accounting procedures 09

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COLORADO SPRINGS SCHOOL DISTRICT NO. 11

ACCOUNTINGPROCEDURES MANUAL

Revised October 2008

Find it on the web:

http://www.d11.orgAdministration

Business Services

Fiscal ServicesManuals

Accounting Procedures Manual

Prepared byBusiness Services Division

Department of Fiscal Services
http://www.d11.org/http://www.d11.org/


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TABLE OF CONTENTS

Fiscal Services Personnel and Telephone Numbers.... 2

For the New Administrative Assistant . 3

Account Structure ............................. 4

Spending Accounts ................................................ 5

SSA Funds and Account Structure...................................................... 7

Bank Deposits and Cash in Buildings.. 10

SSA Receipts and Expenditures .................... 12

SSA Fundraisers .......................................................... 13

Sales Tax Collections Requirements ........................................................ 14

Signature Authorization Record .............. 15

Check Requests .................................................................................................. 16

Employee Reimbursements.. 17

Mileage Reimbursements .......................... 18

Consultant Agreements .... 19

School Checking Account .... 20

Petty Cash ............................................................................................. 21

Bad Check Collection Process ................................................ 22

Purchase Orders Vendor Payments....................................................................................... 23

Special Pricing Vendor Agreements....................................................................................... 23

Journal Entry Corrections ................................................................... 24

Budget Transfers ............................................................................. 25

Accounts Receivable Billing Procedures ..... 26

Capital/Fixed Assets .. 27

Appendix A: Guidelines for Appropriate Expenditures ............................................................ 28

Appendix B: Chartields and Examples of Appropriate Expenditures . 32

Appendix C: Elementary School Chartfields .. 35

Appendix D: Middle School Chartfields 36

Appendix E: SSA Program Numbers 38

Appendix F: School Checking Account Procedures. 39

Appendix G: S Drive Reports and Budget Transaction Detail Reports 43

Appendix H: SSA Account Fundraiser Approval and Reconciliation Report 44

Appendix I: Check Request Form for School Checkbook .. 45

Appendix J: School Site Visits and School Audits by the Districts Independent Auditors. 46

Appendix K: Quick Reference for Principals Accounting Responsibilities 47

Appendix L: Check Register. .. 49


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DEPARTMENT OF FISCAL SERVICES

Accounting

520-2050 Chuck Struck, CPA, Director of Fiscal Services

520-2021 Laura Hronik, Finance Accounting Manager520-2051 Debbie Leach, Senior Internal Accountant520-2048 Al Johnson, Senior Accountant

Capital Assets, General Ledger Responsibilities520-2309 Nancy Holste, Executive Secretary of Fiscal Services

Accounts Payable

520-2047 Lisa Heintz, A/P SupervisorJournal Entries, PDF and Travel Reimbursements

520-2074 Diane Truitt, A/P TechnicianInvoices, Check Requests, Mileage A - F

520-2072 Anna Diaz, A/P TechnicianInvoices, Check Requests, Mileage G - O

520-2331 Patti Havener, A/P TechnicianInvoices, Check Requests, Mileage P - Z

Accounts Receivable

520-2054 Lorrie Myers, A/R TechnicianWarehouse and Food Services catering charges,Transportation, Print Shop billing, and School Check book (MS&E Account)

520-2366 Trent Adams, CashierCashier/Receipts

Payroll

520-2197 Barb Lopez, Payroll Supervisor520-2039 Laura Stoller, Payroll Specialist A E520-2061 Brenda Cortez, Payroll Specialist F L520-2059 Sharon Scott, Payroll Specialist M Q520-2058 Sinh Nguyen, Payroll Specialist R Z

Fiscal Services employees can be reached through the Outlook E-mail system and will respond to yourcorrespondence daily.


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FOR THE NEWADMINISTRATIVE ASSISTANT

If you are new to your job, you may feel overwhelmed with all the new information. Just call us!

We were once new employees too. We can help you or direct you to someone who can. We willanswer your questions and help you find the forms you need. Here is a summary to get youstarted with your new accounting duties.

PeopleSoft Training The District offers many opportunities for training.

PeopleSoft Accounting System The District uses the PeopleSoft accounting system. You willattend PeopleSoft training when you begin your new job. Tina Koenig, Procurement (520-2030),and Becky Moore, Budget Office (520-2029), teach this training session. Call them to enroll.

Purchase Card Training The District uses a purchase card for many of its purchases. Part ofyour job will be to report expenditures for your school to the Procurement Department. C.J.Johnson, Procurement (520-2040), provides this training.

Zangle Student Database Training Student information is maintained using the ZangleStudent Database. Darleen Garza (520-2349) and Linda Hulsey (520-2306) provide this training.

Fiscal Services Training Fiscal Services provides training for all school and departmentadministrative assistants who perform accounting tasks. This training is held early in the schoolyear. Other training sessions for bookkeeping practices, fundraising and sales tax, audit findings,and best practices are held throughout the school year. Luanne Long, Human Resources, (520-2164) schedules these training sessions.

Meetings Separate meetings are held for middle and high school administrative assistants.These monthly and quarterly meetings are very helpful in learning how other schools operate. Welearn something new at each meeting. Also, experienced administrative assistants are willing tomentor new employees. Call Debbie Leach, Fiscal Services (520-2051) for information.

Individual Training Call Fiscal Services to set up individual training at your office anytime.


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ACCOUNT STRUCTURE

The District uses a six-part chartfield prescribed by the Colorado Department of Education (CDE)to account for its revenues and expenditures by fund, department, program, project and budgetedline item (object). Your school or department has its individual set of chartfields.

The District maintains several different funds. Listed below are the most commonfunds used by the schools:

10 General Fund19 Preschool Fund22 Designated Purpose Grant Fund74 SSA Fund

Each school and department is identified by its own department ID:

101 139 Elementary schools240 249 Middle schools350 354 High schools410 490 Adult and Alternative Education601 971 Administrative Departments

Programs are identified by a five-digit number.

00100 17990 Instructional Programs18000 1863M Instructional Sports Programs19000 19285 SSA Programs20000 21910 Co-curricular Activities22000 22900 Instructional Staff23000 23920 General Administration24000 24900 School Administration

25000 25410 Business Services26000 26920 Operations and Maintenance27000 27900 Student Transportation28000 28900 Central Services29000 34120 Other Support Services

Six-digit account numbers identify the type of general ledger account.

010010 099000 Expenditure Accounts111000 459000 Revenue Accounts741501 753102 Liability Accounts810100 825100 Asset Accounts

Projects are identified as a four-digit number.

0000 0000 Project or Grant Number2901 9004 Individual Grant Project Numbers


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SPENDING ACCOUNTS

The District uses chartfields to distinguish between different spending accounts, such asinstructional and non-instructional programs and accounts. The following is a discussion of thesespending accounts and their account structure.

Instructional Spending Instructional spending, as defined and restricted by CDE, must dealdirectly with the teaching of pupils or the interaction between teachers and pupils. Teachingsupplies and equipment may be provided for pupils in a school classroom, in another locationsuch as a home or hospital and in other learning situations such as those involving co-curricularactivities. Instructional spending is regulated by statute, CDE, grant restrictions and District BOEpolicy.

Proper classification of instructional expenditures is very important because the District mustdocument the total amount spent to instruct students.

Examples of instructional spending:

Educational posters Instructional software Textbooks Computers and printers used in the classroom Fixtures and equipment, such as theater sound systems, to teach pupils use of

equipment related to drama classes Food when studying a food unit or when food is used as part of the instruction

Examples of items that are not instructional spending:

Food not used as part of the instruction Awards or rewards

Newsletter costs Graduation costs Office expenses, postage, envelopes Fixtures, such as window blinds for classrooms, not used directly to teach pupils

Example:10-240-00-00200-061000-0000 General Education General Supplies

Fund DeptID SRE Program Account ProjectField Field Field Field Field Field

10 240 00 00200 061000 0000

Fund 10 General FundDept. ID 240 East Middle SchoolSRE 00 Required by CDE; requires 00; never blankProgram 00200 Middle School General EducationAccount 061000 General SuppliesProject 0000 Requires a four-digit number or 0000; never blank


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Non-Instructional Spending The Colorado School Finance Act places restrictions on thespending of taxpayer-provided funds that do not directly impact students in the classroom. Thesefunds are often referred to as principals discretionary accounts, building accounts, buildingadministration accounts or 24110 accounts.

This program provides for:

Building administrator and clerical staffing in support of students and teachers. Activities concerned with overall administrative responsibility for a school. Activities performed by the principal, assistant principal(s) and other assistants while

supervising all operations of the school, evaluating staff members of the school,assigning duties to staff members, supervising and maintaining the records of the school,and coordinating school instructional activities with those of the district.

