University Policy Number 2105
Responsible Office: Fiscal Services
- Cash Handling Guide
Related Law & Policy:
This policy applies to all George Mason University faculty, staff, students, organizations, and individuals who handle cash receipts or accept payment in any form on behalf of the University. The scope includes activities at all campuses and all locations at which University business is conducted.
This policy does not apply to payments deposited to agency funds and organizations, which are a subset of local funds, established by the University on behalf of others.
II. POLICY STATEMENT
As an agency of the Commonwealth of Virginia, George Mason University has an obligation to properly account for, report, and manage deposits of cash receipts in the manner prescribed by the State Treasurer and in accordance with the Code of Virginia. This administrative policy implements the state’s policy regarding cash receipts.
The University’s Cashier’s Office has the primary responsibility for collecting and depositing all cash receipts at the University. Advance written approval from the Associate Vice President and Controller is required for any other department to collect cash receipts. Additional approval is required for departments wishing to process credit card receipts. Departments that collect cash receipts must maintain written procedures for cash receipts collections in their department. They must also permit periodic audits of their records and procedures by the University’s Director, Internal Controls; Internal Auditors; or State Auditors as requested.
Internal control procedures must be in place at all locations handling cash to ensure the following objectives are met:
(1) All cash receipts are collected.
(2) Cash receipts are accurately and properly recorded.
(3) Cash receipts are properly safeguarded during the time between collection and deposit.
(4) Cash receipts are deposited on a timely basis.
(5) Checks are restrictively endorsed immediately upon receipt.
(6) Cash receipts are reconciled to accounts periodically.
(7) To the extent possible, different people perform the collection, recording, and reconciliation functions at each location.
All cash receipts totaling $500 or more at any location must be deposited no later than the next banking day following the day of receipt. Cash receipts totaling less than $500 must be deposited at least weekly. All cash receipts must be deposited at the end of the fiscal year regardless of amount. Exceptions to this policy must be obtained in writing from the University’s Associate Vice President and Controller.
III . DEFINITIONS
Cash Receipts: The term “cash receipts” as used in this policy includes any collections of currency, coin, checks or credit cards.
Cashier’s Office: The Cashier’s Office has the primary responsibility to collect all cash receipts on behalf of the University and to deposit all funds on a timely basis in accordance with state guidelines and policies. The Cashier’s Office is also responsible for providing guidance and assistance to departments that collect cash receipts at other locations.
Departments Collecting Cash Receipts: Departments collecting cash receipts on behalf of the University are responsible for complying with all aspects of this policy. This includes obtaining advance written approval to collect cash receipts, maintaining internal controls and written procedures surrounding the collection, deposit and reconciliation of cash receipts, and permitting audits of cash receipts operations and procedures on request.
Associate Vice President and Controller: The Associate Vice President and Controller is responsible for administering this policy, overseeing the Cashier’s Office operations and procedures, and for granting and rescinding authority for individual departments to collect cash receipts on behalf of the University.
The Associate Vice President and Controller will terminate cash collection privileges for any department found not to be in compliance with this policy.
V. EFFECTIVE DATE AND APPROVAL
The policies herein are effective September 1, 1999. This administrative policy shall be reviewed and revised annually to become effective at the beginning of the University’s fiscal year.
Maurice W. Scherrens
Senior Vice President
Peter N. Stearns
Date approved: August 2, 2004
Revised: January 27, 2012
Revised: February 11, 2013