How To Manage A School Board

Transcription

1 1-0 Description and Use of This Manual 2-0 Fraud Prevention Procedures 5-0 Organizational Charts 6-0 Job Descriptions 7-0 General Ledger Controls 8-0 Closing and Reporting Controls 9-0 Cash Receipts Controls 10-0 Investment Controls 11-0 Payroll Management 12-0 Accounts Payable 13-0 Grants Management 14-0 Debt Service 15-0 Capital Projects 16-0 Risk Management TABLE OF CONTENTS

2 ACCOUNTING PROCEDURES MANAUL DESCRIPTION AND USE OF THIS MANUAL CONTENTS 1-1 Numbering Scheme 1-2 Distribution of This Manual 1-3 Adding New Procedures 1-4 Revising and Deleting Existing Procedures 1-5 Annual Review of Manual

3 SUBJECT Numbering Scheme PURPOSE To define the basis used in assigning procedure numbers to various sections of this manual. PROCEDURE Procedure numbers for categories or functional areas are to be assigned according to the following: 0 Table of Contents 1 All items, procedures and descriptions relating to the use of this manual. 2-6 All reference data to be used in conjunction with these procedures. 7 - Unlimited All actual procedures 1-1

4 SUBJECT Distribution of this Manual PURPOSE To define the method of distributing complete and partial copies of this manual. PROCEDURE 1. The Executive Director of Finance controls distribution of this manual. All requests for copies and revisions should be submitted to the Executive Director of Finance. 2. The following individuals will maintain complete copies of the manual: Associate Superintendent for Business Services Executive Director of Finance Treasurer Accounting Supervisor Supervisor of Payroll Services Supervisor of Risk Management Auditor General 3. The following departments or functional areas will maintain partial copies of the manual Accounts Payable Payroll Cash Receipts Grants Management Capital Outlay Accounting Risk Management 1-2

5 SUBJECT Adding new procedures. PURPOSE To define the procedure for adding new procedures to the manual. PROCEDURE 1. Develop the new procedure and submit a draft to the Executive Director of Finance for approval. 2. The Executive Director of Finance will discuss the procedure with any department supervisors affected by the procedure, and offer comments as necessary for revisions to the draft. 3. Revise the draft as needed and resubmit to the Executive Director of Finance for final approval. 4. The Executive Director s Secretary will perform the following: a. Assign an unused procedure number and file a final copy in the original manual. b. Prepare an updated version of the Table of Contents, which references the new procedure. c. Distribute copies of the new procedure and updated tables of contents to all holders of complete manuals, and to all holders of partial manuals, which contain the deleted procedure. 1-3

6 SUBJECT Revising and Deletion of Existing Procedures PROCEDURE REVISION OF PROCEDURES 1. Prepare a draft of the revised procedure and submit it to the Executive Director of Finance for approval. 2. The Executive Director of Finance will discuss the procedure with any department supervisors affected by the procedure, and offer comments as necessary for revisions to the draft. 3. Revise the draft as needed and resubmit to the Executive Director of Finance for final approval. 4. The Executive Director s Secretary will perform the procedures in Rule 1-3 Number 4. DELETION OF PROCEDURES 1. Determine that none of the functions associated with the procedure will be performed again. 2. Send a memorandum to the Executive Director of Finance that describes the procedure to be deleted, and the reasons for the deletion. 3. The Executive Director of Finance will discuss the deletion with the Associate Superintendent of Business Services, if necessary, and with any department supervisors affected by the procedure. 4. The Executive Director s Secretary will perform the procedures in Rule 1-3 Number

7 SUBJECT Annual Review of Manual PURPOSE To define the procedure for a periodic review of the manual. PROCEDURE 1. Periodically, the Finance Department will review the manual for additions, revisions or deletions of procedures. 2. Any additions, revisions or deletions found to be necessary as a result of the periodic review will be made in accordance with procedures for additions, revisions or deletions as applicable. 3. The preparation of any additions, revisions or deletions resulting from the periodic review will be completed as soon as possible. 4. The Executive Director s Secretary will update the original manual and distribute copies of changes made to all holders of the complete manuals, and to all holders of partial manuals, which are affected by the changes. 1-5