Financial support for staff release time for committee work and for clerical staff in supportof teaching and administrative duties.

Necessary school administrative office supplies such as first aid, postage, paper, pagers,and service agreements for equipment, office equipment and graduation expenses.

Office of the Principal Services Program is also funded by rental revenues and safety awards.Periodically rental revenues are distributed to schools by budget transfers initiated by theCommunication and Community Relations Department. Safety Incentive and EnvironmentalEfficiency Awards are also distributed to schools by budget transfers. At the principals discretion,these funds may be used to meet reasonable and necessary needs of the school.

Example:10-240-00-24110-061000-0000 Office of the Principal GeneralSupplies

Fund DeptID SRE Program Account ProjectField Field Field Field Field Field

10 240 00 24110 061000 0000

Fund 10 General FundDept. ID 240 East Middle SchoolSRE 00 Required by CDE; requires 00; never blankProgram 24110 Office of the PrincipalAccount 061000 General suppliesProject 0000 Project code; four-digit number or 0000; never blank


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SCHOOL AND STUDENT ACTIVITY (SSA) FUNDAND ACCOUNT STRUCTURE

The District Board of Education recognizes that community members, students, board personnel,other persons and organizations may wish to express support for a school or the district by

conducting fundraising activities or by making donations. The BOE also understands the need fora school to raise funds for expenditures not provided for in the annual budget.

Monies collected by district employees and students will be handled with good and prudentbusiness procedures both to demonstrate the ability of school system employees to operate inthat fashion and to teach such procedures to students. All monies collected shall be receipted,accounted for and deposited within 24 hours of receipt.

School and Student Activities (SSA) funds are accounted for in Fund 74, which is used to recordfinancial transactions related to school-sponsored pupil intrascholastic/interscholastic athletics,clubs and other activities. These activities are supported by collections from students and byrevenues from gate receipts, concessions and other fundraising activities. The district acts strictlyin a fiduciary capacity regarding SSA funds. Fund 74 is an agency/custodial fund and does not

use budgeted operating accounts (revenues and expenditures). There are no budgeted subsidiesor other support services provided to these school and student activities.

Example: 74 240 00 19010 742500 0000

All fundraising activities must have prior written approval from the principal before any fundraiseractivities begin. At the beginning of the fundraiser, the activity sponsor will complete an SSAAccount Fundraiser Approval and Reconciliation Report with the principals written approval.The purpose of this form is to designate the reason for which the funds are being raised, so thatthe school can be held accountable for the expenditure of the funds. Once the fundraiser hasbeen completed, the SSA Account Fundraiser Approval and Reconciliation Report and allsupporting documentation is to be kept on file at the school for two years, plus the current schoolyear. The Senior Internal Accountant will review these completed forms as a part of the site visit

to each school. Non-compliance will be noted in the written report issued after the site visit andremedial action will be taken.

School Activities Funds - School Activity Funds are funds from outside sources that, at thediscretion of the principal, are used for the direct benefit of the school or to augment studentactivities. At the principals discretion, these funds may be used to meet reasonable andnecessary, but unbudgeted, needs of the school including expenditures for staff and volunteerappreciation. For each school fundraising activity, school personnel must complete the SSAAccount Fundraiser Approval and Reconciliation Report, attaching any related contracts, andkeep the completed forms on file for review. Several examples of school activities follow:

#19018 Yearbook. Schools sell yearbooks at cost or for a profit as a fundraiser.Residual funds from this activity, after all related expenditures have been paid, may beused at the discretion of the principal. Sales tax must be collected, reported and remittedby the school on the sales price of yearbooks.

#19020 School Pictures. Schools sell school pictures at cost or at a profit as afundraiser. Residual funds from this activity, after all related expenditures have beenpaid, may be used at the discretion of the principal. Usually parents pay the photocompany directly, at which time they pay the appropriate sales tax on the purchase. Thephoto company is responsible for collecting, reporting and remitting the sales tax. Theschool then receives a check from the photo company. Sales of school rings andgraduation caps and gowns also have been used as school fundraisers.


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#19028 Athletics 1/Gate Receipts. Schools charge admission to athletic events. Atthe time of payment, a ticket will be given to each paying customer. At the entrance gate,another school representative will tear the ticket in half, giving half to the customer andretaining the other half. The funds collected must be reconciled with the number of ticketstubs collected. The reconciliation form must be signed by both school representativesworking the gate and must be attached to the deposit documentation.

#19029 Athletics 2/Concessions. This program number may be used to account forconcession sales during school activities. Sales tax must be collected on concessionsales. The receipts should be counted by one school representative and recounted byanother. The deposit ticket, or other attached documentation, must be signed by bothrepresentatives.

#19056 Grocery Certificates Fundraiser. Account for grocery certificate programsand shopper card rebates using this program. Some schools purchase grocerycertificates at a small discount and sell them at face value as a fundraiser. Typically, toget the maximum 5% discount, schools must purchase $5,000 of certificates (paying$4,750). The certificates must be treated as cash, since they are easily stolen.Certificates should be locked in the school safe. A SSA Account Fundraiser Approvaland Reconciliation Report is required monthly for this activity and must include a

reconciliation of the number of certificates at the beginning of the month, number ofcertificates sold, and number of certificates on hand at the end of the month. The totalsales must equal total bank deposits.

Shopper card rebate programs let the consumer name the beneficiary/school that willreceive a small percentage of the customers purchases. Grocery and other stores remitchecks to schools for the amount of the rebate.

#19072 Magazines Fundraiser. Magazines are sold as fundraisers. Subscribers writechecks directly to the school, which acts as the delivery system for the vendor. When thefundraiser is complete, the school remits a check to the vendor and retains its portion ofthe funds. Collections are to be deposited intact, including all cash collections. Thevendor is never to take part of the cash collections.

#19093 Pepsi/Advertising Fund. Advertising contract revenues, such as Pepsi funds,are distributed by Fiscal Services to SSA Fund 74 - Program 19093. At the principalsdiscretion, these funds may be used to meet reasonable and necessary, but unbudgeted,needs of the school including expenditures for staff and volunteer appreciation.

Sales of Products for Fundraising - Depending on the stated purpose and scope of thefundraiser, these activities may be classified as a school activity or as a student activity. Use theSSA Account Fundraiser Approval and Reconciliation Report to document the purpose forthe fundraiser. It is the responsibility of the school principal to determine from the vendor contractwhat responsibility the school has to collect, report and remit applicable sales tax to the Coloradotaxing authorities.

Student Activities Funds - There is an expectation that funds raised by students will be used forthe students and not for other, unbudgeted expenditures. These funds are raised by or forstudents for the purpose of student activities. Funds raised by students through school-sponsoredfundraising activities must be used for the direct benefit of the students, or if not for the directbenefit of the students, then for the stated purpose of the fundraiser. All revenues andexpenditures of each fundraiser must be accounted for in a manner easily reported and audited,using separate program numbers to identify each. For each student fundraising activity, schoolpersonnel must complete and sign a SSA Account Fundraiser Approval and ReconciliationReport, attaching any related contracts, and keep the completed forms on file for review.


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#19021 Field Trips. This program number is used as a conduit for field trip fees paidby students and field trip expenditures paid on behalf of the students. Schoolemployees/sponsors are prohibited from paying themselves from SSA funds for leadingand/or chaperoning school-sponsored field trips. Such payments are self-compensationand are prohibited by the district. Such employees/sponsors are to be compensated forovernight travel in accordance with the master agreement. Large sums of cash shouldnever be carried on field trips. Pocket money for students should be supplied by thestudent/parent and should not be a part of the fundraising objective.

Other Programs - Many SSA programs are provided to account for student clubs and activities.These funds are to be used for the direct benefit of the students or for the stated purpose of thefundraiser as documented on the SSA Account Fundraiser Approval and ReconciliationReport.

#19023 Staff Social Committee. This program is used for the convenience of schoolstaff and may be used to account for collections from staff to fully fund social activitiesand social gifts to coworkers. Coffee and bottled water funds can be accounted for usingthis program.

#19017 PTA/PTO Organizations. Program 19017 may be used to account for funds

received and disbursed on behalf of parent groups, such as PTAs. This program may beused for the convenience of the PTA if the organization does not have a bank account ofits own. PTA funds are never to be commingled with District funds.

#19700 Music Transfer Fees. This program is used to account for music feesdeposited into the SSA bank account by the schools. Monthly, Accounts Receivable staffenters journal entries to clear this SSA program and credit the fees to the Districts musicdepartment accounts.

Residual funds from inactive student organizations revert to the schools SSA program 19010unless otherwise determined.

