91PORN

Check Cashing Tips from OCM

Petty cash and change fund checks can be cashed at the Office of Cash Management (OCM) but keep the following in mind: If you require multiple denominations and rolled coins, please call OCM in advance, to make sure the funds are on hand before you go. For checks over $300, call in advance especially if small denominations are needed. Plan to arrive before the last hour of business (i.e. before 4:00 pm spring/fall or 3:30 pm summer). Bring a government issued photo ID or Buff One card (and properly executed letter of authorization if used**). Bring checks over in a locked bag in which to place the cash for transport. Contact OCM with questions at cashmgmt@colorado.edu.

**A letter of authorization can be used if the petty cash custodian is not the person coming to cash the check. The letter should be on letterhead and identify the person coming to cash the check on behalf of the custodian. The custodian needs to endorse the check and put his/her employee ID number in the endorsement area. OCM verifies the government issued ID card of the runner and keeps the authorization letter.The petty cash fund must be requested by the individual, known as a custodian. The custodian is the individual responsible for safeguarding, disbursing from, and requesting replenishment of a petty cash fund. The custodian must be a university employee with a 50% or greater appointment or affiliate fiscal staff and must be authorized by his or her department head and by CCO.

To establish a petty cash fund, complete a Petty Cash/Change Fund Request (PCCF) form. In addition, complete a Payment Authorization��(PA) form for the amount requested for the fund. Refer to the for more information and links to both forms.

On the Payment Authorization (PA):

• Select Petty Cash establishment/replenishment from the Payment Type dropdown
• Make payable to the custodian (e.g. John Doe, Petty Cash Custodian)
• Use your departmental address (campus box)
• Enter “to establish new petty cash fund” in the Description field
• Use Account 000200 (Petty Cash)
• Include the reason for opening the fund in the Business Purpose section—the same explanation used on the PCCF form.

Submit both PCCF and PA forms to CCO at pettycash@colorado.edu or via DocuSign. CCO will return an approved copy of the PCCF form to the custodian, and submit the original PCCF and PA to the PSC for processing. The PSC then sends a check to the custodian at the departmental address listed on the Payment Authorization. The custodian may cash the check at the Office of Cash Management (OCM) cashier’s window in Regent Hall.

Before it gets too low to serve the business needs of the department, replenish the petty cash fund by submitting a PA to the PSC. Allow enough time and cash on hand for the PA to be processed. Replenish the fund:

• at least once per quarter
• at the end of the fiscal year (mid-June)
• any time the designated custodian changes
• any time a shortage is detected

The PSC compares custodian and fund amount on the PA with information in the PSC’s database of authorized custodians and their authorized fund amounts. If the information does not match, the PA is not processed and the PSC will contact the custodian. Replenishment procedures are outlined below.

• If several petty cash funds need to be replenished at the same time, submit a separate PA for each petty cash fund.
• On the PA, the payee must be the designated custodian. You must also include the phrase Petty Cash Custodian following the custodian’s name.
• The payee address must be the departmental address and not the custodian’s home address.
• The requestor must be the custodian. This individual must sign the PA form. This individual cannot approve the form.
• Use an Account Code that best represents the type of expense incurred. Use the speedtype that most appropriately covers that expense.
• All receipts must be attached to the PA. The dollar amounts on the receipts must exactly match the dollar amounts requested for replenishment. Documentation must include:
  • transaction date (date the cash was disbursed)
  • payee, i.e. name of recipient (for confidential study subject payments see box below)
  • recipient signature (for confidential study subject payments see box below)
  • quantity
  • description of items purchased
  • cost of each item
  • total dollar amount of cash disbursed to recipient
  • official university business purpose
  • note the speedtype to be charged for the expense

If this information is not provided by the vendor on the receipt, then the purchaser should note this information on the face of the receipt.

Cash the reimbursement check at the 91PORN Cashier’s window in Regent Hall. See the section on Check Cashing Tips from OCM.