8 2-0 Fraud Prevention FRAUD PREVENTION CONTENTS 2-0

9 SUBJECT Fraud Prevention PURPOSE To establish steps to prevent, investigate and provide consequences for engaging in any manner of fraudulent activity. RESPONSIBLE PARTIES Management is responsible for detecting defalcation, misappropriation and other irregularities. Each member of management shall be familiar with the types of improprieties that could occur within her/his area of responsibility and be alert for any indication of irregularity. Any irregularity that is detected or suspected by any staff member shall be reported immediately to the Finance Department for guidance as to whether pursuit of an investigation is warranted. SCOPE OF POLICY The conditions of this policy apply to any irregularity, suspected or observed, involving district staff members, vendors, outside agencies doing business with employees of such agencies and/or unknown parties. Any investigation required shall be conducted without regard to the suspected wrongdoer s length of service, position/title, or relationship to the School District. ACTIONS CONSTITUTING FRAUD The terms defalcation, misappropriation, and other fiscal irregularities refer to, but are not limited to: a. Any dishonest or fraudulent act; b. Forgery or unauthorized alteration of any document, file (both physical and electronic forms), photographic or audio records, or accounts belonging to the school district; c. Forgery or alteration of a check, bank draft, or any other financial document; d. Misappropriation of funds, securities, supplies, or other assets; e. Impropriety in the handling or reporting of money or financial transactions; f. Disclosing to other persons the purchasing/bidding activities engaged in, or contemplated by the Purchasing Office to assist any entity, person or business in an unfair advantage in the bid process; g. Accepting or seeking anything of value from vendors or persons providing services/material; h. Unauthorized destruction, theft, tampering or disappearance of records, furniture, fixtures or equipment; and/or any similar or related irregularity. 2-0

10 OTHER IRREGULARITIES Human Resources should resolve irregularities concerning an employees moral, ethical or behavioral conduct. If there is any question as to whether an action constitutes fraud, the Executive Director of Finance should be contacted for guidance. INVESTIGATION RESPONSIBILITIES The Finance Department has the primary responsibility for the investigation of suspected fraud. If the investigation reveals that fraudulent activities have occurred, the Finance Department may issue reports with the results of the investigation to the appropriate management staff, the school board and appropriate law enforcement agencies. Decisions for referral to appropriate law enforcement and/or regulatory agencies for independent investigation shall be made in conjunction with legal counsel and management, as will final decisions on disposition of each case. CONFIDENTIALITY Great care shall be taken in the investigation of allegations of fraudulent activity so as to avoid mistaken accusations or alerting suspected individuals that an investigation is under way. In cases of suspected or observed fraud, individuals shall contact the Executive Director of Finance immediately. Unauthorized individuals shall not attempt to personally conduct investigations or interviews/interrogations related to fraudulent activity. Individuals shall not discuss the case, facts, suspicions, or allegations with anyone inside or outside the district unless specifically asked to do so by legal directive or the Finance Department, or individuals within the district who have a legitimate need to know details about the case. In order to avoid damaging the reputations or persons suspected but subsequently found innocent of wrongful conduct and to protect the school district from potential civil liability, the results of investigations conducted by the Finance Department shall not be disclosed or discussed with anyone other than those persons associated with the case(s) who have a legitimate need to know in order to perform their duties and responsibilities. All inquiries from the suspected individual and her/his attorney or representative shall be directed to the Finance Department. Upon the conclusion of the preliminary investigation or until such time as the preliminary investigation ceases to be active, the complaint and all such materials shall be open thereafter to inspection pursuant to s (1), F.S. and s , F.S. The Finance Department shall be responsible for the administration and application of this policy. 2-0

11 ORGANIZATIONAL CHART OF CONTENTS 5-1 Finance Department Organizational Chart 5-2 Treasurer Organizational Chart 5-3 Payroll Organizational Chart 5-4 Risk Management Organizational Chart

12 ORGANIZATIONAL CHART Executive Director of Financial Services Secretary Treasurer Supervisor of Payroll and Retirement Services Supervisor of Risk Management 5-1

13 TREASURER ORGANIZATIONAL CHART Treasurer Accountant Bank Reconcilement Monitor Accounting Supervisor Special Revenue Fund Specialist General Revenue Fund Specialist Accountant Accounts Payable (5 Positions) Capital Outlay and Debt Service Fund Specialist 5-2