S: Drive Reports - The PeopleSoft Transaction Detail Report for SSA funds reports only the

activity for the year and does not report beginning and ending balances. The S:Drive SSA HistoryReport is the best review tool to use for SSA funds, since it provides beginning and endingbalances in addition to program activity.

Example:74-240-00-19010-742500-0000 SSA Funds General Bldg SSA Fund

LiabilityFund DeptID SRE Program Account ProjectField Field Field Field Field Field

74 240 00 19010 742500 0000

Fund 74 School and Student Activities FundDeptID 240 Department/School Identification

SRE 00 SRE required by CDE; 00; never blankProgram 19010 General BuildingAccount 742500 SSA payables (This is a liability account. The District owes the

school/students)Project 0000 Project code; four-digit number or 0000; never blank

To access S:Drive reports for your school or department, which are updated daily around 6:00 a.m., rightclick on the Windows Start button, click on Explore, click on Admin_share on Cssd11adm ( S: ), click on thePeopleSoft shared folder, click on the psft folder, click on n Vision08, find your schools folder and click,select one of the three reports run daily for your school or department. For help, call 520-2051.


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BANK DEPOSITS AND CASH IN BUILDINGS

All funds collected by the District, including SSA funds, will be deposited into theDistricts bank account(s) on a daily basis (within 24 hours of receipt). The following 8Step Deposit Process is the District procedure for bank deposits:

1. Teachers must complete the Teacher Collection Form when submitting money to theschool office. The Teacher Collection Form includes the students names, method ofpayment, and amounts paid.

2. The administrative assistant will recount the money submitted, resolving anydiscrepancies with the teacher before the deposit is made and issue a pre-numberedreceipt to the teacher. Pre-numbered receipts also will be issued to students and parentsmaking payments directly to the school office.

3. The administrative assistant will complete the bank deposit ticket and the SSA ReceiptForm reconciling these two documents. The administrative assistant and one other staffmember must count each deposit and then initial the deposit slip to verify that thatmonies have been counted twice.

4. The principal will review and sign the deposit ticket and the SSA Receipt Form.

5. Deposits will be made within 24 hours of receipt. The administrative assistant may takethe deposit to the bank or send the deposit in a tamper-proof deposit bag to FiscalServices via the Food Services courier.

6. The administrative assistant will forward the SSA Receipt Form to Fiscal Services forentry into the PeopleSoft accounting system.

7. Documentation for the deposit retained at the school will consist of (1) the TeacherCollection Form, (2) pre-numbered receipts, (3) a copy of the SSA Receipt Form, and (4)the bank-verified copy of the deposit ticket or the information strip from the tamper-proofdeposit bag. Deposit documentation will be stapled together and filed in date order.

8. Monthly, Fiscal Services reconciles the SSA bank statement, resolving with the schoolany discrepancies between the actual deposit and the SSA Receipt Form.

Documentation for cash collections is very important and should include enough informationto ensure that all cash can be easily accounted for and audited.

Bank Deposits:

Deposits may be made at the Fiscal Services cashiers desk. Cash and checks are not tobe sent through the Districts interoffice mail delivery system (pony express).

All checks must be submitted with an adding machine tape verifying the deposit total.

The deposit summary sheet must be signed by the individual responsible for the deposit. Use paper clips or rubber bands to secure money. Do not use staples or tape. The Fiscal Services cashier will process a printed receipt. Always wait for your receipt.

Never leave deposits on an unattended desk. When the cashier is absent, Accounts Receivable staff will receive deposits.


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SCHOOL AND STUDENT ACTIVITIESRECEIPTS

AND EXPENDITURES

Now that we have discussed the different spending accounts and their account structure, we are

ready to move on to different activities and tasks you will be performing.

School and Student Activities are sponsored by District teachers. When the SSA activity involvesthe collection of money, the sponsor is responsible for collecting and accounting for all monies,maintaining records by student name and amounts paid. The Teacher Collection Form and theDeposit Envelope are to be used for this purpose.

Teachers are not to keep money in the classroom overnight. Activity sponsors must submit allfunds to the school business office on a daily basis. Gross receipts must be deposited into theDistricts SSA bank account daily.

Do not hold money at the school. Small sums of money held in the schools business officeovernight must be kept in a locked cabinet or safe. Access to the safe or cabinet must be limited

to two school accounting employees and administrators. Students, teachers, custodians andother employees should not have access. A record of employees with access should bedocumented in case of theft.

The school business office prepares the daily deposit and completes the SSA Receipt Form.This form, along with the duplicate deposit ticket, documents the amount of funds deposited foreach student activity. The SSA Receipt Form should be totaled and this total should equal thedaily deposit.

Fiscal Services enters information from the SSA Receipt Form into the PeopleSoft accountingsystem the day it is received. Schools forward the SSA Receipt Forms and attached duplicatedeposit tickets on a daily basis. Monthly, Fiscal Services staff reconciles the SSA bank account.Deposits in transit and receipts in transit become reconciliation items.

Monthly, the schools SSA accounts are reviewed by Fiscal Services staff. Deficit balances arereported to the school for immediate remediation. If deficit balances persist, Fiscal Services staffmay move funds from the schools 19010 program.

Mismanagement of the SSA accounts, including an overall deficit balance for school, will bereported to the appropriate executive director of instruction. Continued mismanagement of SSAaccounts may result in loss of the schools control over those funds, with increased supervisionfrom the executive director of instruction.

SSA account expenditures will be subject to the same District accounting policies and proceduresas all other funds, regardless of source.

The principal has discretion to spend SSA funds, but the wishes of student organizations,

students and sponsors must be considered. There is an expectation that the funds raised by eachstudent organization will be spent for the purpose for which it was raised. These studentorganization funds should not be used to pay for the activities of other student organizations or topay for school office expenses.


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SSA FUNDRAISERS

Each school usually conducts at least one fundraising event per year. School fundraisers mustfollow these regulations:

Students should not be used as door-to-door sales agents.

No money should be paid to vendors prior to delivery of products or services. Fundraising projects should be limited in number and be beneficial for students. Items sold should be in good taste and appropriate to potential customers, i.e. age,

economic status. Projected profit from the fundraising project must be worth the efforts of staff, students

and parents. Generally it is preferable to use the school newsletter to promote fundraisers instead of

sending material home with every student.

All non-school related groups wishing to raise funds on a community-wide basis, outside ofschool buildings, for the benefit of District 11 students or staff are required to coordinate theiractivities through the Office of Communications and Community Relations (520-2286). Non-school related groups are those agencies not having a direct relationship or identification with a

specific school building such as a private business or service club.

The funds, directly or indirectly, shall be of educational benefit. When a student or students will bethe beneficiaries of fundraising activities, the funds collected shall be deposited to the school andredistributed to the students at the direction of the building principal.

All activities must conform to existing local, state or federal laws. Fundraising trips to gamblingestablishments are not appropriate fundraisers for students.

Parents are non-school related groups and are not to coordinate fundraising activities outside theschools. Parents, who initiate and coordinate fundraising activities on behalf of the District orschool, must comply with the same accounting and safeguarding procedures followed by theschools. The fundraiser idea should be presented to the student activity sponsor, who will forwardthe fundraiser request to the principal.

All fundraising proceeds must be deposited intact through the schools business office. Nooutside bank accounts held by parents or activity sponsors are allowed. Expenses related to thefundraiser will be processed through the schools business office following all District accountingand safeguarding procedures.

When a school sells goods as a fundraiser, the sales may be subject to sales tax collection,remittance and reporting. Sales tax must be collected on yearbook, concession sales, clothingsales and miscellaneous sales, such as stacking cups, recorders, jump ropes, etc.

The school should not pay sales tax when the clothing is purchased by the school. Sales tax must be collected by the school for clothing sales, regardless of cost, sales

price or profit. The school should increase the sales price to include the applicable sale tax.

Schools are encouraged to find fundraising projects that are not subject to sales tax. Forexample, field trips and sales of coupon books, entertainment books, cookie dough, uncookedpasta, and unbaked butter braids are not subject to sales taxes. The school may be liable forcollecting sales tax on catalog sales, depending on the arrangement with the catalog vendor. Call520-2051 for more information, if the catalog vendor does not verify that sales taxes are includedin the catalog price. Many vendors have one catalog, which includes sales tax, and one catalog,which does no include sales tax.


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SALES TAX REQUIREMENTS

Purchases. The District is exempt from paying sales tax when it makes purchases. Departmentsand schools do not pay sales tax on purchased items. Vendors are required to grant the Districtsales tax exemption when payment is made by District check or purchase card. If sales tax ispaid on P-Card purchases, you will be required to obtain a vendor refund of the tax.

