Lancaster SD | AR 3452 Business and Noninstructional Operations
Student Activity Funds
The funds of the student organizations must be accounted for at the same level as those of all other funds of the school district in accordance with generally accepted accounting procedures. All expenditures should be made in accordance with an established system that includes sound internal control procedures, good accounting practices, and conforms to the regulations of the Board of Trustees.
Personnel Responsibility for Student Body Activities
1. The Board of Trustees adopts the rules, regulations, and general operating policies necessary to assure the proper supervision and control of the student body organization's activities. The Board is concerned with financial control. The responsibility must be delegated to those who recognize and employ good business methods and understand the importance of maintaining good accounting records and procedures.
2. The Assistant Superintendent of Business is the general supervisor over all the activities of a student body organization, and is a consultant in financial matters of all student body organizations. Further, he/she reviews the general financial structure of the organization and the financial control procedures prescribed.
3. The Business Office reviews the student body accounts, including budgets, financial statements, and minutes, and periodically audits the student body to ensure conformance to prescribed procedures.
4. The Principal is directly responsible, with veto power, for student body financial activities and their conformance with established policies and procedures.
5. The Faculty Advisor is a certificated employee who shall be appointed by the principal to supervise the activities of the student body association and work directly with the student council and student activities coordinator.
6. The Club Advisors for student body club and trust accounts shall assume responsibility for following prescribed procedures.
7. The Coordinated Program Specialist (CPS) or the School Secretary report to the principal of the school site and are responsible for maintaining proper financial records in accordance with established procedures.
Unorganized ASB (Elementary)
Under the supervision of the superintendent, the principal/school administrator is responsible for the activities at the school. In elementary (unorganized ASB) the students do not govern themselves, so the principal/school administrator is primarily responsible for all ASB activities.
Organized ASB - Student Council (Middle School)
The student council, as composed and designated by the student body constitution, is responsible for budget adoption, approval of expenditures, and authorization of fundraising activities. The student council shall keep minutes for each meeting. The minutes shall include details of proceedings, including financial matters pertaining to the budget, approval of fund-raising activities, and expenditure authorizations. A copy of the minutes must be sent to the CPS/School Secretary. The minutes might be organized as follows:
I. Introductory data
A. Location of meeting
B. Data and time of meeting
C. Attendance at meeting
1. Presiding officer
2. Members present
II. Report of business
A. Minutes of previous meeting
B. Activities of standing committee or special committee
D. Old business
E. New business
F. Authorization of payments
General Regulations for Student Body Activities
In order that student body activities may provide the highest type of practical training for students, all student body finances and operations shall be conducted with the highest standards of business ethics.
General and accounting procedures for the operation of the student body will be followed as detailed in the "Accounting Procedures for Student Organizations," School Business Administration Publication No.3 from the California Department of Education. Further, the ASB Accounting Manual, produced by the Fiscal Crisis Management and Assistant Team (FCMAT) is an excellent resource on the operation of all things related to ASB fund raising activities and duties and responsibilities of school clubs and ASB organizations.
In addition, the following procedures will be followed:
a. The funds raised by the student body are to be spent for the students, by the students. Student body funds must be used to promote and finance a program of activities beyond those normally provided by the Board. Student body funds shall in general be expended so as to benefit the students currently in school who have contributed in one way or another to the accumulation of such funds. Reserves in excess of $5,000 (Elementary) and $10,000 (Middle School) are discouraged.
b. All funds collected by the student body will be immediately receipted and deposited in the bank in a prompt and timely manner, preferably the next business day, but at least weekly. (Education Code 48933)
Any moneys that are not immediately deposited shall be secured in a locked safe in the school's office. Individual teachers, advisors, or clubs are not authorized to maintain separate bank accounts. District funds or funds from organizations other than student body are not to be co-mingled with student body accounts, except as properly receipted using approved computerized student accounting system, with "Due to District" as the clearing account. Those moneys, as well as any other moneys that are district funds, are to be sent in a timely manner, with appropriate back-up, to the district office accounting technician for deposit to district accounts.
c. Middle School student council meetings shall be held on a regular basis, according to the student body constitution, so as to provide for student approval of all activities, expenditures, and fund-raisers.