14 PAYROLL ORGANIZATIONAL CHART Supervisor of Payroll and Retirement Services Payroll Specialist Retirement Consulting Accountant Customer Service Employee Payroll & Employee Attendance Data Accountant Customer Service Employee Payroll & Attendance Data (4 positions) Defined Contribution Retirement Specialist 5-3

15 RISK MANAGEMENT ORGANIZATIONAL CHART Supervisor of Risk Management Benefits Specialist Workers Compensation Benefits Specialist Long Term Disabilities Dental/Vision Benefits Specialist Group Health Plan Retiree Benefits 5-4

16 6-1 Executive Director of Finance 6-2 Treasurer 6-3 Accounting Supervisor JOB DESCRIPTIONS CONTENTS 6-4 Supervisor of Payroll and Retirement Services 6-5 Payroll Specialist Retirement Consulting 6-6 Supervisor of Risk Management 6-7 General Fund Specialist 6-8 Capital Projects and Debt Service Fund Specialist 6-9 Special Revenue Fund Specialist 6-10 Accountant - Bank Reconcilement Monitor 6-11 Accountant - Accounts Payable 6-12 Accountant - Customer Service Employee Payroll 6-13 Benefits Specialist 6-14 Defined Contribution Retirement Specialist 6-15 Executive Director s Secretary

17 POSITION: Executive Director of Finance BASIC FUNCTION: Directly responsible to the Associate Superintendent of Business Services and responsible for planning, organizing, and directing the accounting, payroll and risk management functions in a manner which satisfies the requirements of law while providing supportive services to the school system. MAJOR DUTIES: 1. Maintains fiscal control over all funds of the School Board of Sarasota County, including General, Capital Outlay, Debt Service, Special Revenue and Self-Insurance Funds. 2. Submits the Annual Program Cost Report, Indirect Cost Report, and Annual Financial Statement in accordance with the Department of Education timelines. 3. Insures all obligations of the School Board are paid in a timely and accurate manner. 4. Administers the risk management program for the School Board. 5. Borrows and invests money to insure a positive cash flow for school district funds. 6. Insures that all employees in the department maintain the basic skills required for the performance of their duties through in-service, professional workshops, or conferences. 7. Other duties as assigned by the Associate Superintendent for Business Services. 6-1

18 POSITION: Treasurer BASIC FUNCTION: Directly responsible to the Executive Director of Finance and responsible for the treasury and accounting functions of the Accounting and Finance Offices. MAJOR DUTIES: 1. Annually Annual Financial Report: Establish tasking model; track progress; collect, review, and edit data for report; transmit report to DOE; review online DOE questioned items; and clear prior to established time line. Annual Report Notes: Establish tasking model, collect data and write notes, and send paper copies to DOE to supplement transmitted report. Annual Program Cost Report: Establish tasking model, review data collection, supervise data updates, and transmit report to DOE. Annual Indirect Cost Plan: Review data collection and program update run for rate calculation, and report via paper form to DOE. Federal Program Reporting: Gather Form 5 data into federal reporting format and file paper report with required federal agency. Food Service Annual Report: Using required State Food & Nutrition reporting format, gather, review, and file paper report. Annual Distributive Aid Reconciliation: Gather data relative to Fund Source 4421 details and advances, reconcile between DOE annual summary and general ledger, and file paper report. Annual State Medicaid Report: Gather data relative to Medicaid expenditures and revenues, tie to general ledger, and file paper report. 6-2

19 2. Monthly Annual Public Depository Report: Gather data relative to all accounts maintained within the district, including internal accounts, and present in paper report to cover in case of bank default. Annual Escheats Report: Gather data relative to checks written prior to established guidelines, attempt to ascertain all items are valid, and remit those without response. Annual Tangible Personnel Property Report: Data is compiled by Fixed Asset Accounting and is reviewed from the perspective of overall accountability. Annual Sales Tax Report for Food Service: Using data supplied through the CAFS system, prepare paper report of sales -- no tax is due. Annual Bank of New York Lease Revenue Bond Covenant Reporting: Using covenant requirements, send letters to satisfy annual information reporting. General Fund Open Account Recon File: Run report via ENCORE to capture data relative to issues and returns for preceding month. Payroll Account Recon File: Run report via Electronic Balancing Window to capture data relative to issues and returns for preceding month. Superintendent s Report: Review data assembled for monthly paper report. Department of Education FA399 Reporting: Review data assembled to file monthly expenditures online. Bank Services Review: Review data assembled relative to costs incurred to secure banking services. Food Service Meals Reimbursement, Requisition, & Snack Reimbursement: Review data assembled to request reimbursement of meals served via online submission of meals and snacks served. Post Monthly Event Calendar: Establish dates for Payroll and Accounts Payable runs, reimbursements, and funds requisition as required to meet cash flow requirements. 6-2

