ATHLETIC ACCOUNTING MANUAL

Transcription

1 ATHLETIC ACCOUNTING MANUAL

2 Part 1 - General Table of Contents Purpose... 1 Objectives of the Accounting Manual... 2 Introduction to the Accounting Manual... 3 Revision of the Accounting Manual... 4 Part II - Use of Athletic Program Funds Athletic Accounts Description... 5 Revenue, Expenditures and Start-up Money... 6 Purchasing Requirements... 7 Part III - Accounting Procedures, Records and Reports Summary of Responsibility... 8 Cash Receipts Procedures... 9 Purchasing and Cash Disbursements Procedures Month End Procedures and Reports Forms Cash Settlement Sheet Start Up Funds Report Revenue Summary Report Revenue Reconciliation Report Request for Quotation i-

3 PART I - GENERAL

4 PURPOSE The purpose of this Accounting Policies and Procedures Manual is to document the flow of transactions in the Athletic Account. This manual formalizes the rules and regulations of the Armstrong School District Board of Directors in accordance with the Commonwealth of Pennsylvania Public School Code. It is also essential to document the accounting system in order to facilitate a transition in the event of employee illness or turnover. The accounting policies and procedures set forth are effective as of June 8, 2015 Revised: -1-

5 OBJECTIVES OF THE ACCOUNTING POLICIES AND PROCEDURES MANUAL This Athletic Accounting Policies and Procedures Manual represents the rules and regulations adopted by the Board of School Directors to provide policies and procedures to the Secretary, the Student Activities Coordinator, Principal and applicable staff. This manual is designed to provide a complete accounting record system to assure consistency, completeness, and continuity in the recording and financial reporting of Athletic Account transactions. The accounting system has been designed to: 1. Establish uniformity of practices and procedures. 2. Reduce or eliminate the misunderstanding of established procedures. 3. Assure financial operations are properly conducted. 4. Assure monthly reports are properly prepared and presented. 5. Provide a reference source on required and recommended accounting procedures. 6. Serve as a training tool for new employees. 7. Record all financial transactions. 8. Establish and maintain internal controls to ensure effectiveness and efficient operations, reliability of financial information and compliance with laws and regulations. 9. Maintain appropriate budgetary control. The accounting system described herein has been developed in accordance with the following assumptions: 1. A double entry accounting software program will be used to record financial data in both detail and summary form. 2. The accounts will be established in accordance with the Manual of Accounting and Related Financial Procedures for Pennsylvania School Systems as required by the Pennsylvania Department of Education. As such, the Athletic Account is a Special Revenue Fund of the District. 3. The accounting records will be maintained on the modified accrual basis of accounting and the flow of current financial resources measurement focus. These assumptions are consistent with Generally Accepted Accounting Principles (GAAP) for governmental entities. The Commonwealth of Pennsylvania Public School Code, Armstrong School District Revised Policy/Regulation Manual, Governmental Accounting Standards Board (GASB) Pronouncements, and the Codification of Governmental Accounting and Financial Reporting Standards were used as references in developing this accounting policies and procedures manual. -2-

6 INTRODUCTION TO THE ACCOUNTING POLICIES AND PROCEDURES MANUAL Proper accounting and internal control procedures are vital to all organizations. The American Institute of Certified Public Accountants has defined proper accounting control as the plan of organization and methods and procedures adopted by management to ensure that: 1. Resource use is consistent with laws, regulations, and policies. 2. Resources are safeguarded against waste, loss, and misuse. 3. Reliable data are obtained, maintained, and fairly disclosed in reports. Consequently, this accounting and procedures manual has been designed to provide reasonable assurance that: 1. Transactions are executed in accordance with management s general or specific authorization. 2. Transactions are recorded as necessary to permit preparation of monthly reports, maintain accountability of assets, and maintain proper budgetary control. 3. Access to assets is permitted only in accordance with management s authorization and is restricted to those individuals authorized by management. -3-

7 REVISION OF THIS ACCOUNTING POLICIES AND PROCEDURES MANUAL This accounting manual is an essential tool that should be used by the Secretary, the Student Activities Coordinator, Principal, and applicable staff and business office personnel. Through this manual, the Board of School Directors adopts the accounting policies and procedures for the Athletic Account. Accordingly, the Armstrong Board of School Directors is ultimately responsible for prescribing and adopting the policies and procedures for the Athletic Account and all subsequent amendments and revisions thereto. It should be recognized that established procedures are subject to changes due to organizational changes or new directives from the State or Administration. In any event, this manual should be updated periodically to reflect current procedures as prescribed by management. The Superintendent, Director of Business Affairs, and Principal shall be involved in identifying areas where policies should be clearly defined and developed and shall make appropriate recommendations to the Board. -4-

