Integrated CSU Administrative Manual

CSU POLICY

--INACTIVE HISTORICAL POLICY--

Section:  GENERAL ACCOUNTING

Section 3000 Policies

Policy Number:  3102.06

Policy Title: Returned Items

Policy Effective Date: April 1, 2011

Last Revision Date:  
(see revision history)

POLICY OBJECTIVE

It is the policy of the CSU that each campus must establish written procedure to process and resolve all returned items in a controlled and timely manner.


POLICY STATEMENT

Cash Equivalents (non-coin & currency) and Checks

  • Cash equivalents returned to the campus must be controlled during the processing of the returned item.
  • A non-cashiering unit is to provide processing of returned check items.
  • Cash equivalents that are deemed to be uncollectible are to be returned by the depository bank to the designated non-cashiering unit.
  • A returned cash equivalent must be redeemed by guaranteed funds. [For the purpose of this policy, guaranteed funds are any form of payment where a surety guarantees performance on the obligation.  Examples include cashier’s checks or money orders.]
  • The person maintaining the inventory of returned Cash Equivalents must not handle the cash received to redeem returned Cash Equivalents.
  • Physical security and accountability for returned cash equivalents must be maintained. 

ACH (Automated Clearing House/ E-Checks)

  • ACH returned to the campus must be controlled during the processing of the returned item.
  • A non-cashiering unit is to provide processing of returned ACH items.
  • ACH transactions that are deemed to be uncollectible are to be returned by the depository bank to the designated non-cashiering unit.
  • The person approving the request to write-off uncollectible ACH debits must not maintain the inventory of returned ACH debits.
  • A returned ACH debit must be redeemed by guaranteed funds.
  • Campuses shall establish controls to prevent and detect alterations to electronic ACH data.

Credit/Debit Card Charge backs

  • Credit/Debit card chargebacks are to be returned by the Merchant Card processor to the designated non-cashiering unit.
  • Cashiers must not be involved in the returned Credit/Debit Card chargeback, although they can be involved in defending the chargeback.
  • A returned Credit/Debit Card chargeback must be redeemed by guaranteed funds.
  • The personnel processing returned Credit/Debit Card chargebacks must not handle the cash received to redeem returned Credit/Debit Card chargebacks.
  • The person who approves the request for write-off of uncollectible Credit/Debit Card chargebacks must not maintain the inventory of returned Credit/Debit Card chargebacks.

Counterfeit Currency

  • Counterfeit currency returned by the bank are recorded as a cash shortage and referred to campus university police department. 

Benjamin F. Quillian
Executive Vice-Chancellor/Chief Financial Officer

Approved: February 4, 2011




APPLICABILITY AND AREAS OF RESPONSIBILITY

 

REVISION HISTORY

 

RESOURCES AND REFERENCE MATERIALS

Useful Guidelines:

 

Related Principles:

 

Sound Business Practices:

 

Laws, State Codes, Regulations and Mandates:

 

COGNIZANT OFFICE(S)

CO Manager:

Mr. Sean Boylan  
Cash Management Operations Officer, Resource Management Office
CSU Office of the Chancellor
sboylan@calstate.edu

Subject Expert:

Ms. Gay Kvilhaug
Accountant II
Maritime Academy
gkvilhaug@csum.edu

Ms. Maribeth Bradberry
Accounting Manager
Channel Islands
maribeth.bradberry@csuci.edu

Ms. Nancy Suarez
Director, Student Financial Services
San Marcos
nsuarez@csusm.edu

Ms. Jan Burnham
Student Financial Services
Chico
jburnham@csuchico.edu

Ms. Gina Curry
Director & University Bursar
Sacramento
felicianog@csus.edu

Ms. Cora Wong
Director, Student Financial Operations
San Francisco
coraw@sfsu.edu

Ms. Caryl Vickers-Harper
Assistant Director & University Cashier
Sacramento
vickersca@csus.edu


Affinity Group:

Student Accounts Receivable (SAR)

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