What you need to know about Finance

Presenters: Phoebe NewsomeJana Gray

Mike Weaver

Madison City Schools Elementary Principal’s Meeting

June 12, 2015

Monthly Accounting Reports

Elementary Principal’s MeetingJune 12, 2015Presented by: Phoebe Newsome

Monthly Local School Accounting Checklist

1. Bank Statement2. Reconciliation Report3. Principal’s Report4. LSA Monthly Financial

Statement Report

Bank Statement

Make sure deposits are made dailyThere should be a deposit made everyday

school is in session. Ending Bank Balance

Should be the same as statement ending balance on Reconciliation Report.

Review bank charges and returned items

Reconciliation Report

Statement Ending Balance-make sure it is the same as on Bank Statement

Scan vendor checks issued – old outstanding ones may need replacing

Review other reconciliation items› Deposits in Transit› Bank Charges› NSF Checks

Principal’s Report

#1 Receipts collected for the month #2 Total Receipts collected for the year #3 Payments made for the month #4 Total Payments made for the year #5 Net Effect of receipts less payments #6 Beginning Balance of each activity #7 Current balance of each activity #8 Outstanding Purchase Orders

Things to Check

Column #1- If each activity has been collecting the expected revenue.

Column #3- See what each activity has spent for the month.

Column #7- Make sure each activity is not operating with a negative balance. Totals include public and non-public on this report.

Column #8-Encumbrances –Outstanding purchase orders

LSA Monthly Financial Statements

Details your revenue and expenditures Ending balances should match the

grand total on the Principal’s Report

Competitive Bid LawElementary Principal’s Meeting

June 12, 2015Presented by: Jana Gray

To what it applies:

•Any expenditure for services, purchase of materials, equipment and/or supplies in a fiscal period in the amount of…..

•Public Funds Only

$15,000 or more

Exceptions to the Bid Law:

•If service is considered Public Works (Applies to any construction, repair, renovation, or maintenance of public buildings in excess of $50,000) –Please contact Finance Office before assuming….

•If Product is offered via Purchasing Consortium:• State Bid• U.S. Communities, • North Alabama Cooperative Purchasing Association• Alabama Joint Purchasing Program

•If paid with non-public funds

•If item/service is exempt from bid (professional services, books, maps, pamphlets, security items)

What happens if you don’t bid??

You see these pretty faces in jail!

Your Picture Here

Local School Funds

Elementary Principal’s MeetingJune 12, 2015

Presented by: Jana Gray

What are public funds?

1. Funds received from public (tax) sources.

2. Funds received from non-tax sources but used for public purposes.

3. Any funds under the direct control of the school principal.

This is just a test!1) Personal Items for Staff (Example: Gifts, Flowers, T-Shirts):

Unallowable2) Professional Development Training:

Allowable3) Scholarships for Students:

Unallowable4) Academic Incentives for Students:

Allowable5) School landscaping and decorations:

Allowable6) Food Items for Social Gatherings:

Unallowable7) Refreshments for Open House:

Allowable8) Memberships in Professional Organizations:

Allowable9) Memberships to Private Organizations:

Unallowable10) Extra pay to an employee for planting flowers over the weekend:Unallowable…from school funds but can be paid through payroll

So, what happens if you pay for unallowable items out of Public

Accounts?

Get out your personal check book…..

And Start Writing….

School Credit Cards

Elementary Principal’s MeetingJune 12, 2015

Presented by: Jana Gray

Things to know

Not the same card as Classroom Material card

Public Fund purchases ONLY

Secure funding before purchase is made (Requisition/Purchase Order)

Bill will be paid at local school on a monthly basis

Contact Jana with issues

Business Related Items

Elementary Principal’s MeetingJune 12, 2015Presented by: Mike Weaver

Compensatory Time/Overtime

Compensatory Time – Allowed.› Account for their time on Time Sheet› No pay unless approved

Overtime – Not Authorized.

Payment of Employees

Not allowed by local schools. Contracts must be approved and

funded prior to work commencing.

State Fee Money

Teachers allowed to spend funds for Instructional supplies.

Cut-Off Dates No voting required. Next Year

› Credit Cards› Voting etc.

Signature Stamps

Be careful with custody.

Ethics

Thing of Value› Any gift, benefit, favor, service, tickets or

passes to an entertainment, social or sporting event, unsecured loan, other than those loans and forbearance made in ordinary course of business, reward, promise of future employment, or honorarium or some other item of monetary value.

Ethics

Personal Use of Office› Himself or Herself› Family Member (Spouse and Dependents)› Any Business Associated

Personal gain is achieved when something is received, obtained exerts control over, or otherwise converts to personal use.

Ethics

No Personal Use – Office, Equipment, facilities, time, materials or human labor for benefit.

No use or disclosure of confidential information gained in the course of or by reason of his or her position or employment in any way that could result in financial gain.

Ethics

No soliciting anything of value from a subordinate.

You or family member cannot solicit or receive anything for purpose of corrupting influence regardless of value.

Ethics

Public Contracts› Unless exempt by competitive bid laws.› No public employee shall enter into any

contract to provide goods or services which is to be paid in whole or in part out of State or Local Funds.

Employee Self Service

Demographics Direct Deposit W4 A4 Deduction Inquiry Leave Earnings Check Stubs

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? Madison City SchoolsElementary Principal’s Meeting

June 12, 2015