| Fiscal Operations Policy & Procedures Manual |
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As a State of Oregon entity, Oregon State University falls under rules of the Oregon State Treasury. Proceeds from any activity sponsored by OSU, evidenced in part by the use of OSU letterhead, and/or using state resources such as employee time and effort, state facilities, state vehicles, etc. are deemed to be State of Oregon revenue and must be deposited into an OSU fund.
Departments receiving checks are responsible for their safekeeping and timely deposit. Departments should do the following:
See:
FIS 1401-01: Deposits
Business Affairs' Cash Handing
Manual
Oregon State
Treasury's Cash Management Manual FASOM 01.21C in compliance with ORS
279.261(1)
FIS Ex003-17: External Receipts Account Code Guidance
Deposits to OSU Foundation (OSUF) and Agriculture Research Foundation (ARF) are restricted to true gifts or proceeds from fund raising events in which the donor intends that the gift go to the foundation(s). All checks made out to OSU must be deposited at OSU. Deposits from OSU Foundation to OSU must be recorded in specified funds (FSxxxx, FExxxx, 438xxx, 8xxxxx or 9xxxxx). Deposits from ARF to OSU must be recorded in FAxxxx funds. When a check is written to OSU, but there is evidence from the donor that the intent was to gift the dollars to the OSUF or ARF, contact the intended foundation. There are procedures in place within Business Affairs to move the dollars from OSU to OSUF or ARF in these cases. For further information see the Grant, Contract, Gift Accounting Policy & Procedure Manual.
Each institution within OUS has authority to establish fees charged to non-students for services and goods provided by the institution’s departments and units (including Experiment Stations and Extension Offices).
At OSU each winter term, the Office of Budgets and Planning collects information from all OSU departments and units that intend to provide a service and charge a fee in the following fiscal year. A compendium of these fees entitled the University External Fee Book, is made available to the public for review per ORS Chapter 183. A public hearing is held on the OSU campus each year in May during which interested parties have an opportunity to comment upon all submissions to the fee book.
At OSU, most of the service activity which charges fees externally occur in Designated Operations 05XXXX funds.
For more information about fees charged to non-students, refer to:
FIS 1401-02: Sales of
Goods and Services
FIS 1401-03: University Fees
FIS 1403-01: Recharge Activities
FIS 1403-03: Designated Operations
Reference: OAR 580-040-0010 for more information on the Oregon Administrative Rule granting the right to charge fees.
Each department should establish an invoice numbering system that identifies the department and the INDEX for the deposit. All outgoing invoices from OSU should contain both the unique departmental invoice number and the applicable index.
Payments to OSU for services rendered or costs incurred must be treated as income (i.e. payment from a grass seed producer for OSU seed testing services). Account codes to use are in the series 06XXX.
Income for workshops for OSU credit (registered students) should be deposited using 01703 account code in an 001xxx fund. Non-credit workshop income should be deposited using account code 06410 in an 05xxx fund.
Funds are received at the university in one of six ways in this category.
The Surplus Property Unit within Business Services handles sales of surplus furniture, equipment, and supplies. External revenue comes in the form of proceeds from sales to the general public through public auctions, OSUsed Stores, and contact bids held on campus in the Property Services Building. Revenue also comes from sales to state government agencies, local governments, and qualified non-profit organizations that are registered with the Department of Administrative Services in Salem.
Surplus Property takes a portion of the proceeds for their services, and the remainder of the proceeds is forwarded to the owning departments or agencies with which OSU has inter-governmental agreements. All payments to outside agencies take place at the end of each month during the month-end closing process. Checks for outside agencies are processed through Accounts Payable.
Refundable deposits include deposits for Horse Center space rental, rental units of the Agricultural Experiment Stations, and Facilities Services key deposit.
Deposits should not show as revenue. The amount received should be posted to the Fund and Account B4xxx. This is a liability account that shows the money does not belong to the University. This account code does not have to be at a zero balance at the end of the fiscal year.
When refunding a deposit, charge the same Fund and Acct B4xxx. If the complete amount is not refunded, a JV will need to be completed to move the unreturned amount into revenue (i.e. 06993 Deposits).
