Cash Handling Procedure Statement

Indiana State University’s cash handling procedures require each area receiving cash to be approved by the Associate Vice President for Financial Services division located in the Office of the Controller, and to be verified as an authorized cash collection site. A cash collection site is defined as a department which handles cash on a regular basis. While there are departments or entities with collections of cash that are not recognized as official cash collection sites (e.g., agencies), they must follow the same cash handling procedures that apply to the cash collection sites. All cash collection sites that accept payment of any type, (cash, check, VISA/MasterCard/Discover, etc.) must comply with the guidelines and procedures issued by the Associate Vice President for Financial Services division.

All computer, tablets, and phone peripheral devices will not be used to store, process or transmit credit card information without appropriate approval from the Associate Vice President for Financial Services.  This prohibition applies to University departments and affiliated units such as centers.  This prohibition also includes student organizations affiliated with Indiana State University.  Prohibited technologies or software include but are not limited to card swipe devices, card readers, or NFC (Near Field Communication) devices.  Indiana State University prohibits the use of PayPal to accept online payments.  Any online payments must be processed through Payment Card Industry approved software that is validated by the PCI compliance team at ISU.  All online payment vendors must be approved by the Associate Vice President for Financial Services division located in the Office of the Controller.  In addition, cash apps such as Venmo, Cash App, Zelle Chime, Apple Pay, Google Pay, etc., are prohibited from being used to accept payments.

Basic procedures required for cash collection sites follow.

• Perform a daily cash count of funds
• Funds include: cash, checks, money orders, Visa/MasterCard/Discover, etc.
• Acceptance of Visa/MasterCard/Discover for payment requires pre-approval by the Associate Vice President for Financial Services division of the Office of the Controller. No other credit card types may be accepted.
• Credit card receipts must total the batch total from the credit card machine.
• Checks must be restrictively endorsed immediately upon receipt; all checks must be endorsed prior to being transported. (Please include an index and account number on all checks.)
• Provide sequential numbered receipts for each cash transaction (cash register receipt or hand written receipt) to customer; one copy must be included with the deposit and one copy must be kept with the department/agency files for audit purposes.
• Provide for supervisor approval of identified voided transactions and include in the reconciliation.
• Provide for adequate separation of duties.
• Provide a secure locking location for handling of cash inclusive of locked storage capability.
• Complete daily deposits and deliver the deposit to the Account Analyst area in the Office of the Controller or deposit safely into the locked Office of the Controller Depository drop box within one business day.
  • Deposits should be transported in a secure locked bag.
  • If a key is needed for the drop box, please contact the University Bursar.
• Departmental Checking Accounts are not permitted
• Document any discrepancies (short or long) on deposit form.
• Immediately report any balancing discrepancies in the amount of $50.00 or more, to the Fiscal Operations Director.
• Reconcile the deposit to your BANNER financial account at least weekly to ensure that your deposit was accurately recorded.
• The Bursar Office Account Analysts will notify the originating department of any deposit difference so that they can adjust their records accordingly.  The department is allowed the opportunity to come to the Controller's Office to confirm/reconcile the difference.
• Notify the Fiscal Operations Director of changes in personnel that are associated with your cash handling activities.
• The personal use of cash from the fund is prohibited in all circumstances.

Please note that detailed requirements can be found in the Indiana State University Cash Collection Site Procedural Requirements document maintained in the Associate Vice President for Financial Services division of the Office of the Controller.

Who Should Know These Procedures?

Any university employee entrusted with the responsibility of receipt, deposit and/or reconciliation of cash for university related activities.

Responsibilities

A department or agency that desires the privilege of becoming a cash collection site must submit a written request asking for authority to be established as a new cash collection site. Each department must abide by the Indiana State University Cash Collection Site Procedural Requirements provided which addresses cash handling responsibilities. Each cash collection site is responsible for the reconciliation of all deposits. For departments who wish to take payments via credit card, written requests must be approved by the Associate Vice President for Financial Services division of the Office of the Controller. All processing equipment* will be obtained by the Associate Vice President for Financial Services division at the requesting department’s expense. VISA, MasterCard, and Discover are the only authorized credit cards accepted by Indiana State University. Departments that obtain the processing equipment accept the responsibility of ensuring the safeguarding of all sensitive information.  

*Processing equipment includes credit card readers/printers and point of sale terminals. In addition, any cash register system that is used to process any payment made to the university, should be brought to the attention of the Associate Vice President for Financial Services division of the Office of the Controller and the Office of Information Technology prior to purchase commitment.

Review and Approval of cash collections sites

Review and approval of new cash collection sites are conducted by the Associate Vice President for Financial Services division of the Office of the Controller.

Periodic reviews of cash collection sites will be conducted by the Office of Internal Audit and the State Board of Accounts. Departments not complying with approved procedures may lose the right to function as a cash collection site. Requests to become a cash collection site should be submitted as indicated below.

Associate Vice President for Financial Services Division
Contact Information

Office of the Controller Account Analyst Area
Fiscal Operations Director, or
University Bursar
812-237-3535