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Procedures & Forms Guide August 2026 Extra Classroom Activities
INTRODUCTION An Extra Classroom activity fund shall be established for activities conducted by students whose financial support is raised other than by taxation or through charges of the Board of Education. All Extra Classroom activity shall be approved by the Board of Education. The Building Principal shall maintain an up-to-date register of all Extra Classroom activities that are approved or discontinued. Each Extra Classroom activity shall have a faculty advisor appointed by the Building Principal. A Central Treasurer and a Faculty Auditor shall oversee all financial aspects of Extra Classroom activities. The annual District audit will include all Extra Classroom activity funds. All Extra Classroom Activity Funds shall be handled in accordance with the financial procedures illustrated by The Safeguarding, Accounting and Auditing of Extra Classroom Activity Funds Pamphlet (Revised 2019), published by the New York State Education Department.
TABLE OF CONTENTS Requirements 1. Board of Education Approval 2. Building Principals shall act as the Chief Faculty Advisor over all student activities within their building. 3. Each activity shall have a Board approved faculty advisor. 4. Each activity shall have annually elected student officers 5. Activity Funds shall be handled in accordance with the NYS regulation for the safeguarding, accounting and auditing of these funds. 6. Inactive Extra Classroom Funds & Leftover Funds: 7. Tax Status 8. Safeguarding & Accounting for funds 9. Functions & Duties • Central Treasurer • Faculty Auditor • Chief Faculty Advisor • Faculty Advisor • Activity Treasurer • Independent Auditor Forms 1. Account Information Sheet 2. Ledger Sheet 3. Deposit Forms 4. Purchase Requisition 5. Purchase Authorization (SAMPLE) 6. Disbursement Form 7. Minutes Template 8. Fundraising Request for Approval 9. Fundraising Reconciliation Form
Appendices 1. The Safeguarding, Accounting & Auditing of Extra Classroom Activity Funds Finance Pamphlet [Revised 2019] 2. District Policy 5520 3. District Regulation 5520R 4. Student Activity Cheat Sheet
REQUIREMENTS All Extra Classroom activities are conducted for, and by, the students. The Faculty Advisor is available to assist the students in running the particular activity but should refrain from running the organization themselves. 1. Board of Education Approval All Extra Classroom activities shall be approved by the board of education. 2. Building Principals shall act as the Chief Faculty Advisor (CFA) over all student activities within their building. CFA will approve all fundraisers CFA will approve all disbursements CFA will recommend any new organizations to the BoE 3. Each activity shall have a Board approved faculty advisor. Faculty advisor shall attend all meetings of the activity. All activities shall meet at least once monthly while school is in session. Meetings shall take place on school grounds and after the instructional day is completed. Faculty Advisor shall provide guidance to the student officers: Assist the Treasurer in preparation of deposits, disbursements and the student account ledger. Assist the Treasurer in preparation of profit/loss statements for each fundraiser Assists the Treasurer in reconciling the activity ledger to the Central Treasurer records. Assist the President with keeping proper order of meetings and Assist the Secretary with keeping proper minutes of meetings. Works toward goal of insuring the greatest educational experience for all students within the club. 4. Each activity shall have annually elected student officers President - responsible for running the meetings Secretary - responsible for recording the meetings Treasurer - responsible for all financial activities of the club. 5. Activity Funds shall be handled in accordance with the NYS regulation for the safeguarding, accounting and auditing of these funds.
6. Inactive Extra Classroom Funds & Leftover Funds: Funds shall be named as such when having no activity for one full school year. Leftover funds of inactive or discontinued Extra Classroom activities and of graduating classes shall automatically revert to the account of the general student council. 7. Tax Status The Extra Classroom activities of the district are not included in the exemption granted to the school district from NYS sales tax. Without exemption, clubs and activities are prohibited from using the school's tax exemption. The taxable status of all fundraising events specified in the administrative regulations to this policy shall be enforced as listed by the central treasurer. Any event not specifically listed shall be deemed taxable unless a written determination that it is non- taxable has been issued from the business official to the central treasurer. The central treasurer shall be responsible for filing periodic sales tax retums for the Extra Classroom activity funds. As a general rule, when items are purchased for resale, a resale certificate should be given to the vendor to avoid paying sales tax on the purchase. Tax Exempt events/activities: Admission charges to performing arts (drama, band, concerts) Services for cutting/styling hair Sales of periodicals or newspapers. Sales of food or beverage to students by a facility located on school premises (does NOT apply to sale of candy or soda, or sale of prepared foods by activity clubs or sales to non-students). Sale of US Flags Sale of advertising space Bake Sales Potato Chips, Pretzels, Popcorn in a "cold" state. Taxable events: Candy, Soda sales Admission charges to social dances Bookstore sales Yearbook sales Manufactured items (jewelry, artwork, paintings, records, etc.) Spaghetti dinners & catered meals Vending machine sales-food items placed inside eating facilities (lunch room) unless no eating facilities are provided then they are exempt.
Collection and Payment of Sales Tax: To avoid paying sales tax on items for resale, obtain a resale certificate to give to the vendor when you purchase the items for resale. This Resale Certificate (ST-120) is available from the Central Treasurer. The Faculty Advisor should know which of the activities are subject to sales tax and take steps to see that all sales tax information is accurately recorded and sent to the Central Treasurer. Items can be sold at a price that includes the sales tax. The filing of the Extra Classroom Sales Tax return is filed by the Central Treasurer annually on 3/15. The Central Treasurer will remit a check to the NYS Dept. of Taxation and Finance. A journal entry will be recorded in each activity ledger for the amount of sales tax remitted. 8. Safeguarding & Accounting for funds Two separate and independent sets of records of receipts and expenditures shall be maintained. One by the student activity treasurer and one by the Central Treasurer. The authority to expend monies shall be distinct and separate from the custody of these monies. At least two individuals shall take part in each act of disbursing money. The custodian of funds and the accounting officer or auditor shall both report to the BoE or its designated representative regularly and independently. All accounts shall be audited at least annually. Procedures shall be established which will ensure a prompt and careful examination and check of each receipt and each payment. The accounting system shall be such that it will yield the largest possible educational return to students without sacrificing the safety of funds or exposing students to undue responsibility or unnecessary routine. 9. FUNCTIONS & DUTIES: Central Treasurer It shall be the duty of the Central Treasurer to have custody of all funds. All disbursements of funds shall be by means of prenumbered check fo11ns signed by the District Treasurer upon receipt of a payment order signed by the activity treasurer, faculty advisor, building principal and central treasurer.
The only role the central treasurer plays in the disbursement of funds is to assure that sufficient funds exist in order to make said payment of funds. Checks will be sent via USPS to vendors unless otherwise instructed. The central treasurer shall sign a receipt for all funds placed in his custody, and he/ she shall deposit these funds promptly in a bank designated by the board of education. The central treasurer shall keep an account listing the receipts and disbursements of each individual activity and post a register of all the receipts and disbursements of the combined pupil organization on ledger forms prescribed by the board of education. Once each month, the central treasurer shall receive and verify his/her bank statements and prepare a reconciliation of cash balances and club accounts and forward these to the faculty auditor. Chief Faculty Advisor (Principal): *Coordinate the financial planning of all projects for the various pupil organizations in their building. * Appoint a Faculty Advisor for each activity under their supervision on an annual basis. *Consult with the Faculty Advisor. *Approve expenditure by signing all Payment Order to the Central Treasurer forms. *Recommend any new Extra Classroom activity funds to the Board of Education for approval. *Shall investigate all problems and disputes concerning the Extra Classroom activity funds under their supervision and shall be charged with implementation of any corrective action plan developed as part of the audit of these activities. Faculty Advisor: *Guide and advise the student officers in planning Extra Classroom activities and the planning of financial budgets. *Complete the Fundraising Activity Approval/Profit and Loss Statement to receive approval prior to commencing any fundraising activity. *Keep control of inventory of items held for resale. * Assist the Activity Treasurer in the preparation of deposit record and shall sign the form as verification of the deposit to be attached to the deposit slip. * Assist the Activity Treasurer in posting to account ledger and from time to time check the balancing of the Activity Treasurer's accounts and completeness of their supporting evidence.
*Supervise expenditures by ensuring that funds are available for proposed purchase, proper documentation (such as an original invoice) is attached before signing all Payment Order to the Central Treasurer. *Responsible for determining which activities are subject to NYS Sales Tax and for taking steps to see that all tax information is accurately recorded and sent to the Central Treasurer. *Work toward the goal of ensuring the largest educational return from the activities participated in by the students. Activity Treasurer: *Receive all monies raised by their activity and shall immediately deposit such funds with the Central Treasurer. Duplicate deposit records should be made out and signed by both the Faculty Advisor and the Activity Treasurer. After being recorded by the Central Treasurer, a Treasurer's Receipt is to be returned to the Activity Treasurer. *Pay all bills by filling out a Disbursing Order to the Central Treasurer. This should be signed by the Activity Treasurer, Faculty Advisor, and the Chief Faculty Advisor. This form is to be made duplicate and is an order for the Central Treasurer to issue a check for payment of the original invoice, which should be attached. The Central Treasurer will keep one copy of the Payment Order and return the other copy, along with a copy of the completed check, to the Activity Treasurer. All original checks will be mailed out to the vendor, unless otherwise requested by the Activity Treasurer. *Shall keep a ledger showing all receipts and disbursements with a daily running balance and file all supporting data as evidence for the entries made in the ledger. *This ledger should be compared to the monthly bank reconciliation made by the Central Treasurer. Any differences should be immediately investigated. Independent Auditor: *Appointed by the Board of Education to make an annual audit of the Extra Classroom activity fund. This audit shall include a statement of receipts, disbursements, and balances for each activity together with a reconciliation of cash.
Forms 1. Account Information Sheet 2. Ledger Sheet 3. Deposit Forms 4. Purchase Requisition 5. Purchase Authorization (SAMPLE) 6. Disbursement Form 7. Minutes Template 8. Fundraising Request for Approval 9. Fundraising Reconciliation Form
SALAMANCA CITY CENTRAL SCHOOL DISTRICT EXTRA CLASSROOM ACCOUNT INFORMATION DATE: CLUB/GROUP: FACULTY ADVISOR: Please list the student officers and their position: Meeting Information: Meetings are held: Weekly Monthly Other You will need to provide the Business Office with the following information: Roster of members Minutes from each meeting held Fundraising Efforts Trips/Activities planned using account funds Student Name: Position: Student Name: Position: Student Name: Position: Student Name: Position: Student Name: Position:
SALAMANCA CITY CENTRAL SCHOOL DISTRICT EXTRA CLASSROOM ACCOUNTS STUDENT ACTIVITY ACCOUNT STUDENT/ADVISOR LEDGER 7/1/2011 Current Date PA # Description of Activity B/B DEPOSITS ENCUM PAYMENTS BALANCE 7/1/2026 Beginning Balance $ 100.00 $ 194.63 7/15/2026 Purchase from Walmart $ 100.00 $ 94.63 7/17/2026 Fundraiser Deposit $ 200.00 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 $ 294.63 Beginning Balance $ 100.00 Deposits Made $ 200.00 Encumbrances $ - Payments Made $ 100.00 Ending Balance $ 200.00
Date: Student Activity: CASH/CHECKS COUNT: $100.00 $50.00 $20.00 $10.00 $5.00 $1.00 TAX CALCULATION: Totals… $ - $ - $ - Exclusion =Taxable Total * 35% $ - Taxable =Taxable Total - Exclusion $ - Net Taxable =Taxable/1.08 $ - Tax =Taxable - Net Taxable $ - Vendor Credit =Tax * 5% $ - Taxes Due =Tax - Vendor Credit $ - $ - I have counted and hereby affirm the above figures are true and accurate. Student Treasurer: Date Activity Advisor: Date Please deposit the enclosed monies as follows: CODE DESCRI PTION AMOUNT X- $ - X-250 Sales Tax Account $ - GRAND TOTAL… $0.00 For Business Office Use Only: Date Received:_______/_______/_______ Amount Received:____________________ Received & Counted by: Receipt #: Event Taxable Amount Non-Taxable Amount SALAM ANCA CI TY CENTRAL SCHOOL DI STRI CT STUDENT ACTI VITIES DEPOSI T FORM - PLEASE COMPLETE THE ITEMS HIGHLIGHTED IN YELLOW - Total Cash... $ - Total Coin... Total Checks... Total ACH… Total Being $ -Turned I n...