The District holds Certificate of Exemption from Colorado Sales and Use Tax # 98-02922-0000.The District also holds a Letter of Exemption from City of Colorado Springs Sales and Use Taxdated May 12, 1981. If a vendor requires proof of exemption, copies of the certificate and letterwill be provided to the school. Call 250-2051. The exemptions cover direct purchases made bythe District/school for its own use. These exemptions do not apply to sales made by theDistrict/school, which may be taxable.

Sales. Each high school, middle school and many elementary schools have obtained theappropriate state/county and city licenses for sales of yearbooks, concessions, clothing/T-shirts/sweatshirts/hoodies and other miscellaneous items. Fiscal Services staff will help youthrough the process of obtaining these licenses. Call 520-2051 for help.

Elementary schools that have only one or two taxable events a year, instead of obtaining anindividual sales tax license, may email their sales information to the A/P Supervisor in FiscalServices. The schools sales will be included with the Districts sales tax report. The schoolsportion of the sales tax will be charged to the schools SSA program 19010 or one specified bythe school.

When departments and schools sell items to students, teachers, or the general public,appropriate county and city sales taxes must be collected, reported and remitted. Generally, thecounty sales tax payment is due quarterly and the City of Colorado Springs sales tax payment isdue annually. Penalties are imposed for late remittances.

Effective September 1, 2008,a 3.5% sales tax must be added to all taxable sales.

City of Colorado Springs 2.5%

El Paso County 1.0%3.5%


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SIGNATURE AUTHORIZATION RECORD

Principals, department heads and their designees are responsible for the financial activities of theschools and departments. Various financial and accounting documents, with written approval andauthorization by the principal, department head and/or designee, are the foundation of theDistricts accounting and reporting system. The principal or department head names designees at

the beginning of each school year and informs Fiscal Services by completing a SignatureAuthorization Record, which Fiscal Services uses to verify the authenticity of documents to beprocessed. Each school and department is required to complete a Signature AuthorizationRecord by August 31 of each year.

List the name and title of each staff member authorized to sign in the appropriate listed areasof responsibility.

Mark Yes or No in the columns to specify each individual's authority. Do not leave columnsblank.

Have the listed individual(s) sign the form in ink on the appropriate line.

The Signature Authorization Record is approved by the school principal or department head.

Completed Signature Authorization Records with original signatures are forwarded to FiscalServices. For the Middle and Elementary School checking account, the signers must alsosign a signature card for the bank. The custodian of the checkbook must not be anauthorized signer on the school checking account.

When there is a change in authorized signers within a school or department, a new SignatureAuthorization Record must be completed. Call Fiscal Services to obtain a new form.


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CHECK REQUESTS

Sometimes payments must be made using a Check Request Form submitted to FiscalServices/Accounts Payable. The current Check Request Form can be found on the Districtswebsite. The following guidelines apply for processing Check Request Forms:

Checks are issued daily and are usually processed within five working days after the properlycompleted request is received by Fiscal Services. All checks are mailed, unless otherwise notedon the Check Request Form. Checks issued to District departments may be picked up after 3:00p.m. Vendor checks are mailed and cannot be picked up at the Fiscal Services office.

The District pays invoices using payment terms of net 30 (days) from the date of the invoice.Schools and departments must submit invoices for payment in a timely manner to avoid possiblelate charges assessed by the vendors.

The Check Request Form may be used to reimburse employees, pay for items purchased withouta purchase order, and make other miscellaneous payments.

Reimbursements, including sales tax, may be made to individuals if prior approval for thepurchase was obtained from the principal.

Requests for payments must be authorized by the requestors direct supervisor. Forexample, principals must obtain written approval from an Executive Director.

Requests for payments for personal services must be documented with a copy of theconsultant agreement and the vendors Form W-9.

Incomplete Check Request Forms will be returned to the sender for completion.

Only original invoices are acceptable documentation. Copies, hand-written notes, andbilling statements are not acceptable.

Include the telephone number of the person knowledgeable about the request.

Accounts Payable staff scan the requests and documentation into the computer using Canonsoftware so information may be retrieved online. For this reason:

Remove all staples and use adhesive tape to affix receipts to letter-size paper.

Circle or underline items to emphasize information. Do not use highlighters.


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EMPLOYEE REIMBURSEMENTS

The District reimburses its employees for documented, required and approved school-relatedexpenditures, including sales tax charged to that individual. Reimbursement for restaurant mealsmust be documented with an itemized receipt, the stated business purpose of the meal and thenames of the participants.

The District pays from original receipts/invoices.

o If the employee did not obtain a receipt at the time of purchase or has misplaced it, theemployee should contact the vendor for a duplicate.

o If this is not possible, and as a last resort, the employee must sign a statement indicatingthat the purchase was made and that it is impossible to obtain a receipt. The businessmanager or principal must approve and sign the statement, authorizing the businesssecretary to reimburse the expenditure based on the employees signed statement.

o For the independent auditors review, note on the documentation that this payment wasan exception. Also note that the employee was retrained on District reimbursement policyand understands the importance of obtaining receipts in the future. The businesssecretary should sign and date this documentation.

If the employee continually fails to obtain receipts or is cavalier in submitting requesteddocumentation, the District is under no obligation to reimburse the employee. The employeeis responsible not only for the appropriate expenditure of District funds, but also for theirdocumentation. Each employee has a responsibility to students, parents and taxpayers todocument all expenditures made on behalf of the District.

o If the accountability issue is not resolved, the principal may wish to address the problemwith the schools Executive Director of School Leadership.

If a reimbursement is requested for internet purchases, documentation must include thevendors printed invoice or order verification. Note the vendors transaction number/validation

code. The method of payment (usually by credit card) must be indicated on the vendorsdocument. When the order is received, attach the packing slip to the documentation. A copyof the employees monthly credit card statement may be required, if needed. The employeeshould mark out the personal credit card number before submitting the receipt or bill forreimbursement.


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CONSULTANT AGREEMENTS

Non-employees of the District are paid for personal services through consultant agreements.Principals have authority to contract up to $500. For consultant agreements of more than $500,the agreement must be processed through the Procurement Department.

Employee vs. Independent Contractor:

To determine whether the person or entity providing services to the District is an employee orindependent contractor, review the common law test provided from the American PayrollAssociation handbook. The determining factor is the amount of control held by the District overthe service provider:

Level of instructions the District gives the worker Level of training provided to the worker Whether the worker has unreimbursed business expenses Whether the worker has a substantial investment in the work Whether the workers services are available to the public

How the worker is paid Whether the worker can realize a profit or incur a loss Whether there is a written agreement Whether employee-type benefits are provided The term of the relationship

If a question remains regarding the employee status of the service provider, call the Director ofSecondary Personnel, Human Resources, (520-2173). If it is determined that the service provideris a District employee, then the hiring process must be completed and the service provider is paidthrough the Districts payroll system including withholding of appropriate taxes and PERA. Thesetemporary, part-time employees of the District are referred to as Purple Packets because theemployment information they receive is bound in a purple binder.

If Human Resources determines that the service provider is not an employee, but is anindependent contractor, then the contracting process must be completed through theProcurement office (520-2316) if over $500. Principals have the authority to negotiate consultantagreements for less than $500.

The Human Resources hiring process or the Procurement contracting process, whicheverapplies, must be completed before any services are rendered.


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SCHOOL CHECKING ACCOUNT

The Middle and Elementary School checking account provides a method for schools to meetimmediate disbursement needs and reduces the amount of petty cash needed by schools. FiscalServices PeopleSoft accounts payable software system records purchase orders, encumbers

funds, processes vendor payments, and maintains balances and totals by vendor. Thisinformation is used to prepare IRS Form 1099 and audit workpapers and to track vendorpayments against purchase orders. Because these checks do not flow through the Districtsaccounts payable system, the school checking account may be used for limited types ofexpenditures only.

Security of Checkbook The checkbook and any unused check stock must be kept in a lockedsafe. Signing blank checks is prohibited.

Authorized Check Signers - Two check signers are authorized for each school. If authorizedsigners change, call Fiscal Services 520-2054 to request a new bank signature card. The newauthorized signer must make arrangements with Fiscal Services for a one-hour training session.The custodian of the checkbook must not be an authorized check signer.

Check Register See Appendix L for the check register format required to be used whensubmitting the monthly reconciliation.

Principals Review The school principal must review the schools check register monthly andsign the check register.

Check Writing Privileges A school may lose its check writing privileges if there is impropermanagement of the school checking account.

Instructions - See Appendix F for step-by-step instructions for using the school checkingaccount.