Responsibility for the security of the petty cash rests with the custodian of the fund. The custodian must take appropriate measures to ensure the petty cash fund and unreimbursed receipts are safe and secure at all times. This includes:

• Keeping the petty cash locked up.
• Restricting access to the petty cash fund only to the custodian.
• Obtaining signed memorandum receipts for any petty cash issued to an individual to make a purchase.
• Obtaining receipts and/or unused cash issued to make a purchase in a timely manner.

The petty cash fund must be counted weekly to verify that it is intact. The total cash on hand, plus receipts on hand, plus cash signed for, plus Payment Authorizations (PA) in process for reimbursement must add to the total authorized amount.

If the petty cash fund is found to be short due to an error, prepare a Payment Authorization as a charge against the petty cash FOPPS, account code 552630 – Cash Over/Short. If the shortage is more than 10% of the fund amount, CCO must review and approve the PA. If the petty cash fund is found to be over due to an error, then the overage should be deposited to the petty cash FOPPS, account code 552630 using a Cash Receipt. If the overage is more than 10% of the fund amount, CCO must also sign the Cash Receipt.

If a theft occurs, notify the University of Colorado Police Department (CUPD) and CCO as soon as the theft is discovered. CUPD will investigate and complete a report. Prepare a Payment Authorization for the amount of the theft. The PA should be drawn against the petty cash fund FOPPS, account 552630 – Cash Over/Short. Attach a copy of the police report to the PA and submit these materials to the PSC. A check to reimburse the change fund will be issued to the custodian. Note: If the theft or loss is determined to be due to the negligence of the custodian, the department head may choose to require the custodian to replace the funds.

For internal control purposes, someone other than the custodian should participate in the monthly statement review process with particular emphasis on petty cash expenditures. The petty cash fund is subject to unannounced audits at any time by CCO staff, internal auditors, and external auditors.

Modifying a Petty Cash Fund

A new PCCF must be submitted for any of the following occurrences:

• Custodian changes
• Increase or decrease in authorized amount
• Change in fund location
• Closing the fund

Changing the Custodian

Whenever a change in custodian is required, the fund must first be replenished completely. The new custodian then completes a new PCCF form and submits the form to CCO. CCO will return a copy of the approved PCCF form to the new custodian. Until this is done, the previous custodian retains responsibility for the petty cash fund.

Increasing the Authorized Amount

Increases to existing petty cash funds are requested and processed in the same manner as establishing a new fund using a PCCF and PA form.

Decreasing the Authorized Amount

A petty cash fund should be reduced if the full amount is no longer needed. Partial returns (reductions) of the authorized amount must be made by deposits into the FOPPS from which it was advanced using account 000200. After depositing the cash, the custodian must provide CCO with a validated copy of the cash receipt and a PCCF. CCO will sign the PCCF and provide a copy to the custodian and send copies to the PSC, thus officially releasing the custodian of the responsibility for the amount of the partial return. Until this is done, the custodian remains responsible for the original total authorized amount.

Closing a Petty Cash Fund

When the petty cash fund is no longer needed, it should be closed.

1. Count the fund to verify that it contains the authorized amount. Correct any variance using account 552630–Cash Over/Short. If there is a cash overage, deposit using a Cash Receipt in step 3. For shortages, record the shortage on the PA in step 2.
2. Submit a final PA to the PSC to replenish the petty cash fund for all outstanding final expenses, including any shortage from step 1.
3. The designated individual within the department prepares and deposits a Cash Receipt for the full petty cash fund amount and any overage from step 1. The Cash Receipt should identify the speedtype associated with the fund, recorded in Account 000200 (Petty Cash Fund). Use account 552630 - Cash Over/Short for any overage.
4. Send CCO a validated copy of the Cash Receipt with a new PCCF to close the Petty Cash Fund.
5. CCO signs off on the PCCF form, updates its records, and sends copies to the PSC and to the former custodian, thereby releasing the latter from future responsibility for this fund.

Revocation of a Petty Cash Fund

Continued violation of these policies and procedures will subject the petty cash fund to revocation by CCO.