SALAMANCA CITY CENTRAL SCHOOL DISTRICT STUDENT ACTIVITY ACCOUNTS PURCHASE REQUISITION DATE: X- SHIP TO: BILL ACTIVITY: Description of items: QTY Unit Price Amount: $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 TOTAL: $0.00 F O R A P P R O V A L I certify that sufficient funds are available and that the Student Group has voted to utilize these funds in the above manner. Funds are available: Purchase Authorized by: Activity Treasurer Faculty Advisor I approve the project covered by this purchase requisition and I certify that this purchase is for educational or school service purposes. Building Principal Central Treasurer AUTHORIZATION # VENDOR: ADDRESS: CITY/ST/ZIP:
Instructions to Vendor: Purchase Authorization MUST appear on all packing slips, invoices, correspondence and outside of package. The Student Activity reserves the right to cancel this order if goods are not shipped as directed. Freight charges MUST be prepaid on all material and sold FOB destination. On shipment sold FOB Origin, prepay charges and add to invoice, original copy of freight or express bill must be attached to invoice. NO charge will be allowed for packing, boxing or cartage, unless agreed upon at the time of purchase. Merchandise must NOT be shipped COD. In case of any article sold hereunder shall be covered, or purport to be covered by any patent or copyright you will indemnify this school district and save it harm from and against any and all suits, claims, judgements and costs instituted or recovered against it by any person or persons whomsoever, on account of the purchase, use or resale of such article buy this school district in violation. VENDOR: Walmart ADDRESS: 1869 Plaza Drive CITY/ST/ZIP: Olean, NY 14779 Student Activity Acount 50 Iroquois Drive Salamanca, NY 14779 SALAMANCA CITY CENTRAL SCHOOL DISTRICT STUDENT ACTIVITY ACCOUNTS PURCHASE AUTHORIZATION X- Quantity: Description of items: Unit Price: Amount: Food for Fundraiser: $ - 1 Paper Plates $5.00 $ 5.00 2 Hot Dogs $10.00 $ 20.00 3 Buns $4.00 $ 12.00 $ - $ - $ - $ - SAMPLE $ - $ - $ - $ - $ - $ - $ - $ - TOTAL: $ 37.00 APPROVAL BY PURCHASING AGENT: The Purchase Authorization is not valid unless signed by the Purchasing Officer. Karen S. Magara, Purchasing Officer AUTHORIZATION # 26-1466 DATE: 5/28/2026
Charge to the Acccount of: Approvals: I hereby certify that the attached invoice or advance requisition is correct and a proper charge against the account of the herein named. Activity Treasurer: Faculty Advisor: Building Principal: Business Office Approvals: Central Treasurer: Asst. Superintendent for Finance & Operations: Please attach receipt/invoice here: If receipt/invoice is 8.5 x 11, attach to back of this form. Also be sure to have Activity Treasurer, Faculty Advisor and Building Principal sign the receipt/invoice. SALAMANCA CITY CENTRAL SCHOOL DISTRICT STUDENT ACTIVITY TREASURY ACCOUNT DISBURSING ORDER X- Pay to the Order Of: For: In The Amount of:
Extra-curricular MEETING REPORT Date: Activity: Members Present: Significant Meeting Topics: A. B. C. Central Treasurer: Activity Advisor: Activity Treasurer: Date Submitted:
SALAMANCA CITY CENTRAL SCHOOL DISTRICT FUNDRAISING REQUEST FOR APPROVAL All Fundraisers MUST have PRIOR approval before beginning sales or events. DATE: CLUB/GROUP: FUNDRAISER: FINANCIAL: Estimated Sales: + Estimated Costs: - Profit/Goal: = $0.00 PURPOSE OF PROCEEDS: DATES OF SALE: DATES ORDERS ARE DUE: MONEY DUE: WITH ORDER UPON DELIVERY EXPECTED DELIVERY DATE: REQUESTED BY: A Fundraiser Reconciliation MUST be submitted at the conclusion of the fundraiser. Club/Group President: Club/Group Treasurer: Club/Group Advisor: AUTHORIZATION: Building Principal: Superintendent: Business Office Use: Scan to HS Office Scan to Advisor File with Club Date Received: Date of Sale: Funds Due: Funds Received: CC Public Rel. Profit/Loss Statement Received:
Salamanca City Central School District Fundraiser Final Reconciliation Complete this form at the end of every fundraiser and submit to the Business Office. If items or money were donated, please indicate in the appropriate areas. Activity: Advisor: Fundraising Activity: Dates of Fundraiser: * ** * ** (A) This is the amount received from online stores or the amount shown on the payout report (card payments). (B) The amount should agree with the amount of cash/checks received. (C) This is the total amount of cash, checks, and online/card payments collected. (D) The amount should reflect any additional funds that were collected, excluding fundraiser sales. (E) The revenues and donations are totaled. (F) This is the total amount that was spent on the fundraiser (total all disbursements/purchases). (G) The amount of discounts that were applied to any expenditures. (H) The difference between the total expenditures and any discounts applied. Sign where indicated and return to the Business Office. This reconciliation form will be kept on file for state auditing purposes. Student Treasurer: Date: Activity Advisor: Date: COST ANALYSIS OF FUNDRAISER Estimated Sales (Reflects estimated totals submitted on Fundraiser Request) Actual Sales Estimated Cash Receipts/Revenue LESS Estimated Expenses EQUALS Profit $ - $ = $ Cash Receipts/Revenue LESS Total Expenses EQUALS Profit/Loss $ - $ = $ REVENUE (A) Total Online Sales (Card Payments, if applicable) (B) ADD Cash/Revenues Received (C) Total Fundraiser Revenue Collected (ADD lines A and B) (D) ADD Other Cash/Revenues (Donations, Tips, etc.) (E) Total Cash/Revenue (ADD lines C and D) EXPENDITURES (F) Total Expenditures at the end date of sales (G) Less any discounts (H) Total Cost of Sale - All Expenses (Subtract line G from F)
Appendix
THE SAFEGUARDING, ACCOUNTING, AND AUDITING OF EXTRA CLASSROOM ACTIVITY FUNDS Revised 2019
THE UNIVERSITY OF THE STATE OF NEW YORK Regents of The University BETTY A. ROSA, Chancellor, B.A., M.S. in Ed., M.S. in Ed., M.Ed., Ed.D. ........ T. ANDREW BROWN, Vice Chancellor, B.A., J.D. .............................................. ROGER TILLES, B.A., J.D. ................................................................................. LESTER W. YOUNG, JR., B.S., M.S., Ed.D. . ........................................................ CHRISTINE D. CEA, B.A., M.A., Ph.D. . .............................................................. WADE S. NORWOOD, B.A. ............................................................................... KATHLEEN M. CASHIN, B.S., M.S., Ed.D. .......................................................... JAMES E. COTTRELL, B.S., M.D. ........................................................................ JOSEPHINE VICTORIA FINN, B.A., J.D................................................................... JUDITH CHIN, M.S. in Ed. ............................................................................... BEVERLY L. OUDERKIRK, B.S. in Ed., M.S. in Ed. ................................................ CATHERINE COLLINS, R.N., N.P., B.S., M.S. in Ed., Ed.D. ................................... JUDITH JOHNSON, B.A., M.A., C.A.S. ................................................................ NAN EILEEN MEAD, B.A. .................................................................................. ELIZABETH S. HAKANSON, A.S., M.S., C.A.S. ...................................................... LUIS O. REYES, B.A., M.A., Ph.D. .................................................................... SUSAN W. MITTLER, B.S., M.S. ........................................................................ Commissioner of Education President of The University of the State of New York MARY ELLEN ELIA Executive Deputy Commissioner ELIZABETH R. BERLIN Deputy Commissioner, P-12 Education JHONE EBERT Bronx Rochester Manhasset Beechhurst Staten Island Rochester Brooklyn New York Monticello Little Neck Morristown Buffalo New Hempstead Manhattan Syracuse New York Ithaca Assistant Commissioner, Office of School Governance, Policy, and Religious and Independent Schools CHRISTINA COUGHLIN The State Education Department does not discriminate on the basis of age, color, religion, creed, disability, marital status, veteran status, national origin, race, gender, genetic predisposition or carrier status, or sexual orientation in its educational programs, services and activities. Portions of this publication can be made available in a variety of formats, including braille, large print or audio tape, upon request. Inquiries concerning this policy of nondiscrimination should be directed to the Department’s Office for Diversity and Access, Room 530, Education Building, Albany, NY 12234.
TABLE OF CONTENTS FOREWORD .......................................................................................................................... 1 CHAPTER I: RULES, GUIDING PRINCIPLES, SUGGESTED FORMAT ....................................2 CHAPTER II: BASIC PRINCIPLES AND CERTAIN PROCEDURES ...........................................4 CHAPTER III: SALES TAX .....................................................................................................11 CHAPTER IV: A SUGGESTED PLAN ....................................................................................15 CHAPTER V: CHARTER SCHOOLS .......................................................................................22 CHAPTER VI: INTERNAL CONTROLS ...................................................................................23 ACCOUNTING RECORDS AND THEIR USE Form 1 Register and Expenditure Ledger..............................................................24 Form 2 Register of Receipts...................................................................................24 Form 3 Register of Disbursements ........................................................................24 Form 4 Deposit Receipt .........................................................................................25 Form 5 Statement of Profit and Loss ....................................................................26 Form 6 Central Treasurer's Receipt ......................................................................28 Form 7 Activity Treasurer's Receipt ......................................................................29 Form 8 Inventory Control Form ............................................................................ 30 Form 9 Purchase Order..........................................................................................31 Form 10 Payment Order ........................................................................................32 Form 11 Voucher Check.........................................................................................33
Form 12 Interorganization Transfer ......................................................................34 Form 13 Report on Extra Classroom Activity Account .........................................35 Form 14 Central Treasurer's Report .....................................................................36 Form 15 Admissions Report ..................................................................................37 APPENDICES A. Regulations of the Commissioner of Education ..............................................38 B. Illustrative Extra Classroom Activity Funds-Policy ..........................................39 C. Illustrative Extra Classroom Activity Funds-Administrative Regulations .......42
1 FOREWARD The Extra Classroom activity fund should provide learning experiences in the business procedures needed to safeguard the collection, deposit, and disbursement of money along with the filing of sales tax revenues. The material presented in this pamphlet is offered as a guide to boards of education and schools of the State in setting up accounting procedures that conform to the Regulations of the Commissioner of Education (8 NYCRR Part 172) for the control of Extra Classroom activity funds. The Regulations of the Commissioner of Education were formulated not only to safeguard the funds of the organization but also to provide schools with the opportunity to teach pupils good business procedures through participation in handling such funds and operating a successful business. For many students, this may be the only business training they will receive in school. This pamphlet presents a description of a procedure for the management and accounting of Extra Classroom activity funds. The plan meets the requirements of the regulations and has the approval of the State Education Department. The use of this plan is not mandatory, provided schools adopt adequate alternative plans of their own.
2 Rules and Regulations of Boards of Education for the Operation of Extra Classroom Activities Extra Classroom activity funds are defined in the Regulations of the Commissioner of Education as "Funds raised other than by taxation or through charges of a board of education, for, by or in the name of a school, student body or any subdivision thereof." Basically, Extra Classroom activity funds are those operated by and for the students. Moneys are usually collected voluntarily by pupils and are spent by them as they see fit so long as they abide by established regulations. Extra Classroom activity funds must not be confused with funds accounted for in accordance with the Uniform System of Accounts prescribed by the State Comptroller. Procedures discussed in this manual apply only to Extra Classroom activity funds. The Regulations of the Commissioner of Education, contained as an appendix to this guide, prescribe that the board of education of each union free school district and city school district having a population of less than one million shall make rules and regulations for (1) the conduct, operation, and maintenance of Extra Classroom activities and (2) for the safeguarding, accounting, and auditing of all moneys received and derived therefrom. The following guiding principles are listed to assist boards of education in establishing these required rules and regulations: Conduct, Operation and Maintenance of Extra Classroom Activities Determine acceptable purposes for which students may form Extra Classroom activities. Determine grade groupings, which may form Extra Classroom activity clubs. Establish procedures for organizing Extra Classroom activities. Establish resale inventory safeguard and accounting methods. Determine how faculty sponsors of Extra Classroom activities should be chosen. Determine how student officers of Extra Classroom activities should be chosen. Publish, annually, a list of approved Extra Classroom activities. Establish rules and procedures regarding transportation for Extra Classroom activities. CHAPTER I RULES, GUIDING PRINCIPLES, SUGGESTED FORMAT
3 Safeguarding, Accounting, and Auditing of Extra Classroom Activity Funds Establish proper and adequate methods for receiving and expending Extra Classroom activity funds Provide for proper and adequate records of all receipts and expenditures. Provide guidance on the taxability of common fundraising activities. Establish procedures and times for regular financial reports to the board of education. Keep separate and distinct the authority to expend money from the custody of the funds. Indicate the bank to be used as the depository of all Extra Classroom activity funds. Establish bank accounts, under the stewardship of an adult treasurer, for the deposit of all Extra Classroom activity funds of a school district Provide for the review of inactive clubs and the disposal of funds of discontinued Extra Classroom activities and of graduating classes. Provide for the investment of Extra Classroom activity funds and establish the authority to use the earnings. Sample Format In order to give boards of education an idea of the possible scope and content of rules and regulations for Extra Classroom activities and Extra Classroom activity funds, an illustrative rule and regulations are included as an appendix to this guide. It is hoped that these suggestions will be used as a starting point by boards of education in framing their own policy.
