Cash and Check Handling Policy

Purpose: The purpose of this policy is to establish consistent standards for the collection, safeguarding, and deposit of cash, checks, and other negotiable instruments received by PSU departments and student organizations. This policy ensures timely deposit of funds, promotes strong internal controls, and supports compliance with State Treasurer requirements.

Applies to: All PSU departments and recognized student organizations that collect cash, checks, or other forms of payment on behalf of the university.

Policy:

The Cashiers and Student Accounts Office is solely responsible for making all deposits to the State Treasurer. All PSU departments and student organizations must deposit collections with the Cashier’s Office using the approved deposit form.

Collections and Deposits

1. All checks, currency, and coin collected by departments must be deposited with the Cashiers Office daily. The Cashier’s Office closes its books each business day at 3:30 pm. Individual departments who receive payments must establish a daily internal cut-off time that allows adequate time to prepare the deposit and deliver it to the Cashier’s Office prior to 3:30 pm. Collections received after such cutoff time must be included in the next business day’s deposit. Departments and student organizations are responsible for maintaining adequate internal controls to safeguard funds prior to deposit. At a minimum, the following controls are required:
   1. Removal of funds from the cash register or money tray by the designated fund custodian.
   2. Placement of funds in a locked bank bag or locked metal container.
   3. Secure storage of the locked container in a safe, locked cabinet, or locked desk.
   4. Restricted access, limited only to the designated fund custodian.
2. If a PSU Department or student organization receives small amounts of payments irregularly, a daily deposit is still recommended but may not be practical. In these cases where adequate safekeeping facilities exist, receipts up to $25 may be held for up to five business days prior to depositing with the Cashiers Office.
3. Departments receiving check payments should request that checks be made payable to Pittsburg State University. The format of Pittsburg State University/(Department Name) is also allowable.  All checks must be restrictively endorsed immediately upon receipt. The recommended endorsement is:
   • FOR DEPOSIT ONLY
     PITTSBURG STATE UNIVERSITY
     (DEPARTMENT NAME)
4. Under no circumstances may employees or students make disbursement, purchases, or reimbursements directly from departmental or organizational cash receipts. All receipts must be deposited with the Cashier’s Office in full.

Compliance

All departments and student organizations are responsible for complying with this policy. Failure to adhere to this policy may result in:

1. Revocation of payment handling privileges.
2. Audit findings or compliance violations.
3. Additional administrative actions as appropriate.