IV:05:01 Procedures Pertaining to Cash Receipts and Deposits

All payments received on behalf of the University must be receipted, on official receipts, in the Business Office. All checks in payment of amounts due the University should be made payable to Middle Tennessee State University, or MTSU, and should be mailed directly to the Business Office by the maker when possible. All such checks should indicate the account or function to be credited.

All checks received on behalf of the University, not mailed directly to the Business Office, should be turned in to the Business Office promptly, accompanied by a "Checks for Deposit" form which can be obtained from the Business and Finance website. Checks should not be made payable to departments, department heads, or any university official or employee designated by name. If this occurs, the department is responsible for informing the payer to make future checks payable to Middle Tennessee State University. The back of each check should be stamped "For Deposit Only – Middle Tennessee State University, Department Name" upon acceptance.

For departments accepting credit card payments, a settlement statement showing the total payments processed for the day must accompany the deposit. These departments must comply with all requirements of the Payment Card Industry – Data Security Standards (PCI-DSS).

All receipts must be deposited intact. No expenditures may be made or checks cashed from cash receipts. No receipts may be retained within a department for departmental use.

No separate official or semi-official funds (other than official Petty Cash Funds) may be maintained in any department unless same has been reported to and approved by the Senior Vice President. Any such funds on hand should be transmitted to the Business Office with statement as to source, and designation of account to be credited.

I. RECORDING OF RECEIPTS

All departments or activities regularly receiving cash in their routine operations must record each transaction in an official university receipt book (available from the Business Office) or record the transaction on a cash register in the presence of the customer or payer. When the payment involves currency to be recorded in an official receipt book the original receipt must be delivered to the payer. A notation must be made on each receipt specifying whether payment was by check or cash and the purpose for which the money was collected. When necessary to void a receipt, the original must be retained and stapled to the copy.

Departments or activities which have only isolated instances of receipts and do not maintain a receipt book should not accept currency payments but should direct the payer to the Business Office for obtaining an official receipt. Checks which are received by such departments should be promptly transmitted to the Business Office accompanied by a "Checks for Deposit" form.

II. TRANSMITTAL AND DEPOSIT OF RECEIPTS FREQUENCY

Campus departments should deposit funds each day when $500 in funds has been accumulated. In all cases, a deposit must be made at least once each work week (Monday – Friday) if there are any funds to be deposited. The $500 is considered in excess of any established change fund amount.

The official university receipt book on which the receipts have been recorded must be transmitted with the receipt items. Business Office cashiers will verify the deposit and include departmental receipt numbers on the Business Office receipt. The original Business Office receipt will be given to the transmitting unit or department.

For departments recording sales revenue using a cash register system, the funds for deposit must be balanced against the cash registers' sales summary. The reconciliation between the funds collected and the recorded sales per the cash register must be presented to the Business Office cashiers at the time of the deposit. Any overages and shortages must be recorded.

III. SPECIAL JUNE 30 FISCAL YEAR CLOSING PROCEDURE

Under present University and State regulations, it is imperative that receipts of all University departments through the close of business on each June 30 (or the last business day of the fiscal year), be deposited by 2:00 p.m. on this day, in order that credit for these receipts may be reflected on the records for the proper fiscal year. Every effort should be made to get all departmental receipts receipted on June 30.

IV. CUSTODY AND SAFEKEEPING OF RECEIPTS

Department heads should see that proper safekeeping facilities are available and that proper safeguards are taken to protect official funds until transmitted to the Business Office. Currency should never be transmitted through the campus mail. Combinations to safes should be changed whenever employees having the combinations are terminated. Cash should not be left in cash registers overnight. If unusually large sums are on hand, arrangements should be made for use of the night depository procedure, or for a security officer to accompany the deposit.

All university personnel handling University funds should be advised of the proper actions to take in the event of a robbery. It is the university's position that no employee should endanger themselves or others by attempting to resist robbery. Generally, the instructions issued by persons attempting an armed robbery should be followed as precisely as possible. No more or less action than specified should be followed, particularly in the case of armed robbery. In the event that a robbery or theft of funds occurs, University Police and Audit and Consulting Services should be immediately notified.

V. CASH OVERAGE/SHORTAGE

In the event a shortage of funds of $500 or more occurs, the University Controller and Audit and Consulting Services must be notified immediately. A "Notification of Loss Report" must be completed and submitted to the Tennessee Board of Regents. All cash overages and shortages will be recorded to account code 74910 of the expenditure account of the department responsible for receiving the funds. Any cash overage/shortage must be reported on the related deposit transmittal.

Revisions: July 1, 1979; November 17, 1984; July 21, 2005; August 1, 2011; March 14, 2013.