4 There are certain principles and procedures that should be followed in establishing an adequate accounting system for Extra Classroom activity funds. The following basic devices are essential to the proper management of such funds: Basic Principles Two separate and independent sets of records of receipts and disbursements shall be maintained, one by the central treasurer and one by the student activity treasurer. The authority to expend moneys shall be distinct and separate from the custody of these moneys. At least two individuals shall take part in each act of disbursing money; at a minimum, the student activity treasurer and central treasurer. The custodian of funds and the accounting officer or auditor shall both report to the board of education or its designated representative regularly and independently. All accounts shall be audited annually, by the independent auditor. Procedures shall be established which will insure a prompt and careful examination and check of each receipt and each payment. The accounting system shall be such that it will yield the largest possible educational return to students without sacrificing the safety of funds or exposing students to undue responsibility or unnecessary routine. Procedures in Handling Funds Confusion and sometimes loss of funds can be traced more often to a lax pre-audit of receipts and recording of money taken in than to any other single cause. For this reason, every possible precaution should be taken to protect the individual concerned and the money CHAPTER II BASIC PRINCIPLES AND CERTAIN PROCEDURES INHERENT IN ANY ADEQUATE ACCOUNTING PLAN FOR EXTRA CLASSROOM ACTIVITY FUNDS
5 collected. Consequently, the most important functions are the prompt checking, recording, and depositing of receipts. Not all of the possible protective measures can be described here, but a number of them are mentioned to show the type of procedures that should be incorporated in any accounting system. Extra Classroom activity funds are derived from a number of sources such as admissions, membership dues, sales and campaigns, and donations. The procedures used in collecting and pre-auditing these several types of receipts will naturally vary. So far as possible, devices should be used which will make it possible to determine in advance the amounts which should be received. To facilitate the pre-audit by the central treasurer and recording of receipts, statements should be made by those collecting money. Such a statement should, on the face of it, give all the essential data for a complete check and audit of the receipts. A determination should be made as to whether the activity falls within the provision of the New York State Sales Tax Law, and the estimate should be obtained as to the amount of money that will be collected. While Form 6 on page 26 will not meet all the conditions for all types of receipts, it will serve to illustrate the suggested type of statement. Such a statement should enable those collecting money to prepare a complete report and to verify the money turned over to the central treasurer. In addition, it will afford protection for those handling funds, facilitate a check and serve as documentary evidence which can be used for accounting purposes. A pre-audit of receipts should make only reasonable allowances for errors in making change. Admissions Various methods may be employed to insure accurate pre-audit of admissions. Usually prenumbered tickets should be used so that the auditor may, by reference to the beginning and ending numbers, determine the amount, which should be collected. In some cases, as an added precaution, the ticket collector should be required to deposit the tickets in a locked receptacle so that they may be counted and later destroyed. In other cases where tickets are purchased in a variety of colors, a different color should be used for each occasion, thus making it difficult for anyone to use old tickets. Still another device used to avoid the reuse of tickets is to require the ticket collector to destroy each ticket by tearing it in two, giving one part to the
6 customer and retaining one. Any of these devices or any combination, properly supervised, will insure reasonably honest and accurate results. None of them will guarantee accuracy, especially when adult supervision is lacking (form 15, page 35). In summary: Use pre-numbered tickets and take steps to prevent fraudulent reuse. Charge each ticket seller with a definite number of tickets and a definite amount of change. Provide sufficient number of ticket sellers to avoid undue haste. Do not ask the ticket seller to watch the gate. Provide a responsible adult ticket taker. Require each ticket seller to promptly return all unused tickets, the full amount of change, and the, along with an accounting of moneys turned. Do not aid and abet temptation with careless supervision. Carefully analyze procedures, particularly from the standpoint of accurate accounting. Thoroughly explain each device used to safeguard money so that those who have anything to do with it are thoroughly familiar with each process and understand its purpose. Consider these devices not merely as a means of preventing fraud, but as instruments which have been set up so that each agent may clearly demonstrate the accuracy of his work and the fulfillment of his responsibility. Membership Dues The pre-audit of membership dues should be relatively easy if plans are carefully worked out in advance. A few simple rules are suggested: Provide prenumbered receipts or membership cards. Charge each solicitor with a definite number of receipts or membership cards. (Make a record of the numbers issued to each solicitor.) Require each solicitor to return all unused receipts or cards and the exact amount of money due for each membership sold. Designate an adult to supervise the membership campaign and to insist upon a complete and accurate report at the close of the campaign.
7 Do not permit solicitors to issue receipts or cards on credit. Require pupils wishing credit to make arrangements with the designated adult officer. If memberships are given free or on credit to any pupils, have these issued by the designated adult officer after all the solicitors have turned in their reports, cash, and unsold cards. Sales and Campaigns Pupils collecting money should, whenever possible, issue pre-numbered receipts in duplicate, the original to be given to the purchaser and the carbon to the pupil treasurer of the activity. In those cases where receipts are not practical, for example, a candy sale, the activity treasurer with the assistance of the advisor should devise a method whereby the exact amount to be realized by the sale is determined in advance. This may be accomplished through the completion of an Activity Profit and Loss Statement, a sample of which is illustrated as Form 5 on page 25. Each salesman should be given a statement showing the amount he is to receive. After the sale, each salesman should then turn in that amount in cash and unsold goods. Inventory Control Items on-hand and held for resale or return should be adequately safeguarded against loss, theft or damage by securing them in an appropriate location with limited access. In addition, during sales campaigns inventory should be controlled through the use of an Inventory Control Form, illustrated as Form 8 on page 28. Donations Gifts or donations are usually made in lump sums and should be recorded in the minutes of the activity. The activity treasurer should issue a receipt and deposit the gift with the central treasurer. Deposit of Money After the money has been turned in to the student activity treasurer and properly checked by him/her and the faculty advisor, the money should be turned over to the central
8 treasurer who should issue a prenumbered receipt after verifying the accuracy of the amount (form 4, page 24). Purchasing Money may be spent by student organizations in any reasonable manner they see fit. It is recommended that a formal purchase order originating within an activity be issued for all purchases. The provision for the signature of the faculty advisor in addition to that of the pupil activity officer is essential to any plan. Correspondence concerning payments for professional service and guarantees should be submitted to the responsible adult officer in advance of any commitment so that information regarding the nature of the services and the cost thereof will be available when payments are to be made. Payments When bills are to be paid, the student activity treasurer should make out a payment order. This should give the name of the payee, the amount, the activity to be charged and, if in payment for a purchase, the purchase order number. The payment order should be made out in duplicate by the student activity treasurer and approved by the faculty advisor. One copy of the order should be forwarded to the central treasurer together with invoices for the materials or services for which payments are made (the other is kept on file). Only after auditing the order and invoices and after determining that the activity has sufficient funds, the central treasurer should draw a prenumbered voucher check. The central treasurer must monitor compliance with IRS guidelines regarding the filing of Statement 1099. Advances To provide the means for financing certain types of activities which do not lend themselves to the usual procedures, it is suggested provision be made for "advances." For example, to provide the necessary cash for student organization activity trips, the student activity treasurer of the group will draw a payment order in the same manner as when paying for a purchase except that in explaining the payment he will state that the check is to be drawn to himself, giving essential facts regarding the trip. A detailed statement of estimated expenditures and the like should accompany this order. Such a payment order should be
9 preaudited and approved the same as any other payment order. After audit and approval, the central treasurer will draw the necessary voucher check. The student activity treasurer will thus secure the requested cash. After the trip, the student activity treasurer shall file with the central treasurer a detailed statement of actual expenditures and turn over any balance not expended. In order to avoid confusion in the case of advances for making change for admission tickets sold and to avoid inflation of accounts, a "change account" may be set up. This account is charged with the advance and credited with the return of the money. Then the exact amount of net receipts can be credited to the activity. Transfer of funds from one activity to another It may be necessary or desirable occasionally to transfer funds from one activity to another. This may be done by the use of a payment order. The treasurer of the activity making the donation will upon proper authorization draw a payment order stating all essential facts. The central treasurer will then affect the necessary transfer in his account, and no money will actually change hands. Bonding of Central Treasurer It is considered good business practices for the board of education to require the central treasurer of the Extra Classroom activity fund to be bonded for no less than the amount of the average cash balance of the fund. In this way, the money belonging to the various student organizations would be protected. Investing Extra Classroom Activity Account Money The business official should ensure that the district’s investment policy explicitly contains provisions for the investment of Extra Classroom activity funds. A study may be made of the Extra Classroom activity fund to determine if it would be advisable to invest a portion of the fund in a time deposit account, a certificate of deposit, a savings account, or other investment approved by the board of education. The investment of this money must be authorized by the board of education and its policy should include direction regarding the disposition of the interest earned by such an investment. Closing Out of Inactive Accounts
10 A policy should be enacted by the board of education relating to the closing out of inactive Extra Classroom activity accounts. The accounts are usually inactive due to lack of student interest or because a graduating class leaves an unused balance. Many boards of education have chosen to mandate the closing out of these accounts after a specified period of time and the transfer of the unused balance to the general student organization. Petty Cash Funds A board of education may establish a petty cash fund for the Extra Classroom activity fund by authorizing the central treasurer to draw a check in an amount not to exceed $100 payable to the chief faculty counselor who shall administer and be responsible for such petty cash fund. Payments from petty cash funds may be made for materials, supplies, or services only under conditions calling for immediate payment upon delivery From time to time, checks may be drawn to the chief faculty counselor in an amount which shall not exceed payments made in cash as indicated by receipts, receipted bills, or other evidence of payment in form available to audit. The central treasurer as indicated by the records of the chief faculty counselor shall charge expenditures from the Extra Classroom activity petty cash fund to the benefiting activity funds. The chief faculty counselor shall keep such records as may be necessary for the accurate accounting of all transactions. The Extra Classroom activity petty cash fund must be completely closed out at the end of each year and the Extra Classroom activity fund shall be reimbursed by the original amount transferred to the petty cash fund. The central treasurer will report the amount of the petty cash fund, which is on loan to the chief faculty counselor, on the monthly reconciliation of cash balances and the periodic central treasurer's report for the Extra Classroom activity fund. Operation of School Store The school store may be operated under the sponsorship and guidance of a teacher- coordinator and accounting is treated as an Extra Classroom activity of the school. Under these circumstances, the approved accounting system would be the system in this pamphlet.
