HomeMy WebLinkAboutB06.0 Petty Cash Maintenance and Use �'l3llRl�ll `Y 111CJ-
1' E A S
CITY OF GRAPEVINE ADMINISTRATIVE POLICY
SUBJECT: PETTY CASH SECTION: B NUMBER: 6.0
MAINTENANCE AND USE
PREPARED BY: Administrative Services REVISED DATE: 01/01/2013
PAGE: 1 of 4
PURPOSE
6.1 The purpose of the Petty Cash Maintenance and Use policy is to set forth the
regulations governing the safekeeping and use of cash entrusted to departments to be
used for purchases under $100. The City's objectives are to ensure:
6.1.1 Departments have the convenience of small amounts of cash for
emergency purchases.
6.1.2 Cash is used in a responsible manner.
6.1.3 Funds and custodians of the funds are properly safeguarded.
POLICY
6.2 PETTY CASH MAINTENANCE AND USE OF FUNDS:
6.2.1 A listing of all petty cash funds will be maintained in the accounting office in
the Finance and the Utility Billing Divisions. This listing will include the
department location, custodian and the amount of the petty cash fund.
6.2.2 Should it become necessary to change the departmental location, custodian
or amount of the petty cash fund, the Department Director should submit a
written request to Finance explaining the type of changes required to
update the petty cash records.
6.2.3 Requests to increase existing petty cash fund amounts must be
accompanied by a check request and a written memo to the Controller
explaining the reason(s) for increasing the petty cash fund amount.
6.2.4 Should it become necessary to change the petty cash custodian, the
Department Director should notify the Controller and request that an audit
of the petty cash fund be performed prior to transferring the petty cash fund
to the new custodian. The audit will be conducted by either Finance or the
Utility Billing Division.
�'l3llRl�ll `Y 111CJ-
1' E A S
CITY OF GRAPEVINE ADMINISTRATIVE POLICY
SUBJECT: PETTY CASH SECTION: B NUMBER: 6.0
MAINTENANCE AND USE
PREPARED BY: Administrative Services REVISED DATE: 01/01/2013
PAGE: 2 of 4
6.2.5 Each petty cash fund must have one custodian responsible for the
disbursement of petty cash. In the absence of the custodian, the
Department Director should designate an employee to be acting custodian.
6.2.6 Each petty cash fund should have a set amount of funds to be accounted
for. The Utility Billing Division will not process a request of fund
reimbursement for cash if the request exceeds the established amount of
the petty cash fund.
6.2.7 The petty cash fund is to be reconciled on a bi-weekly basis by the petty
cash custodian.
6.2.8 The petty cash custodian should process a reimbursement request at the
end of the month to replenish their petty cash fund if the expenses exceed
$30. The reimbursement request for petty cash is to be processed with
enough lead time to prevent the remaining petty cash funds from being
depleted prior to the issuance of the reimbursement. The petty cash
custodian is responsible for any undocumented or invalid reimbursements
they have processed and paid.
6.2.9 A petty cash slip must be completed to support all disbursements of cash
from the petty cash fund. The petty cash slip must be completed in its
entirety by the Department Director or authorized representative before the
custodian disburses cash from the petty cash fund.
6.2.10 All petty cash slips must be signed by the employee when the petty cash
slip is submitted to the petty cash custodian and cash is actually received.
6.2.11 Every effort should be made by the employee not to pay sales tax.
Employees can obtain a tax exempt card from the Finance Division.
6.2.12 The Department Director or authorized representative must approve
reimbursement for purchases made by the petty cash custodian. The petty
cash custodian must sign for petty cash in the presence of the Department
Director.
6.2.13 Loans to employees or I.O.U.'s by employees from the petty cash fund are
strictly prohibited.
�'l3llRl�ll `Y 111CJ-
1' E A S
CITY OF GRAPEVINE ADMINISTRATIVE POLICY
SUBJECT: PETTY CASH SECTION: B NUMBER: 6.0
MAINTENANCE AND USE
PREPARED BY: Administrative Services REVISED DATE: 01/01/2013
PAGE: 3 of 4
6.2.14 Cashing personal checks for any City employee from the petty cash fund
are strictly prohibited.
6.2.15A petty cash reconciliation reimbursement request form must be completed
requesting reimbursement of petty cash. The form is located on the
following drive: Citywide on `Csl\Data'(R)\Petty Cash. Complete the form
on-line for auto calculation purposes. Instructions on how to complete the
form are within the same folder.
6.2.16 The Department Director and the petty cash custodian must sign the
reimbursement form. Requests to reimburse petty cash will not be
processed by Utility Billing Division if this form is not signed by both
parties. All receipts and petty cash slips should be placed in a clasp
envelope and attached to the reimbursement request.
6.2.17 Custodian will need to allow ample time for the Utility Billing Division to
review the request before the disbursement of funds to replenish their petty
cash will occur.
6.2.18 Petty cash funds are to be maintained in a locked cash box. The cash box
is to be locked at all times except for the disbursement of petty cash. The
petty cash custodian and the Department Director or authorized
representatives are the only persons to maintain or have access to the
keys of the cash box. The keys to the cash box are to be properly secured
at all times to prevent access by unauthorized persons.
6.2.19 The petty cash custodian and the Department Director or authorized
representatives are the only persons to maintain and have access to the
secured area where the cash box is stored. The keys to the secured area
are to be properly secured at all times to prevent access by unauthorized
persons.
6.2.20 Expenditures for purchases made from petty cash are not to exceed $100.
Purchases which exceed $100. Will be processed by check request or
through the normal purchasing function depending on the amount of the
purchase.
CITY OF GRAPEVINE ADMINISTRATIVE POLICY
SUBJECT: PETTY CASH SECTION. B NUMBER: 6.0
MAINTENANCE AND USE
PREPARED BY: Administrative Services REVISED DATE: 01/01/2013
PAGE: 4 of 4
6.2.21 Expenses incurred within the Metroplex pertaining to travel or training,
including use of personal vehicle, parking, meals, etc. may be reimbursed
from petty cash if such expenditures do not exceed the $100. limit and are
allowed by the travel policy. No advances for these types of expenses will
be made from petty cash funds.