d. Club accounts for middle schools must have a positive balance in their accounts at all times. Only organized and approved clubs may operate under the middle school student body organization. The balance of any inactive club must be transferred to the general reserve of the student body fund. An inactive account is one that has had no activity generated by student body action within two years.
e. All checks must be pre-numbered, require two signatures and be written only after the proper procedures have been followed. All checks, receipt books, tickets, etc., are to be properly secured at all times.
f. Sources of Income - All money-making activities for school student bodies are to be identified as required by unorganized and organized ASBs. No teacher, advisor, coach, or group of students may take it upon themselves to initiate a fundraising activity. All events, gifts of money or materials must be approved by the principal, assistant superintendent of business, and school board. The following fundraising activities are allowable with the appropriate approval:
(1) Food sales
(2) Non-food sales
(5) Family nights
(6) Sporting events
(7) Crowdfunding - additional procedures
To initiate fundraising or crowdfunding activities, documentation and procedures are available through the business office.
g. Expenditure of Student Body Funds - The following are prohibited expenditures:
(1) Equipment, supplies, forms, and postage for curricular or classroom use or for district business
(2) Repairs and maintenance of district-owned equipment
(3) Salaries or supplies which are the responsibility of the district
(4) Articles for the personal use of district employees
(5) Gifts, loans, credit, workshop expenses, and accommodation for district employees or others
(6) Contributions to fundraising drives for charitable organizations
In addition, no expenditures shall be paid out of un-deposited receipts. Expenditures should be paid by check. If a cash payment is made, it must be accompanied by appropriate receipts and be recorded in such a way that the signature of the person receiving the money will provide an audit trail. No check should ever be signed in blank. Evidence supporting all expenditures must be kept on file. Properly approved invoices or receipts are required. Personal checks may not be cashed using student body funds. Verbal authorizations cannot be granted. Clubs wishing to spend student body funds should anticipate their needs far enough in advance to allow proper clearance of written authorization.
h. Field trips that are taken during the regular school day are considered to be a part of, or a supplement to, the district curriculum. If students who participate in the excursion make a donation to be applied towards the cost of the trip, those moneys are deposited into the student body account and are used for the field trip. Field trip reservations should be made far enough in advance to allow for a purchase order to be processed, as no teacher should be personally handling the collection and payment for field trips.
i. An inventory listing should be maintained for student store merchandise, PE uniforms, sweats, or any other items that may be kept on hand throughout the school year. At the end of the school year, a physical inventory must be made for accountability.
j. Prior to the end of the school year, the 8th grade class shall determine how to dispose of the balance in their account. The student body is not allowed to hold funds in an alumni account for class reunions, as the purpose of student body funds is for the use of students currently enrolled in school. Any balance that may be remaining after determination is made, shall be closed out to the student body reserve.
2. Employees and Independent Contractors
a. Because the student body fund is controlled by the Board, the school district is the employer, not the student body organization. Individuals hired to perform work for the student body organization will be hired by the district following procedures set forth by the Personnel Department. Student body funds will reimburse the district for all costs associated with the individual's employment (salary and fringe).
b. When non-employees are used, the student body will submit a completed W-9 form and Personal Services Contract to accounts payable at the district office for district-wide preparation of 1099 forms. Accounts payable will issue the warrant for payment and student body will reimburse the district.
All contracts will be reviewed and approved by the Assistant Superintendent of Business, and signed by the principal. Contracts may not be for a period of more than one year.
Prior approval is required by the Assistant Superintendent of Business for purchases of equipment over $500. Any purchases over $500.00 will be donated to the district for purposes of insurance and inventory. The donated equipment will remain for the exclusive use of the student body. Equipment received via crowdfunding becomes the property of the site unless written permission is given by the administrator and approved by the Assistant Superintendent of Business Services.
The student body will submit financial reports each month to the business office. Twice a year, reports will be submitted to the Board of Trustees for approval.
All associated student body from school sites shall be audited spring of each year by the district business office. (Education Code 41020) The audit shall include:
* Review of all necessary forms
* Reconciliation of deposits
* Reconciliation of expenditures
7. Donations to Student Body
Donations of money directly to the student body will be deposited in the bank account of the student body and will be expended following all of the normal rules and regulations for student bodies. Notification of the donation, whether monetary or equipment/supplies, will be submitted to the district office.
Regulation LANCASTER SCHOOL DISTRICT
approved: June 5, 2018 Lancaster, California