Cash Handling/Change Fund

Purpose

These procedures ensure proper receipting, handling, recording and depositing of University funds and institute a controlled process for handling of cash/change funds by University employees.

Policy

Change funds must be authorized by the Comptroller’s Office. Departments with a change fund must maintain the following:

  • Written change fund/cash handling procedures specific to their department
  • Copy of Comptroller’s authorization for the fund

Procedures

Receipt of Funds

The following are examples of how money may be received by a department:

  • Reimbursement of a previously incurred expense or a travel advance
  • Receipt of a gift under $50 and/or deposit of funds from an uncommon or unusual event (bake sales, fines, etc.)

Checks should be made payable to The University of Texas at El Paso and endorsed immediately with a University stamp “FOR DEPOSIT ONLY”. The following steps should be taken when receiving a check:

  • Ensure the check is not postdated
  • Ensure the numerical amount of the check agrees with the written amount
  • Secure appropriate identification from the individual. Write ID number on the face of the check.
  • Make sure the check is signed
  • Checks should be written for the exact sales amount only
  • Do not accept checks from individuals with a history of writing “bad” checks as referenced by the NSF database.

Recording Receipt of Funds

Receipt of cash or checks should be recorded immediately through either pre-numbered receipts or log books:

  • A supervisory level staff member must ensure numeric accountability of receipts
  • Pre-numbered receipts - all voided receipts must be approved by a supervisory level staff member who does not function as a cashier.
  • Log books may be used to record mail receipts and must be bound with pre-numbered pages (ledger book).
  • All entries must contain the date received, check number, payer information, amount, purpose, account and object code to be credited.

A written record of all money collected must be properly receipted. Departments may obtain deposit supplies from the Student Business Services Office. All cash and checks received must be balanced to receipts on hand daily.

  • Any shortages/overages exceeding twenty-five dollars must be reported to the Office of Internal Auditing and Consulting Services. All overages must be deposited as part of the regular deposit.
  • All cash custodians must ensure that receipts are reconciled to the Statement of Account on a monthly basis.

Depositing Funds

Regents’ rules and regulations require accumulations of $250 or more be deposited daily and accumulations of less than $250 be deposited at least weekly. Preparers of deposits must either sign the “Deposit Summary Form” or initial the deposit slip. Before making the deposit, there must be a secondary review of all deposits by a supervisory staff member, evidenced by a signature on the “Deposit Summary Form” and initials on the deposit slip

To complete a deposit for pick-up by Campus Police the following steps must be taken:

  • Create own Cash Receipt Voucher (VC1)
  • Complete deposit slip
  • Place deposit and white copy of deposit slip into deposit bag
  • Ensure bag is sealed; tampered or unsealed bags WILL NOT be accepted
  • Contact Campus Police for pick-up and delivery of deposit
  • Maintain a “Departmental Deposit and Pick-up Log” (should be signed or initialed by Campus Police) and reconcile this log to the statement of account on a monthly basis

To complete a deposit for hand delivery by department the following steps must be taken: Provide a completed “Deposit Summary Form”; deposits WILL NOT be accepted if summary is incomplete Deliver deposit to Student Business Services Cashier will issue a receipt for deposit containing the department name, account number, amount of the deposit, and the date Reconcile cashier receipt and copy of the “Deposit Summary Form” to the statement of account on a monthly basis

Bills must be “strapped”. “Strapping” refers to the process of wrapping bills together. Currency should be “strapped” in the following denominations:

Bill Straps
$1 $50 or $100
$5 $250 or $500
$10 $500 or $1,000
$20 $1,000 or $2,000
$50 $1,000, $2,000 or $5,000
$100 $1,000, $2,000, $5,000 or $10,000

Currency should also be “faced”, meaning all bills facing in the same direction.

When a counterfeit bill is detected at point of transaction, immediately confiscate the bill(s) and contact Campus Police. Obtain as much information as possible on the individual from whom the bill was confiscated (name, address, telephone number, etc.). Initial and date the bill(s) and surrender it only to Campus Police.

If a counterfeit bill is detected after the transaction has occurred, surrender the bill(s) to Student Business Services. The bill(s) will be forwarded to the bank and the department will be issued a receipt with the following information:

  • Department name
  • Date
  • Bill value
  • Front and back plate serial number

Securing Funds

  • All cash must be maintained in a secure area. Examples of secure areas include a safe or a locking cash box secured in a locked cabinet or desk.
  • Access to the cash fund will be limited to only those individuals authorized and responsible for the fund.
  • Department heads must maintain a list of all individuals having keys to sensitive areas and safe combinations. Upon loss of keys or personnel turnover, re-keying and/or changing combinations is highly advisable.
  • All safe combinations are maintained within a safe in the Office of Student Business Services under the supervision of the Office of General Accounting/Financial Services.
  • Cash custodians must remember that they alone are accountable for the funds.

Applicability

All departments and/or University employees, who collect, handle, record, or deposit University funds.

Definitions

NSF-"Non-sufficient funds" - a database created to track individuals with a history of writing checks without enough funds to sufficiently cover them.

Responsible Party

Comptroller

Last Updated: December 1, 2006


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  • 500 West University Avenue,
  • El Paso, Texas 79968
  • (915) 747-5000