HomeMy WebLinkAboutPetty Cash Policy ExcerptSection 15:Altered Currency
Altering currency is done by taking a genuine bill and tearing off a corner or two of a small bill such as a SI or $5
and then replacing these comers with the comers of a larger bill such as a S10,$20 or $50 bill.The original larger
denomination bill is still redeemed as full value as mutilated money with one or more comers missing.The
Treasurer's Office recommends as a standard practice counting currency by looking at the face of the bill,not at the
denomination in the corners.
Section 16:Petty Cash
For the purpose of this policy,petty cash includes change funds,till accounts,revolving funds,advanced travel,
and any money or other funds set aside for such specific purpose as minor disbursements,making change,or
similar use.If petty cash is disbursed,it may be restored to its beginning balance twice monthly by a warrant
drawn and charged to the appropriate budget account.The amount of the warrant should always be equal to the
amount of the disbursements.
1)The Board of County Commissioners must authorize the establishment of each petty cash account by
resolution,submitted to the Board by the County Auditor's Office.Likewise,subsequent increases or
decreases in the appropriate account.
2)A custodian of the account shall be appointed,and should not be connected with the processing of
invoices,check signing,general account,or cash receipt functions within the department .
3)The custodian shall assure the petty cash is kept in a safe and secure location at all times.
4)It is the responsibility of each department to assure that their petty cash account is periodically reconciled
by personnel other than the custodian of the account.The County Auditor,or his/her designee,shall
perform monthly audits of each department’s petty cash accounts.
5)The imprest amount shall be established by issuing a warrant.When established by warrant,the
transaction is a non-budget item.
6)The authorized amount of all petty cash must be accounted for on the County's balance sheet.
7)If petty cash is disbursed,it must be replenished a minimum of one time per month.This action is subject
to the same review and approval process as invoices.The replenishment of the petty cash account must be
vouchered with the appropriate original receipts attached.These receipts must include:
a.Date
b.Amount
c.Recipient
d.Purpose of each disbursement
8)Receipts must be signed by the person receiving funds.Receipts should be perforated,or canceled by
some other means to prevent reuse.At the time of replenishment,the custodian must insure the balance
remaining in the petty cash fund,together with the replenishment voucher,equals the authorized imprest
account.
9)The amount of petty cash held by each department should not exceed one month's salary or surety bond
covering the account custodian.
10)The petty cash account may NOT be used to reimburse an employee from these funds,regardless of the
situation.
11 )The petty cash account may NOT be used for personal cash advances,regardless of the situation.
12)Petty cash accounts should always be replenished to their original levels at the end of each fiscal year.
This will insure all expenses are reflected in the proper accounting period.
13)When an individual's appointment as custodian has ended,the fund must be replenished to its original
balance and the imprest amount turned over to the disbursing officer.The County Auditor must then be
notified of the change in custodian,and his/her designee will be responsible for performing an audit.
Section 17 :Non-Countv Money
Monetary Gifts:Any monetary gifts to the County received by a County Official,employee,or agent from a
known benefactor.
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