01.01 The purpose of this UPPS is to establish
university policy for the Texas State Club Accounting System (an On-campus
Banking Service) for non-University Funds consistent with the Regents' Rules,
Chapter VI, Sections 6.2 and 6.43.
01.02 Use of the club accounting system is
restricted to the following organizations, as defined in the student
organization handbook:
a.
Chartered Student Organizations (see Attachment I)
b.
Registered Student Organizations (include Sports Clubs and Residence
Hall Councils) must renew their registrations annually with the Campus Activities
and Student Organizations office.
01.03 Club accounts will use only the full name of
the club rather than acronyms. This is to assure that clubs are adequately
identified.
02.01
Texas State clubs accounts are optional for most student organizations.
However, certain student organizations are required to utilize the Texas State
Club Accounting System, as follows:
a.
Chartered organizations must utilize the
club accounting system to account for their non-university funds.
b.
Sports clubs must utilize the club
accounting system to account for their non-university funds.
c.
Residence hall councils must utilize the
club accounting system through the Residence Hall Association (RHA) to account
for their non-university funds. Off-campus banks may not be used by residence
hall councils or the RHA.
02.02 An organization may not commingle university
and non-university funds in either a club account or a university account. A
club account may not accept funds donated or transferred from a university
account.
02.03 A registered student organization may use
university funds to support its activities if these funds are expended from
appropriate university operating accounts. However, the University prohibits
reimbursing club accounts from department accounts.
02.04 University departments may purchase goods or
services from clubs. To obtain payment
from a university account to a club account, the club must have a tax payer
identification number and must complete a W-9 and vendor maintenance form (http://www.txstate.edu/gao/fimd/forms.html). Chartered organizations (Attachment I) are
entitled to use the University tax payer identification number.
02.05 Student organizations other than those
referenced in Section 02.01 may obtain banking services at various financial
institutions off-campus. Refer to the Texas State Student Organization Handbook
for guidance on fiscal responsibilities. In accordance with UPPS No. 01.04.10, clubs are not authorized to use
"Texas State", "Texas State University-San Marcos", or
"Bobcats" in their name when establishing bank accounts off-campus.
02.06 Advisors to registered student organizations
that do not have their accounts and financial records kept by the University
shall not have control, including check writing authority, of the bank accounts
or financial records of such organizations (per TSUS Regents' Rules, Chapter
VI, Section 6.2).
03.01
The responsibilities of the officers and advisors of each club or organization
using the Club Accounting System include:
a. Completing club signature card (see Attachment II) to establish a club account with the
Student Business Services Office.
b. Making deposits to the club account during
regular business hours.
c. Depositing club funds with Student Business Services
within three working days of receipt.
d. Collecting all returned checks. The
University will charge a club account for the amount of the check and the University's
NSF check fee.
e. Completing the "Request for Club Account
Pay-Out" form (Attachment III) required for all checks issued from
the club account and determining the propriety of the expenditures. Allow
forty-eight hours (excluding the day the request is submitted) to complete
check requests. The University will mail checks to the address provided on the
“Request for Club Account Pay-Out” form.
f. Upon request, providing proof of eligibility
for utilizing the club accounting system.
g. Reviewing and reconciling the club account
monthly to assure the accuracy of balances.
h. Maintaining adequate records to assure that
all receipts and expenditures are properly documented.
i. Establishing adequate segregation of duties
so as to minimize the possible loss of club funds due to misappropriation. For
example, different club members should perform the following duties: receipting,
depositing, and reconciling account balances. A club member who reconciles
account balances should not authorize expenditures.
03.02
The responsibilities of the Student Business Services Office include:
a. Verifying that the club or organization is
eligible to use the club accounting system, issuing a receipt for monies
received for club deposits, and assigning an account number.
b. Verifying the availability of funds prior to
issuing checks and issuing checks within forty-eight hours of receipt of the
request (excluding the day the request is submitted).
c. Reconciling total club account balances on
deposit monthly. This does not include reconciliation with the club's records.
d. Distributing monthly statements for all club
accounts with activity during the previous twenty-four months.
04.01 Expenditures from an organization's club
account require written authorization of both the advisor and an officer of the
organization, in accordance with TSUS rules and regulations, Section VI, 6.43. The
University is not responsible for determining the validity or appropriateness
of club account expenditures.
04.02 Requests for payments to any of the persons
with signature authority require signatures of two authorized officials (other
than the payee).
04.03 Advisors should not expend their own personal
funds on behalf of the club and ask for reimbursement from the club account.
04.04 Wage or salary payments are prohibited from
club accounts. Clubs should not engage in employer/employee relationships.
04.05 Payments may be made from club accounts for
the services of consultants (such as referees). However, the clubs are
responsible for required tax filings (such as 1099's and 1096's).
04.06 Capital equipment purchases from on-campus
club accounts are prohibited. "Capital" items are those costing in
excess of $5,000 each.
05.01 An organization’s representatives may make
deposits at the Student Business Services Office during regular business hours.
Deposits may include cash, checks, travelers’ checks, cashiers’ checks or
certified checks.
06.01 The University does not pay interest on a club
account, since the cost of operating and maintaining the club accounting system
usually exceeds the interest income. Student Business Services will use club
account interest to defray a portion of those costs.
07.01 University will consider as abandoned club
accounts that are inactive for twenty-four consecutive months. Student Business
Services will make a reasonable attempt to notify the last known officer or
advisor of the organizations to determine appropriate disposition of the funds.
If the University cannot locate these persons it will close the inactive accounts
and deposit funds to the University’s miscellaneous income account.
08.01 Club accounts are accounted for, in total, as
agency funds on the General Ledger of the University. At fiscal year-end, the
total of all club accounts is updated for financial reporting purposes.
08.02 Accounting records of individual transactions
are maintained via a subsidiary ledger.
08.03 Student Business Services is not responsible
for the preparation of financial statements (balance sheets and income
statements) for individual club accounts.
9.01 Club officers and advisors are responsible
for assuring that donations are appropriately documented for tax reporting by
the donor and for Texas State purposes. They should consult with Student
Affairs and University Advancement and refer to the Texas State Student
Organization Handbook. The University will not issue gift receipts for donations
to a club account. Donations must be made to a university account.
10.01 Reviewers of this UPPS include the following:
Position Date
Treasurer May
1 E5Y
Director,
Student Business Services May 1 E5Y
Associate
Director, LBJ Student Center May 1 E5Y
This
UPPS has been approved by the following individuals in their official
capacities, and represents Texas State policy and procedure from the date of
this document until superseded.
Treasurer,
senior reviewer of this UPPS
Vice
President for Finance and Support Services
President