11 CHAPTER III SALES TAX In addition to the approved accounting procedures to control receipts and disbursements, it is desirable for the teacher-coordinator and the school business manager to agree on acceptable operating and year-end financial statements and inventory valuation methods that will reflect the financial soundness of the store activity. Periodic profit and loss statements and balance sheets not only constitute good accounting procedures but also afford excellent instructional opportunities. As a general practice, the teacher-coordinator should adhere to control policies and procedures which have been established by the board of education. A list of key duties for personnel assigned to the store, duty checklists for students assigned to the store, various control forms, daily balance forms, cash record sheets, register forms, etc. should be developed and used. Sales Tax A school district is not exempt from the provisions of the Sales Tax Law whenever it becomes the vendor of services or property ordinarily sold by private persons. Each faculty advisor should know which of the activities an organization undertakes are subject to sales tax and take steps to see that all sales tax information is accurately recorded and sent to the central treasurer. In order to provide a ready reference, a list of common undertakings of Extra Classroom activity fund raising and social activities should be prepared and distributed indicating their taxable status. An illustrative list is provided but is not an exhaustive tabulation and is merely presented as a guide for ready reference (the following list contains TB and TSB numbers that can reference back to publication 750, explained below). If a district routinely conducts fundraising activities involving the resale of goods or merchandise, the district should register with the New York State Department of Taxation and Finance as a vendor by filing an application. Only one application is required for all Extra Classroom activities of the school district. As a registered vendor, the district will receive a certificate of authority and the Extra Classroom activity fund may issue Resale Certificates to its suppliers and make tax-free purchases for the student organizations if such purchases are intended for resale. However, the student organizations must collect tax on receipts for all
12 sales of taxable merchandise. The Extra Classroom activity fund must file returns periodically and pay any tax due to the Tax Department. When student organizations purchase merchandise for resale, vendors selling the resale merchandise are required to collect the sales tax from the buyer of the merchandise unless they receive a resale certificate from the buyer. This Resale Certificate (ST-120) is available from the State’s Tax Department on the Internet from its Website at http://www.tax.ny.gov/pdf/current_forms/st/st120_fill_in.pdf It is recommended, therefore, that the central treasurer of the Extra Classroom activity fund, or some other responsible individual who is required to approve purchase orders, secure and control a supply of these certificates. Upon his/her approval of a purchase, he/she should supply the vendor with a certificate. Publication 750 – A guide to Sales Tax in NYS In addition to the information contained within this chapter, it is suggested that for additional guidance and information that the organization can refer to Publication 750: http://www.tax.ny.gov/pdf/publications/sales/pub750.pdf “Under certain circumstances, some ECA organizations may be eligible for tax exempt status as an educational, not-for-profit organization. Such organizations are to be operated exclusively for educational purposes as outlined in Publication 843 – A Guide to Sales Tax in New York for Tax Exempt Organizations. It is the responsibility of each school to determine which ECA clubs meet tax exempt criteria and each qualifying ECA must apply for and receive its own tax-exempt certificate from the Department of Taxation as outlined in Publication 843.” Publication 843 – www.tax.ny.gov/pdf/publications/sales/pub843.pdf These publications are easy to use and will help you better understand and follow the tax rules making sure your obligations are met. For additional information call the NYS Department of Tax and Finance at 518-485-2889. In addition, there is a quick reference guide TB-ST-740 that you can find at: https://www.tax.ny.gov/pubs_and_bulls/tg_bulletins/st/quick_reference_guide_for_taxable_a nd_exempt_property_and_services.htm
13 Sales Tax Guide Sale of Candy, Soda, Soft Drinks and Bottled Water TB-ST-103 TB-ST-283 Taxable, except for certain drinks. Tax Law §1115(a) (1) generally provides an exemption for the sales and purchases of food, food products, and beverages sold for human consumption. However, the exemption does not apply to candy, sodas or soft drinks, and fruit drinks that contain less than 70% natural fruit juice. Spaghetti dinners and catered meals TB-ST-806 Taxable Tax Law §1115(a) (1) generally provides an exemption for the sales and purchases of food, food products, beverages sold for human consumption. However, the exemption does not apply to catered situations, where the students of the club would be serving, assisting in serving, cooking, or otherwise providing services with respect to the food items in question. Bake Sales TB-ST-103 Non- Taxable. Tax Law §1115(a) (1) generally provides an exemption for the sales and purchases of food, food products, and beverages sold for human consumption. This provision exempts bake sales from the collection of sales tax. Vending Machine Sales – Food Items TB-ST-280 TB-ST-283 Taxable, generally. Sales of food and beverages from vending machines are generally taxed in the same manner as sales of the same items in food stores. However, hot beverages sold from a vending machine are always exempt, and certain items that are taxable when sold by food stores (such as candy, confectionery, soda, and other soft drinks) are exempt when sold from a vending machine for $1.50 or less. Pizza, Chicken, Popcorn, Coffee, Tea, etc. TB-ST-806 Taxable. All sales of prepared food sold in a heated state (where the food is maintained at a temperature warmer than surrounding air temperature) are subject to sales tax, including those sold for off-premises consumption. Admission Charges TSB-M-06(15)S TB-ST-8 Taxable, except for certain events. Exemption is provided from sales tax for admissions to dramatic or musical arts performances, which do not include variety shows, magic shows, circuses, ice shows, dances, and similar performances. Included in the exemption is an admission charge to choreographed performances to music, which may exempt color guard admissions. Sale of Newspapers and Magazines Non- Taxable. Sale of shrubs, plants and trees Taxable. Sale of Yearbook TSB-A-08(42) Taxable, generally. If the entire cost of the yearbook is underwritten by the Board of Education and the revenue is recognized as a General Fund item, the sale becomes an exempt transaction, not subject to sales tax. Sale of Yearbook Advertising Space Non- Taxable. Sale of Sweatshirts, T- shirts, Jackets, Jewelry TB-ST-122 Taxable. Clothing and footwear sold for less than $110 per item or pair and items used to make or repair this clothing are exempt from the New York State 4% sales and use taxes. The exemption does not apply to local
14 TB-ST-530 Publication 718-C sales and use taxes unless the county or city imposing the taxes elects to provide the exemption. The exemption also applies to the ³⁄₈% Metropolitan Commuter Transportation District (MCTD) tax, but only within localities in the MCTD that have elected to provide the exemption. Book Store Sales Taxable. Unless specifically exempt. Pre-packaged Popcorn, Potato Chips, Pretzels Non- Taxable, generally When packaged and sold in an unheated state, prepackaged snack foods are exempt. This exemption does not apply to caramel or other candy-coated snack foods. Hair Cuts and Styling TB-ST-60 Non- Taxable, generally. The cutting and styling of hairpieces is not included in this exemption. Also, haircuts and styling services are subject to New York City’s local sales tax when sold in New York City. Repair/Maintenance Services, Car Washes TB-ST-105 Taxable, generally. An exemption is provided for the repair, maintenance or service of farm machinery. * Organizations which qualify as tax exempt under Publication 843 may use examples listed in that document as a guide to taxable sales.
15 General This chapter describes an accounting system and accounting procedures in which an adult designated by the board of education keeps only one set of records. Essential safeguards are established because pupils also keep records of receipts and disbursements and both the central records and the pupils’ records are under the direct supervision of an auditor designated by the board of education. Appointment of Officers It is suggested that the board of education appoint, on the recommendation of its chief executive officer, members of the regular faculty and clerical staff to fill the following positions: Central Treasurer Faculty Auditor Chief faculty counselor(s), usually building principal(s) Faculty Advisor - appointed by the chief faculty counselor Student Activity Treasurer - elected by the student club members Independent Auditor Function and Duties of Officers Central Treasurer (appointed by the board of education). It shall be the duty of the central treasurer to have custody of all funds. All disbursements of funds shall be by means of prenumbered check forms signed by the central treasurer upon receipt of a payment order signed by the student activity treasurer and faculty adviser. The central treasurer shall have no part in the approval of payments but shall disburse funds only on the presentation of a properly signed payment order in duplicate providing, of course, that there are sufficient funds available in the account. The completed check will be returned to the student activity treasurer who will send it to the vendor after posting. CHAPTER IV A SUGGESTED PLAN FOR THE SAFEGUARDING, ACCOUNTING AND AUDITING OF EXTRA CLASSROOM ACTIVITY FUNDS, UTILIZING A CENTRAL TREASURER- BOOKKEEPER (ADULT AND FACULTY AUDITOR)
16 The central treasurer shall sign a receipt for all funds placed in his custody, and he/she shall deposit these funds promptly in a bank designated by the board of education. The central treasurer shall keep an account listing the receipts and disbursements of each individual activity and post a register of all the receipts and disbursements of the combined pupil organization on ledger forms prescribed by the board of education. Once each month, the central treasurer shall receive and verify his/her bank statements and prepare a reconciliation of cash balances and club accounts and forward these to the faculty auditor. Faculty Auditor (appointed by the board of education) - The function of the auditor shall be distinct and separate from the duties of the other officers. The person appointed as auditor shall have no part in the approval of payments, the planning of income, or in the keeping of records and forms. This policy prohibits the appointment of a building principal or the chief school officer as auditor inasmuch as the building principal should serve as chief faculty counselor and the chief school officer would have general supervision of the entire system and be responsible for the decisions of the chief faculty counselor and the faculty advisers. In order to establish the responsibility of the faculty auditor and to make available to this office adequate evidence of all financial transactions, the faculty auditor shall receive once each month from the central treasurer on a regular date designated by the chief school officer, a complete statement of the accounts showing the balance for each activity and the total balance for all accounts. In addition, the faculty auditor will call in the ledgers kept by the student activity treasurer at least twice a year and on a rotating basis, in order to compare the balance as shown on the central treasurer’s report with the balance recorded in the ledger of the student activity treasurer. He/she should also examine various transactions and paperwork to determine if correct procedures are being used. He/she shall certify on these pages the accuracy of the entries posted and the available balances listed. In the event that the ledgers of the student activity treasurer do not agree with the ledger kept by the central treasurer, the faculty auditor shall base his investigation on the supporting evidence kept by the student activity treasurer and the central treasurer in the form
17 of audited receipt statements, signed deposit slips, original audited bills, signed pay orders, cancelled checks, and bank statements. The entries in the central treasurer’s books and student activity treasurer’s ledgers are, in the final analysis, based on forms bearing not only the signature of the student activity treasurer, but also the counter signature of the faculty advisor. At the end of the school year, it shall be the duty of the auditor to assemble the monthly reports and prepare a composite report listing the financial condition of each activity for the full school year for the guidance of the chief school officer and the board of education. Chief Faculty Counselor (appointed for each building by the board of education- usually the building principal) - It shall be the duty of this officer to coordinate the financial planning of all projects of the various pupil organizations in his building; to consult with the faculty advisors; to appoint a faculty adviser for each activity in his building on a year-to-year basis; and to submit to the board of education for approval all new activity organizations initiated by the students. He/she shall investigate all problems and disputes concerning the student organizations under his jurisdiction and shall affect action that will enable these problems and disputes to be resolved. In addition, he shall be charged with implementation of any corrective action plan developed as part of the audit of the activities under his jurisdiction. Faculty Advisor (appointed by the chief faculty counselor) - It shall be the duty of these officers to guide and advise the pupil officers in planning Extra Classroom activities and the planning of financial budgets. The faculty advisers shall assist the student activity treasurer in the preparation of statements of profit and loss. He/she shall audit these statements and sign them as acknowledgement of verification of the activity statement to be attached to deposit slips. The faculty adviser shall guide the student treasurer in posting his account ledger and from time to time shall check the balancing of the student activity treasurer’s accounts and the completeness of their supporting evidence. The faculty adviser shall supervise disbursements by insuring that funds are available before approving each proposed purchase and by signing all pay orders drawn on the central treasurer for disbursement of funds. The faculty adviser is responsible for determining which of the activities of his organization are subject to sales tax and for taking steps to see that all tax information is accurately recorded
18 and sent to the central treasurer. The faculty adviser shall constantly work toward the goal of insuring the largest educational return from the activities participated in by the pupils. Student Activity Treasurer (elected by the pupils of each organization) - The student activity treasurer shall receive all moneys raised by his activity and shall immediately deposit such funds with the central treasurer. Duplicate deposit slips shall be made out and signed by both the faculty advisor and student activity treasurer. One of these is to be retained by the central treasurer and one, after being signed by the central treasurer, is to be returned to the student activity treasurer together with a central treasurer’s receipt. The student activity treasurer shall pay all bills by issuing payment orders signed by himself and the faculty adviser. This form is to be made in duplicate and is an order for the central treasurer to issue a check for payment of the invoice, which shall be attached to the payment order. The central treasurer will keep one copy of the payment order and return the other copy together with the completed check. The student activity treasurer will then send the check to the vendor involved after posting. The student activity treasurer shall keep a ledger showing all receipts and disbursements and indicating a daily running balance, which shall be on a form prescribed by the board of education. He/she shall file all supporting data chronologically as evidence for the entries made in ledger. Independent Auditor-The independent auditor is appointed by the board of education to make an annual audit of all school district finances and should be required to include the Extra Classroom activity fund as a part of his annual audit. This audit should include a statement of receipts, disbursements, and balances for each activity together with a reconciliation of cash. Deposit Procedures for Student Activity Treasurers Each student activity treasurer shall issue a receipt for all moneys received by him/her to be deposited in the activity account. These receipts shall be pre-numbered and must be used in consecutive order. If a mistake is made, the receipt should be voided and retained, not destroyed or discarded.
19 When an organization has a dance or activity involving admissions, a statement of profit and loss must be prepared. Upon receiving money, the student activity treasurer will take the following steps: Count the money received and reconcile with the statement of profit and loss or student activity treasurer receipts which are involved in the transaction. The faculty advisor should sign the statement of profit and loss under the signature of the student activity treasurer, check any student activity treasurer receipts involved, place the receipts in a bank deposit bag, and place the bag in the school vault until the next school day. No activity money should be taken home by anyone or left unsecured. Prepare the deposit slip, obtain the signature of the faculty adviser on the deposit slip following his review, and deposit the funds with the central treasurer. Return all funds used for making change. Receive the duplicate deposit slip signed by the central treasurer together with a receipt for the money deposited. Enter the amount of the deposit in the activity fund register indicating the source from which the funds were received. File chronologically the supporting data consisting of the duplicate deposit slip, central treasurer’s receipt, and, if applicable, the statement of profit and loss. These forms provide the evidence for the entries made in the activity treasurer’s books. Withdrawal Procedure for Student Activity Treasurers When merchandise is to be purchased and a purchase order system is used, a purchase order approved by the student activity treasurer and the faculty adviser must be prepared in duplicate. The original is given to the vendor as authorization to buy. In all cases, when the goods are received, and the bill arrives, the student activity treasurer, under the faculty adviser’s supervision, checks the goods, bill, and a copy of the purchase order (if used) to see that there are no discrepancies. The faculty advisor is responsible for being sure the purchase is proper in all respects. When payments are to be made for services rendered, a purchase order may be used. The student activity treasurer and the faculty adviser should be certain that the bill accurately reflects the services rendered.
