N.J. Admin. Code § 6A:23A-16.12

Current through Register Vol. 57, No. 1, January 6, 2025

Section 6A:23A-16.12 - Student activity funds

(a) Student activity funds, as defined by GAAP, are maintained and reported in the ACFR as agency funds. Revenue and expenditures generated by student groups for specific uses, such as academic clubs and senior class trips, are reported as student activity funds. A district board of education or charter school or renaissance school project board of trustees shall establish student activity funds by resolution. Such funds shall be maintained under the jurisdiction of the board and supervision of the school business administrator/board secretary, who may appoint a designee for purposes of administering the funds. The district board of education or charter school or renaissance school project board of trustees shall establish a policy that includes the following:

1. Purpose of the student activity fund and a timeline for the use of the funds generated; and

2. Methodology for distribution of funds remaining subsequent to completion of the purpose for which the funds were generated.

(b) Each district board of education or charter school or renaissance school project board of trustees shall maintain student activity funds in an interest-bearing account separate from all other funds, and shall disburse interest on this account(s) to each student activity fund in proportion to the balances on deposit for each activity.

(c) Each district board of education or charter school or renaissance school project board of trustees shall ensure, through adoption of a formal board policy, that all financial and bookkeeping controls are adequate to ensure appropriate fiscal accountability and sound business practices. This policy shall include the following minimum requirements:

1. Receipts shall include the date, sources, purpose, and amount. The district board of education or charter school or renaissance school project board of trustees shall promptly deposit all receipts in the bank, and shall ensure that all deposits agree with the entries in the cash receipt book and are traceable to the actual receipts or groups of receipts.

2. Disbursements shall be recorded chronologically showing date, vendor, check number, purpose, and amount. The district board of education or charter school or renaissance school project board of trustees shall make all disbursements by check bearing a minimum of two authorized signatures, and shall support all disbursements by a claim, bill, or written order to persons supervising the fund.

3. Book balances shall be reconciled with bank balances. The district board of education or charter school or renaissance school project board of trustees shall retain canceled checks and bank statements for examination by the licensed public school accountant as part of the annual audit required pursuant to N.J.S.A. 18A:23-1 et seq., and N.J.A.C. 6A:23A-16.2(i).

4. Student activity funds shall be classified by school.

5. Borrowing from the student activity accounts shall be prohibited.

(d) The district board of education or charter school or renaissance school project board of trustees shall not be responsible for the protection of and the accounting for funds collected by any teacher or pupil for an outside organization, and shall not approve such funds for deposit in a school activity account.

N.J. Admin. Code § 6A:23A-16.12

Amended by 49 N.J.R. 1079(a), effective 5/1/2017

Amended by 56 N.J.R. 2166(a), effective 11/4/2024