20 3. As Data Is Received Monthly State Board of Administration Report: Review information supplied by State Board Administration and provide information by fund group to appropriate specialists and update daily cash balance file. Charter School Reporting: Check in monthly reports by charter schools and advise appropriate oversight department. Debt Service Remittance: Calculate, review, establish appropriate entries, and move funds to meet deposit deadlines. Accounting Periods and Chart of Accounts Review: Verify accounting period is open prior to end of month and review components of chart of accounts to assure validity and timeliness of establishment or modification. Monthly Florida State Sales Tax Filing: Prepare and file monthly report of appropriate sales and remit any collections of tax. Monthly Categorical Funding Reports: Review and sign project reports for expenditures of the prior month. Monthly Government Finance Officers Association Publications: Review monthly news letters for general organization and funds management to assure compliance with any late breaking rule changes. Daily Bank of America Transaction Update: Run ENCORE to verify daily cash balance, calculated balances, transactions posted, and move funds as necessary to cover disbursement transactions. Daily Sunburst Transaction Update: Run Electronic Balance Window to verify daily cash balance, calculated balances, transactions posted, and move funds as necessary to cover disbursement transactions. Daily State Board of Administration Update: Run voice response unit to ascertain posted transactions, update daily cash balance to reflect appropriate transactions, and generate update entries for posting to system. Update Controlled Disbursement Files: Run folder data from AS400 to transmit to sunburst new issues. 6-2

21 Update Positive Pay Files: Run folder data from AS400 to transmit to Bank of America new issues. Update Direct Deposit Files: Run folder data from AS400 to transmit to sunburst required Automated Clearing House (ACH) transfer transactions. Cash Advance Requests: Review 4421 and 4425 cash requirements and requisition cash based on transactions posted to the accounting system. BBS Messaging: Review messages for advice of funds transfer and generate appropriate entries to record data into accounting system. AS400 Messaging: Review messages for meetings and other notification. Food Service: Review requests for banking supplies and coordinate total order. DOE Information Requests: Field information and data requests and respond in appropriate manner. Prepare On US Deposit Relative to Semi Monthly Payroll: Review payroll update including voluntary deductions and prepare deposit entries and reimbursement by fund for posting to system to reflect necessary transactions. Federal Withholding Tax Deposit: Review calculated tax deposit requests and establish ACH withdrawal for calculated tax due. Florida Retirement System: Review and establish transfer necessary to remit appropriate retirement contribution. Approve Time Off Requests: Receive and record vacation and sick leave blue forms. Team Meetings: Check BBS and AS400 for Financial Services Team Meeting calendar. Staff Meetings: Conduct staff meetings to exchange information and inform staff of current information. Procedures Manual: Review existing manual for any changes based on current situations. 6-2

22 POSITION: Accounting Supervisor BASIC FUNCTION: To establish steps for monitoring district-wide accounting, Accounts Payable, and assist Treasurer in assuring conformance with established rules and regulations. MAJOR DUTIES: 1. Annually 2. Monthly 3. As Data Is Received Annual Financial Report: Accumulate data from all funds and complete State forms for review, printing, and filing. District Wide Reviews: Assist the various auditors to expedite data flow and reduce total staff time necessary to complete assignment. Cash Flow Analysis: Assist with annual cash flow analysis to ascertain if borrowing would be necessary to meet cash requirements. Annual Program Cost Report: Assist with annual reporting of cost allocations to the various programs sponsored by the district. Computer System Accuracy: Ensure that information system contains accurate information that is available to users in a timely manner. Superintendent s Report: Accumulate data from all funds and complete consolidated report to the Board. Chart of Accounts: Review the various components to assure accuracy and timely updates. Backup for Fund Specialists: Be available to backup various fund specialists for sick or vacation periods. 6-3