High schools maintain their own checking accounts and accounting system to manage their SSA funds. Highschools must adhere to all accounting policies, regulations and procedures of the District. In addition, thehigh schools have a separate manual for their EPES accounting system.


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BAD CHECK COLLECTION PROCESS

Following is a summary of the Districts procedure for NSF checks deposited into the SSAbank accounts.

Checks are deposited into the SSA bank account.

The bank sends all NSF checks directly to Checkway for collection.

Checkway notifies issuer of NSF check and requests payment of the amount of thecheck plus a collection fee.

NSF checkwriter pays Checkway. Schools should never collect NSF payments.

THE PERSON WRITING THE BAD CHECK MUST REMIT THE AMOUNT OF THE

CHECK PLUS $40.00


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PURCHASE ORDERS VENDOR PAYMENTS

The District uses an encumbrance system of accounting. When a purchase order isentered into the Districts accounting system, the amount of the PO is encumbered, or setaside, until the PO is paid. At that time the encumbrance is reversed and the expenditureis recorded into the accounting system. In this way the District ensures that it does not

overspend its appropriated budget.

After Procurement processes an online purchase requisition, a purchase order (PO) isproduced by the PeopleSoft procurement system. There are two methods to initiatevendor payments, depending on the point of delivery.

If the goods are delivered to the school, the school will receive a copy of theinvoice with the following message from Fiscal Services:

Payment for the items listed on this invoice will be processed on (date). If you didnot receive the items listed, or dispute the price, the school must call FiscalServices, 520-2046, to stop the payment. If the invoice is correct for the itemsreceived, no response is necessary.

If the goods are delivered to the Warehouse, the Warehouse will mark theshipment received in the Procurement system and Accounts Payable will pay theinvoice when received from the vendor. The Accounts Payable Department paysvendor invoices 30 days from the date of the invoice, allowing the District tomaintain maximum cash in the bank and pay vendors in a timely manner.

SPECIAL PRICING VENDOR AGREEMENTS

The District currently has special pricing agreements with numerous vendors listed on theDistricts web page. To find a listing of current vendors go to:

www.cssd11.k12.co.us/Go to the Quick Find box on the left side of the page.Select Procurement.From the Procurement screen select Pricing Mall.A listing of current vendors with which the District maintains special pricing agreementswill appear.

Call Procurement (520-2068) for additional information regarding purchases from thesevendors.


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JOURNAL ENTRY CORRECTIONS

Revenue and expenditure transactions are sometimes incorrectly recorded into theDistricts accounting system. An error can occur when a wrong account number is used foran on-line purchase order, check request, SSA receipt form, or order form for one of theDistrict-wide blanket purchase orders. An error can also occur from data entry by Fiscal

Services, Procurement or from information received from one of the District's vendors. AJournal Entry Correction Form is used to correct these errors.

The purpose of this procedure is to ensure that all District revenues and expenditures arecorrectly recorded and reported in the proper account, fund, department, program, projectand fiscal year in which it was budgeted.

This form is not used to make budget transfers.

Complete the Journal Entry Correction Form and attach supporting documentation forthe correction.

Provide a detailed explanation of the correcting transaction.

Transactions between two different schools/departments must have written approvalfrom both account managers.

The first line of each journal entry is a debit signifying the chartfield to be charged.

The second line of each journal entry is a credit signifying the chartfield to be credited.

Submit the form to Fiscal Services for processing.


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BUDGET TRANSFERS

The District prepares and submits to the State of Colorado an appropriated, balancedbudget each year with periodic updates. This document, approved and adopted by theBoard of Education, is just short of 500 pages and contains a wealth of knowledge aboutthe Districts programs and funding.

The purpose of the budget is to create a control structure (commitment control) for Districtspending. The Districts accounting system uses an encumbrance system to set asidefunds when a purchase order is entered into the system. That purchase order must pass abudget check before it is dispatched to the vendor. Before the related vendor invoice ispaid, that invoice is matched to the electronically received purchase order and once againis checked against the budget to ensure that sufficient budgeted funds are available.

If there are not sufficient budgeted funds available, the invoice will fail budget check andcannot be paid until budgeted funds are transferred to that budget chartfield from anotherappropriate budget chartfield. This budget transfer may be processed online into theDistricts accounting system, or under certain restrictions, must be entered into the systemby Budget Department staff.

This is the proper procedure to move budgeted funds where needed. It is not appropriateto move expenditures into other programs or projects simply because there happens to bebudgeted funds available there. This circumvents the budget/accounting control processand misstates District expenditures, which are reported by account, fund, department,program, project and fiscal year to the Colorado Department of Education. It alsoadversely affects the next years budget process because there is not a clear history ofhow the previous budget was actually expended. GASB 34 also expressly states thatrevenues and expenditures are not to be offset against each other, but are to be reportedat their gross amounts.

Follow these state mandates when making budget transfers:

Budgeted funds may be moved from one instructional account to another

instructional account. Instructional accounts are restricted by the state forinstructional purposes.

Budgeted funds may be moved from non-instructional accounts to instructionalaccounts. Non-instructional accounts are less restricted than instructionalaccounts.

Budgeted funds cannot be moved from the more restricted instructional accountsto the less restricted non-instructional accounts.

The Board of Education must approve all budget transfers of $100,000 or more. On-line budget transfers cannot be made between funds. SSA accounts are liability accounts, not budgeted expenditure accounts.

Therefore the Budget Transfer Form is not used to move funds. Use the JournalEntry Form to move SSA funds from one program/activity to another. The principalhas discretion to spend SSA funds, but the wishes of student organizations,

students and activity sponsors must be considered. There is an expectation thatthe funds raised by each student organization will be spent for the purpose forwhich it was raised. These student organization funds should not be siphoned offto pay for the activities of other student organizations that are underfunded.

Budget Department staff will post budget transfers to the PeopleSoft BudgetLedger the following day.


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ACCOUNTS RECEIVABLEBILLING PROCEDURES

Schools often order supplies, print jobs, catering, and field trip transportation services fromother District departments. Accounts Receivable staff record these expenditures frominformation received from the various departments. When supplies and services are

provided to out-of-district entities, invoicing must be processed by Accounts Receivablestaff. These are due to Accounts Receivable by the 10th of each month. Districtdepartments should never send out their own invoices. Below is a list of billing activitiesperformed by Accounts Receivable.

Warehouse Orders - On-line Warehouse orders can be entered for instructional, non-instructional or SSA accounts. Warehouse charges are posted to the general ledgernightly.

Production Printing Orders - The print shop uses its own billing software, which poststo the general ledger nightly. Statements are produced by the print shop when ordersare completed.

Transportation/Field Trips - Prepare a Transportation Request for Field Trip Form andprovide the general fund or SSA chartfield number. Charges are posted to the generalledger at the end of each month. A statement is sent to the school.

Catering - Submit your schools catering request to the Food Services Officedesignating the general fund or SSA chartfield to be charged. Food Services preparesa catering invoice, sending copies to Fiscal Services and to your school. Beginning inFY07, use account number 050000 for catering charges.

Childcare - The Office of Communications and Community Relations submits billinginformation to Fiscal Services for childcare providers renting space from the District.Fiscal Services bills the childcare providers. Childcare provider rental payments aredistributed to the individual schools by budget transfers.


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CAPITAL ASSETS

The District maintains an inventory of capital assets. The two main types of capital/fixedassets are:

Audio/Visual, Computer and Computer-Related Equipment (AV equipment) -

Computers, monitors, printers, copiers, VCRs, TVs, electronic equipment, digitalcameras, smartboards, etc., with a cost of $500 or more per item. These items aretracked by Fiscal Services. Each school and department must conduct an annualphysical inventory of these items and provide that information to Fiscal Services.

General Equipment, Non-AV Equipment, or Computers, Servers, Routers, etc.,which cost $5,000 or more per item. These items are tracked by Fiscal Servicesand are recorded in the accounting system as District financial assets. Each itemis capitalized and depreciated in accordance with GASB Statement 34 reportingrequirements.

When any of the above-mentioned items is ordered and delivered to the Warehouse, theequipment is tagged with a tamper-evident tag including an asset number (a bar codedlabel), etched with the same asset number, and branded with the CSSD11 mark.

Use the following guidelines to properly classify equipment purchases:

Purchases of equipment costing between $500 and $4,999.99 per item areclassified as equipment/supply expenditures using account #073500 -Equipment< $5K.

Purchases of equipment costing $5,000 or more per item are classified asequipment expenditures using account #073000 - Equipment>$5K.

Sometimes the asset is not properly tagged, etched or branded. This usually occurs whenthe asset is delivered directly to the school or is picked up at the store. When theWarehouse is not included in the delivery of the purchase, school/department personnelmust contact the Warehouse at 520-2921 or Fiscal Services at 520-2366 for an asset tagand to coordinate tagging, etching and branding of the asset.

Annual physical inventories are coordinated by Fiscal Services. An authorized and signedAsset Disposition Form must be submitted to Fiscal Services for each asset disposed ofsince the last physical inventory. All schools and departments are required to provideupdated information obtained from its annual physical inventory. Fiscal Services staff thenprocesses the information by making changes into the PeopleSoft Asset Managementmodule.

For assets purchased using a purchase order, delivered through the Warehouse and paidby Accounts Payable, physical and cost information is captured by the PeopleSoftPO/AP/AM interface and loaded from staging tables to the Asset Management module.This process works very well and has made accounting for large computer purchases anddeployments much more accurate.

If a purchase order is not used, if the item is not delivered through the Warehouse, or ifthe item is paid for using the District P-Card, then the PeopleSoft PO/AP/AM interfacesystem has been bypassed by the purchasing school or department. The assetinformation is not automatically captured by the PeopleSoft accounting system. It is theresponsibility of the school or department to provide Fiscal Services with allinformation for the purchase, so the item can be manually added to the PeopleSoftAsset Management module. The item must be tagged, etched and branded.


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APPENDIX AGUIDELINES FOR APPROPRIATE EXPENDITURES

The Appropriate Expenditure Committees Final Report discusses the following types ofexpenditures:

Student Appreciation. Snacks may be provided by the school for students participating inschool and student activities. Snacks served at student activities and meetings should becharged to the SSA program designated for that student group. For school-wide activities,SSA program #19010 may be used.

Student Incentives and Awards. If directly related to a student fundraising activity, theexpenditure should be charged to that SSA fundraising activity program. If studentincentives and awards are for other reasons, the expenditures may be charged to SSAprogram #19010 or another SSA program at the principals discretion.

Volunteer Appreciation. Expenditures for volunteer appreciation events conducted by theschool throughout the school year are to be charged to SSA program #19095 VolunteerAppreciation. Appreciation gifts provided to volunteers should be tokens of appreciation.

Snacks served to volunteers and guests at student activities and meetings should becharged to the SSA program designated for that student group. For school-wide activities,use SSA program #19010.

Staff Appreciation. It is understood that staff and volunteer appreciation is a keycomponent of school teambuilding and performance. Schools/departments are remindedthat all district funds, including SSA funds, are taxpayer funds and should be managed in amanner that is respectful of the stewardship responsibilities associated with the expenditureof taxpayer dollars. In general, staff and volunteer appreciation is to be conducted at thediscretion of each individual school. However, the following guidelines should be consideredin conducting these activities.

Meal amounts are limited by the district per diem rate for the individual meal. Alcohol is expressly prohibited. Where possible, offsetting amounts from Social Committee Funds are encouraged. Except for retirees and award winners, district funds should not be used to pay for

attendance by spouses/children or guests. District funds will not be used to pay for staff socials. Staff will not be given cash or checks as staff appreciation.

Off-Site Meals. Off-site (restaurant, catered, etc.) meals are seldom a necessary expenseof the district. However, they may be appropriate in certain circumstances to acknowledgeand recognize employees, volunteers and supporters. Off-site meals for staff appreciationare subject to the same guidelines listed, above, for staff appreciation.

Staff Snacks and Meals. Snacks and light meals served to staff are appropriate in certaincircumstances when the meals are furnished for the convenience of the district. Some

examples follow:

During enrollment, staff and volunteers are provided with pizza at the schools expensebecause they are on call to assist with enrollment during a short lunch break and do notleave the school premises.

For the schools annual open house, teachers are required to remain at school beyondthe school day to host students and parents. The school provides pizza for the staff.


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School/Department Meeting Meals. Expenditures for school/department meeting meals,on an infrequent basis and for the convenience of the district, are permissible. However,these situations should be held to a minimum and are limited to the district per diemindividual meal limit.

Staff Development. Expenditures for staff development, which are reasonable andnecessary business expenditures of the school, are charged to the Office of the PrincipalServices Program.

Staff Compensation. All compensation is set by Human Resources for all work performedby employees of the school/department/district. Payment for specific, additional duties aremade in accordance with the Teachers Master Agreement, the Executive and ProfessionalHandbook, the Educational Support Professionals Handbook, the Federal Fair LaborStandards Act and Colorado statutes.

Non-exempt district employees are entitled to overtime pay in accordance with the FederalFair Labor Standards Act and Colorado employment law.

IRS regulations govern whether a service provider is an employee or an independent

contractor. Human Resources determines if the service provider is an employee or anindependent contractor based on the facts of each case. Principals/department heads mustcontact Human Resources to receive a determination of the service providers status beforeany services are performed.

Employee - Human Resources will proceed with hiring, usually as a purple packet.Employees are paid through the district payroll system and receive a Form W-2 asrequired by the IRS.

Independent Contractor - When HR determines that the service provider is anindependent contractor, a personal services contract is required. IRS Form W-9 must beobtained from the independent contractor at the time the contract is executed.Independent contractors are paid through the district accounts payable office andannually receive an IRS Form 1099 instead of a W-2.

Approval of Contracts - For contracts of $500.00 and over, the principal/departmenthead will notify Procurement to execute a contract between the district and theindependent contractor/service provider. For contracts less than $500.00. theprincipal/department head will execute a contract between the district and theindependent contractor/service provider.

Staff Performance Incentives. BOE policy requires staff incentives be approved in writingby the BOE and/or superintendent before such payments are promised or paid. All approvedperformance incentives must be paid through the district payroll system.

Staff Attendance at Special Functions. If there is an expectation from the BOE, district,school, department, students, parents, or community that the principal, or designee(s),attend a special function as a part of his/her job duties and in support of the mission and

goals of the district/school/department, then such attendance fees are a reasonable andnecessary business expenditure of the district.

Retirement Gifts and Banquet. The district holds an annual banquet honoring retirees.BOE policy allows token gifts of appreciation to retirees. In addition, thedistrict/schools/departments honor retirees with receptions, banquets and gifts.


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Graduation Expenditures. Different schools have varying needs regarding graduationexpenditures. These additional expenditures may be funded by SSA School Activity funds atthe principals discretion.

Catering Beginning in FY07, catering charges are to be charged to SSA programs or toaccount 050000.

Exceptions. Occasionally, based upon the situation, the school principal/department headmay request that an exception to the stated expenditure guidelines be granted. Theserequests are to be submitted, in writing with attached justification, to the Executive Directorof Instruction/School Leadership and the division head for written approval.


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APPENDIX BChartfields and Examples of Appropriate Expenditures

10-xxx-00-24110-011010-0000 Salaries Administrative (01X010)Account used to charge regular salaries of

administrative employees.

10-xxx-00-24110-011030-0000 Salaries Non-Teaching Professional (01X030)Account used to charge regular salaries for non-teaching professional employees.

10-xxx-00-24110-011050-0000 Salaries Clerical (01X050)Account used to charge regular salaries for clerical

employees.

10-xxx-00-24110-012010-0000 Temp Salaries Administrative (01X010)Account used to charge temporary salary foradministrative substitute employees.

10-xxx-00-24110-012020-0000 Temp Salaries Teachers (01X020)Account used to charge temporary salary forsubstitutes for teachers.

10-xxx-00-24110-012050-0000 Temp Salaries Clerical (01X050)Account used to charge temporary salary forsubstitutes for clerical employees.

10-xxx-00-24110-013050-0000 Overtime Clerical (01X050)Account used to charge overtime pay to clerical

employees.

10-xxx-00-24110-015050-0000 Supplemental Pay Clerical (01X050)Account used to charge supplemental pay forclerical employees.

10-xxx-00-24110-020010-0000 Employee Benefits Administrator (020010)Account used to charge employer-paid benefits onthe related salary.

10-xxx-00-24110-020020-0000 Employee Benefits Teachers (020020)Account used to charge employer-paid benefits onthe related salary.

10-xxx-00-24110-020050-0000 Employee Benefits Clerical (020050)Account used to charge employer-paid benefits on

the related salary.

10-xxx-00-24110-039000-0000 Other Purchased Professional ServicesAccount used to charge for services which by theirnature can be performed only by persons or firmswith specialized skills and knowledge. While aproduct may or may not result from the transactionthe primary reason for the purchase is the serviceprovided. Included are the services of architects,


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engineers, auditors, dentists, medical doctors,lawyers, consultants, teachers, accountants,brokers, etc.

10-xxx-00-24110-040000-0000 Purchased Property ServicesAccount used to charge for services purchased tooperate, repair, maintain, and rent property ownedor used by the school district. These services areperformed by persons other than school districtemployees. While a product may or may not resultfrom the transaction, the primary reason for thepurchase is the service provided.For example:Utility ServicesCleaning ServicesSnow Removal ServiceCustodial ServicesLawn CareLaundry Services

10-xxx-00-24110-050000-0000 Other Purchased ServicesAccount used to charge for services rendered byorganizations or personnel not on the payroll of theschool district (but not Professional and TechnicalServices 039000 or Purchased Property Services040000). While a product may or may not resultfrom the transaction, the primary reason for thepurchase is the service provided.

For example: Contracted field trips transportationcosts only. Payments for transportation of studentsbetween school and away-from-school instructionalactivities.

Beginning in FY07, account 050000 is to be usedfor catering, cell phone and pager charges.

10-xxx-00-24110-055000-0000 PrintingAccount used to charge for printing, binding, andduplicating. This includes designing, copying andprinting forms, posters, and handouts as well asprinting and binding school district publications. Ifan instructional program does not have a printingaccount, then account 061000 must be used.

10-xxx-00-24110-058000-0000 Travel & Registration

Expenditures for transportation meals, lodging, andother expenses associated with travel for theschool district, including workshops for ESP,teachers and administrators of the school

10-xxx-00-24110-058300-0000 Mileage ReimbursementAccount used to charge for reimbursement formiles traveled while on business for the schooldistrict.


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10-xxx-00-xxxxx-051300-0000 Field Trips Paid for by the SchoolExpenditures for field trips paid for by the schoolshould be charged to account 053100.

10-xxx-00-24110-061000-0000 General SuppliesAccount used to charge for items that areconsumed, worn out, or deteriorated through use.Instructional supplies will also be charged to thisaccount number. The program number designatesif the expenditure is instructional or non-instructional.

10-xxx-00-24110-061700-0000 Graduation SuppliesAccounts used by the district to account for schoolgraduation supplies.

10-xxx-00-24110-073000-0000 Equipment > $5K per itemAccount used to charge for the expenditures ofequipment, machinery, furniture, fixtures, andvehicles costing $5,000.00 or more per item.

Note: Machinery, furniture, and fixtures, (includingteacher desks, chairs, and file cabinets),technology equipment, and other equipment thatare used for instructional purposes should becharged to the appropriate instruction programs,and not to this account.

10-xxx-00-24110-073500-0000 Non-Capital Equipment


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APPENDIX DMIDDLE SCHOOL CHARTFIELDS

Chartfield/General Ledger Account Number

Instructional:General Middle School Expenses:10-xxx-00-00200-051300-0000 Gen Elem Ed Field Trips10-xxx-00-00200-055000-0000 Gen Elem Ed Printing10-xxx-00-00200-061000-0000 Gen Elem Ed GeneralSupplies10-xxx-00-00200-065000-0000 Gen Elem Ed Technology Supplies& Materials10-xxx-00-00200-064200-0000 Gen Elem Ed Textbooks/CurriculumResources10-xxx-00-00200-064300-0000 Gen Elem Ed LibraryBooks/Periodicals/Media10-xxx-00-00200-073000-0000 Gen Elem Ed Equipment >

$5K each10-xxx-00-00200-073400-0000 Gen Elem Ed TechnologyEquipment10-xxx-00-00200-073500-0000 Gen Elem Ed Non-Capital Equip $5

K each10-xxx-00-24110-073500-0000 Bldg Adm Non-CapitalEquip


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APPENDIX ESSA Program Numbers

19010 General Bldg SSA Fund 19047 Clubs & Activities Misc 7 19096 Small Grant Awards Funds

19011 Bad Checks 19048 Clubs & Activities Misc 8 19097 Summer Literacy/School Scholarship Funds

19012 Class Fees 1 19049 Clubs & Activities Misc 9 19098 Staff Appreciation

19013 Class Fees 2 19050 Clubs & Activities Misc 10 19099 Benevolent Projects

19015 Student Government 9151 Clubs & Activities Misc 11 19100 Parent Involvement

19016 Student Donation Fund 19052 Clubs & Activities Misc 12 19101 Art Club/Activity

19017 PTO 19053 Clubs & Activities Misc 13 19102 AVID Club/Activity

19018 Yearbook 19056 Grocery Cerfiicates - Fundraiser 19103 Chess Club/Activity

19019 Custodial/Safety Awards 19057 Office General 19104 Counseling Club/Activity

19020 School Pictures 19058 Office Misc 1 19105 Drama Club/Activity

19021 Field Trips 19059 Office Misc 2 19106 English Language Arts Club/Activity

19022 Soft Drink/School Store 19060 Office Misc 3 19107 Family & Consumer Education Club/Activity

19023 Emplloyee Social Committee 19067 Library Club/Activity 19108 Foreign Language Club/Activity

19024 Childcare 19068 Band Club/Activity 19109 Forensics Club/Activity

19025 SSA Salaries - Other 19069 Choir Club/Activity 19110 Industrial Arts Club/Activity

19026 Sports Challenge 19070 General Music Fundraiser 19111 Math Club/Activity

19027 Outdoor Education 19071 Orchestra Club/Activity 19112 Math, Engineering Science (MESA) Club/Activity

19028 Athletics 1 19072 Magazines Fundraiser 19113 Physical Ed Club/Activity

19029 Athletics 2 19073 Fundraiser Misc 1 19114 Social Studies Club/Activity

19030 Athletics 3 19074 Fundraiser Misc 2 19115 Special Ed Club/Activity

19031 Athletics 4 19075 Fundraiser Misc 3 19261 Sixth Grade - Team 1





19036 Tech Ed/Computer Ed Clubs/Activity 19080 Fundraiser Misc 8 19271 Seventh Grade - Team 1

19037 Gifted & Talented Club/Activity 19081 Fundraiser Misc 9 19272 Seventh Grade - Team 2

19038 Imagination Celebration Club 19082 Fundraiser Misc 10 19273 Seventh Grade - Team 3

19039 Sicence Club/Activity 19083 Fundraiser Misc 11 19274 Seventh Grade - Team 419040 Honor Society Club 19088 Fundraiser Misc 16 19275 Seventh Grade - Team 5

19041 Clubs & Activities Misc 1 19090 Cookie Dough Sales 19281 Eighth Grade - Team 1

19042 Clubs & Activities Misc 2 19091 Pizza Coupon Sales 19282 Eighth Grade - Team 2

19043 Clubs & Activities Misc 3 19092 Candy Sales 19283 Eighth Grade - Team 3

19044 Clubs & Activities Misc 4 19093 Coke/Advertising Funds 19284 Eighth Grade - Team 4

19045 Clubs & Activities Misc 5 19094 Student Incentives and Awards 19285 Eighth Grade - Team 5

19046 Clubs & Activities Misc 6 19095 Volunteer Appreciation


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APPENDIX FSCHOOL CHECKING ACCOUNT

PROCEDURES

The school checking account provides a method for schools to meet immediate disbursement

needs and reduces the amount of petty cash needed by schools.

Each school will be assigned a special check number sequence to enable Fiscal Services tomaintain accurate records for each middle and elementary school. The check number will haveeight digits. The first three digits identify the school location (for example, 101xxxxx or 240xxxxx).The last five digits identify the number of the check.

The checkbook and any unused check stock must be kept in a locked cabinet or safe. Signingblank checks is prohibited.

Two check signers are authorized for each school. If authorized signers change, call FiscalServices 520-2054 to request a new bank signature card. The new authorized signer must makearrangements with Fiscal Services for a one-hour training session. The custodian of the

checkbook must not be an authorized check signer.

In the event of improper management of the school checking account a school may lose its checkwriting privileges. Fiscal Services maintains a record of improper transactions by school, which isforwarded quarterly to Principals and Executive Directors of School Management. If the problempersists, school staff will receive additional training from Fiscal Services. If problems continueafter training, the school will be notified of a 90-day probationary period. At this point, ifimprovement is not shown, check writing privileges will be taken from the school.

Guidelines for Using the School Checkbook

Before the purchase is made, prior written authorization must be obtained from theaccount manager responsible for the account number/chartfield charged. This will be

documented using a School Check Request Form.

Individual checks cannot exceed $300. Do not issue multiple checks to circumvent thislimit.

Expenditures made from the school checking account will be charged to the GeneralFund 10 or the School and Student Activities (SSA) Fund 74.

Supplies and Materials (Account #06xxxx) Supplies and materials used for instructionin the classroom may be charged to school instructional programs (#00100 - #18000).Supplies and materials for the school office are non-instructional expenditures.

Game Officials - Middle school certified game officials (umpires and referees) who are

self-employed may be paid from the school checking account. Social security numbersmust be noted on the check register. Names, social security numbers and addresses ofgame officials are available from the Athletic Office. Gameworkerscannot be paid usingthe school checking account. Game workers are District employees paid through theDistricts payroll system. All other individuals providing services to the District mustcontract with the Procurement Department and are paid through the use of purchaseorders. The school checking account cannot be used for payment of these services.


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Non-Capitalized Equipment - Equipment purchases of $300 or less can be madefrom the school checking account and will be charged to the supply accountnumber 06xxxx.

Other Purchased Services (Account #05xxxx) Purchased services from incorporatedvendors do not require IRS Form 1099 reporting and are allowable expenditures from the

school checking account. Payments for purchased services from individuals, soleproprietors, or partnerships require IRS Form 1099 reporting and are not allowedexpenditures from the school checking account. For purchased services requiring IRSForm 1099 reporting, a signed contract must be executed and filed with Procurement.Payment is made through Fiscal Services.

Reimbursements Employees who have made small purchases for the school may bereimbursed if such purchases were approved by the principal prior to the purchase.School checks are issued for emergent needs only. A Request for Check, P-Card, orpetty cash should be used for most employee reimbursements. Reimbursements toprincipals and authorized check signers cannot be made from the school checkingaccount.

Late Payments Occasionally, a school must make a speedy payment for a past-due ormisplaced invoice. If the past-due invoice has no purchase order number reference, theschool may issue a school check. If a P.O. number is referenced on the invoice, theinvoice should be forwarded to Fiscal Services for payment. Note the date of receipt onthe invoice.

COD Payments Cash on Delivery purchases received at the school may be made fromthe school checking account.

Insufficient Budget An expenditure to a chartfield with insufficient remaining budget willnot post to the general ledger. Expenditures failing budget check cause the entire postingprocess to stop. Because of this, Fiscal Services charges expenditures failing budgetcheck to the schools SSA 74 general building fund program 19010.

Expenditures That Can Not Be Paid From the School Checkbook

Salaries and Employee Benefits - Game workers cannot be paid using the schoolchecking account. Game workers are District employees paid through the Districtspayroll system.

Personal Services Except for Game Officials, personal services cannot be paid fromthe school checking account.

Purchase Orders - The school checking account cannot be used to pay for any itemordered using a purchase order.

Travel and Mileage - Reimbursement for lodging, meals, conference registration, airfareand mileage are governed by IRS regulations. A Travel Request Form must be submittedfor all conference-related travel. An Auto Mileage Reimbursement Request is submittedto Fiscal Services for mileage reimbursements.

Professional Development Fund (PDF) - PDF expenditures are reimbursed using aRequest for Check. Fiscal Services maintains individual PDF fund balances.


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Principal and/or Authorized Signer - Submit a Request for Check, along with attachedsupporting documentation, to Fiscal Services for reimbursements to principals and otherauthorized school check signers.

Payments to Cash or Bearer Never make checks payable to Cash or Bearer.

Required Supporting Documentation

Each school check must be documented with a School Check Request Form.

Original Invoices or Receipts The school must pay from original invoices/receipts. Theuse of original invoices or receipts to document payments is an internal control thatdecreases the chances of making duplicate payments.

If an original invoice is not available, request that the vendor fax the invoice to theschool. Note on the faxed invoice that the original invoice was misplaced andpayment is being made from a faxed copy. The date received and the receiverssignature should be written on the faxed copy, noting for the auditors that this is anexception. When an original order form must be mailed to the vendor, a copy of the

order form is acceptable documentation. Do not pay from billing statements. Destroyduplicate invoices. Mark the invoice PAID after a check has been issued.

Vendor Name - The vendors name should be printed on the invoice or receipt. If notprovided on the vendor receipt, that information must be written on the receipt by thebuyer.

Description - The invoice or receipt must describe the item purchased. If a description ofitems purchased is not provided on the vendor receipt, that information must be writtenon the receipt by the buyer. Restaurant receipts must be itemized receipts, with thestated business purpose of the meeting, and the names of the participants.

Date and Signature of Receiver - The individual receiving the item should sign and datethe invoice to verify the date the item was received.

Discounts - Discounts should always be taken if offered by the vendor.

Sales Tax Incorrectly Charged to the District by Vendors The District is a sales taxexempt organization. If a vendor invoice includes sales tax, subtract it from invoice totalsand note to the vendor that the District is sales tax exempt.

Maintaining Checkbook Balances

Opening Account Balance Elementary schools begin each month with an openingbalance of $1,000; middle schools with $1,500. Each month enter this beginning balanceinto the check register.

No Deposits - Schools are not to deposit money into the school checking account. Forthis reason, any deposit tickets provided with check orders should be destroyedimmediately.

Record Check Transactions Each schools check register should contain all requiredinformation needed to record the transactions into the Fiscal Services accounting system.Include check number, payee, amount, description of purchase, social security number ofgame officials, and chartfield to be charged.


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Record Bank Transactions - When checks or binders are ordered from the bank andbank charges will be charged to the account, record the cost, chartfield, and date of theorder.

Voided Checks - When a check is voided, deface the check by writing VOID in inkacross the front of the check and tear off the signature. Record the check number, date

and reason for the void. Do not remove the original check transaction from the checkregister. Note on the original check transaction that the check was later voided. Add theamount of the voided check to the check registers current balance on the date the checkwas voided. Note the check number, payee, amount and the chartfield of the voidedcheck. Include the voided check with information sent to Fiscal Services.

Stopped Payments A stop payment must be requested from Fiscal Services prior toreissuing a check. For checks lost in the mail, stop payment requests will be made to thebank seven days after the mailing date. The original check transaction should note thatthe check was voided/stopped. Note the stop date, amount, check number and chartfieldof the stop payment. Then issue and record the replacement check.

Documentation to Forward to Fiscal Services

Fiscal Services staff reconciles the pooled checking account for all middle and elementaryschools and records monthly transactions for each school. Submit the following to Fiscal Serviceson the first of each month, including summer months:

Check Register - A copy of the months check register, reviewed and signed by theprincipal. The District check register form is required to be used when submitting themonthly reconciliation.

Check Carbons and Documentation Tape the check carbon to the original supportingdocumentation.

Order Forms - If checks or binders are ordered, include a copy of the order form with theother monthly documentation.

Voided Checks - Submit voided original and carbons for each voided check.

Calculator Tape Total of Check Register Attach an adding machine tape starting withthe month's beginning account balance ($1,000 for elementary schools/$1,500 for middleschools). Add voids. Subtract checks issued and cost of check orders. The tape totalshould equal the month's ending account balance.


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APPENDIX GS:\DRIVE REPORTS and

BUDGET TRANSACTION DETAIL REPORTS

Accessing S:\Drive Reports:

Fiscal Services updates these files between 5:00 and 7:00 a.m. Never access these files beforeor during this update time. Never make and save changes to these files. If changes are saved,the files will not properly update the next day and will require maintenance from InformationServices.

To Run Departmental Report of Account Balances:

From your desktop, right click the START buttonLeft click the EXPLORE buttonLeft click on Admin_share on "CSSD11 Adm" (S:)Double click on PeopleSoft SharedDouble click on psft folderDouble click on n Vision FY7

Double click on your school folderThree files appear for each school

DeptID.xls Budgeted accounts budget, encumbrance, expenditureinformation

DeptID-ssa.xls SSA program totals for the dayDept ID-his.xls SSA history for the fiscal year

Double click to open

Budget Detail Transaction ReportsIf you get stumped, call Fiscal Services at 520-2051 for help.

From the PeopleSoft Financials main menu choose:

Commitment Control/Review Budget Activities/Budget Reports/Budget Transaction Detail

Enter your Run Control IDThe following information must be entered to run the report:Business Unit = SD11Ledger Group = APPROPUser Budget Override Box must be UnclickedTransaction Type Option = ALLCommitment Control Date Option = ALLLedger Type Option = ALL

Enter the parameters of the report, including the budget year:Fund/Dept/SRE/Program/Account/Project/Budget Year

Click on SaveClick on RunClick the OK buttonGo to the Process Monitor linkWhen the report status is SUCCESS and POSTEDGo to the Detail linkGo to View Log/TraceClick on GL8005 .PDFThe report will open in Acrobat


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APPENDIX HColorado Springs School District 11

School and Student Activity (SSA) Account Fundraiser Approval and Reconciliation Report

Approval for the Activity or Fundraiser:School_________________________________________ Activity Facilitator/Sponsor________________________/_____

date

Name of Activity _________________________________ Opening Date _____________ Closing Date_______________

Purpose of Activity/Fundraiser_____________________

accounting procedures 09

Documents