20 When it is determined that the bill is correct, the following steps are taken: A payment order is prepared in duplicate and signed by both the student activity treasurer and faculty advisor. The final audited bill is attached to the original pay order form and both are given to the central treasurer. The central treasurer records the consecutive payment order number on the forms and prepares the check. The central treasurer makes the entries in his/her books and files both the original pay order and the bill as evidence for the entries. The check and the copy of the payment order are given to the student activity treasurer. The student activity treasurer makes the necessary entry in his/her books indicating to whom the check is made out and the reason. He/she then sends the check to the vendor. The pay order is filed to give supporting evidence for the entry. Suggested Procedure for Inactive Activity Accounts Prior to the termination of a student organization, all funds remaining in the treasury must be disposed of in one of the following ways: Expended by majority vote of the organization controlling these funds as provided for in the bylaws. Transferred to another student organization following the standard withdrawal ` procedure. Transferred to the school district for a specific and designated purpose. When the student organization votes to dispose of funds in this manner, the following procedure will be applied: The funds shall be turned over to the clerk of the board of education along with a signed statement from the organization authorizing the school district to use the funds in a specific manner as agreed upon by the majority of the student organization and as evidenced by a copy of the official minutes of the organization. The funds shall be accepted by the board of education and earmarked for their specific purpose until the proper expenditures have been made.
21 Any balance remaining after these expenditures will be considered discretionary funds and used by the school district. When no action has been implemented by the student organization prior to termination, the funds should be transferred in accordance with the policy of the board of education. Student Activity Treasurer’s Ledger The various Extra Classroom activity organizations should prepare budget estimates of their needed receipts and estimated disbursements under the guidance and with the assistance of their faculty adviser. Copies should be filed with the chief faculty counselor, the central treasurer, the faculty adviser, and the student activity treasurer. The Student Activity Treasurer’s Ledger should be designed to provide flexibility in the accounting system and to meet the needs of both the average and the more complex activity. An average activity will need one sheet for its receipts and one sheet for its disbursements. A more complex activity should use one sheet for its principal ledger and as many sheets as necessary for subsidiary accounts. As an example of a complex activity, the yearbook account amount may use three sheets for subsidiary receipts (advertising, sales, and other) and four sheets for subsidiary disbursements (printing and layout, photography, artwork, binding). At a given point in time, the total of the subsidiary accounts will equal the balance on the principal ledger. At regular intervals fixed by the chief faculty counselor, the student activity treasurers shall balance their ledgers and present them for the examination of the faculty auditor. Once audited by the faculty auditor, they should affix their signature indicating approval of the balance after verifying the records. The faculty advisor shall supervise the posting of the student activity treasurer’s ledger when approving payment orders on the central treasurer. At the end of the school year, the student activity treasurer’s ledgers shall be turned over to the faculty auditor after completion of the final audit be placed on file for the inspection and guidance of succeeding officers.
22 General Statement Currently, there are no laws or regulations authorizing extra classroom activities for charter schools. However, if the charter schools choose to engage in activities that are similar in nature to the extra classroom activities operated by school districts, this publication can be used to design policies and procedures and forms to be used. Charter Schools Classroom Activities Currently, there are no laws or regulations authorizing extra classroom activities for charter schools. However, there may be instances where students at a charter school choose to engage in activities that are similar in nature to the extra classroom activities operated by school districts. For these activities, the monies must be raised by the students and the expending of these monies must be solely at the discretion of the students with appropriate supervision by charter school officials. The funds for these activities should not be commingled with the charter school's funds. The charter should establish policies and procedures for these activities such as those suggested in the Safeguarding, Accounting, and Auditing of Extra Classroom Activity Funds Guidance Manual – Revised 2014. At the end of the year, the independent auditor should do a risk assessment of these funds and perform auditing procedures deemed necessary to ensure that there is sufficient accountability over the receipt and disbursement of these funds. CHAPTER V CHARTER SCHOOLS
23 Internal Controls Everyone knows that one of the best ways to protect assets is to have strong internal controls, and segregation of duties is an important piece of that effort. The Extra Classroom activity fund should provide learning experiences in the business procedures needed to safeguard the collection, deposit, and disbursement of money along with the filing of sales tax revenues. To that end, the student activity fund is similar to other organizations and must follow strong business practices to run a successful business and insure its security. That said, there are internal controls throughout the document that each activity fund should be aware of and follow as a guide. These suggested internal controls are not the be all end all but gives the governing body a baseline to work with. Rather than give a list of internal controls please take time to read this entire document and you will easily glean from the document proper methods to ensure assets are protected and accountability is understood. CHAPTER VI INTERAL CONTROLS
24 ACCOUNTING RECORDS AND THEIR USE The central treasurer and activity treasurer should independently keep the following records. Form 1 - Receipt and Disbursement Ledger (Control) NAME OF SCHOOL ADDRESS RECEIPT AND DISBURSEMENT LEDGER DATE EXPLANATION RCT. NO. VOUCHER # AMT. REQUESTED AMT. PAID BALANCE On this form is the chronological record of all receipts and disbursements from whatever activity or source. This record tracks all cash activity. There shall be a separate account for each activity. Postings shall include date, person to whom payment is made, or from whom money is received, and receipt or voucher number. One column is used for recording receipts, one for payments, and one for balance. In schools preferring to use a budgetary procedure, this form may be changed by omitting the column headed “Rct No.” and changing the heading “Amount Received” to “Amount Allotted.” Form 2 - Register of Receipts NAME OF SCHOOL ADDRESS YEAR REGISTER OF RECEIPTS FUND PAGE DATE REC'D FROM RCT. NO. AMOUNT DATE REC'D FROM RCT. NO. AMOUNT On this form is the chronological record of all receipts from whatever activity or source. This record should include the date, from whom the money was received, receipt number, amount, and activity to be credited. Form 3 - Register of Disbursements NAME OF SCHOOL ADDRESS REGISTER OF DISBURSEMENTS DATE NAME OF PAYEE VOUCHER NO. AMOUNT DATE NAME OF PAYEE VOUCHER NO. AMOUNT
25 Deposit Receipt No. Name of School School Date Activity Source of Funds Bills Silver Checks TOTAL AMOUNT OF DEPOSIT Activity Deposit New York State Sales Tax Checked by Activity Treasurer Initial When Posted Faculty Adviser Central Treasurer CENTRAL Treasurer’s COPY On this form is the chronological record of all payments for whatever activity or purpose. This record should include the date, person receiving payment, check number, amount, and activity to be charged. FORM 4 DEPOSIT RECEIPT Deposit Receipt The deposit receipt form shall be prepared in duplicate by the activity treasurer. A copy of the detailed statement of the source of the receipts being deposited, signed by the faculty adviser, shall accompany the deposit receipt and is filed with the central treasurer. The central treasurer shall acknowledge the receipt of these funds by signing and dating the receipt and entering the consecutive register number on the receipt. The original copy shall be filed with the central treasurer along with the detailed statement or report of the income. The activity treasurer shall retain the carbon copy.
26 FORM 5 STATEMENT OF PROFIT AND LOSS Statement of Profit and Loss Club Name Activity Activity Date(s) Subject to NYS Sales Tax? Yes No (Circle One) Receipts Ticket Numbers From And To and Total Sale Price Total Date of Sale Description of Sale Item(s) OR Including Including Number Sold Per Item Receipts Anticipated Receipts $ Total Actual Receipts $ Disbursements Date Payee Check # Purpose Amount
27 Anticipated Disbursements $ Total Actual Disbursements $ PROFIT (LOSS) $ $ Club Treasurer Adviser Date
28 FORM 6 CENTRAL TREASURER'S RECEIPT CENTRAL TREASURER’S RECEIPT NO. 000 DATE: Name of School: $ DOLLARS FOR ACTIVITY Original to Central Treasurer Copy to Activity Treasurer Central Treasurer This form shall be pre-numbered, made up in duplicate and shall contain the information indicated. The disposition of the copies is indicated on the form itself. All moneys taken in by the central treasurer shall be accounted for in this manner. This document, in addition to serving as a receipt, will furnish the auditor information he needs for checking receipts. Central Treasurer's Receipt
29 FORM 7 ACTIVITY TREASURER'S RECEIPT Activity Treasurer's Receipt ACTIVITY TREASURER’S RECEIPT NO. 000 DATE: Name of School: $ Dollars For Activity Original to purchaser or depositor Copy to activity treasurer Activity Treasurer This pre-numbered form is used by the treasurers of the activity treasurer for acknowledging receipt of money. If possible, these forms shall be stamped with the name of the activity before the blanks are issued to the activity treasurers. This form and some other documentary evidence, such as the statement of profit and loss, shall together account for all the money taken in by the activity.
30 FORM 8 INVENTORY CONTROL FORM Inventory Control Form Name of School Club Name: Fundraising Event: Total Number of Items Purchased for Resale: LESS: Total Number of Items Sold: Total Number of Items Remaining in Inventory: LESS: Total Items Unaccounted For: Inventory on Hand: Inventory Tracking Sheet: Student Name Date Number Taken of Items Date Number Returned of Items
31 FORM 9 PURCHASE ORDER Purchase Order School District Purchase Order No. (Your invoice must show this order number) TO: DATE ISSUED: DATE WANTED: SEND TO: AT: PLEASE ENTER OUR ORDER FOR THE FOLLOWING GOODS TO BE DELIVERED EXEMPT FROM SALES TAX-resale TO: NOT EXEMPT FROM SALES TAX (Check one of the above) CHARGE TO: Activity Quantity Unit and Description Unit Price Total Amount Checked by FUNDS ARE AVAILABLE. PURCHASE AUTHORIZED BY ACTIVITY TREASURER FACULTY ADVISER Purchases by activities should be made by means of a formal purchase order approved by the faculty adviser who is responsible for determining that funds are available before approving purchase order. Like the voucher check, this document involves negotiation with institutions outside of the school and consequently shall bear the signature of the adviser. This form shall be made out in duplicate, the original to the vendor and the copy to the activity treasurer.
3 FORM 10 PAYMENT ORDER Payment Order The activity treasurer prepares the payment order in duplicate whenever a payment or withdrawal is to be made. The activity treasurer shall secure the signature of the faculty adviser as recording approval of the contemplated disbursement. The faculty adviser shall certify the amount of the balance available. This information shall be recorded on the payment order for the guidance of the faculty auditor when the transactions are being audited and for the purpose of confirming the proper posting of the activity treasurer’s records. If the balance recorded does not agree with the balance shown on the central treasurer’s ledger, the issuance of the check may be held up until the faculty adviser can determine the cause of the discrepancy. All payment orders shall be accompanied by a final audited bill, which shall be filed with the central treasurer. The central treasurer shall acknowledge receipt of the payment order by entering his/her consecutive register number on the order and also by recording the number of the check issued in compliance with the properly drawn payment order. The activity treasurer retains a copy. PAYMENT ORDER TO THE CENTRAL TRESURER EXTRA CLASSROOM ACTIVITY FUNDS , 20 Verification of Available Balance by Faculty Advisor You are authorized to issue a check Unencumbered Balance $ PAY TO THE ORDER OF IN THE AMOUNT OF DOLLARS $ FOR AS PER ATTACHED INVOICE AND CHARGE SAME TO ACCOUNT Amount of this Payment Order $ Initial When Posted Date of Approval New Available Balance Activity Treasurer $ Activity Adviser Order No. Check No.
33 FORM 11 Voucher CHECK Voucher Check NAME OF SCHOOL NO.000 STUDENT ACTIVITIES ACCOUNT DATE: PAY TO THE ORDER OF: $ DOLLARS TO: FIRST NATIONAL BANK Pay and charge to the above-named account CENTRAL TREASURER DETACH BEFORE PRESENTING FOR PAYMENT DUPLICATE VOUCHER Date Order Items in Account Amount Activity This document should be pre-numbered and issued in duplicate. (Signatures need appear only on the original). The original is the check and the central treasurer keeps the copy. The voucher part of the document should be in sufficient detail to clearly identify and describe the payment. It is to be used for posting purposes.
