FILE:  DJEH

PAYMENT PROCEDURES

CASH DISBURSEMENTS AND KEEPING VENDOR FILES

Paying obligations of the St. John the Baptist Parish School Board and keeping payment information is a vital component of the business operations of the School Board.  The School Board's policy on cash disbursements shall insure a system of proper checks and balances, that all disbursements are supported by adequate documentation, and that all vendors are paid in a timely manner.  The goal of the School Board is to have an invoice paid within thirty (30) days from the date it is received.
 

AUTHORIZATION FOR INPUTTING AND WRITING CHECKS

1. The following positions shall be authorized to receive passwords that allow data inputting for cash disbursements:

    

   Executive Director of Finance - all funds

   Purchasing Agent - all funds

   Accounts Payable Clerk - General Fund only

    

   Designated bookkeepers for the three (3) following Special Revenue Funds:

    

   Title I Bookkeeper - Title I only

   Head Start Bookkeeper - Head Start only

   School Food Services - School Food Services only

2. The following positions shall be the ONLY positions authorized to receive passwords that allow for the actual writing of checks:

    

   Executive Director of Finance - all funds

   Purchasing Agent - all funds

   Accounts Payable Clerk - Title I, Head Start, and Title I checks only

    

3. To have a proper system of checks and balances the following internal controls shall be in effect:
   
   The Accounts Payable Clerk shall write the checks (via computer) for Title I, Head Start, and School Food Services.  These Special Revenue Fund Bookkeepers shall present an error free non-update run ensuring that all cash disbursement procedures have been followed to the Accounts Payable Clerk for processing.
   
   The Purchasing Agent or Executive Director of Finance shall authorize the Accounts Payable Clerk to run and prepare all General Fund checks.

PREPARING CASH DISBURSEMENTS AND KEEPING VENDOR RECORDS.

There are two (2) general types of accounts payable payments: 1) Board Approved Vendor Payments and 2) Non-Board Approved Vendor Payments. Board approved vendor payments consist of utility payments, employee payroll deductions, benefit payments, and payments to vendors specifically approved by the Board.  Non-Board Approved Vendor Payments consist of all other payments not included in Board Approved Vendor Payments.

Procedures to Pay Board Approved Vendor Payments

1. Documentation is presented to the various funds for payments. The following documentation is required for payments to be made: (the documentation shall be returned to sender if not met)

2. The clerk responsible for data entry (see authorization above) shall enter the data for payment, including entering each individual invoice number. This is mandatory as the accounting system will flag any potential duplicate payments.
    

3. The clerk shall give the error free check register with all appropriate documentation to the supervisor:
   
   General Fund - Purchasing Agent
   Title I - Title I Supervisor
   Head Start - Head Start Supervisor
   School Food Services - School Food Services Supervisor.
   
   The Supervisor shall review for errors and initial the error-free computer generated check register.

4. The check register with all documentation should be initialed by the Fund Supervisor, the Purchasing Agent, and the Executive Director of Finance.
    

5. After Step 3, the accounts payable checks shall be immediately processed and checks mailed using the following procedures:
   
   General Fund/Construction Fund Authorized by Purchasing Agent or Executive Director of Finance
   
   Title I - Accounts Payable Clerk
   Head Start - Accounts Payable Clerk
   School Food Services - Accounts Payable Clerk
    

6. The initialed check register with the administrator’s signatures shall be forwarded to the Superintendent’s office for signature by the Superintendent and Board President or Vice-President.
    

7. The signed batches shall be kept together in a combined ledger by fiscal year.
    

Procedures to Pay Non-Board Approved Vendor Payments

The procedures to pay Non-Board Approved Vendor Payments shall be the same as Board Approved payment except Step 5. Step 5 will require BOTH the Superintendent and/or the Board President or Vice President to initial the check register before the payment can be made.

Security and Vendor Record Keeping

After the account payable checks are written it is important that accurate vendor records are maintained and secured. The procedures for record keeping and retention are as follows:
 

1. The supervisor of the fund is responsible for keeping vendor records.
    

2. Copies of checks with all proper documentation for all disbursements shall be filed by vendor and by fiscal year. This documentation shall be locked in a filing cabinet with Supervisor holding the only key.
    

3. The School Board shall maintain all vendor records for three (3) years.
    

4. No supervisor or clerk shall surrender actual or photo copy of any vendor record without approval from the Superintendent. Employees who violate this policy shall be subject to disciplinary action.
    

5. If a request for vendor records is approved by the Superintendent, the clerk with custody of the records shall log what records are copied or given out and log when those records are returned. This log shall be kept in the individual vendor file and become part of each vendor file.

INFORMATION NEEDED TO WRITE CHECKS

Vendor number - This can be obtained from the approved vendor list, the purchasing department, or your purchase order.
 

• Account number - This is where the disbursement will be charged. It should be obtained from the purchase order, written on invoice, or from the Supervisor.
   

• Bank number - see Business Manager
   

• Fund Number - see Business Manager
   

• Beginning check number - This would be the next available check number.

Revised:  October, 2006

Recoded:  December 2, 2010

Ref:     Board minutes, 3-16-06, 8-17-06, 12-2-10

St. John the Baptist Parish School Board