Ohio Administrative Code › Title 3364 - University of Toledo › Chapter 3364-40 - Fees and Reimbursements › Section 3364-40-22 - Receipt of cash

Current through all regulations passed and filed through July 1, 2024
(A)
								Policy
			 statement
All funds received by the university,
				including but not limited to tuition related fees, room and meal plan fees,
				parking fines, telephone charges, departmental income and reimbursement of
				expenses are deposited with the university of Toledo. Each university
				department is responsible to maintain supporting documentation for
				reconciliation and to justify rationale for all deposits into university
				related accounts. Only funds received for a reimbursement of expenses can be
				deposited into an expense account without prior approval from the controller's
				office; otherwise, all deposits into expense accounts must be accompanied with
				approval from the controller's office-(deposits made to expense accounts will
				be a priority review from internal audit). Income from instructional fees,
				tuition surcharges, student general fees, other student fees, room and board
				charges, parking fees, class or laboratory fees and other similar revenue
				sources, are deposited with the university of Toledo.
All bank accounts in the name of the
				university of Toledo are established through the office of the executive vice
				president for finance and administration/chief financial officer ("CFO") (or
				equivalent position), and all university funds are deposited in such bank
				accounts through oversight by the treasurer's office. Included in the
				definition of "funds" are cash, coin, checks, money orders, credit/debit card
				receipts, and electronic transfers. All funds received should be in the
				currency invoiced/billed and any deviation should be coordinated with the
				treasurer's office to ensure adequate and/or proper extinguishment of
				debt.
All cash equivalents must be deposited
				by the appropriate office no later than the business day following the day of
				receipt (within twenty-four hours), unless, at the end of a business day, the
				amount to deposit is less than one thousand dollars and the funds are
				appropriately secured. In that case, the deposit may be delayed until the third
				business day. Cash equivalents are defined as cash, coins, checks and money
				orders.
Individual departments or employees of
				the university are prohibited from depositing university funds in any petty
				cash fund or change fund.
(B)
								Purpose of
			 policy
To ensure funds received by the
				university are deposited in a timely manner and appropriately credited to the
				proper university account, and to safeguard university assets, promote
				operational efficiency, and encourage adherence to prescribed
				policies.
(C)
								Roles and responsibilities
(1)
									Internal controls
			 and procedures
Establishing strong internal control
				for cash collection locations is necessary to prevent mishandling of funds in
				addition to safeguarding against loss. Strong internal controls also protect
				employees from inappropriate charges of mishandling funds by defining the
				employee's responsibilities in the cash handling process.
Segregation of duties is essential to
				prevent an individual from being responsible for more than one cash handling
				component. Components of cash handling are collecting, depositing, approving
				and reconciling.
All cash collection locations must
				develop their unit's documented specific cash handling procedures, with
				guidance and assistance from the controller's office and the treasurer's
				office, to ensure consistency in the execution of cash handling. All
				individuals involved in the cash handling process should be provided a copy of
				the location's procedures. The location's procedures should ensure proper
				internal controls which include adequate safeguards of university assets,
				segregation of duties and reconciliations with clear definitions of
				responsibilities for each individual involved in the process.
Treasury and/or internal audit may make
				periodic reviews of cash collection points in addition to requesting managers
				to attend periodic training, relative to receipt of cash
				procedures.
(2)
									Safeguarding university assets
Cash equivalents held on site until
				deposited should be safeguarded in a locked drawer or safe maintained by the
				supervisor and an employee independent of the cash collection process. Cash
				equivalents not secured in a cash register drawer during business hours should
				be kept in the secure location.
Combinations to safes should be changed
				periodically and when personnel changes have occurred within a department.
				Access to safes or locked drawers should, where practicable, be restricted to
				supervisors in the department. Upon the termination and/or departure of a
				department by an employee, all keys held by said employee to safes and drawers,
				for the purpose of holding funds, should be immediately returned to the
				supervisor.
All checks must be restrictively
				endorsed on the back left end of the check designated for
				endorsement.
Endorsement must be typed, rubber
				stamped or handprinted in ink with "for deposit only-the university of Toledo."
				Unless specifically authorized by the treasurer's office, all deposits must be
				entered via the university's online platform which can be accessed through the
				university's treasury website.
After successfully submitting a deposit
				online, departments are responsible for retaining supporting documentation for
				no less than sixty days or the retention policy of the respective department
				(whichever is greater). When available, "supporting documents" should include
				but are not limited to, copies of checks, invoices, cash receipts, debit and
				credit memos, point of sale ("P.O.S.") cash draw reconciliations, deposit bag
				numbers, online depository platform receipt of submission and any other
				documents necessary to substantiate the source of funds.
(3)
									
			 Segregation of duties
Departments that routinely make
				deposits should separate functions of the cash handling process to ensure
				strong internal controls and help prevent errors and fraud. In addition to
				periodic supervisory audits of employee cash handling, departments should
				separate the following functions of the cash handling process:
(a)
										Collecting cash
			 and other funds.
(b)
										Recording, depositing and approving.
(c)
										
			 Reconciling.
If a department feels it is too small
				and/or has extenuating circumstances which do not allow for the above detailed
				segregation of duties, the department head should provide a letter to the
				treasurer's office detailing the extenuating circumstances, a copy of their
				recommended cash handling procedures and describe any other mitigating factors.
				The treasurer's office, with assistance of the controller's office, will review
				for approval. If approved, treasury will provide written documentation to the
				requesting department which should be retained as supporting evidence of the
				permitted procedures.
(4)
									
			 Reconciliations
It is recommended that departments
				review their deposits to the general ledger daily to ensure the deposit was
				made in accordance to their directive. At a minimum, deposits should be
				reconciled to the general ledger monthly. Reconciliation should be done by
				someone other than the person performing the collecting and/or depositing
				activity (if this is not feasible within a department, someone outside the
				collection process should review and sign the reconciliation).
(5)
									
			 Checks received for unknown reasons
Should a department receive a check and
				the reason for the check is unknown, rather than creating a deposit, the
				department should restrictively endorse the check and deliver it, along with
				any accompanying documentation, to the treasurer's office at mailstop four
				hundred fifty-four.
(6)
									Deposit
			 deadlines
The treasurer's office will monitor
				cash collection locations for compliance with the deposit deadlines.
				Non-compliance with deposit deadlines will result in a notice of violation that
				will be copied to the appropriate dean or vice president, the controller, and
				or internal audit. Departments not complying with approved procedures may lose
				the privilege of handling cash and incur the risk of losing budgetary spending
				authority for the funds collected.