Section 3356-3-08 - Cash collection sites(A) Policy statement. The vice president for finance and business operations is authorized and responsible for the collection and deposit of all cash received on behalf of the university in compliance with this policy, the Revised Code and all other applicable laws and regulations. This responsibility is discharged through the bursar in accordance with section 9.38 of the Revised Code.(B) Purpose. This policy provides a framework for the consistent application of sound internal controls and best business practices for cash handling university-wide. This policy requires that authorized cash collection sites with daily university receipts of one thousand dollars or more remit these receipts to the office of university bursar no later than one business day following their receipt. Daily university receipts of less than one thousand dollars must be remitted within three business days. All receipts are required to be adequately safeguarded until remitted.(C) Definitions. (1) Cash - currency, checks, money orders, and debit/credit card transactions.(2) Cash collection site - area authorized by the bursar to routinely accept or process cash.(3) Memorandum of understanding - documentation of cash collection site's authorization and agreed upon internal control procedures.(D) Parameters. (1) The responsibility of handling university funds is conferred by the bursar to individual department or office heads through a signed memorandum of understanding outlining specific duties and internal controls which the area agrees to implement and maintain. The memorandum is generated by the bursar and signed by the bursar and the department/office head and then filed with the principal administrative officer and the vice president for finance and business operations.(2) The memorandum of understanding shall provide for the secure and timely transfer of all monies collected to the office of university bursar in accordance with section 9.38 of the Revised Code, as well as meeting an appropriate level of internal control as determined by the bursar.(3) It is the responsibility of the department/office head to contact the bursar to report any duties or controls which are not being met to discuss remedies and then revise or rescind the memorandum accordingly. This notification includes changes in signatories, inability to meet internal controls, need to collect cash, and any other significant changes that occurred since the last memorandum was signed.(4) The bursar will communicate with all department/office heads and review the need, appropriateness and accuracy for all memorandums of understanding on at least an annual basis. Areas found by the bursar or the auditors to be out of compliance with the memorandums may be required to forfeit the responsibility and privilege of handling university funds.(5) The required level and combination of internal controls will be tailored to each authorized cash collection site and will be determined based on level of risk and resource or customer service constraints.(6) Effective internal controls may include, but are not limited to, the following: (a) Centralized control over locations authorized to receive cash.(b) Formal authorization and assignment of responsibility.(c) Written documentation of procedures and controls.(d) The use of cash registers, mail logs or pre-numbered receipts and accountability.(e) Physical safeguarding through use of safes, locked drawers, etc.(f) Changing of combinations or locks after key personnel turnovers.(i) Control of all cash receipts by the cashier until deposit is made.(j) Timely deposits of funds collected.(k) Deposits transported in locked bags by Youngstown state university police.(l) Restrictive endorsement placed on checks upon receipt.(m) Reconciling detail records to the general ledger or otherwise assessing reasonableness of general ledger income.(n) Frequent counting and balancing of funds, including idle funds.(o) Segregation of duties between cash handling and recordkeeping/reconciling, including reconciling adjustments processed to source documents.(p) Reconciling cash register tapes, mail logs, or pre-numbered receipts to deposits.(q) Periodic PCI compliance training.(7) New authorizations:(a) Requests for the establishment of new cash collection, change fund or billing sites for any university services and/or goods must be submitted in writing to the bursar, stating the purpose, the dollar value, the activity frequency and any other information deemed pertinent to the request.(b) Approval will be based on the appropriateness of the request, ability of the office to adhere to necessary internal controls, and whether collection by the office of university bursar is feasible.(c) If the request is denied the department/office head may appeal to the vice president for finance and business operations.(8) On an annual basis, the vice president for finance and business operations, or designee, will:(a) Issue a university-wide communication to ensure that all employees are reminded of this policy and the importance of proper safeguarding of cash.(b) Review authorized cash collection sites and related reports with upper administration.(c) Conduct surprise counts on a select number of randomly chosen cash collection sites and/or of cash collection sites that have elevated risk as determined by the bursar.Ohio Admin. Code 3356-3-08
Effective: 7/8/2024
Promulgated Under: 111.15
Statutory Authority: 3356.03
Rule Amplifies: 3356.03
Prior Effective Dates: 08/21/2010, 07/05/2019