8 PART II - USE OF ATHLETIC PROGRAM FUNDS

9 ATHLETIC ACCOUNT DESCRIPTION The District has established an Athletic Account to account for student athletic activities and programs. All gate receipts from District athletic contests and events should be deposited into this Account, as well as revenue for season ticket passes and athletic participation fees. The Athletic Activities are partially funded by transfers from the General Fund. -5-

10 REVENUE, EXPENDITURES AND START-UP MONEY Revenue and Receipts Revenue includes gate receipts from athletic contests or events, athletic participation fees, and contributions from the General Fund in support of the Athletic Account. Non revenue receipts, such as an advance from the General Fund, are recorded in the appropriate balance sheet accounts of the fund. Athletic Account revenues are recorded when they are both measurable and available. Available means collectible within the current period or soon thereafter to be used to pay liabilities of the current period. Expenditures and Disbursements Athletic Account expenses are recognized when the related liability is incurred. Expenses include items such as; game officials, travel costs, supplies, repairs and maintenance and other miscellaneous items. All disbursements for Athletic Account expenses should be made by check. No disbursements should be made in cash directly from gate receipts. Start-Up Money Money used for change should not be borrowed from a petty cash fund. Financial records must reflect the withdrawal of money to be used for change and its return. -6-

11 PURCHASING REQUIREMENTS All materials and supplies (excluding perishable food supplies) purchased that will cost in excess of $10,500 must follow the procedures as described in Board Policy #611 Purchases Subject to Bid / Quotation. All quotations are required to be recorded on a Request for Quotation form. If three (3) quotations cannot be obtained, the reason why must be documented on this form. The individual receiving the quotations must sign this form. The Director of Business Affairs must review and initial the form before the item is purchased. This form must be attached to a Purchase Order. All materials and supplies that will cost in excess of $19,500 must follow the procedures as described in Board Policy #611 Purchases Subject to Bid / Quotation. Purchases may only be made upon issuing an approved Purchase Order to the desired vendor in advance of receiving any materials and supplies. -7-

12 PART III - ACCOUNTING PROCEDURES, RECORDS AND REPORTS

13 SUMMARY OF RESPONSIBILITY Board of School Directors Adopts policies and procedures for Athletic programs in accordance with the Commonwealth of Pennsylvania Public School Code. Superintendent Recommends to the Board of School Directors all policy changes and issues appropriate rules and regulations. Director of Business Affairs Identifies areas where policies should be clearly defined and makes appropriate recommendations to the Superintendent and Board of School Directors. Principal Is responsible for oversight of the Athletic accounting records and reports. This person will be responsible to sign and approve all activities of the Athletic Account. Assistant Business Manager Is responsible for monitoring the Athletic Account accounting records and reports. This includes the performance of internal audits. Secretary/Student Activities Coordinator Is responsible for the daily operations of the Athletic Account. This individual is also responsible for signing all checks and issuing W-9s to game officials. -8-

14 CASH RECEIPTS PROCEDURES Controlling athletic event receipts is the most important step in the Athletic s accounting process. All money collected from any source should be substantiated by renumbered tickets, deposit slip receipts and other records which can be used to verify amounts collected. However, the use of prenumbered tickets, deposit slip receipts and other documents does not provide control in and of itself. A system of procedure must be established which controls ticket numbers and other documents before and after sales are made and money is collected. The following procedures must be followed to assure maximum internal controls over cash receipts: Receiving and Depositing Cash Receipts The following procedures must be followed for receiving and depositing cash receipts: Game Receipts The Athletic Director distributes tickets and start-up money to the ticket sellers. The Ticket Sellers acknowledge receipt of the start-up funds via the Start-Up Funds Report and sell tickets in exchange for cash. After the athletic event has taken place, the Ticket Sellers return the unused tickets to the Athletic Director, who submits the final ticket numbers to the Secretary/Student Activities Coordinator. The Athletic Director will complete a deposit slip and place the total money collected (including start-up funds), along with the completed deposit slip in a locked bank bag at the end of the game. The Athletic Director deposits all of the locked bank bags in the bank s night depository. The Secretary/Student Activities Coordinator completes the Revenue Summary Report based on the number of tickets sold and records data into the double entry accounting system. The completed Revenue Summary Report is to be filed and made available for the annual audit. Other Receipts Other receipts, such as miscellaneous fees, should be recorded in the double entry accounting system. -9-

