Each fund requires a custodian to be responsible for the security of the cash and receipts, the appropriate distribution of cash, the reconciliation, and timely replenishment of the fund. All petty cash funds, including receipts, must be maintained in a secure space, e.g., a stationary safe or a secured locked cabinet or drawer.
All cash given out must have a corresponding original receipt, with a date, description of the expense, and signature of the cost center manager authorizing the expense. A log, with the petty cash amount and the receipts given out, will be maintained with the fund and must be available for audit at all times during the year. Twice a year, all petty cash funds will be audited by finance office personnel. If it is determined that disbursements were made that were not in accordance with college procedures during the replenishment by the finance office or during a periodic audit , the individual who received the reimbursement or the individual responsible for the fund will be responsible for reimbursing the college for the inappropriate disbursement.
Replenishment of the fund should be done at least quarterly, but preferably monthly, for proper entry into the college accounts. The fund should be replenished at year-end to ensure that expenses are in the appropriate year for the annual close out on June 30.
Policy Manual Review/Revision: 12/12/14