Chapter 6120
.020 Establishment of a Change Fund
.040 Restoration of Change Funds
.060 Questions
ATTACHMENTS
.100 Application to Establish Change Fund form DA-74
110 Change Fund Procedures and Receipt Form.
.120 Reconciliation of Change Fund and Receipts
.130 Record of Cash "Long or "Short" form DA-76
.140 Agency Purchase Order Voucher
The procedures and conditions under which change funds (to be maintained in the form of cash) may be established are defined in K.S.A. 75-3078, which requires all change funds be established from the University Imprest Fund. Any University department which needs a change fund is to make application through the University Controller's Office as explained in .020 Establishment of a Change Fund. No change funds are to be established by withholding receipts. All receipts are to be deposited each business day.
The use of change funds as defined in K.S.A. 75-3078 is limited "exclusively for the making of change in receiving amounts due the State" and expressly prohibits advances for any purpose from the change fund. Change funds are not to be used for "check-cashing or loan purposes or for a petty cash fund".
.020 Establishment of a Change Fund
A University department which needs a change fund is to make application to the State of Kansas Director of Accounts and Reports through the University Controller's Office by submitting a completed Application to Establish Change Fund form DA-74 in triplicate. The Controller's Office will submit the form to the Director of Accounts and Reports. Upon approval by the Director of Accounts and Reports, the amount approved will be withdrawn by check from the University Imprest Fund bank account and used to establish the authorized change fund. This is the only method to establish a change fund.
When receiving the change fund, the department head will need to sign the Change Fund Procedures and Receipt Form. Any time there is a change in the custodian, alternate custodian, supervising employee or department head an updated Application to Establish Change Fund form DA-74 is required to be submitted to the Controller's Office in triplicate for approval from the Director of Accounts and Reports.
The Change Fund cash is to be maintained by the designated custodian (General Accounting) and/or the designated alternate for use in making change. The change fund is to be counted at least daily and a record maintained of all cash "long" or "short" transactions. The Reconciliation of Change Fund and Receipts form is to be used for the daily reconciliation of the change fund. The Record of Cash "Long or "Short" form DA-76 is to be updated each time the change fund balance increases or decreases due to a cash "long" or "short". All monies received are to be deposited no later than the following business day and may not be withheld for use as a change fund or to offset a shortage.
Cash shorts reduce the amount of the change fund on hand until the shortage is restored. If you have cash long, you can either carry the "Cash Long" condition to offset any possible future or past shortages or you may deposit the "Cash Long" amount into a departmental account with the designation of the amount of "Cash Long". Generally minor longs or shortages adjust the operating amount of the change fund until restored or the end of the year when longs are required to be deposited. As of June 30 each year, if you have a "Cash Long" condition, you must deposit the long amount in order to bring your Change Fund back to its authorized amount. All shortages must be restored at the end of the fiscal year if not before. See Section .040 Restoration of Change Funds
.040 Restoration of Change Funds
The change fund is to be restored
Attach three copies of each Reconciliation of Change Fund and Record of Cash "Long or "Short" form DA-76 to an APV (Agency Payment Voucher) payable from the departments' budget allotment or appropriate fee fund to restore the fund to its authorized amount. A sample Agency Payment Voucher is available on line for your reference.
Upon receipt of the APV with forms DA-75 and DA-76, a state warrant will be issued to "Change Fund #___ Cashier" and forwarded to restore the fund to its authorized amount. The custodian or the alternate will properly endorse the warrant, cash it at the Cashier's Office (Room A212) and place the cash in the change fund, thereby restoring the change fund to its authorized amount.
Departments needing a change fund for a limited period of time, such as during the sale of tickets for a University activity, are to request in writing a temporary change fund from the Controller's Office. The letter is to specify the type of receipts to be collected, the dates the change fund will be needed, the name of the person authorized to receive the change fund from University cashier and the denominations and quantity of each coin and currency required.
.060 Questions
All questions regarding change funds are to be referred to Controller's Office, General Accounting, telephone number (785)532-6202.
