State of North Carolina

East Carolina University

Cash Management Plan

Statutory Policy

North Carolina law, Chapter 147-86.10 of the General Statutes, requires that "all agencies, institutions, departments, bureaus, boards, commissions and officers of the State...shall devise techniques and procedures for the receipt, deposit and disbursement of moneys coming into their control and custody which are designed to maximize interest-bearing investment of cash and to minimize idle and nonproductive cash balances."

Plan Administration

The Cash Operations Manager, Cash Management Accountant, and University Cashier, under the direction of the Financial Manager for Accounting Services, are responsible for developing, revising, and implementing the University’s plan to carry out Cash Management Policies.  The departments primarily responsible for cash management are Student Accounts and University Receivables, Sponsored Research, Grants and Contracts, and Financial Services; however, all department cash management activities must abide by the plan.

Plan Requirements

Cash Management is divided into three areas:  control of receipt, management of disbursements, and investment of funds on deposit.

Investment of Funds on Deposit:

All idle funds are invested daily with the State Treasurer in the STIF account.

State of North Carolina
Office of the State Controller
Delegation of Disbursing Authority

Within the provisions of General Statute 143-3.2 the North Carolina Office of the State Controller (OSC) does herewith delegate the authority to make disbursements through a disbursing account established with the State Treasurer to East Carolina University in accordance with the following terms and conditions:

1. The term of this delegated authority shall be from December 10, 2004 until notice in writing to the Agency Head from the State Controller that the delegated authority to disburse funds through a disbursing account is revoked or one of the parties to the agreement changes.

2. The agency shall use disbursing account(s) assigned by the State Treasurer to make all disbursements.

3. The agency shall designate individual(s) to submit requisition(s) into the Cash Management Control System for deposit of funds into disbursing accounts.

4. The agency shall requisition for deposit into the disbursing account an amount equal to each corresponding check run, and will not release warrants which have been written prior to notification from the OSC that requisition for funds has been approved.

5. The agency shall assure that the disbursing account balance at all times is zero or more, and at no time has an overdraft.

6. The agency assumes the responsibility for reconciling the disbursing account in accordance with guidelines issued by the State Treasurer.

7. In addition to the preceding terms and conditions the agency also acknowledges and agrees to:

1. Implement adequate internal controls over disbursements;
2. Adhere to agency's approved cash management policy;
3. Comply with rules set forth in the State Budget Manual;
4. Pre-audit all vouchers presented for payment to determine:

• legality of disbursement
• validity & accuracy of payment
• payment due date
• adequacy of documentation supporting payment;
4. Assure adequate control of signature stamps/plates;
5. Assure adequate control of negotiable instruments;
6. Correct major audit findings of the State Auditor.
7. Adhere to scheduled financial closeouts monthly and annually.

8. Any change in any accounting system or subsystem of the State agency, as defined in G.S. 147-64.4(4), must receive prior approval by the Office of the State Controller.

9. The privileges associated with this delegation may be revoked if the terms and conditions in this agreement are not met.

On behalf of the above named agency, I (we) accept the responsibility of the delegated disbursing authority and agree to the terms and conditions set forth above:
 

The above named agency is herewith granted disbursing authority in accordance with the terms and conditions set forth in this Delegation of Disbursing Authority.