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Approved and Adopted by the Board of Commissioners: December 16, 2025 Otsego County Cash Management Policy All departments and component units of Otsego County may collect money either occasionally or on a regular basis. The departments and component units will all bring their cash receipts into the Treasurer’s Office as frequently as necessary in order to comply with this policy. When cash is received from a customer (for various fees, delinquent taxes, etc.) and a receipt is required, the department or component unit will enter the cash receipt information into its subsidiary computer system and generate the receipt document for the customer at the time the cash is received. On a daily basis, a cash receipts transmittal document will be prepared by each department or component unit. If possible, a report shall be included from the department’s subsidiary database with a breakdown of each receipt. The cash and checks on the transmittal must be totaled, and that total must agree to the cash receipts entered into the subsidiary computer system of the department or component unit. If the amounts do not agree, all differences must be investigated and corrected before the transmittal is submitted to the Treasurer’s Office. Once the department or component unit is satisfied the cash receipts transmittal document is correct, the transmittal and subsidiary report, along with the cash and checks, shall be brought to the Treasurer’s Office for entry into the BS&A system. ANY CASH RECEIPTS THAT ARE RECEIVED BY THE TREASURER’S OFFICE LATER THAN 1:00 PM WILL NOT BE RECORDED INTO BS&A OR DEPOSITED INTO THE BANK UNTIL THE FOLLOWING BUSINESS DAY, WITH THE EXCEPTION OF THE LAST DAY OF THE MONTH. The Treasurer’s Office will enter the cash receipt into BS&A and generate a receipt for the department or component unit immediately. All payments for delinquent taxes will be entered into the BS&A delinquent tax system immediately. A receipt is generated for the customer at that time. The person in the Treasurer’s Office who has received the cash and any supporting documentation will scan and attach it in CR or delinquent tax. Each person in the Treasurer’s Office will balance their drawer daily. The end of day sheet must match the reports printed from BS&A, which must also match their cash/checks. Each person will fill out their own deposit slip and give their reports to the employee responsible for balancing that day for review and final office balancing. The employee must match up the amounts from all individual reports with the BS&A system for the day, check all of the receipts in the BS&A ---PAGE BREAK--- Approved and Adopted by the Board of Commissioners: December 16, 2025 system to make sure that the attachments are listed and legible then journalize and post all receipts. A deposit slip is prepared for the bank. Rotating employees from the Treasurer’s Office will take the cash to the bank on a daily basis. On a basis, the Treasurer will reconcile cash balances to the bank statements. Any discrepancies are to be investigated and resolved immediately. * A subsidiary computer system is defined as any computer system outside of BS&A. Note that the Land Use Services/Building and Zoning as well as the Clerk’s Office does not have a subsidiary computer system and will enter all cash receipts into BS&A directly. All other steps of the above cash receipts/revenue accounting policy apply to this department. PHYSICAL SECURITY It is the policy of Otsego County that no department, component unit, or the Treasurer’s Office will maintain cash or checks which total more than $2,500.00 for more than one business day (24 hours, excluding weekends) before being deposited into the proper bank account. It is the policy of Otsego County that all cash received by a department, component unit or the Treasurer’s Office will be kept under lock and key until deposited into the proper bank account. BANK ACCOUNT MANAGEMENT All bank accounts must be in the name of Otsego County and established using the County’s EIN. The Treasurer, Chief Deputy Treasurer, Clerk and Chief Deputy Clerk will be the primary signers on each account. Two signatures are required on all checks. The opening or closing of bank accounts must be initiated by the Treasurer. All general-purpose cash of Otsego County is deposited into the general bank account. Restricted funds are maintained in a separate account and not available for use for general Otsego County Operations. Any funds not needed immediately for operations are invested in accordance with the Otsego County Investment policy by the Otsego County Treasurer. On a yearly basis, the County Treasurer will evaluate all banks the County will do business with. BANK RECONCILIATIONS all bank accounts are reconciled between the bank and the BS&A software. Reconciliations are prepared by the Chief Deputy Treasurer or the Deputy Treasurer and agreed to the Treasurer’s cash proof. Reconciliations are to be completed by the 20th of each ---PAGE BREAK--- Approved and Adopted by the Board of Commissioners: December 16, 2025 month. Any differences will be researched and corrected as soon as possible. Reconciliations must be signed off by the Treasurer and finalized within BS&A at the end of the year. • Daily Reconciliations by the Chief Deputy Treasurer or Deputy Treasurer: o Confirm that all cash deposits are prepared and sent to the bank by the Treasurer’s Office. o Confirm that all debit entries were processed for the day and agree with the transactions that were processed through the banks. o The Treasurer will review and sign that the deposits have been verified. All of the bank reconciliations are available for review in the Treasurer’s Office by members of the Board of Commissioners. PETTY CASH Petty cash is available for departments to have on hand for incidental purchases of services and supply items, as well as making change for services provided, which meet all the following general criteria: • Other forms of payment are not possible. • Proof of detailed receipt is required. • The item is considered essential to the operation of the department. • The supply item is not carried in the stockroom. • The item does not require prior approval of the County Board. • The item is allowable under the purchasing policy. *If a department is unable to make change for a customer, the customer or department staff shall be directed to the Treasurer’s Office. Expenses disallowed: • Cash loans to employees or making change for employees. • Purchasing items at a reduced rate or resale to employees. • Cashing of paychecks, personal checks, government checks, travelers checks or money orders. • Expenses such as: gifts, flowers, greeting cards, coffee, food items such as snacks, donuts, beverages and lunches. • Payment for items that are to be purchased through the purchasing system. • Payments to independent contractors or consultants. • Payments to employees for services, awards or bonuses. Replenishment of petty cash must be obtained through a voucher submitted to AP for reimbursement. The voucher must be supported by original detailed receipts for all transactions. If the Finance Director determines that an inappropriate payment was made, petty cash privilege’s may be revoked. ---PAGE BREAK--- Approved and Adopted by the Board of Commissioners: December 16, 2025 Petty cash must be kept in a secure, locked location at all times and may be reviewed by the County Treasurer at any time, with a required audit at the end of the year. A department may request an increase in petty cash from the County Board of Commissioners. Sufficient proof of need is required. ACCOUNTS PAYABLE Check requests are to be entered by each department with the proper invoice and submitted to the finance department for payment. Once the finance department creates the checks, the paperwork is sent to the Treasurer’s Office for the bank transfer and prepare the bank for positive pay, process the ACH file and schedule EFT payments. No electronic payments will be made outside of the scheduled run unless approved by the Otsego County Treasurer first.