34 FORM 12 INTERORGANIZATION TRANSFER Interorganization Transfer On occasion, one organization will want to transfer funds to another organization for services rendered or the general student organization may make appropriation to various activity organizations of the school. It is recommended that transfers of this kind follow the customary procedure for making withdrawals through preparation of a payment order. After making the necessary entries in his/her books, the central treasurer instead of writing a check would use the interorganization transfer form shown below. The original would be given to the activity treasurer whose organization will receive the funds and the duplicate copy would be sent to the organization paying the funds. When the activity treasurer receives the form, he/she should make the necessary entries to the standard file and file the transfer form as evidence to support the form. School Name Extra Classroom Activities Account Interorganization Transfer Date: INITIATING ORGANIZATION: PAY TO $ DOLLARS FOR ACTIVITY TREASURER CENTRAL TREASURER
35 Report on Extra Classroom Activity Account Reconciliation of Cash Balances FORM 13 REPORT ON RECONCILIATION OF CASH BALANCES REPORT AS OF , 20 Name of School CHECKING ACCOUNT BANK STATEMENT BALANCE END OF MONTH $ Less total outstanding checks Net balance in bank Amount of receipts not deposited (add) BOOK BALANCE END OF MONTH $ OTHER ACCOUNTS Petty Cash Funds (add) $ Certificates of Deposit (add) Savings Account (add) CASH BALANCE END OF MONTH $ , 20 CENTRAL TREASURER This account was audited for the period , 20 to , 20 , and found to be correct. FACULTY AUDITOR Extra Classroom Activity Fund
36 Extra Classroom Activity Fund Central Treasurer's Report FORM 14 CENTRAL TREASURER’S REPORT For the Period to _ , 20 Activity Beginning Bal. On Hand Receipts Disbursements Ending Balance on Hand TOTAL Date Signature
37 CENTRAL SCHOOL DISTRICT ADMISSIONS DEPOSIT FORM 15 CENTRAL TREASURER’S REPORT Sport: Date: Submitted By: Coordinator (print name) Signature Submitted By: Ticket Seller (print name) Signature Submitted By: Ticket Seller (print name) Signature TICKETS STUDENTS @$X.XX TICKETS ADULTS @$X.XX Ending Number: Ending Number: Beginning Number: Beginning Number: Total: Total: GATE AMOUNT TOTAL Coins: $ 1.00 = $ 5.00 = $10.00 = $20.00 = $50.00 = Total Deposit: $
38 Appendix A Regulations of the Commissioner of Education on Financial Accounting of Extra Classroom Activity Fund in Union Free School District Having a Population of Less Than One Million Section 172.1 (Activity Funds). An organization within a school district whose activities are conducted by students and whose financial support is raised other than by taxation or through charges of the board of education shall be known as an Extra Classroom activity and the moneys received by it as Extra Classroom activity funds. Section 172.2 (Regulation of Activities and Moneys). The board of education of each school district having a population of less than one million and an educational program beyond the 6th grade shall make rules and regulations for the establishment, conduct, operation, and maintenance of Extra Classroom activities and for the safeguarding, accounting and audit of all moneys received. Section 172.3 (Subject Matter of Rules). Such rules and regulations shall require at least the following: (a) The method to be followed in establishing an organization. (b) The records of receipts and expenditures to be maintained and the reports to be made at least quarterly to the board of education. (c) The authority to expend moneys shall be distinct and separate from the custody of those moneys. (d) The independent and impartial audit of the district records. (e) The method of disposing of funds of defunct organizations. Section 172.4 (Deposit of Funds). The board of education shall direct that the moneys received from the conduct, operation or maintenance of any Extra Classroom activity is deposited with an official designated by the board of education, who in such event shall be treasurer of such Extra Classroom activity fund. Section 172.5 (Assignment of Board Officers or Employees). The board of education may assign any of its officers or employees to perform such duties as it may prescribe in connection with any Extra Classroom activity, and shall designate such of its officers and employees, from whom an official undertaking shall be required and shall fix the sum thereof.
39 Appendix B POLICY Non-Instructional/Business Operations SUBJECT: EXTRA CLASSROOM ACTIVITY FUNDS Extra Classroom activity funds are defined in the Regulations of the Commissioner of Education as “funds raised other than by taxation or through charges of a board of education, for, by or in the name of a school, student body or any subdivision thereof.” Basically, Extra Classroom activity funds are those operated by and for the students. Monies are usually collected voluntarily by pupils and are spent by them as they see fit so long as they abide by established regulations. Extra Classroom activity funds must not be confused with funds accounted for in accordance with the Uniform System of Accounts prescribed by the State Comptroller. Procedures discussed in this policy and applicable regulations apply only to Extra Classroom activity funds. The board of education recognizes that the fundamental task of the schools is to prepare young people for life. In order for this preparation to be done properly, the educational program of the schools must be as wide as life itself. An integral part of such a program is Extra Classroom activities. They represent an essential part of the educational experiences which should be available to young people. In order to promote the organization and maintenance of Extra Classroom activities and to provide for the proper handling and safeguarding of Extra Classroom activity funds, the board of education hereby adopts rules and regulations for the guidance of students, teachers, and principals. Purpose Student Extra Classroom activities may only be formed for educational purposes. Definition Extra Classroom activity funds are funds raised other than by taxation or through charges of a board of education, for, by or in the name of a school, student body, or any subdivision thereof. Organizational Procedures Students desiring to form an Extra Classroom activity shall petition their principal in writing. The petition shall state the purpose of and describe the activities of the proposed Extra Classroom
40 activity and shall be signed by at least seven students before it is presented to the principal for action. If the purpose of the proposed Extra Classroom activity falls within the scope of educational or school service purposes and if the necessary space and equipment are available, the principal, in conjunction with the petitioning students, shall seek a suitable adviser. When these procedures have been accomplished, the building principal shall recommend to the chief school officer that the Extra Classroom activity be approved by the board of education. Approved Extra Classroom Activities All Extra Classroom activities shall be approved by the board of education. The chief school officer shall maintain an up-to-date register of all Extra Classroom activities that are approved or discontinued. A CHARTER needs to be developed (look at national charters i.e.; national honor society or student government) for each activity. This explains its purpose and goals and should be kept securely within the school. Faculty Adviser Each Extra Classroom activity shall have a faculty adviser recommended by the superintendent and appointed by the board of education. The faculty adviser shall attend all meetings of the Extra Classroom activity. Meetings All Extra Classroom activities shall meet at least once monthly while school is in session. These meetings shall be held on school property. Extra Classroom activities shall not meet outside school property unless they have received the consent of their school principal. Minutes must be taken and kept securely with each activity to support any decisions made and recommendations brought up. Officers Each Extra Classroom activity shall have a president, secretary, and treasurer. These officers shall be elected annually from among the membership by secret ballot. Financial Procedures All Extra Classroom activity funds shall be handled in accordance with the regulation for the safeguarding, accounting, and auditing of these funds. Inactive Clubs and Leftover Funds An inactive Extra Classroom activity shall be defined as one having no financial activity for one full school year. If an inactive club is identified, the central treasurer is directed to expend
41 leftover funds as voted by the organization controlling these funds or if no such designation exists, then liquidate the leftover funds of these club(s) in accordance with the following: Leftover funds of inactive or discontinued Extra Classroom activities and of graduating classes shall automatically revert to the account of the general student organization or student council. Inactive clubs must follow the organizational procedures set forth in this policy to re-activate previously existing activities. Sales, Campaigns and Fundraising Activities The chief faculty counselor shall provide information to the superintendent on sales, campaigns and fundraising activities of all Extra Classroom activity clubs, including the nature of the event, dates of operation, duration of sale or campaign, and means of solicitation (e.g., door-to-door, direct mailing, etc.). Risk Management The chief faculty counselor shall work with the business official to assure that the district’s exposure to any risk resulting from club activities or fundraisers is minimized. In all cases where a vendor will be using district facilities to conduct its event, the district requires a certificate of insurance with the district named as an additional insured. Periodically, the district may request that its primary liability insurance carrier conduct a review of the activities of its Extra Classroom activities and may prohibit certain events based on the review results. Equipment Acquisitions All equipment purchases shall be evidenced by official action of a majority of the club or activity members. Title to all equipment acquired with Extra Classroom activity funds shall reside with the district and be carried as an insurable asset on its list of insurable values. All equipment shall be operated on district property, unless express permission from the superintendent is secured to use the equipment or have it resided off-premises. Such equipment shall be tagged as district property but is available for exclusive use by the Extra Classroom activity club acquiring the item. Tax Exempt Status The Extra Classroom activities of the district are not included in the exemption granted to the school district from New York State sales tax. Without exception, clubs and activities are prohibited from using the school’s tax exemption. However, Some ECA’s may be eligible for their own tax exemption. In this case, the taxable status of all fundraising events are guided by Publication 843 The taxable status of all fundraising events specified in the administrative regulations to this policy shall be enforced as listed by the central treasurer. Any event not specifically listed shall be deemed taxable unless a written determination that it is non-taxable has been issued from
42 Appendix C the business official to the central treasurer. The central treasurer shall be responsible for filing the periodic sales tax returns for the Extra Classroom activity funds. Contracts, Commitments and Guarantees All commitments and contracts shall be the sole responsibility of the Extra Classroom activity club giving rise to the transaction, regardless of change in advisers, membership or officers. ADMINISTRATIVE REGULATIONS Non-Instructional/Business Operations SUBJECT: RULES FOR THE SAFEGUARDING, ACCOUNTING, AND AUDITING OF EXTRA CLASSROOM ACTIVITY FUNDS PROCEDURES IN HANDLING FUNDS PREAUDIT OF RECEIPTS Confusion and sometimes loss of funds can be traced more often to a lax checkup and recording of money taken in than to any other single cause. For this reason, every possible precaution should be taken to protect the individual concerned and the money collected. Consequently, the most important functions are the prompt checking, recording, and depositing of receipts. Extra Classroom activities funds are derived from a number of sources such as admissions, membership dues, sales and campaigns, and donations. The procedures used in collecting and pre-auditing (checking) these several types of receipts will naturally vary. So far as possible, devices should be used which will make it possible to determine in advance the amounts which should be received. To facilitate the pre-audit and recording of receipts, statements should be made by those collecting money. Such a statement should, on the face of it, give all the essential data for a complete check and audit of the receipts. A determination should be made as to whether the activity falls within the provision of the New York State Sales Tax Law, and an estimate should be obtained as to the amount of sales tax that will be collected. An Individual Project Profit or Loss Statement shall be prepared to enable those collecting money to prepare a complete report and to verify the money turned over to the treasurer. (Attached) In addition, it will afford protection for those handling funds, facilitate a check and serve as documentary
43 evidence that can be used for accounting purposes. A pre-audit of receipts should make only reasonable allowances for errors in making change. ADMISSIONS Prenumbered tickets shall be used so that the auditor may by reference to the beginning and ending numbers determine the amount that should be collected. A different color should be used for each occasion, thus making it difficult for anyone to use old tickets, and ticket collectors shall destroy each ticket by tearing it in two, giving one part to the customer and retaining one. RECEIPTS FROM SALES, CAMPAIGNS, ETC. Pupils collecting monies should, whenever possible, issue prenumbered receipts in duplicate, the original to be given to the purchaser and the duplicate to the pupil treasurer of the activity after the audit has been completed. In those cases where receipts are not practical, for example, a candy sale, the activity treasurer with the assistance of the adviser should prepare a statement (attached) whereby the exact amount to be realized by the sale is determined in advance. Each salesman should be given a statement showing the amount he is to receive. After the sale, each salesman should then turn in that amount in cash and unsold goods. Salesman, on an Inventory Control Sheet shall log inventory distributed for sale and returned. (Attached) INVENTORY Inventory items held for resale must be adequately safeguarded in a secure location and properly accounted for, including an accounting of and reconciliation of amounts on hand at all times. DONATIONS Gifts or donations are usually made in lump sums and should be recorded in the minutes of the activity. The activity treasurer should issue a receipt and deposit the gift with the central treasurer. RECEIPT OF MONEYS Upon receiving money, the activity treasurer will take the following steps: 1) Ensure that if the money received is from a fundraising event, that a completed profit/loss statement is on file or accompanies the money received.
44 2) Count the money received and reconcile with the individual project profit or loss statement that is involved in the transaction. The faculty adviser should sign the statement next to the signature of the activity treasurer, check any activity treasurer receipts involved, place the receipts in a bank deposit bag, and place the bag in the school vault until the next school day. No activity money should be taken home by anyone. 3) prepare the deposit slip, obtain the signature of the faculty adviser on the deposit slip following his/her review, and deposit the funds with the central treasurer. 4) Return all funds used for making change. 5) Receive the duplicate deposit slip signed by the central treasurer. 6) Enter the amount of the deposit in the activity fund register indicating the source from which the funds were received. 7) File chronologically the supporting data consisting of the duplicate deposit slip, and, if applicable, the profit or loss statement. These forms provide the evidence for the entries made in the activity treasurer’s books. PAYMENTS When merchandise is to be purchased, the adviser is responsible for being sure the purchase is proper in all respects. When the goods are received, and the bill arrives, the activity treasurer, under the faculty adviser’s supervision, checks the goods and bill to see that there are no discrepancies. When it is determined that the bill is correct, the following steps are taken: 1) The payment order is prepared in duplicate and signed by both the activity treasurer and faculty adviser. 2) The final audited bill is attached to the original pay order form and both are given to the central treasurer. 3) The central treasurer records the consecutive pay order number on the forms and prepares the check. 4) The central treasurer makes the entries in his/her books and files both the original pay order and the bill as evidence for the entries. 5) A copy of the pay order will be sent to the activity treasurer.
