedthat was collected
Bookkeeper must ensure agreement with the Bookkeeper must ensure agreement with the Cash Receipt VoucherCash Receipt Voucher
Do not complete the Cash Receipt VoucherDo not complete the Cash Receipt Voucher
Keeping recordsKeeping records
Required to keep records Required to keep records for 5 yearsfor 5 years
Always be available for Always be available for auditaudit
If sponsor leaves—If sponsor leaves—secure all recordssecure all records
Any Questions Our e-mail address:
Internal Audit Department
1520 Victoria 795-3400
795-3262 fax