15 PURCHASING AND CASH DISBURSEMENTS PROCEDURES Purchasing The Secretary/Student Activities Coordinator is responsible for initiating the purchasing of necessary supplies for the Athletic Account. All materials and supplies purchased that will cost in excess of $10,500 must follow the Purchasing Requirements documented in this manual on page #9. All other purchases may only be made upon issuing an approved purchase order to the desired vendor in advance of receiving any materials or supplies. The Director of Business Affairs must approve all purchase orders prior to issuance. Cash Disbursements Upon receipt of merchandise, the receiving copy of the purchase order is initialed and forwarded, along with any related shipping papers, to the Business Office. Invoices should support disbursements, which are verified. Each invoice should be compared with the related purchase order, verified for prices, extensions and totals, and checked to determine that extra charges such as freight and sales tax were not included. All disbursements should be made by check and signed by the appropriate parties. The purchase order, receiving copy and original invoice shall be matched and filed alphabetically, by vendor. Payments made from the Athletic Account should have approved back-up documents attached. This can include approved invoices and the payment of game officials. No payment to game officials can be made without the proper IRS Form W-9 on file with the District. -10-

16 MONTH END PROCEDURES AND REPORTS The Secretary/Student Activities Coordinator will prepare a monthly Athletic Account Report which will include the following: Summary of monthly and year-to-date detail revenue and expenditures. Reconciliation of beginning and ending account balances. The Business Coordinator will forward a copy of the monthly Athletic Account Report to the Business Office. The Athletic accounting records are subject to annual audits. Some of these audits are mandated by the state and/or federal regulations. Others may be requested or undertaken to determine compliance with laws and regulations or to identify areas to improve operations. -11-

17 ARMSTRONG SCHOOL DISTRICT ATHLETICS Deposit Description Currency: Checks: 1's Check #: Amount: 5's 10's 20's 50's 100's Total Currency: 0.00 Coins: Pennies Nickels Dimes Quarters Halves Total Coins 0.00 Total Deposit 0.00 Total Checks $0.00 Deposit Prepared By: For Account # -12-

18 ARMSTRONG SCHOOL DISTRICT ATHLETIC ACCOUNT START UP FUNDS REPORT - ATHLETIC EVENTS Date: Seller: Sport: Seller #: Opponent: Gate: Cash Box #: Amount of Start up Funds Received: $ Denominations: $ Verification Signature of Receipt: Seller -13-

19 ARMSTRONG HIGH SCHOOL REVENUE SUMMARY REPORT DATE: SPORT: OPPONENT: NORTH GATE SELLER #1 START # ENDING # TOTAL # PRICE TOTAL $ ADULT TICKETS X = STUDENT TICKETS X = GENERAL TICKETS X = SELLER #2 START # ENDING # TOTAL # PRICE TOTAL $ ADULT TICKETS X = STUDENT TICKETS X = GENERAL TICKETS X = NORTH GATE TOTAL EAST GATE SELLER #1 START # ENDING # TOTAL # PRICE TOTAL $ ADULT TICKETS X = STUDENT TICKETS X = GENERAL TICKETS X = SELLER #2 START # ENDING # TOTAL # PRICE TOTAL $ ADULT TICKETS X = STUDENT TICKETS X = GENERAL TICKETS X = EAST GATE TOTAL TOTAL ADULT TICKETS X = TOTAL STUDENT TICKETS X = TOTAL GAME REVENUE $ VERIFICATION SIGNATURE -14-

20 ARMSTRONG SCHOOL DISTRICT ATHLETIC DEPARTMENT REVENUE RECONCILIATION REPORT SEASON DATE: ADULT TICKET SALES FOOTBALL $4.00 EACH X = BOYS/GIRLS BASKETBALL WRESTLING $4.00 EACH X = STUDENT TICKET SALES FOOTBALL $3.00 EACH X = BOYS/GIRLS BASKETBALL WRESTLING FIELD HOCKEY (NIGHT) BOYS/GIRLS SOCCER(NIGHT) BOYS/GIRLS LACROSSE(NIGHT) $3.00 EACH X $3.00 EACH X = = THANKSGIVING $5.00 EACH X = TOTAL GAME REVENUE = CASH OVER (UNDER) = = START-UP FUNDS DEPOSITED TOTAL DEPOSIT = $ STARTUP FUNDS TO BE DEPOSITED IN ACCT. Verification Signature -15-

21 ARMSTRONG SCHOOL DISTRICT REQUEST FOR QUOTATION Building Name: Date: ITEM # QUANTITY DESCRIPTION NET COST $ $ $ Quotation due date: Delivery due date: Prices firm until: Terms: Vendor Name Address Shipping & Handling $ TOTAL QUOTATION* $ $ Phone Signature of Requisitioner Signature of Student Activities Coordinator/Secretary Signature of Principal -16-