45 6) The activity treasurer makes the necessary entry in his/her books indicating to whom the check is made out and the reason. The central treasurer then sends the check to the vendor. The central treasurer to give evidence for the entry files the pay order. ADVANCES To provide ways and means for financing certain types of activities which do not lend themselves to the usual procedures, it is suggested provision be made for “advances.” For example, to provide the necessary cash for student organization activity trips, the activity treasurer of the group will draw a payment order in the same manner as when paying for a purchase except that in explaining the payment he will state that the check is to be drawn to himself, giving essential facts regarding the trip. A detailed statement of estimated expenditures and the like should accompany this order. Such a payment order should be pre- audited and approved the same as any other payment order. After audit and approval, the central treasurer will draw the necessary voucher check. The activity treasurer will thus secure the requested cash. After the trip, the activity treasurer shall file with the central treasurer a detailed statement of actual expenditures and turn over any balance not accounted for. The statement should, of course, be audited and approved by the faculty adviser. The use of the “advance” procedure shall be very carefully limited and closely supervised. The device should be used only in case of real need, and not merely for convenience. In order to avoid confusion in the case of advances for making change for admission tickets sold and to avoid inflation of accounts, a “service account” shall be set up. This account is charged with the advance and credited with the return of the money. Then the exact amount of net receipts can be credited to the activity. TRANSFER OF FUNDS FROM ONE ACTIVITY TO ANOTHER It may be necessary or desirable occasionally to transfer funds from one activity to another. This may be done by the use of a payment order. The treasurer of the activity managing the donation will upon proper authorization draw a payment order stating all essential facts. The central treasurer will then affect the necessary transfer in his accounts, and no money will actually change hands. BONDING OF THE CENTRAL TREASURER The board of education shall require the central treasurer of the Extra Classroom activity fund to be bonded for no less than the amount of the average cash balance of the fund. INVESTING EXTRA CLASSROOM ACTIVITY ACCOUNT MONIES
46 The central treasurer may entrust a portion of the fund in a time deposit account, a certificate of deposit, a savings account, or other investment approved by the board of education. The investment of this money must be authorized by the board of education and shall be credited to each activity account based on its prorata principal investment. CLOSING OUT OF INACTIVE ACCOUNTS Prior to the termination of a student organization, all funds will remain in the custody of the Central Treasurer for six months and then disposed of in one of the following ways: 1) Expended by vote of the organization controlling these funds as provided for the bylaws. in 2) Transferred to the general student organization or student council. 3) An account that is inactive for two years should be terminated with the mon transferred to the activity representing the general student organization student council. ies or GRADUATING CLASS ACCOUNTS Upon graduation, all funds in the Senior Class Treasury will be disposed of in one of the following ways: 1) Expended by vote of the organization controlling these funds as provided for in the bylaws. 2) Transferred to the general student organization or student council. SALES TAX A school district is not exempt from the provisions of the Sales Tax Law whenever it becomes the vendor of services or property ordinarily sold by private persons. Each faculty adviser should know which of the activities his organization undertakes are subject to sales tax and take steps to see that all sales tax information is accurately recorded and sent to the central treasurer. Below are selected events (not all inclusive) and their taxability status: Sale of Candy Bars Tax Law §1115 (a) (1) generally provides an exemption for the sales and purchases of food, food products, and beverages sold for human consumption. However, the exemption does not apply to candy, sodas, or fruit drinks that contain less than 70% natural fruit juice. See TB-ST-103.
47 Spaghetti Dinners (TB-ST-806) Tax Law §1115 (a) (1) generally provides an exemption for the sales and purchases of food, food products, beverages sold for human consumption. However, the exemption does not apply to catered situations, where the students of the club would be serving, assisting in serving, cooking, or otherwise providing services with respect to the food items in question. Bake Sales (TB-ST-103) Tax Law §1115 (a) (1) generally provides an exemption for the sales and purchases of food, food products, and beverages sold for human consumption. This provision exempts bake sales from the collection of sales tax. Vending Machine Sales (TB-ST-280) Sales of food and beverages from vending machines are generally taxed in the same manner as sales of the same items in food stores. However, hot beverages sold from a vending machine are always exempt, and certain items that are taxable when sold by food stores (such as candy, confectionery, soda, and other soft drinks) are exempt when sold from a vending machine for $1.50 or less. Food or Beverage in a Heated State (TB-ST-806) All sales of prepared food sold in a heated state (where the food is maintained at a temperature warmer than surrounding air temperature), such as pizza, barbecue chicken, popcorn, coffee, tea, etc. are subject to sales tax. Purchases of Prepared Food for Resale Prepared food intended for resale may be purchased exempt from sales tax by providing a completed Form ST-120, Resale Certificate, to the seller. Tax must be collected on the subsequent sale unless otherwise exempt. Admission Charges (TB-ST-8) Exemption is provided from NY sales tax for admissions to dramatic or musical arts performances, which do not include variety shows, magic shows, circuses, ice shows, and similar performances. Included in the exemption is an admission charge to choreographed performances to music, which may exempt color guard admissions. Admission charges for entertainment or amusement are taxable, such as social dances. Sale of Newspapers/Periodicals (TB-ST-620)
48 Exempt from NY sales tax. Sale of Yearbooks (TSB-A-08(42)) Taxable under provisions of NY Tax Law, however if the entire cost of the yearbook is underwritten by the Board of Education, the sale of the yearbook becomes an exempt transaction. Advertising space sold in the yearbook is not taxable. Sweatshirt, T-Shirt, Jacket Sales (TB-ST-122) Clothing and footwear sold for less than $110 per item or pair and items used to make or repair this clothing are exempt from the New York State 4% sales and use tax. The exemption does not apply to local sales and use taxes unless the county or city imposing the tax elects to provide the exemption. The exemption also applies to the ³⁄₈% Metropolitan Commuter Transportation District (MCTD) tax, but only within localities in the MCTD that have elected to provide the exemption. When a student organization purchases merchandise for resale, vendors are required to collect the sales tax unless they receive a Resale Certificate (NYS Sales Tax Form ST-120) from the buyer. ACCOUNTING RECORDS AND THEIR USE A. The central treasurer should keep the following records: 1. Register of Receipts (Control) On this form he will record chronologically all receipts from whatever activity or source. This record should include the date, from where the money was received, receipt number, amount, and activity to be credited. 2. Register of Disbursements (Control) On this form he will record chronologically all payments for whatever activity or purpose. This record should include the date, person receiving payment, check number, amount, and activity to be charged. 3. Central Treasurer’s Receipt and Expenditure Ledger There shall be a separate account for each activity. Postings shall include: date, person to whom payment is made, or from whom money is received, and receipt or voucher number. One column is used for recording receipts, one for payments and one for balances. The central treasurer will keep such an account for each activity.
49 4. Central Treasurer’s Receipt The central treasurer’s receipt form shall be pre-numbered and made up in duplicate, the original to the activity treasurer and the copy retained by the central treasurer. Every cent taken in by the central treasurer shall be accounted for in this manner. In addition to serving as a deposit slip, this will also furnish the auditor with information needed for checking receipts. 5. Voucher Check This document should be pre-numbered and issued in duplicate. Signatures need appear only on the original. The original is the check, and the central treasurer keeps the copy. The voucher part of the document should be in sufficient detail to clearly identify and describe the payment. It is to be used for posting purposes. 6. Interorganization Transfers On occasion, one organization will want to transfer funds to another organization for services rendered or the general student organization may make appropriations to various activity organizations of the school. It is recommended that transfers of this kind follow the customary procedure for making withdrawals through preparation of a payment order. After making the necessary entries in his books, the central treasurer instead of writing a check would use an interorganization transfer form. The original would be given to the activity treasurer whose organization will receive the funds and the duplicate copy would be sent to the organization paying the funds. When the activity treasurer receives the form, he should make the necessary entries in the books and file the transfer form as evidence to support the form. 7. Central Treasurer’s Report on Extra Classroom Activity Accounts In accordance with Part 172.3 (b) of the Regulations of the Commissioner of Education the central treasurer of the Extra Classroom activities fund shall submit a financial report to the board of education pertaining to the receipts and expenditures for all accounts in his custody. B. The student activity treasurer should keep the following records: 1. Activity Treasurer’s Receipt and Expenditure Ledger
50 The various Extra Classroom activity organizations should prepare budget estimates of their needed income and expenses under the guidance and with the assistance of their faculty advisers. The final drafts of these budgets shall be prepared in quadruplicate and copies filed with the chief faculty counselor, the central treasurer, the faculty adviser, and the activity treasurer. An average activity will need one sheet for its receipt and expenditure ledger. A more complex activity should use one sheet for its principal ledger and as many sheets as necessary for subsidiary accounts. As an example of a complex activity, the yearbook activity account may use three sheets for subsidiary revenues (advertising, sales, and other) and four sheets for subsidiary expenses (printing, and layout, photography, artwork, binding). At a given point in time, the total of the subsidiary accounts will equal the balance on the principal ledger. By contrast, a chess club activity may not need subsidiary accounts. At regular intervals fixed by the chief faculty counselor, the activity treasurers shall balance their ledgers and present them for the examination of the faculty auditor. Space should be provided for the signature of the auditor indicating approval of the balance after verifying the records. The faculty adviser shall supervise the posting of the activity treasurer’s ledger when approving payment orders on the central treasurer. At the end of the school year, the activity treasurer’s ledgers shall be turned over to the faculty adviser after the completion of the final audit and be placed on file for the inspection and guidance of succeeding officers. Each student treasurer will keep such an account for his activity. 2. Deposit Receipt The deposit receipt form shall be prepared in duplicate by the activity treasurer. A copy of the detailed statement of the source of the receipts being deposited, signed by the faculty adviser, shall accompany the deposit receipt and is filed with the central treasurer. The central treasurer shall acknowledge the receipt of these funds by signing and dating the receipt and entering the consecutive register number on the receipt. The original copy shall be filed with the central treasurer along with detailed statement or report of the income. The activity treasurer shall retain a copy. 3. Activity Treasurer’s Receipt
51 The activity treasurer’s receipt should be a pre-numbered form used by the treasurer of the activity for acknowledging receipt of money. If possible, these forms should be stamped with the name of the activity before the blanks are issued to the activity treasurer. This receipt and some other documentary evidence, such as a statement of admissions, shall together account for all the money taken in by the activity. 4. Payment Order The activity treasurer shall prepare the payment order in duplicate whenever a payment or withdrawal is to be made. The activity treasurer shall secure the signature of the faculty adviser as recording approval of the contemplated expenditure. The faculty adviser shall certify the amount of the balance available. This information shall be recorded on the payment order for the guidance of the central auditor when the transactions are being audited and for the purpose of confirming the proper posting of the activity treasurer’s records. If the balance recorded does not agree with the balance shown on the central treasurer’s ledger, the issuance of the check may be held up until the faculty adviser can determine the cause of the discrepancy. The activity treasurer, after securing the approval of his faculty adviser, shall present the form. All payment orders shall be accompanied by a final audited bill, which shall be filed with the central treasurer. The central treasurer shall acknowledge receipt of the payment order by entering his consecutive register number on the order and also by recording the number of the check issued in compliance with the properly drawn payment order. The activity treasurer shall retain a copy.