23 Backup for Treasurer: Be available to backup daily cash and investment tracking, controlled disbursement and positive pay program transactions, direct deposit transmittal. Backup for Accounts Payable: Be available to backup vendor payment process for sick or vacation periods. Daily Information Inquiries: Be available to handle information inquiries by cost centers, vendors, and other state agencies. 6-3

24 POSITION: Supervisor of Payroll and Retirement Services BASIC FUNCTION: Directly responsible to the Executive Director of Finance and responsible for coordination of daily operations of the Payroll Office to insure the accurate and timely preparation of payroll checks. MAJOR DUTIES: 1. Responsible for the coordination of information between the Division of Human Resource Management and Development, the Risk Management Office, the Budget Department and Information Services to insure that salaries are in compliance with School Board policies and State and Federal regulations. 2. Prepares, in a timely manner, information necessary for the payment of payroll related benefits and voluntary deductions for the Accounting, Accounts Payable and Risk Management Offices. 3. Responsible for the coordination, with Information Services, for calendar year submission of W-2 Forms to employees and the Internal Revenue Service. 4. Assists the Auditor General and Division of Retirement staffs in the audit of payroll related taxes. 5. Provides service and advice to all employees concerning their payroll deductions, payroll benefits, and their pay. 6. Provides in-service training to those persons responsible for preparing and submitting the school and division payrolls. 7. Prepares yearly payroll schedules, showing cut-off dates, due dates, payroll dates for each classification of pay and distributes them to principals, supervisors, department heads, and persons responsible for preparing the payrolls. 8. Handles Unemployment Compensation requests and attends some hearings. Submits quarterly reports to Unemployment Office in Tallahassee. Answers inquiries and letters from Unemployment Office on each person who files a request. 9. Ascertains the amount needed to cover each payroll and requests Treasurer to make the transfers of said amounts to the payroll account for all payrolls. 6-4

25 10. Prepares monthly and quarterly reports for Internal Revenue Service, and yearly reports for Social Security, Retirement, and Internal Revenue. Ascertains the employer s share of State Retirement and FICA. 11. Maintains recap of salaries in balance with gross salaries paid and transfers made. Makes adjustments necessary after the payroll is run. 12. Maintains sick leave records for all regular appointed employees. Maintains individual folders for each employee s payroll deduction authorizations. 13. Brings earning records up to date for all retiring employees, completes forms for Social Security Office, Unemployment Office. 14. Files proper claims upon death of an employee. 15. All other duties as assigned by the Executive Director of Finance. 6-4

26 POSITION: Payroll Specialist Retirement Consulting BASIC FUNCTION: Reports directly to the Supervisor of Payroll and Retirement Services and is responsible for providing and maintaining records and services for all eligible School Board employees, to prepare monthly hourly payroll and to assist the Supervisor of Payroll and Retirement Services in the preparation of semi-monthly payroll, balancing and reporting. MAJOR DUTIES: 1. Responsible for reporting and filing monthly retirement figures with the Florida Retirement System. 2. Assists employees with retirement inquiries and applications. Informs employees of their retirement benefits; addresses groups upon request. Disburses individual account statements to all employees as received from the Retirement System. Disburses retirement bulletins to all employees. 3. Responsible for controlling input and output to Information Services for all retirement. 4. Submits final certificate to the Florida Retirement System for retirees. 5. Is knowledgeable of and interprets the Florida State Retirement regulations that affect final retirements. 6. Files and updates Personal History Forms with Florida Retirement System for all eligible employees. 7. Works closely with the Human Resource Department and the Information Services Department for the efficient and smooth operation of the payment of retirement for eligible employees. 8. Assists Florida Retirement System with inquiries. 9. Calculates salaries. 10. Follows Worker s Compensation guidelines for salary payments as provided in School Board/Union contract. 6-5

27 11. Maintains computer year-to-date totals after each payroll to be used in quarterly Form 941 and annual Form W-2 balancing. 12. Assists in the preparation of quarterly reports (Form 941 Unemployment) and annual reports (Form W-2). 13. Assists in the balancing of voluntary deductions and requests accounts payable checks for voluntary deduction payments. 14. Inputs and balances all stop-payments, voids, and cancelled checks for payroll and retirement. 15. Keeps up-to-date file on personal history forms. 16. Brings earnings records up to date for all retiring employees; completes forms for Social Security Office, Unemployment Office, insurance companies, health insurance companies, and tax sheltered annuity organizations. 17. Files proper claims on death of an employee. 18. Responsible for supervision the Payroll Services Office in the absence of the Supervisor of Payroll and Retirement Services. 19. All other duties as assigned by the Supervisor of Payroll Services. 6-5

