Employee Handling A Student Organization's Funds
|Oversight Unit:||CONTROLLERS OFFICE|
|This policy has a related guideline. Click to view the guideline below.|
The purpose of this policy is to provide the employee handling of student organization’s funds.
All Faculty and Staff
There are presently two distinct situations where an employee may be involved with or asked to handle money of student groups:
1. STUDENT ORGANIZATIONS WITH A UNIVERSITY ACCOUNT
Certain groups are budgeted annually and funded through the student activity fee. These organizations use the University's Financial Accounting System (9-fund account). A staff member serves as advisor and FRS account director, and his/her signature is needed to authorize disbursements. Established University policies and procedures are followed.
2. STUDENT ORGANIZATIONS INDEPENDENT OF THE UNIVERSITY ACCOUNTING SYSTEM
Most groups (fraternities and sororities; service, social and sports clubs; residence hall organizations; etc.) are financed by their own dues, membership fees, money raising projects, etc. They may occasionally receive activity fee money for special projects as approved and disbursed by the Student Finance Committee. These organizations sometimes have University employees acting as advisors or handling money.
A treasurer should be elected from the organization. A University employee is not to handle the group's finances as a part of assigned job duties unless proper approval is obtained from the Vice President for Finance and Administration. Suggested cash handling procedures are available in the Student Activities Office, and should be provided to the officers of each organization.
Cash Handling Guideline
The following represents best practices and is meant to be a guideline for advisors and student organizations. It was last updated in September 2015.
Controlling Money in a Student Organization – Best Practices
Student Organizations open bank accounts to support their need to store, control, and spend organization money. Note that NMU faculty/staff/employees are NOT allowed to have access to the student organization funds. This means that the faculty/staff/employee advisors MAY NOT be signers to any bank accounts.
The following are best practices for ensuring that student organization funds are secure: