Rocklin Unified Associated Student

Body

Presented by:Toni Edgerton

Raise money for STUDENT activities

Allows students to participate in co- and extra-curricular activities

Learning good business practices

Purpose of an ASB

Organized◦ Middle and High Schools◦ Students make decisions about

Fundraisers Expenditures

◦ Advisors and School Principals Provide assistance and guidance

Types of ASB

Unorganized

◦ Elementary◦ Adult Ed, ROP, Continuation◦ Principals or Advisors make decisions◦ Limited student decision making

Types of ASB

State of California

◦ Legislature writes laws

◦ CDE Develops policy regarding legislation

◦ State relies on district governing boards to enforce laws

Who is involved?

Governing Board ◦ Ultimately responsible for everything in the district◦ Must approve formation of ASB

(E.C. Section 48930) Superintendent

◦ Ensures board policy implemented ◦ Communicates

Board policy importance Problems identified in audit

◦ Investigates allegations of misappropriations immediately

Who is involved?

Business Office Staff◦ General oversight◦ Resource to site staff◦ Provides training◦ Site visits◦ Review reconciled bank statements monthly◦ Report account activity summary annually◦ Work with staff to resolve audit findings

Who is involved?

Elementary Principal – Unorganized ASB

◦ Decision & Operations Reviews and approves monthly reconciliations Number of fundraisers each year How funds will be spent Monitor results of activities

◦ Ensure laws and board polices are followed◦ Works with business office◦ Reports fraud, abuse or theft to the district office

immediately

Who is involved?

Secondary Principal – Organized ASB◦ Communicates and enforces policies and

processes.◦ Appoints club advisors

Advisors must be a certificated employee

◦ Supervision ASB Bookkeeper ASB Advisors

◦ Validation of expenditures◦ Works with district business office ◦ Reports fraud, abuse or theft to the district office

immediately

Who is involved?

ASB Bookkeeper or Designee◦ ASB funds

Safeguarded at school site Have a secure place – limited access Timely deposits with bank

◦ Maintains adequate financial records ◦ Reconciles bank account EACH MONTH

Who is involved?

Student Council ◦ Organized ASB

Oversees student clubs Authorizes fund-raising events Adopts annual budget Approves expenses from student funds

◦ Primary authority◦ Represents ALL Students

Who is involved?

Independent Auditors

◦ Annual financial review

◦ Reports any audit findings in annual audit report

◦ Identifies problems or weakness

◦ Assists with fraud investigation

Who is involved?

Food Service Department

◦ Resources to ensure compliance with food regulations (wellness policy)

◦ Non-competitive sales

◦ Build partnerships

Who is involved?

Not legally part of school district

Not included with annual audit

Separate tax ID

Funds not controlled by students or principal

Booster Clubs, PTC’s, PTA’s, Foundations

Who is NOT involved? Why NOT?

Form the organization

◦ Establish the bank account Board and District office approval required Authorized signatures

◦ Select an accounting system Can be manual or computerized

◦ Implement internal controls

Operations of an ASB

Organized only◦ Formal Application◦ Constitution◦ Bylaws◦ Establish budget◦ Maintain meeting minutes

Operations of an ASB

Approval Required◦ School Board◦ District Office

Use district federal tax ID number◦ Any external accounts using the district tax ID

must be monitored by the school’s administrator and submitted to the district office for review

The title must be in the name of the ASB organization◦ Example: Antelope Creek Student Fund

Establishing the bank account

Only used by the ASB ◦ No other activities should run through this

account

Must have 2 signers◦ Must be district employees◦ Must NOT be the person reconciling the account

Establishing the bank account

Segregating duties

◦ Those who initiate or authorize transactions◦ Those who execute the transaction◦ Those responsible for the item resulting from the

transaction

Internal controls

Collection and deposit of money ◦ Collector (Teachers/Advisors) of funds has a

reconciliation of monies received Cash Collection document Numbered tickets Cash register or receipt book

◦ Gives cash or checks to ASB Bookkeeper or Designee Bookkeeper does a second count of money Deposits in a timely manner 2-3 days