Outside entities may reimburse the campus, pay a service provider directly, or reimburse an employee for travel expenses related to OUS business.If the service provider is paid directly, or if reimbursement is made to an employee, documentation should be maintained in the campus travel records. Documentation should include the traveler's name, identity of the outside source, travel destination, travel dates and OUS business purpose. If reimbursement is made to the campus, it should be accounted for as a reduction of expense.The cash receipt record attached to the check/payment must indicate the Banner document number and account code of the original cost being reimbursed.
To reimburse the university when the traveler is paid directly by an outside entity, the traveler must deposit the check in his/her account and then write a check payable to Oregon State University. When depositing this check at OSU, the original source of the funds should be indicated on the OSU deposit slip.
Any OUS business travel expenses that will subsequently be paid by an outside source (such as a conference organization) should be originally paid using general (E&G) funds. These costs should not be placed on grants or contracts, because an awarding agency could be invoiced for the costs in error. Both the original expenses and payment by an outside source must reside on the same E&G funded index. If the cost is inadvertently paid on grant funds, the cost must be removed to an E&G fund source.
An Agency Fund, with an associated Index, may be established for the purpose of processing income and expenses connected with university recognition events where the participants/attendees of the event are required to pay for the benefit received (such as a meal). Examples of such events would be retirement dinners and scholarship recipient recognition luncheons. The fund can not be used for departmental social functions or fundraising activities.
The Agency fund can be established for a college or an administrative unit. Funds will not be established for a department or individual event. The FOAPAL Element Request Form must contain the following: the responsible person with their phone number, the funding source in the event of a deficit (the funding source can not be university funds), and how any remaining balance is to be disbursed, if the fund is inactive for five(5) years. Per OUS policy, if the fund is inactive for five (5) years, the balance will be sent to the State Land Board and the fund terminated.
The fund must maintain a $0 or positive cash balance and is not interest bearing. Deficits can be covered by personal funds and OSU Foundation or Agricultural Research Foundation funds (if allowed per foundation policies). Only those costs allowed by Oregon State University or OUS System policy may be paid on these funds. The unit is responsible for obtaining all approvals through Risk Management necessary for the event. See: http://risk.oregonstate.edu/event/
Payments to the fund should be in cash or with checks payable to Oregon State University. Income should be processed as Account Code 08001 Miscellaneous Other Revenues. Generally, costs should be paid with Account Code 28613 Public Relations.
For further information about Agency funds see: FIS 513.
In unusual circumstances, an OSU employee may be asked to provide cash handling duties for a third party. OSU cash handling standards apply in these circumstances and every effort should be made to provide employees who are acting as cashiers with protection from risk.
Prior to engaging in cash handling for a third party review the procedures below with the third party to ensure that they can comply.
Prior to the event, record the starting balance of the fund. The starting fund in the cash box should be counted in dual custody to verify the initial amount of the fund. Document the starting balance on a voucher, log, or tally sheet which both parties sign and date to acknowledge that the count was completed and both people are in agreement on the starting amount of the fund.
During the event, record each transaction that affects the change fund. This log should be complete and accurate so as to provide the detail required to balance and reconcile the change fund at the end of the event.
At the end of the event, complete a count of the ending change fund in dual custody with a representative of the third party. Document the ending balance on the voucher, log, or tally sheet used for the starting balance and have both parties sign and date to acknowledge that the count was completed and both are in agreement on the ending amount of the fund.
Once the dual custody count of the ending cash fund is completed, the funds in the locked cash box can be transferred back to the third party. If the cash and cash equivalents cannot be immediately handed over to the third party, the cash box should be secured in a locking cabinet, office, etc. Be aware this requires a second dual custody count at the point when the funds are handed over. This must be done so both parties again agree on the balance of fund at the point of transfer.
Both the OSU employee and the third party should receive full copies of all documentation.
For additional information see the Cash Handling Handbook.
The University or an individual department may need to engage a third party to assist in the processing and management of cash, cash equivalents, credit cards, and ACH transactions. Third parties may provide:
Relying on third parties to process University cash, cash equivalents, credit/debit card, and ACH transactions requires extreme care in the selection and ongoing management of such third parties. Accordingly, the following polices are necessary to safeguard University assets:
For additional information see the Cash Handling Handbook
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