28 POSITION: Supervisor of Risk Management BASIC FUNCTION: Reports directly to the Executive Director of Finance and is responsible for managing all aspects of self-insurance, purchased insurance, and fringe benefits for the School Board of Sarasota County. MAJOR DUTIES: 1. Supervises the Worker s Compensation Self-Insured Program. 2. Supervises the Unemployment Compensation Self-Insured Program. 3. Supervises the Self-Insured Liability Program. 4. Prepares the specifications for all bid insurance, analyzed the bids, and recommends the most cost-effective and comprehensive policy available. 5. Prepares the School Board Rules regarding risk management, safety, and fringe benefits; analyzes the overall Risk Management Program of the School District and recommends viable alternatives. 6. Designs and implements loss prevention programs. 7. Coordinates the health insurance program. 8. Advises and trains employees in fringe benefits. 9. Supervises the safety for, and fringe benefits of, all employees. 10. Insures compliance with Chapter 624 of the Florida Statutes. 11. All other duties as assigned by the Executive Director of Finance. 6-6

29 POSITION: General Fund Specialist MAJOR DUTIES: Monitor the General Fund and insure conformance with established rules and regulations. MAJOR DUTIES: 1. Annually 2. Monthly Annual Financial Report: Verify system in balance, prepare worksheets to support balances and/or adjustments in accord with tasking model. Florida Education Finance Program: Reconcile the three legs -- 1) State Report, 2) Distribution Reports, 3) General Ledger Record. Annual Account Receivable Billing: Prepare billings for appropriate contracts for next 12 months. Superintendent s Report: Run all general fund reports, verify system balance, prove due to and from balances. File FA399 Reports for State General Revenue Projects: Prepare and file appropriate data to meet program guidelines. Field Trip Billings: Receive appropriate details from Transportation Department to record field trip activity for preceding month. Accounting Period: Open and maintain accounting periods available for use. Chart of Accounts: Review Board packets to assure that the components of the chart of accounts are open and correct. Approve Reconcilement Monitor Transactions: Receive entries of reconcilement, monitor for review prior to posting. 6-7

30 3. As Data is Received 4. As Data Is Received Cash Coding: Receive deposit report with appropriate documents and investment transfer details, make journal entries to book all receipts, and transfer transactions. Maintain Security Trailer Files: Receive data via schools and Board packets to establish and modify individual contracts. Review Bank Positive Pay File: Via WWW review exception files for daily processing of positive pay transactions and take appropriate action. Enter Stoppay for Bank of America: Receive requests from appropriate source and process in the bank system. Backup Bank Balance & Stoppay Function for Sun Trust: Access information via ENCORE to make appropriate transactions. Maintain Accounts Receivable File: Receive contract notifications and transactions to maintain database file of all accounts due. Approve Requisitions: Receive appropriate department/project requisitions for review to ascertain that transactions are appropriate for school or program and approve or reject. 6-7

31 POSITION: Capital Projects Fund and Debt Service Fund Specialist BASIC FUNCTION: Monitor the Capital Projects Funds and Debt Service Funds and insure conformance with established rules and regulations. MAJOR DUTIES: 1. Annually 2. Monthly Annual Financial Report: Verify system in balance, prepare worksheets to support balances and/or adjustments in accord with tasking model. Fixed Asset Reporting: Maintain control records and reconcile balances in detail files with summary information centrally controlled. Contract Commitments: Prepare listing of all contracts that have remaining commitments. Superintendent s Report: Run all Fund 3 and Fund 4 reports, verify system balance, prove due to and from balances. Fuel Tax Rebate Request: Collect the invoices for fuel and file for rebate of the appropriate tax remitted through the vendor at point of purchase. Public Education Capital Outlay (PECO): Request distribution of State funds based on anticipated expenditures. Effort Index Grant/Classrooms First: Request distribution of State funds based on anticipated expenditures. School Infrastructure Funds: Review program projects and funding. Capital Outlay and Debt Service: Review program projects and funding. 6-8