Book SCCSD Policies Section 5000: Non-Instructional/Business Operations Title Extra Classroom Activity Fund Code 5520 Status Active Last Revised August 22, 2023 Prior Revised Dates 1/27/2015 SUBJECT: EXTRA CLASSROOM ACTIVITY FUND An Extra Classroom activity fund shall be established for activities conducted by students whose financial support is raised other than by taxation or through charges of the Board of Education. All Extra Classroom activities shall be approved by the Board of Education. The Building Principal shall maintain an up to date register of all Extra Classroom activities that are approved or discontinued. Each Extra Classroom activity shall have a faculty advisor appointed by the Building Principal. A Central Treasurer and a Faculty Auditor shall oversee all financial aspects of Extra Classroom activities. The annual District audit will include all Extra Classroom activity funds. If a cash deposit or disbursement must be made to/from a Student Extra Classroom Activity account, and the student organization's Faculty Advisor and/or the Student Treasurer are unavailable, the Superintendent of Schools may sign in the absence of the organization's Faculty Advisor and/or the Deputy Treasurer may sign in the absence of the organization's Student Treasurer. The Central Treasurer shall immediately notify the student organization's Faculty Advisor and/or the Student Treasurer in writing. All Extra Classroom activity funds shall be handled in accordance with the financial procedures illustrated by Finance Pamphlet No. 2, the Safeguarding, Accounting and Auditing of Extra Classroom Activity Funds, 2008, published by the New York State Education Department. All commitments and contracts shall be the sole responsibility of the Extra Classroom activity club giving rise to the transaction, regardless of a change in advisors, membership or officers. Proper books will be kept and all moneys deposited in appropriate accounts as set up by the Board of Education. These accounts shall be subject to audit. All transactions involving Extra Classroom funds shall be on a cash basis and no accounts shall remain unpaid at the end of the school year. Funds shall be invested in accordance with the Board of Education's Fiscal Management Policy on the "Investment of District Funds". The Extra Classroom activities of the District are not included in the exemption granted to the School District from New York State sales tax. Without exception, clubs and activities are prohibited from using the school's tax exemption. The Central Treasurer shall be responsible for filing the periodic sales tax returns for the Extra Classroom activity funds. If no direction is given prior to discontinuing operations of an activity, funds of discontinued Extra Classroom activities, those inactive for one (1) year and of graduating classes shall revert to the account of the general student organization or student council and shall be expended in accordance with the organization's constitution. The Business Office will contact advisors prior to year's end to ensure excess funds of any discontinuing activity are directed in the manner in which the activity membership directs by vote. The Building Principals, in coordination with the Assistant Superintendent for Finance and Operations and the Central Treasurer, shall set up procedures for receipt and payment from the Extra Classroom activity fund in their respective schools, with approval of the Superintendent of Schools. Any form of electronic payment system shall be established by the Assistant Superintendent for Finance and Operations and the Central Treasurer. 8 NYCRR Part 172
NOTE: Refer also to Policy #5620 -- Inventories and Accounting of Fixed Assets Adoption Date: Revised: 10/07/08, 01/27/15, 8/22/23
(Continued) 2005 5520R.1 1 of 5 Non-Instructional/Business Operations SUBJECT: SAFEGUARDING, ACCOUNTING AND AUDITING OF EXTRA CLASSROOM ACTIVITY FUNDS There are certain principles and procedures that should be followed in establishing an adequate accounting system for Extra Classroom activity funds. The following basic devices are essential to the proper management of such funds: Basic Principles 1) Two separate and independent sets of records of receipts and expenditures shall be maintained. 2) The authority to expend moneys shall be distinct and separate from the custody of these moneys. 3) At least two individuals shall take part in each act of disbursing money. 4) The custodian of funds shall report to the Board of Education regularly at monthly intervals. 5) All accounts shall be audited at least annually. 6) Procedures shall be established which will insure a prompt and careful examination and check of each receipt and each payment. 7) The accounting system shall be such that it will yield the largest possible educational return to students without sacrificing the safety of funds or exposing students to undue responsibility or unnecessary routine. Functions and Duties of Officers Chief Faculty Counselor: (usually the building principal) It shall be the duty of this officer to coordinate the financial planning of all projects of the various student organizations in his/her building; to consult with the Faculty Advisors; to appoint a Faculty Advisor for each activity in his/her building on a year-to-year basis; and to submit to the Board of Education for approval all new activity organizations initiated by the students. He/she shall investigate all problems and disputes concerning the student organizations under his/her jurisdiction and shall effect action that will enable these problems and disputes to be resolved. Faculty Advisor It shall be the duty of these officers to guide and advise the student officers in planning Extra Classroom activities and the planning of financial budgets. The advisors shall assist the Activity Treasurer in the preparation of statements and sign them as acknowledgment of verification of the
(Continued) 2005 5520R.1 2 of 5 Non-Instructional/Business Operations SUBJECT: SAFEGUARDING, ACCOUNTING AND AUDITING OF EXTRA CLASSROOM ACTIVITY FUNDS (Cont'd.) income statement to be attached to deposit slips. The advisor shall guide the student treasurer in posting to the account ledger and from time to time shall check the balancing of the Activity Treasurer's accounts and the completeness of their supporting evidence. The Faculty Advisor shall supervise expenditures by insuring that funds are available before approving each proposed purchase and by signing all pay orders drawn on the Central Treasurer for disbursement of funds. The Faculty Advisor is responsible for determining which of the activities of the organization are subject to sales tax and for taking steps to see that all tax information is accurately recorded and sent to the Central Treasurer. The Faculty Advisor shall constantly work toward the goal of insuring the largest educational return from the activities participated in by the students. Activity Treasurer The Activity Treasurer shall receive all moneys raised by student activity and shall immediately deposit such funds with the Central Treasurer. Duplicate deposit slips shall be made out and signed by both the advisor and Activity Treasurer. One of these is to be retained by the Central Treasurer, and one, after being signed by the Central Treasurer, is to be returned to the Activity Treasurer together with a Central Treasurer's receipt. The Activity Treasurer shall pay all bills by issuing pay orders signed by himself/herself, the Faculty Advisor and the chief faculty counselor. It is the responsibility of the Activity Treasurer to verify the balance in his/her account when submitting a payment order. This form is to be made in duplicate and is an order on the Central Treasurer to issue a check for payment of the invoice which shall be attached to the pay order. The Central Treasurer will keep one copy of the pay order will then send the check to the vendor involved after posting. The Activity Treasurer shall keep a ledger showing all receipts and expenditures and indicating a daily running balance which shall be on a form prescribed by the Board of Education. He/she shall file all supporting data, chronologically, as evidence for the entries made in the ledger. Central Treasurer It shall be the duty of the Central Treasurer to have custody of all funds. All disbursements of funds shall be by means of prenumbered check forms signed by the Central Treasurer upon receipt of a payment order signed by the Activity Treasurer, Faculty Advisor and Chief Faculty Counselor. The Central Treasurer shall have no part in the approval of payments but shall disburse funds only on the presentation of a properly signed pay order in duplicate providing, of course, that there are sufficient funds available in the account. The completed check will be retained for supporting documentation.
(Continued) 2005 5520R.1 3 of 5 Non-Instructional/Business Operations SUBJECT: SAFEGUARDING, ACCOUNTING AND AUDITING OF EXTRA CLASSROOM ACTIVITY FUNDS (Cont'd.) A member of the business office shall sign a receipt for all funds placed in his/her custody, and shall deposit these funds promptly in a bank designated by the Board of Education. The Central Treasurer shall keep an account listing the receipts and expenditures of each individual activity and post a register of all the receipts and disbursements of the combined student organizations on ledger forms prescribed by the Board of Education. Once each month, the Central Treasurer shall receive and verify the bank statements and prepare reports for presentation to the Faculty Auditor and the Board of Education. These reports to the Board should show beginning balances, receipts for the month and the ending balances for each organization as well as a copy of the bank reconciliation. This is taken from the State Education Department's book "The Safeguarding, Accounting, and Auditing of Extra Classroom Activity Funds". Extracurricular Account Procedures Each class/club organization has an extracurricular account as a depository for class/club organization funds. The Central Treasurer will serve as the Extracurricular Funds Treasurer who has responsibility for the extracurricular accounts of all school class/club organizations. All funds, raised in any manner in the name of a respective class/club organization, are to be deposited in the respective extracurricular account. Both the class/club advisor and organization treasurer will be responsible for making an appointment with the Extracurricular Funds Treasurer to complete the necessary forms in the depositing of funds. The expenditures and/or disbursement of all funds from any extracurricular class/club organizations must have prior approval from the principal. The class treasurer will be responsible for working with the Extracurricular Funds Treasurer to complete the necessary forms in the expending and disbursing of funds. Itemized disbursements are to be provided to the principal prior to approval being granted. Prior to the close of the school year, it will be the responsibility of both the advisor and class/organization treasurer to make an appointment with the Extracurricular Funds Treasurer to conduct account closing procedures. The class advisor will receive remuneration for his/her duties in two payments: half aft the start of the year, and half once the accounts are closed for the year. Advisor responsibility for each year are not completed until books have officially been closed.
(Continued) 2005 5520R.1 4 of 5 Non-Instructional/Business Operations SUBJECT: SAFEGUARDING, ACCOUNTING AND AUDITING OF EXTRA CLASSROOM ACTIVITY FUNDS (Cont'd.) Deposit Procedures 1) Upon receiving money, the Activity Treasurer will count the money received and complete a Recap of Receipts form in duplicate. 2) If the deposit cannot be taken to Central Treasurer at that time it should then be placed in the school vault until the next school day. No activity money should be taken home by anyone. 3) The Central Treasurer will return a receipt for the money deposited. If the Central Treasurer is not available to count the money, then the Activity Treasurer should see that someone from the business office counts the money and issues a receipt. If money is left, uncounted, at the Central Treasurer's office it will be understood that it is NOT the Central Treasurer's responsibility if there is a discrepancy in the amount of deposit. 4) The Activity Treasurer shall enter the amount of the deposit in the activity fund register indicating the source from which the funds were received (i.e. dance, magazine sales, etc.). 5) File chronologically the supporting data consisting of the duplicate recap sheet, Central Treasurer's receipt and, if applicable, the statement of admissions. These forms provide the evidence for the entries made in the Activity Treasurer's books. Withdrawal Procedures 1) Upon receiving an invoice for goods received or services rendered the activity treasurer and the Faculty Advisor should determine that the bill is correct and all items have, in fact, been received as billed. 2) A payment order is prepared in duplicate and signed by the Activity Treasurer, Faculty Advisor and the Chief Faculty Counselor. 3) An invoice, receipt or statement to substantiate expense MUST accompany all payment orders before the Central Treasurer can issue a check. 4) The balance in the activity's account must be verified before submitting the payment order. 5) The payment order is sent to the Central Treasurer for payment. Checks are issued each Tuesday for all payment orders received by Monday afternoon of that week.
2005 5520R.1 5 of 5 Non-Instructional/Business Operations SUBJECT: SAFEGUARDING, ACCOUNTING AND AUDITING OF EXTRA CLASSROOM ACTIVITY FUNDS (Cont'd.) 6) The Central Treasurer will update the Activity Treasurer’s ledger (Excel spreadsheet) with the date paid and check number indicated. When an address is included the Central Treasurer will send the check to the address listed unless otherwise advised. Where no address is given the check will be returned to the Faculty Advisor for mailing. 7) The activity advisor makes the necessary entry in his/her books indicating to whom the check is made out and the reason. The pay order is filed to give supporting evidence for the entry. Monthly Reconciliation The Activity Treasurers shall reconcile their records with those of the Central Treasurer. At the end of every month the Central Treasurer will send every activity an Activity Reconciliation Report which will be verified by the Activity Treasurer. This will list the transactions for the month including interest earned for the previous month. At the bottom of the report is the statement: The information on this report is correct and complete to the best of my knowledge. Signature Date / / (Please sign and return to Central Treasurer)
Central Treasurer - Alicia Timblin (ext. 4621) Updated: 9/11/2024 Student Activity Cheat Sheet All forms can be found in the shared folders that are shared with you by the Central Treasurer, at the beginning of the year. Yearly Account Set Up 1. Hold the first meeting ASAP – complete the following: a. Record all meeting minutes using the Activity Meeting Report b. Nominate officers c. Elect officers d. Discuss fundraising ideas and expected purchases e. Begin planning any trips 2. Submit the following forms: a. Meeting Minutes b. Account Information c. Roster of Members Meetings Meetings should be held periodically throughout the year, depending on the group’s needs. Meetings can be formal, or informal, but the meeting minutes must be recorded for each meeting. Then they must be signed by the advisor and student treasurer before submitting to the Central Treasurer. Use the Activity Meeting Report to document the following: 1. Group Officers (Nominations/Election) 2. Fundraising 3. Purchases 4. Trips 5. Any other important decisions Meeting minutes MUST be submitted for any of the topics above. (e.g. if your group does a fundraiser/trip/event, the business office MUST have meeting minutes showing that it was discussed with the students).
Central Treasurer - Alicia Timblin (ext. 4621) Updated: 9/11/2024 Fundraising 1. Submit a Fundraising Request (these take a little longer to be approved, so plan ahead!) 2. Complete a Fundraiser Reconciliation once the fundraiser is complete Purchasing 1. Submit a Requisition 2. Receive email verification that requisition was approved 3. Proceed with purchase (online or in-store) 4. Submit a Disbursement Order with receipt or invoice - Make sure the advisor and student treasurer signs anything that is attached to the DO!!! (e.g. receipt or invoice) 5. Enter purchase into account ledger. The Requisition and Disbursing Order forms are saved in the same excel file called “Purchase Order and Disbursement Order”. This file can be found in your shared folders. Deposits Any cash, checks, or ACH payments are to be submitted to the deposit safe with a Deposit Form. (If funds are from clothing sales, you must use the Clothing Deposit Form). The deposit safe is located in room #96A (Head Custodian - Dan Learn’s office), directly to the right of the doorway. There are standard envelopes provided on top of the safe. Put everything in the envelope, and deposit into the safe. If you are depositing more than $500 at a time, please send a message to the business office so the safe can be emptied that day. Ledgers Account ledgers will be shared in a separate excel file at the beginning of the year. Anytime the group spends or deposits money, it must be entered into the ledger to keep a running balance for the account. This means that before submitting a Disbursement Order or Deposit Form, you should be entering the amounts into your ledgers. The Central Treasurer will be reconciling ledgers monthly, to ensure the accounts show an accurate balance.
Central Treasurer - Alicia Timblin (ext. 4621) Updated: 9/11/2024 Check List – Beginning of the Year SUBMIT THE FOLLOWING BY THE END OF OCTOBER Meeting Minutes that include the following: - Nomination of Officers - Election of Officers - Any fundraising, trips, or expected purchases discussed during the meeting Account Information Form Roster of group members SUBMIT THE FOLLOWING – ASAP Requisitions for expected purchases (amounts can be estimated) Fundraising Requests (dates can be estimated) Field Trip Requests (if applicable) Requests can be updated later if dates/attendees change Helpful Hints Print forms ahead of time and have students fill them out by hand during the meeting. (You can always make corrections after, if needed.) This gets them in the habit of using these forms and understanding the process. Student Activities are meant to be organized by STUDENTS. Advisors are there to ADVISE. Please allow students to make the decisions… you are there to GUIDE them through the process. This is likely their first experience in a business setting - give them a chance to learn.