Never leave money at a school over the weekend or holidays Credits proper club or sub-account Creates deposit receipt; gives copy to teacher or advisor

Reports any discrepancies

Internal Controls- Cash Receipts

Do NOT allow:◦ Teachers to deposit funds collected into personal

accounts◦ Teachers to collect funds without prior approval

Principals, advisors, bookkeepers should already be aware of the activity or reason to collect funds

Do NOT co-mingle funds with external accounts (PTC accounts)◦ Revenue and Expenses should be accounted for

within the same account

Internal Controls – Cash Receipts

Example: Tony Crane If you deposit ticket sales for the event in the ASB account, payment of expenses must come from the ASB account. If you choose to use the PTC account, then deposits and expenses should occur within the PTC account.

ASB or PTC’s can do the accounting function for Tony Crane, or other event’s, as long as the above guidelines are followed.

Internal Controls

Paid by ASB

Independent Contractor◦ Disk jockey◦ Photographer◦ Entertainer (Tony Crane)

Fills out W9 prior to working

Income reported on 1099 annually

ASB Consultants

Follows the calendar year

Report to the district office prior to winter break

Cumulative total for ASB expenses paid to any consultant

1099 Reporting

Do NOT comingle district funds with student funds◦ Any student fees received for curricular activities

should not be deposited into the ASB account. These fees should be accounted for by the district office. All expenses should be paid from the district accounts not the ASB account.

◦ These include: Elective class fees, home economics, construction

technology, art Library fines Textbook fines

Internal Controls

FEESAppropriate for ASB Account Not Appropriate for ASB

Account

Field Trips

Admission to after school activities

◦ Dance◦ Performances◦ Athletic Event

Lost text books

Lost Library books

Damage to school property

Materials for fabrication of item student is keeping (must not exclude any student) for classes that occur during the regular school day

Approval of fundraising events◦ Ed. Code 48932 allows the board to authorize

fundraising◦ District Board Policy 3452 requires Principal to annually

submit a list of fundraising events to Superintendent or designee.

Things to consider◦ Educational experience◦ Voluntary◦ Frequency/schedule◦ Student Safety◦ Allowable by insurance company

Fundraising

Allowable Fundraisers

◦ Athletic events

◦ Concession sales

◦ Entertainment and dances

Fundraising

Unallowable Fundraisers◦ By Law

Raffles/games of chance◦ Insurance coverage due to risk

Mechanical or animal rides Darts, arrows or other weapons Objects thrown at people

Pie toss Dunk tanks Destruction of objects Trampolines Rental of district property

Fundraising

Must be board approved

Not appropriate for deposit into ASB accounts and should be sent to the district office◦ Examples:

United Auburn Indian Grants Wells Fargo Matching Gift Program Target giving

Gifts, Grants and Donations

Must promote the students general welfare, morale, and education experience

Must be outside of what the school district should provide from their general funding sources

Expenses

ExpensesALLOWABLE UNALLOWABLE

Field trips/excursions Extra curricular

athletic costs Student store

products Social events Entertainment costs Class parties

Faculty meeting costs PTC costs Gifts given to any

individual ◦ Gift cards or cash◦ Flowers◦ Candy

Gifts to a needy family Donations to

organizations

Per recent audit, bank statements must be opened, reviewed, initialed and dated by Principal prior to reconciliation.

Must be accurate

After reconciliation send copies of the bank statement, ledger and bank reconciliation cover sheet to district office.

Any needed accounting adjustments must be made in the current month’s account records.

Monthly Procedures

Deposit all receipts Pay all outstanding bills for goods and

services received May require contacting vendors for outstanding bills

Post all transactions for the school year Reconcile bank statements Finish up year end accounting in August

when you return

Year End Procedures

Principal is responsible employee for ASB Procedures developed for employee

protection Safe cash handling Legal and appropriate expenditures Accurate record keeping Timely reconciliations Business office review Prevent audit findings

Summary of ASB

Resources

Online help desk◦ http://www.fcmat.org/stories/storyReader$1132#a

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